§1869. Exclusive use of information
A.
(1)Except as otherwise provided in this Section, for purposes of soliciting, selling,
or negotiating the renewal or sale of group self-insurance coverage, products, or insurance
services, an insurance agent or insurance broker shall have the exclusive use of expirations,
records, or other written or electronic information directly related to the group self-insurance
application submitted by the member or the group self-insurance policy written through an
insurance agent or insurance broker. The group self-insurance fund shall not use expirations,
records, or other written or electronic information to solicit, sell, or negotiate the renewal or
sale of insurance coverage, insurance products, or insurance services to the insured, either
directly or by pr
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§1869. Exclusive use of information
A.(1) Except as otherwise provided in this Section, for purposes of soliciting, selling,
or negotiating the renewal or sale of group self-insurance coverage, products, or insurance
services, an insurance agent or insurance broker shall have the exclusive use of expirations,
records, or other written or electronic information directly related to the group self-insurance
application submitted by the member or the group self-insurance policy written through an
insurance agent or insurance broker. The group self-insurance fund shall not use expirations,
records, or other written or electronic information to solicit, sell, or negotiate the renewal or
sale of insurance coverage, insurance products, or insurance services to the insured, either
directly or by providing such information to others, without the express written consent of
the insurance agent or insurance broker.
(2) The expirations, records, or other written or electronic information may be used
to review the group self-insurance application, to issue a policy, or for any other purpose
necessary for placing such business through the insurance producer. The expirations, records,
or other written or electronic information may also be used for any other purpose which does
not involve the soliciting, selling, or negotiating the renewal or sale of group self-insurance
coverage, products, or services.
B. This Section shall not apply in any of the following circumstances:
(1) When the member of the fund requests, individually or through an insurance
producer, that the group self-insurance fund renew the policy or write other insurance
business.
(2) When the insurance agent has, by contract, agreed to act exclusively for one
member or a group of affiliated members, in which case the rights of the agent shall be
determined by the terms of the agent's contract with that member or affiliated group.
(3) When the insurance producer is in default for nonpayment of premiums under
the insurance agent's or insurance broker's contract or other agreement with the group self-insurer, unless there is a legitimate dispute as to monies owed.
(4) When the agency contract is terminated and the insurance company is required
by law to continue coverage for the insured, in which event the insurance company shall
continue to pay the insurance agent or the insurance broker commissions on such policies
that the company is required to renew during the thirty-six-month period following the
effective date of the termination. The commission shall be at the insurer's prevailing
commission rates in effect on the date of renewal for that class or line of business in effect
on the date of renewal for brokers or agents whose contracts are not terminated.
C. The insurance producer and insurer may, in a written agreement separate from the
agency contract, mutually agree to terms different from the provisions set forth in this
Section. The terms of the agreement shall be negotiated in good faith between the parties.
D.(1) The department may adopt rules, in accordance with the Administrative
Procedure Act, to enforce the provisions of this Section, and any violation of this Section or
the rules adopted pursuant to this Section shall be subject to regulation by the department
pursuant to R.S. 12:1858.
(2) In addition, the insurance producer may have a claim for lost commissions. The
claim shall be resolved in accordance with the dispute resolution terms in the applicable
contract or agreement. In the absence of any dispute resolution terms, the parties shall
attempt to resolve their dispute through mediation. If the claim is not resolved through
mediation, the claim may be resolved through binding arbitration if the parties agree. In the
absence of an agreement to resolve the claim through binding arbitration, the insurance
producer may maintain an action for lost commissions.
(3) Except as provided in Subsection B of this Section, nothing in this Section shall
be interpreted as impairing any rights in law or contract currently enjoyed by any party.