§ 26.1-26-52 — Insurance license for automobile rental agencies - Exception

A license as an insurance producer is not required for the counter sales personnel of an
automobile rental company or its franchisee if:
1. The automobile rental company is appropriately licensed in this state under
subsection 4 of section 26.1-26-13.3 or is affiliated with an appropriately licensed
North Dakota insurance producer.
2. The coverage offered by the counter sales personnel is limited to the following:
a. Personal accident insurance covering the risks of travel, including accident and
health insurance that provides coverage to renters and other rental vehicle

occupants for accidental death or dismemberment and for medical expenses
resulting from an accident that occurs during the rental period;
b. Supplemental liability insurance that must include uninsured and underinsured
motorist coverage, either offered separately or in combination with other liability
insurance, and that provides coverage to renters and other authorized drivers for
liability arising from the operation of the rental vehicle;
c. Personal effects insurance that provides coverage to renters and other vehicle
occupants for the loss of, or damage to, personal effects that occurs during the
rental period;
d. Roadside assistance and emergency sickness protection programs; and
e. Any other coverage that a rental company offers in connection with and incidental
to the rental of vehicles.
3. The rental period is ninety days or less.
4. The automobile rental company files an acknowledgement with the commissioner that
its counter sales personnel act on its behalf and that it is responsible for any
representations made by the counter sales personnel relating to insurance products
offered through the automobile rental company or its franchisee. The
acknowledgement must state that the commissioner has the right to take any
administrative action contemplated in this title, including revocation or suspension of
the license required under subsection 1.
5. The automobile rental company provides basic training to counter sales personnel in
the insurance products offered under this section. The training must require counter
sales personnel to refer all customers with questions regarding the insurance products
offered under this section to appropriately licensed insurance producers employed by
the automobile rental company or to written brochures or other materials that:
a. Summarize the material terms of the coverage, including the identity of the
insurer;
b. Disclose that the policies offered by the automobile rental company may duplicate
coverage already provided by other insurance the renter may have;
c. State that the purchase of insurance is not required to rent the vehicle; and
d. Describe the process of filing a claim.
6. The counter sales personnel are not directly paid by an insurance company, a
commission, or any other compensation for the sale of insurance. Nothing in this
section prevents the automobile rental company from including the insurance products
in an overall employee performance compensation incentive program.