North Dakota § 26.1-26.3-04 Duties of insurers

North Dakota Statutes

§ 26.1-26.3-04 — Duties of insurers

North Dakota § 26.1-26.3-04

Title 26.1Insurance

Ch. 26.1-26.3Managing General Agents

This text of North Dakota § 26.1-26.3-04 (Duties of insurers) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 26.1-26.3-04 (2026).

Text

1.The insurer shall have on file, in a form acceptable to the commissioner, an independent financial examination of each managing general agent with which it has done business.

2.If a managing general agent establishes loss reserves, the insurer shall annually obtain the opinion of an actuary attesting to the adequacy of loss reserves established for losses incurred and outstanding on business produced by the managing general agent. This is in addition to any other required loss reserve certification.

3.The insurer shall periodically and at least semiannually conduct an onsite review of the underwriting and claims processing operations of the managing general agent.

4.Binding authority for all reinsurance contracts or participation in insurance or reinsurance syndicates rests with an o

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1. The insurer shall have on file, in a form acceptable to the commissioner, an
independent financial examination of each managing general agent with which it has
done business.
2. If a managing general agent establishes loss reserves, the insurer shall annually
obtain the opinion of an actuary attesting to the adequacy of loss reserves established
for losses incurred and outstanding on business produced by the managing general
agent. This is in addition to any other required loss reserve certification.
3. The insurer shall periodically and at least semiannually conduct an onsite review of the
underwriting and claims processing operations of the managing general agent.
4. Binding authority for all reinsurance contracts or participation in insurance or
reinsurance syndicates rests with an officer of the insurer, who may not be affiliated
with the managing general agent.
5. Within thirty days of entering into or termination of a contract with a managing general
agent, the insurer shall provide written notification of the appointment or termination to
the commissioner. Notices of appointment of a managing general agent must include a
statement of duties which the applicant is expected to perform on behalf of the insurer,
the lines of insurance for which the applicant is to be authorized to act, and any other
information the commissioner may request.
6. An insurer shall review its books and records each quarter to determine if any of its
insurance producers have become, by operation of subsection 3 of section
26.1-26.3-01, a managing general agent as defined in that section. If the insurer
determines that an insurance producer has become a managing general agent
pursuant to the above, the insurer shall promptly notify the insurance producer and the
commissioner of the determination and the insurer and insurance producer shall fully
comply with the provisions of this chapter within thirty days.
7. An insurer may not appoint to its board of directors an officer, director, employee,
subagent, or controlling shareholder of its managing general agents. This subsection
does not apply to relationships governed by chapter 26.1-10.