§ 56-43-107 — Exclusive agency or management contracts

(a) No insurer may enter into any exclusive agency contract or management contract unless the contract is first filed with the commissioner and not disapproved under this section within thirty (30) days after filing, or a reasonable extended period as the commissioner may specify by notice within the thirty (30) days. (b) The commissioner shall disapprove a contract under subsection (a) if the commissioner finds that: (1) It subjects the insurer to excessive charges; (2) The contract extends for an unreasonable period of time; (3) The contract does not contain fair and adequate standards of performance; (4) The persons empowered under the contract to manage the insurer are not sufficiently trustworthy, competent, experienced and free from conflict of interest to manage the insurer with due regard for the interests of its insureds, creditors or the public; or (5) The contract contains provisions that impair the interests of the insurer's insureds or creditors of the public in this state.

Legislative History

Acts 1989, ch. 423, § 6.