20-293. Insurance vending machines
A. Only a licensed insurance producer who is authorized by the director may solicit
applications for and issue policies by means of mechanical vending machines. The
insurance producer shall supervise each machine and shall issue policies only of insurers
authorized to transact business in this state. A policy shall not be solicited and
issued through a machine if the director finds that the kind of insurance or form of
policy to be sold is unsuitable for sale and issuance through vending machines, that use
of a vending machine may pose a risk of harm to the public or that the proposed type of
vending machine is not reasonably suitable and practical for the purpose.
B. The insurance producer shall display on or near each vending machine evidence of
the producer's authority to solicit applications and issue policies in a manner and form
as the director may reasonably require. The evidence of authority shall specify the name
and address of both the insurer and the insurance producer, the kind of insurance and
type of policy to be sold, the place where the machine is to be in operation and the
machine's identification number. The authority granted pursuant to this section expires
coincident with the insurance producer's license. The director shall suspend, revoke or
otherwise terminate the authority to operate a vending machine coincidentally with that
of the insurance producer.
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