[ARTICLE
9C]



MANAGING
GENERAL AGENTS



 



[§431:9C-101]  Definitions.  For
purposes of this article:



"Actuary" means a person who is a
member in good standing of the American Academy of Actuaries.



"Insurer" means any person, firm,
association, or corporation duly licensed in this State as an insurance company
pursuant to section 431:3-201.



"Managing general agent" means any person, firm,
association, or corporation that manages all or part of the insurance business
of an insurer (including the management of a separate division, department, or
underwriting office) and acts as an agent for such insurer whether known as a managing general agent,
manager, or other similar term, who, with or without the authority, either
separately or together with affiliates, produces, directly or indirectly, and
underwrites an amount of gross direct written premium equal to or more than
five per cent of the policyholder surplus as reported in the last annual
statement of the insurer in any one quarter or year, together with one or more
of the following activities related to the business produced: adjusts or pays
claims in excess of an amount determined by the commissioner, or negotiates
reinsurance on behalf of the insurer.  Notwithstanding the preceding sentence,
the following persons shall not be considered as managing general agents for the
purposes of this article:



(1)  An employee of the insurer;



(2)  A United States manager of the United States
branch of an alien insurer;



(3)  An underwriting manager who, pursuant to contract,
manages all the insurance operations of the insurer, is under common control
with the insurer, subject to article 11, and whose compensation is not based on
the volume of premiums written;



(4)  The attorney-in-fact authorized by and acting for
the subscribers of a reciprocal insurer or inter-insurance exchange under a
power of attorney; and



(5)  Any person, firm, association, or corporation
domiciled in the State and authorized to do business only in the State and
acting as a managing general agent for an insurer licensed and conducting
business only in the State.



"Underwrite" means the authority to
accept or reject risk on behalf of the insurer. [L 2002, c 155, pt of §2]