§ 27-20.7-9 - Compensation to the administrator. - Rhode-island Statutes

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Statutes > Rhode-island > Title-27 > Chapter-27-20-7 > 27-20-7-9

SECTION 27-20.7-9

§ 27-20.7-9 Compensation to theadministrator. – (a) An administrator shall not enter into an agreement or understanding with aninsurer in which the effect is to make the amount of the administrator'scommissions, fees, or charges contingent upon savings effected in theadjustment, settlement and payment of losses covered by the insurer'sobligations. This provision shall not prohibit an administrator from receivingperformance-based compensation for providing hospital or other auditingservices.

(b) This section shall not prevent the compensation of anadministrator from being based on premiums or charges collected or the numberof claims paid or processed.

State Codes and Statutes

Statutes > Rhode-island > Title-27 > Chapter-27-20-7 > 27-20-7-9

SECTION 27-20.7-9

§ 27-20.7-9 Compensation to theadministrator. – (a) An administrator shall not enter into an agreement or understanding with aninsurer in which the effect is to make the amount of the administrator'scommissions, fees, or charges contingent upon savings effected in theadjustment, settlement and payment of losses covered by the insurer'sobligations. This provision shall not prohibit an administrator from receivingperformance-based compensation for providing hospital or other auditingservices.

(b) This section shall not prevent the compensation of anadministrator from being based on premiums or charges collected or the numberof claims paid or processed.

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State Codes and Statutes

Statutes > Rhode-island > Title-27 > Chapter-27-20-7 > 27-20-7-9

SECTION 27-20.7-9

§ 27-20.7-9 Compensation to theadministrator. – (a) An administrator shall not enter into an agreement or understanding with aninsurer in which the effect is to make the amount of the administrator'scommissions, fees, or charges contingent upon savings effected in theadjustment, settlement and payment of losses covered by the insurer'sobligations. This provision shall not prohibit an administrator from receivingperformance-based compensation for providing hospital or other auditingservices.

(b) This section shall not prevent the compensation of anadministrator from being based on premiums or charges collected or the numberof claims paid or processed.