reglab/statecodes huggingface dataset:
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33 - Licensing of Insurance Producers, Limited Representatives, and Adjusters. › § 58-33-135 - Continuing education advisory committee.

§ 58-33-135. Continuing education advisory committee.
(a) The Commissioner shall appoint, in accordance with G.S. 58-2-30, one advisory committee for property and casualty insurance licensees and one advisory committee for life and accident and health or sickness insurance licensees. The advisory committees shall recommend reasonable rules to the Commissioner for promulgation under G.S. 58-33-130. The Commissioner may adopt, reject, or modify such recommendations. After the promulgation of rules under G.S. 58-33-130, the committees may from time to time make further recommendations to the Commissioner for additional rules or changes in existing rules.
(b) The property and casualty advisory committee shall comprise:
(1) Two employees of the Department of Insurance;
(2) Two representatives from a list of four nominees submitted by the Independent Insurance Agents of North Carolina;
(3) Repealed by Session Laws 1999-132, s. 6.3.
(4) One representative of a licensed property and liability insurance company writing business in this State that operates through an exclusive agency force;
(5) One representative from a list of two nominees submitted by the North Carolina Adjusters Association;
(6) One representative of property and liability insurers from a list of two nominees submitted by the Association of North Carolina Property and Casualty Insurance Companies; and
(7) One representative from a list of two nominees submitted by the Community Colleges System Office.
(c) The life and accident and health or sickness advisory committee shall comprise:
(1) Two employees of the Department of Insurance, which may be the same persons appointed under the subsection (b) of this section;
(2) One representative from a list of two nominees submitted by the North Carolina Association of Life Underwriters;
(3) One representative of life and health insurers from a list of two nominees submitted by the Association of North Carolina Life Insurance Companies;
(4) One representative from a list of two nominees submitted by the General Agents and Managers Conference;
(5) One representative from a licensed medical or hospital service corporation;
(6) One licensed accident and health or sickness insurance producer from a list of two nominees submitted by the North Carolina Association of Health Underwriters;
(7) One representative of a licensed life or health insurer writing business in this State that operates through an exclusive agency force;
(8) One representative from a list of two nominees submitted by the North Carolina Fraternal Congress; and
(9) One representative from a list of two nominees submitted by the Community Colleges System Office. (1989, c. 657, s. 1; 1999-84, ss. 17, 18; 1999-132, s. 6.3; 2022-46, s. 13(a).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-1 - Purpose and scope.

§ 58-33A-1. Purpose and scope.
This Article governs the qualifications and procedures for the licensing of public adjusters. It specifies the duties of and restrictions on public adjusters, which include limiting their licensure to assisting insureds in first-party claims. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-5 - Definitions.

§ 58-33A-5. Definitions.
(1) Business entity. – A corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity.
(2) Catastrophic incident. – As defined in the National Response Framework, any natural or man-made incident, including terrorism, that results in extraordinary levels of mass casualties, damage, or disruption severely affecting the population, infrastructure, environment, economy, national morale, and/or government functions. A catastrophic incident shall be declared by the President of the United States or the Governor of the state or district in which the disaster occurred. If state and local resources are insufficient, the Governor may ask the President of the United States to make such a declaration.
(3) Fingerprints. – An impression of the lines on the finger taken for purpose of identification. The impression may be electronic or in ink converted to electronic format.
(4) Home state. – The District of Columbia and any state or territory of the United States in which the public adjuster's principal place of residence or principal place of business is located. If neither the state in which the public adjuster maintains the principal place of residence nor the state in which the public adjuster maintains the principal place of business has a substantially similar law governing public adjusters, the public adjuster may declare another state in which it becomes licensed and acts as a public adjuster to be the home state.
(5) Individual. – A natural person.
(6) Person. – An individual or a business entity.
(7) Public adjuster. – Any person who, for compensation or any other thing of value on behalf of the insured, does any of the following:
a. Acts or aids, solely in relation to first-party claims arising under insurance contracts that insure the real or personal property of the insured, on behalf of an insured in negotiating for, or effecting the settlement of, a claim for loss or damage covered by an insurance contract.
b. Advertises for employment as a public adjuster of insurance claims or solicits business or represents himself or herself to the public as a public adjuster of first-party insurance claims for losses or damages arising out of policies of insurance that insure real or personal property.
c. Directly or indirectly solicits business, investigates or adjusts losses, or advises an insured about first-party claims for losses or damages arising out of policies of insurance that insure real or personal property for another person engaged in the business of adjusting losses or damages covered by an insurance policy for the insured.
(8) Uniform business entity application. – The current version of the NAIC Uniform Business Entity Application for resident and nonresident business entities.
(9) Uniform individual application. – The current version of the NAIC Uniform Individual Application for resident and nonresident individuals. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-10 - License required.

§ 58-33A-10. License required.
(a) A person shall not act or hold himself or herself out as a public adjuster in this State unless the person is licensed as a public adjuster in accordance with this Article.
(b) A person licensed as a public adjuster shall not misrepresent to a claimant that he or she is an adjuster representing an insurer in any capacity, including acting as an employee of the insurer or acting as an independent adjuster unless so appointed by an insurer in writing to act on the insurer's behalf for that specific claim or purpose. A licensed public adjuster is prohibited from charging that specific claimant a fee when appointed by the insurer and the appointment is accepted by the public adjuster.
(c) A business entity acting as a public adjuster is required to obtain a public adjuster license. Application shall be made using the uniform business entity application. Before approving the application, the Commissioner shall find all of the following:
(1) The business entity has paid the fees set forth in G.S. 58-33-125.
(2) The business entity has designated a licensed public adjuster responsible for the business entity's compliance with the insurance laws and regulations of this State.
(d) Notwithstanding subsections (a) through (c) of this section, a license as a public adjuster shall not be required of any of the following:
(1) An attorney-at-law admitted to practice in this State, when acting in his or her professional capacity as an attorney.
(2) A person who negotiates or settles claims arising under a life or health insurance policy or an annuity contract.
(3) A person employed only for the purpose of obtaining facts surrounding a loss or furnishing technical assistance to a licensed public adjuster, including photographers, estimators, private investigators, engineers, and handwriting experts.
(4) A licensed health care provider, or employee of a licensed health care provider, who prepares or files a health claim form on behalf of a patient.
(5) A person who settles subrogation claims between insurers. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-15 - Application for license.

§ 58-33A-15. Application for license.
(a) A person applying for a public adjuster license shall apply to the Commissioner on the appropriate uniform application or other application prescribed by the Commissioner.
(b) The applicant shall declare under penalty of perjury and under penalty of refusal, suspension, or revocation of the license that the statements made in the application are true, correct, and complete to the best of the applicant's knowledge and belief.
(c) An applicant for a license under this Article shall furnish the Commissioner with a complete set of the applicant's fingerprints in a manner prescribed by the Commissioner and a recent passport size full-face photograph of the applicant. The applicant's fingerprints shall be certified by an authorized law enforcement officer. The fingerprints of every applicant shall be forwarded to the State Bureau of Investigation for a search of the applicant's criminal history record file, if any. If warranted, the State Bureau of Investigation shall forward a set of the fingerprints to the Federal Bureau of Investigation for a national criminal history record check. An applicant shall pay the cost of the State and any national criminal history record check of the applicant. This subsection does not apply to a person applying for renewal or continuation of a home state public adjuster license or a nonresident public adjuster license.
(d) In addition, if an applicant described in subsection (b) of this section is a business entity, each key person must furnish the Commissioner a complete set of the key person's fingerprints and a recent passport size full-face photograph of the applicant. The key person's fingerprints shall be certified by an authorized law enforcement officer. The fingerprints of every key person shall be forwarded to the State Bureau of Investigation for a search of the applicant's criminal history record file, if any. If warranted, the State Bureau of Investigation shall forward a set of the fingerprints to the Federal Bureau of Investigation for a national criminal history record check. Each key person shall pay the cost of the State and any national criminal history record check of the key person. As used in this subsection, "key person" means a proposed officer, director, or any other individual who will be in a position to influence the operating decisions of the business entity. This subsection does not apply to a person applying for renewal or continuation of a home state public adjuster license or a nonresident public adjuster license.
(e) The Commissioner shall keep all information received pursuant to subsections (c) and (d) of this section privileged, in accordance with applicable State and federal law, and the information shall be confidential and shall not be a public record under Chapter 132 of the General Statutes. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-20 - Resident license.

§ 58-33A-20. Resident license.
(a) Before issuing a public adjuster license to an applicant under this section, the Commissioner shall find that the applicant meets all of the following criteria:
(1) Is eligible to designate this State as his or her home state or is a nonresident who is not eligible for a license under G.S. 58-33A-35.
(2) Has not committed any act that is a ground for denial, suspension, or revocation of a license as set forth in G.S. 58-33A-45.
(3) Is trustworthy, reliable, and of good reputation, evidence of which may be determined by the Commissioner.
(4) Is financially responsible to exercise the license and has provided proof of financial responsibility as required in G.S. 58-33A-50.
(5) Has paid the fees set forth in G.S. 58-33-125.
(6) Maintains an office in the home state of residence with public access by reasonable appointment and/or regular business hours. This includes a designated office within a home state of residence.
(b) In addition to satisfying the requirements of subsection (a) of this section, an individual shall:
(1) Be at least 18 years of age; and
(2) Have successfully passed the public adjuster examination.
(c) The Commissioner may require any documents reasonably necessary to verify the information contained in the application. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-25 - Examination.

§ 58-33A-25. Examination.
(a) An individual applying for a public adjuster license under this act shall pass a written examination unless exempt pursuant to G.S. 58-33A-30. The examination shall test the knowledge of the individual concerning the duties and responsibilities of a public adjuster and the insurance laws and regulations of this State. Examinations required by this section shall be developed and conducted under rules and regulations prescribed by the Commissioner.
(b) The Commissioner may make arrangements, including contracting with an outside testing service, for administering examinations and collecting the nonrefundable fee set forth in G.S. 58-33-125.
(c) Each individual applying for an examination shall remit a nonrefundable fee as prescribed by the Commissioner as set forth in G.S. 58-33-125.
(d) An individual who fails to appear for the examination as scheduled or fails to pass the examination shall reapply for an examination and remit all required fees and forms before being rescheduled for another examination. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-30 - Exemptions from examination.

§ 58-33A-30. Exemptions from examination.
(a) An individual who applies for a public adjuster license in this State who was previously licensed as a public adjuster in another state based on a public adjuster examination shall not be required to complete any prelicensing examination. This exemption is only available if the person is currently licensed in that state or if the application is received within 12 months of the cancellation of the applicant's previous license and if the prior state issues a certification that, at the time of cancellation, the applicant was in good standing in that state or the state's producer database records or records maintained by the NAIC, its affiliates, or subsidiaries indicate that the public adjuster is or was licensed in good standing.
(b) A person licensed as a public adjuster in another state based on a public adjuster examination who moves to this State shall apply within 90 days after establishing legal residence to become a resident licensee pursuant to G.S. 58-33A-20. No prelicensing examination shall be required of that person to obtain a public adjuster license.
(c) An individual who applies for a public adjuster license in this State who was previously licensed as a public adjuster in this State shall not be required to complete any prelicensing examination. This exemption is only available if the application is received within 12 months after the cancellation of the applicant's previous license in this State and if, at the time of cancellation, the applicant was in good standing in this State. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-35 - Nonresident license reciprocity.

§ 58-33A-35. Nonresident license reciprocity.
(a) Unless denied licensure pursuant to G.S. 58-33A-45, a nonresident person shall receive a nonresident public adjuster license if the person meets all of the following criteria:
(1) The person is currently licensed as a resident public adjuster and in good standing in his or her home state.
(2) The person has submitted the proper request for licensure, has paid the fees required by G.S. 58-33-125, and has provided proof of financial responsibility as required in G.S. 58-33A-50.
(3) The person has submitted or transmitted to the Commissioner the appropriate completed application for licensure.
(4) The person's home state awards nonresident public adjuster licenses to residents of this State on the same basis.
(b) The Commissioner may verify the public adjuster's licensing status through the producer database maintained by the NAIC, its affiliates, or subsidiaries.
(c) As a condition to continuation of a public adjuster license issued under this section, the licensee shall maintain a resident public adjuster license in his or her home state. The nonresident public adjuster license issued under this section shall terminate and be surrendered immediately to the Commissioner if the home state public adjuster license terminates for any reason, unless the public adjuster has been issued a license as a resident public adjuster in his or her new home state. Notification to the state or states where nonresident license is issued must be made as soon as possible, yet no later than 30 days after change in new state resident license. Licensee shall include new and old address. A new state resident license is required for nonresident licenses to remain valid. The new state resident license must have reciprocity with the licensing nonresident state(s) for the nonresident license not to terminate. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-50 - Bond or letter of credit.

§ 58-33A-50. Bond or letter of credit.
(a) Before issuance of a license as a public adjuster and for the duration of the license, the applicant shall secure evidence of financial responsibility in a format prescribed by the Commissioner through any of the following instruments:
(1) A bond executed and issued by an insurer authorized to issue bonds in this State which meets all of the following requirements:
a. It shall be in the minimum amount of twenty thousand dollars ($20,000).
b. It shall be in favor of this State and shall specifically authorize recovery by the Commissioner on behalf of any person in this State who sustained damages as the result of erroneous acts, failure to act, conviction of fraud, or conviction of unfair practices in his or her capacity as a public adjuster.
c. It shall not be terminated unless at least 30 days' prior written notice will have been filed with the Commissioner and given to the licensee.
(2) An irrevocable letter of credit issued by a qualified financial institution, which meets all of the following requirements:
a. It shall be in the minimum amount of twenty thousand dollars ($20,000).
b. It shall be to an account to the Commissioner and subject to lawful levy of execution on behalf of any person to whom the public adjuster has been found to be legally liable as the result of erroneous acts, failure to act, fraudulent acts, or unfair practices in his or her capacity as a public adjuster.
c. It shall not be terminated unless at least 30 days' prior written notice will have been filed with the Commissioner and given to the licensee.
(b) The issuer of the evidence of financial responsibility shall notify the Commissioner upon termination of the bond or letter of credit, unless otherwise directed by the Commissioner.
(c) The Commissioner may ask for the evidence of financial responsibility at any time he or she deems relevant.
(d) The authority to act as a public adjuster shall automatically terminate if the evidence of financial responsibility terminates or becomes impaired. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-55 - Continuing education.

§ 58-33A-55. Continuing education.
(a) An individual who holds a public adjuster license and who is not exempt under subsection (b) of this section shall satisfactorily complete a minimum of 24 hours of continuing education courses, including ethics, reported on a biennial basis in conjunction with the license renewal cycle.
(b) This section shall not apply to any of the following:
(1) Licensees not licensed for one full year before the end of the applicable continuing education biennium.
(2) Licensees holding nonresident public adjuster licenses who have met the continuing education requirements of their home state and whose home state gives credit to residents of this State on the same basis.
(c) Only continuing education courses approved by the Commissioner shall be used to satisfy the continuing education requirement of subsection (a) of this section. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-60 - Public adjuster fees.

§ 58-33A-60. Public adjuster fees.
(a) A public adjuster shall not pay a commission, service fee, or other valuable consideration to a person for investigating or settling claims in this State if that person is required to be licensed under this Article and is not so licensed.
(b) A person shall not accept a commission, service fee, or other valuable consideration for investigating or settling claims in this State if that person is required to be licensed under this Article and is not so licensed.
(c) A public adjuster may pay or assign commission, service fees, or other valuable consideration to persons who do not investigate or settle claims in this State, unless the payment would violate G.S. 58-33-85 or G.S. 58-63-15(8).
(d) In the event of a catastrophic incident, there shall be limits on catastrophic fees. No public adjuster shall charge, agree to, or accept as compensation or reimbursement any payment, commission, fee, or other thing of value equal to more than ten percent (10%) of any insurance settlement or proceeds. No public adjuster shall require, demand, or accept any fee, retainer, compensation, deposit, or other thing of value before settlement of a claim. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-70 - Escrow or trust accounts.

§ 58-33A-70. Escrow or trust accounts.
A public adjuster who receives, accepts, or holds any funds on behalf of an insured, toward the settlement of a claim for loss or damage, shall deposit the funds in a noninterest-bearing escrow or trust account in a financial institution that is insured by an agency of the federal government in the public adjuster's home state or where the loss occurred. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-75 - Record retention.

§ 58-33A-75. Record retention.
(a) A public adjuster shall maintain a complete record of each transaction as a public adjuster. The records required by this section shall include all of the following:
(1) Name of the insured.
(2) Date, location, and amount of the loss.
(3) Copy of the contract between the public adjuster and insured.
(4) Name of the insurer, amount, expiration date and number of each policy carried with respect to the loss.
(5) Itemized statement of the insured's recoveries.
(6) Itemized statement of all compensation received by the public adjuster, from any source whatsoever, in connection with the loss.
(7) A register of all monies received, deposited, disbursed, or withdrawn in connection with a transaction with an insured, including fees, transfers, and disbursements from a trust account and all transactions concerning all interest-bearing accounts.
(8) Name of public adjuster who executed the contract.
(9) Name of the attorney representing the insured, if applicable, and the name of the claims representatives of the insurance company.
(10) Evidence of financial responsibility in a format prescribed by the Commissioner.
(b) Records shall be maintained for at least five years after the termination of the transaction with an insured and shall be open to examination by the Commissioner at all times.
(c) Records submitted to the Commissioner in accordance with this section that contain information identified in writing as proprietary by the public adjuster shall be treated as confidential by the Commissioner and shall not be subject to Chapter 132 of the General Statutes or G.S. 58-2-100. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 33A - Public Adjusters. › § 58-33A-90 - Reporting of actions.

§ 58-33A-90. Reporting of actions.
(a) A public adjuster shall report to the Commissioner any administrative action taken against the public adjuster in another jurisdiction or by another governmental agency in this State within 30 days after the final disposition of the matter. This report shall include a copy of the order, consent order, or other relevant legal documents.
(b) Within 30 days after the initial pretrial hearing date, the public adjuster shall report to the Commissioner any criminal prosecution of the public adjuster taken in any jurisdiction. The report shall include a copy of the initial complaint filed, the order resulting from the hearing, and any other relevant legal documents. (2009-565, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 34 - Agency and Management Contracts. › § 58-34-5 - Retrospective compensation agreements.

§ 58-34-5. Retrospective compensation agreements.
(a) Retrospective compensation agreements for business written under Articles 1 through 64 of this Chapter must be filed with the Commissioner for his approval.
(b) "Retrospective compensation agreement" means any such arrangement, agreement, or contract having as its purpose the actual or constructive retention by a domestic insurer of a fixed proportion of the gross premiums, with the balance of the premiums, retained actually or constructively by the agent or the producer of the business, who assumes to pay therefrom all losses, all subordinate commissions, loss adjustment expenses and his profit, if any, with other provisions of such arrangement, agreement, or contract auxiliary or incidental to such purpose.
(c) The standards for approval shall be as set forth under G.S. 58-34-2(d)(5). (1987, c. 752, s. 8; 1989, c. 485, s. 60; 1991, c. 681, s. 52.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 34 - Agency and Management Contracts. › § 58-34-15 - Grounds for disapproval.

§ 58-34-15. Grounds for disapproval.
(a) The Commissioner must disapprove any management contract or custodial agreement filed under G.S. 58-34-10 if, at any time, the Commissioner finds:
(1) That the service or management charges are based upon criteria unrelated either to the managed insurer's profits or to the reasonable customary and usual charges for the services or are based on factors unrelated to the value of the services to the insurer; or
(2) That management personnel or other employees of the insurer are to be performing management functions and receiving any remuneration for those functions through the management or service contract in addition to the compensation by way of salary received directly from the insurer for their services; or
(3) That the contract would transfer substantial control of the insurer or any of the powers vested in the board of directors, by statute, articles of incorporation, or bylaws, or substantially all of the basic functions of the insurance company management; or
(4) That the contract contains provisions that would be clearly detrimental to the best interest of policyholders, stockholders, or members of the insurer; or
(5) That the officers and directors of the management or custodial firm are of known bad character or have been affiliated, directly or indirectly, through ownership, control, management, reinsurance transactions, or other insurance or business relations with any person known to have been involved in the improper manipulation of assets, accounts, or reinsurance.
(6) That the custodial agreement is not substantially the same as the form adopted by the Commissioner.
(b) If the Commissioner disapproves any management contract or custodial agreement, notice of the disapproval shall be given to the insurer stating the reasons for the disapproval in writing. The Commissioner shall grant any party to the contract a hearing if the party requests a hearing. (1987, c. 752, s. 8; 1991, c. 681, s. 54; 1993, c. 452, s. 50; 2001-223, s. 20.4.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-1 - Definitions.

§ 58-35-1. Definitions.
When used in this Article:
(1) An insurance premium finance company is hereby defined to be:
a. Any person engaged, in whole or in part, in the business of entering into insurance premium finance agreements with insureds; or
b. Any person engaged, in whole or in part, in the business of acquiring insurance premium finance agreements from other insurance premium finance companies.
(2) "Insurance premium finance agreement" means a promissory note or other written agreement by which an insured promises or agrees to pay to, or to the order of, an insurance premium finance company the amount advanced or to be advanced under the agreement to an insurer or to an insurance producer, in payment of premiums on an insurance contract, together with a service charge as authorized and limited by this Article. (1963, c. 1118; 2022-46, s. 14(gg).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-5 - License required; fees.

§ 58-35-5. License required; fees.
(a) No person except an authorized insurer shall engage in the business of an insurance premium finance company without obtaining a license from the Commissioner, as provided in this Article.
(b) Application for license required under this Article shall be in writing, and in the form prescribed by the Commissioner.
(c) When an applicant has more than one office, separate applications for license shall be made for each such office.
(d) At the time of filing an application for a license, the applicant shall pay to the Commissioner the license fee. Upon original application or upon application subsequent to denial of application, or revocation, suspension or surrender of a license, an examination fee may be required.
(e) There shall be two types of licenses issued to an insurance premium finance company:
(1) An "A" type license shall be issued to insurance premium finance companies whose business of insurance premium financing is limited to the financing of insurance premiums of one insurance producer or agency and whose primary function is to finance only the insurance premium of such insurance producer or agency. The license fee for an "A" type license shall be six hundred dollars ($600.00) for each license year or part thereof.
(2) A "B" type license shall be issued to an insurance premium finance company whose business of insurance premium financing is not limited to the financing of insurance premiums of one insurance producer or agency and whose primary function is to finance the insurance premiums of more than one insurance producer or agency. The license fee for a "B" type license shall be two thousand four hundred dollars ($2,400) for each license year or part thereof.
A branch office license may be issued for either an "A" type or "B" type license to the second and any subsequent locations where the company operates an office. The fee for the branch office license shall be one hundred dollars ($100.00) for each license year or part thereof. The examination fee when required by this section shall be two hundred fifty dollars ($250.00) per application. (1963, c. 1118; 1967, c. 1232, s. 1; 1989 (Reg. Sess., 1990), c. 1069, s. 7; 1995, c. 507, s. 11A(c); 2009-451, s. 21.2(a); 2022-46, s. 14(hh).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-10 - Exceptions to license requirements.

§ 58-35-10. Exceptions to license requirements.
(a) Any person, firm or corporation doing business under the authority of any law of this State or of the United States relating to banks, trust companies, installment paper dealers, auto finance companies, savings and loan associations, cooperative credit unions, agricultural credit corporations or associations, organized under the laws of North Carolina or any person, firm or corporation subject to the provisions of the North Carolina Consumer Finance Act and the North Carolina Motor Vehicle Dealers and Manufacturers Licensing Law, Article 12, Chapter 20, of the General Statutes of North Carolina are exempt from the provisions of this Article.
(b) An insurance company duly licensed in this State may make an installment payment charge as set forth in the rate filings and approved by the Commissioner and is thereby exempt from the provisions of this Article.
(c) An insurance producer with a property and casualty lines of authority duly licensed in this State who extends credit to and only to his own policyholders may charge and collect finance charges or other fees at a periodic (monthly) rate as provided in G.S. 24-11(a), after said amount has been outstanding for 30 days, and is hereby exempt from the provisions of this Article. Notwithstanding the exceptions set forth in subsections (a), (b) and (c) of this section, when any person, firm, or corporation shall exercise a power of attorney taken in connection with the financing of an insurance premium, such person, firm or corporation shall comply with the requirements of G.S. 58-35-85, as if it were an insurance premium financing company. (1963, c. 1118; 1967, c. 942, s. 1; 1971, c. 1186, ss. 1, 2; 1995 (Reg. Sess., 1996), c. 742, s. 25; 2022-46, s. 14(ii).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-20 - Grounds for refusal, suspension or revocation of licenses; surrender of licenses; reinstatement.

§ 58-35-20. Grounds for refusal, suspension or revocation of licenses; surrender of licenses; reinstatement.
(a) The Commissioner may forthwith deny, suspend, revoke, or refuse to renew or continue any license hereunder if he shall find that:
(1) The licensee has failed to pay the annual license fee or any sum of money lawfully demanded under authority of any section of this Article or has violated or failed to comply with any demand, ruling, provision or requirement of the Commissioner lawfully made pursuant to or within the authority of this Article.
(2) Any fact or condition exists which, if it had been known to exist at the time of the original application, would have caused the original license to have been refused.
(b) The Commissioner may revoke or suspend only the particular license with respect to which grounds for revocation or suspension may occur or exist; or if he shall find that such grounds for revocation or suspension are of general application to all offices, or to more than one office, operated by such licensee, he shall revoke or suspend all of the licenses issued to such licensee or such number of licenses as such grounds apply to, as the case may be.
(1) Any licensee may surrender any license by delivering to the Commissioner written notice that he thereby surrenders such license, but such surrender shall not affect such licensee's civil or criminal liability for acts committed prior to such surrender.
(2) No revocation or suspension or surrender of any license shall impair or affect the obligation of any insured under any lawful insurance premium finance agreement previously acquired or held by the licensee.
(3) Every license issued hereunder shall remain in force and effect until the same shall have been surrendered, revoked, suspended, or expires in accordance with the provisions of this Article; but the Commissioner shall have authority to reinstate suspended licenses or to issue new licenses to a licensee whose license or licenses shall have been revoked, if no fact or condition then exists which clearly would have warranted the Commissioner in refusing originally to issue such license under this Article. (1963, c. 1118.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-22 - Notification of criminal or administrative actions.

§ 58-35-22. Notification of criminal or administrative actions.
(a) If an individual proprietor, officer, or partner of an insurance premium finance company has been convicted in any court of competent jurisdiction for any crime involving dishonesty or breach of trust, the premium finance company shall notify the Commissioner in writing of the conviction within 10 days after the date of the conviction. As used in this subsection, "conviction" includes an adjudication of guilt, a plea of guilty, or a plea of nolo contendere.
(b) An insurance premium finance company shall report to the Commissioner any administrative action taken against the premium finance company, including any branch office, by another state or by another governmental agency in this State within 30 days after the final disposition of the matter. This report shall include a copy of the order or consent order and other information or documents filed in the proceeding necessary to describe the action. (2009-566, s. 19.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-25 - Investigations; hearings.

§ 58-35-25. Investigations; hearings.
For the purpose of conducting investigations and holding hearings on insurance premium finance companies, the Commissioner shall have the same authority as that vested in him by G.S. 58-2-50 and 58-2-70. (1963, c. 1118; 1987, c. 864, s. 3(b).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-30 - Licensee's books and records; reports; refusing to exhibit records; making false statements.

§ 58-35-30. Licensee's books and records; reports; refusing to exhibit records; making false statements.
(a) The licensee shall keep and use in his business any books, accounts, and records that will enable the Commissioner to determine whether the licensee is complying with the provisions of this Article and with the rules and regulations lawfully made by the Commissioner hereunder. Every licensee shall preserve such books, accounts, and records, including cards used in a card system, if any, for at least three years after making the final entry in respect to any insurance premium finance agreement recorded therein; provided, however, the preservation of photographic reproductions thereof or records in photographic, imaging, microfilm, or microfiche form shall constitute compliance with this requirement by any licensee. The Commissioner may require of licensees under oath and in the form prescribed by him regular or special reports as he may deem necessary to the proper supervision of licensees under this Article.
(b) Any person who shall refuse, on demand, to exhibit to the Commissioner or to any deputy, or person acting with or for the Commissioner, the books, accounts or records as above provided, or who shall knowingly or willfully make any false statement in regard to the same shall be deemed guilty of a Class 1 misdemeanor. (1963, c. 1118; 1991, c. 720, s. 4; 1993, c. 539, s. 463; 1994, Ex. Sess., c. 24, s. 14(c); 1999-157, s. 1.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-35 - Excessive insurance premium finance charges; penalty.

§ 58-35-35. Excessive insurance premium finance charges; penalty.
The knowingly taking, receiving, reserving, [or] charging a greater insurance premium finance charge than that authorized in this Article shall be held and adjudged a forfeiture of the entire insurance premium finance charge which the insurance premium finance agreement carries with it, or which has been agreed to be paid thereon; and if a greater insurance premium finance charge has been paid, the person paying the same or his legal representative may recover from the insurance premium finance company twice the entire amount of the insurance premium finance thus paid if action therefor is brought within two years from the time of such payment. (1963, c. 1118.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-40 - Rebates and inducements prohibited; assignment of insurance premium finance agreements.

§ 58-35-40. Rebates and inducements prohibited; assignment of insurance premium finance agreements.
(a) No insurance premium finance company shall pay, allow, or offer to pay or allow payment to an insurance producer, and no insurance producer shall accept from a company, a rebate as an inducement to the financing of an insurance policy with the company. No insurance premium finance company shall give or offer to give to an insurance producer, and no insurance producer shall accept from a company, any valuable consideration or inducement of any kind, directly or indirectly, other than an article of merchandise not exceeding one dollar ($1.00) in value which shall have thereon the advertisement of the insurance premium finance company. An insurance premium finance company may purchase or otherwise acquire an insurance premium finance agreement from another insurance premium finance company with recourse against the insurance premium finance company on such terms and conditions as may be mutually agreed upon by the parties, if the agreement complies with the requirements of this Article. The terms and conditions of the agreement shall be subject to the approval of the Commissioner.
(b) No filing of the assignment or notice thereof to the insured shall be necessary to the validity of the written assignment of an insurance premium finance agreement as against creditors or subsequent purchases, pledges, or encumbrancers of the assignor.
(c) As used in this section, the term "insurance premium finance company" includes employees of the company; the term "insurance producer" includes employees of the insurance producer; and the word "company" means an insurance premium finance company. (1963, c. 1118; 1989, c. 485, s. 64; 1991 (Reg. Sess., 1992), c. 837, s. 1; 1999-157, s. 7; 2022-46, s. 14(jj).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-45 - Filing and approval of forms and service charges.

§ 58-35-45. Filing and approval of forms and service charges.
(a) No insurance premium finance agreement form or related form shall be used in this State unless it has been filed with and written approval given by the Commissioner.
(b) In addition each insurance premium finance company shall file with the Commissioner the service charge rate plan to be used in insurance premium financing including all modifications of service charges to be paid by the insured or others under the insurance premium finance agreement. Such filings shall not be used in this State until written approval has been given by the Commissioner. (1963, c. 1118.)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-50 - Form, contents and execution of insurance premium finance agreements.

§ 58-35-50. Form, contents and execution of insurance premium finance agreements.
(a) An insurance premium finance agreement shall be in writing, dated, signed by the insured, and the printed portion thereof shall be in type that is legible, as determined by rule. It shall contain the entire agreement of the parties with respect to the insurance contract, the premiums for which are advanced or to be advanced under it, and the following:
INSURANCE PREMIUM FINANCE AGREEMENT
NOTICE
a. Do not sign this agreement before you read it.
b. You are entitled to a copy of this agreement.
c. Under the law, you have the right to pay off in advance the full amount due and under certain conditions to obtain a partial refund of the service charge."
(b) An insurance premium finance agreement shall:
(1) Contain the following:
a. The name and place of business of the insurance producer negotiating the related insurance contract;
b. The name of the insured and the residence, the place of business, or any other mailing address of the insured as specified by the insured;
c. The name and place of business of the insurance premium finance company to which installments or other payments are to be made;
d. A brief description of the insurance contract;
e. The premiums for which are advanced or to be advanced under the agreement; and
f. The amount of the premiums for such insurance contract; and
(2) Set forth the following items where applicable:
a. The total amount of the premiums;
b. The amount of the down payment;
c. The principal balance, which is the difference between items a and b;
d. The amount of the service charge;
e. The balance payable by the insured, meaning the sum of the amounts stated under items c. and d. of this subdivision.
f. The number of installments required, the amount of each installment expressed in dollars and the due date or period thereof.
(c) The items set forth in subsection (b) of this section need not be stated in the sequence or order in which they appear in that subsection, and additional items may be included to explain the computations made in determining the amount to be paid by the insured.
(d) No insurance premium finance agreement shall be signed by an insured when it contains any blank space to be filled in after it has been signed; however, if the insurance contract, the premiums for which are advanced or to be advanced under the agreement, has not been issued at the time of its signature by the insured and it so provides, the name of the authorized insurer by whom such insurance contract is issued and the policy number and the due date of the first installment may be left blank and later inserted in the original of the agreement after it has been signed by the insured. (1963, c. 1118; 1999-157, s. 2; 2022-46, s. 14(kk).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-60 - Prohibited provisions in insurance premium finance agreements.

§ 58-35-60. Prohibited provisions in insurance premium finance agreements.
No insurance premium finance agreement shall contain any provisions by which:
(1) In the absence of default of the insured, the insurance premium finance company holding the agreement may, arbitrarily and without reasonable cause, accelerate the maturity of any part or all of the amount owing thereunder;
(2) A power of attorney is given to confess judgment in this State; or
(3) The insured relieves the insurance producer or the insurance premium finance company holding the agreement from liability for any legal rights or remedies which the insured may otherwise have against him. (1963, c. 1118; 2022-46, s. 14(mm).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-65 - Delivery of copy of insurance premium finance agreement to insured.

§ 58-35-65. Delivery of copy of insurance premium finance agreement to insured.
Before the due date of the first installment payable under an insurance premium finance agreement, the insurance premium finance company holding the agreement or the insurance producer shall cause to be delivered to the insured, or mail to the insured at the insured's address as shown in the agreement, a copy of the agreement. (1963, c. 1118; 1999-157, s. 4; 2022-46, s. 14(nn).)
2023 North Carolina General Statutes › Chapter 58 - Insurance › Article 35 - Insurance Premium Financing. › § 58-35-70 - Payments by insured without notice of assignment of agreement.

§ 58-35-70. Payments by insured without notice of assignment of agreement.
Unless the insured has notice of actual or intended assignment of the insurance premium finance agreement, payment thereunder by him to the last known holder of the agreement shall be binding upon all subsequent holders or assignees. (1963, c. 1118.)