reglab/statecodes huggingface dataset:
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 1 - ACTIVITIES FOR WHICH A PERSON MUST BE LICENSED AS AN INSURANCE PRODUCER › Section 11:17A-1.6 - Duty to have insurance producer at each place of business

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each place of business maintained by an insurance producer for the purpose of transacting the business of insurance shall be under the direct supervision of an insurance producer.
(b) Any insurance producer who has established one or more places of business for the purpose of transacting the business of insurance shall assign at least one insurance producer to each location and shall register each location as a branch office in accordance with 11:17-2.8. Any insurance business conducted at a branch office shall be the responsibility of both the licensed producer assigned to that office and the insurance producer that registered the branch office in accordance with 11:17-2.8.
(c) Licensed partners, officers and directors, and all owners with an ownership interest of 10 percent or more in the organization shall be held responsible for all insurance related conduct of the organization licensee, any of its branch offices, its other licensed officers or partners, and its employees.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 1 - ACTIVITIES FOR WHICH A PERSON MUST BE LICENSED AS AN INSURANCE PRODUCER › Section 11:17A-1.7 - Personal private passenger automobile insurance solicitation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An insurance agent, or an insurance broker who has a brokerage relationship with an insurer, when soliciting personal private passenger automobile insurance, shall:
1. Upon request, submit an application for automobile insurance to the insurer selected by the applicant.
i. Where a producer who, pursuant to his or her agreement with an insurer, does not have authority to bind coverage immediately, receives a completed written application, the producer shall promptly transmit the application to the insurer. Nothing in this section shall be construed to permit an insurer to rescind any binding authority previously granted to its producers.
ii. Producers that transmit applications to insurers for underwriting review shall retain proof of such transmissions in order to memorialize the date upon which transmission occurred. Such proof may be in the form of:
(1) An official receipt of mailing which includes the applicant's name thereon;
(2) A copy of a facsimile transmission which contains the applicant's name and the date of transmission; or
(3) Any other manner from which proof and date of mailing can be verified;
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 1 - ACTIVITIES FOR WHICH A PERSON MUST BE LICENSED AS AN INSURANCE PRODUCER › Section 11:17A-1.8 - Penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Commissioner shall impose penalties for violations of this subchapter in accordance with the provisions of 17:22A-26 et seq. and any other applicable law.
(b) For the purpose of determining the existence of a violation and assessing a penalty under this subchapter, a separate violation shall be deemed to exist, and a separate penalty therefor shall be assessed, for each violation of the provisions of this subchapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 1 - ACTIVITIES FOR WHICH A PERSON MUST BE LICENSED AS AN INSURANCE PRODUCER › Section 11:17A-1.9 - Severability

Current through Register Vol. 56, No. 14, July 15, 2024
If any provision of this subchapter or the application thereof to any person or circumstance is held invalid, the remainder of the subchapter and the application of such provision to other persons or circumstances shall not be affected thereby.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.1 - Purpose; scope

Current through Register Vol. 56, No. 14, July 15, 2024
(a) This subchapter implements the provisions of 17:29A-15, 17:29B-4 and 17B:30-13 and 15 by prohibiting insurance producers from engaging in certain practices in connection with the business of insurance.
(b) This subchapter applies to all insurance producers.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.3 - Rebates and inducements; prohibited practices

Current through Register Vol. 56, No. 14, July 15, 2024
(a) No insurance producer shall offer, make or give, or permit to be offered, made or given, to any person directly or indirectly, an inducement to purchase insurance other than that plainly expressed in the insurance contract.
(b) No insurance producer shall offer, pay or give, or permit to be offered, paid or given, to any person, directly or indirectly, any rebate of premiums payable on a contract of insurance, other than that plainly expressed in the contract or provided for in ratings systems filed by or on behalf of the insurer writing the contract and approved by the Commissioner.
(c) No insurance producer shall offer, pay or give, or permit to be offered, paid or given, to any person, directly or indirectly, anything of value in return for that person's agreement not to purchase insurance from another insurance producer or insurer.
(d) No insurance producer shall offer, pay or give, or permit to be offered, paid or given, to any person, directly or indirectly, anything of value as compensation for being unable to offer a comparable or better insurance program at less cost.
(e) The provisions of this section shall apply whether or not a contract of insurance is ultimately effected.
(f) An offer by an insurer or insurance producer to make a contribution to a charity that is a qualified organization under the guidelines of the Internal Revenue Service, a non-profit corporation, or to the State of New Jersey or any political subdivision thereof, or to any state government or political subdivision thereof, upon a consumer, other than the charity, non-profit corporation, or governmental entity itself, agreeing to purchase an insurance product shall not be deemed to be an inducement or a rebate prohibited by this section, provided that:
1. No pecuniary benefit is obtained by the insurer or producer, other than the income tax benefit of such contribution;
2. No income tax benefits are passed through to the consumer by the insurer or producer making the contribution, and the consumer does not receive the contribution and has no direct or indirect interest in the recipient of the contribution;
3. The amount of premium or commission to be charged is not altered as a result of the contribution;
4. Records of all such offers and contributions made are maintained for at least five years in a manner set forth in 11:17C-2.6, and are available to the Department for review and inspection upon request; and
5. The provisions of this subsection shall not apply to insurers authorized to transact title insurance and to insurance producers transacting title insurance business.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.4 - Rebates and inducements; determination of value

Current through Register Vol. 56, No. 14, July 15, 2024
(a) For the purpose of determining the value of any item pursuant to 11:17A-2.3, an insurance producer shall retain the original invoice for such item for five years beyond the later of the date the offer is discontinued or the date the last item is given.
(b) The value of any favor, advantage, valuable consideration or any other item or service shall be determined by the Commissioner or his or her designee.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.6 - Identification of insurance producer

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An insurance producer who solicits insurance shall be required to identify the following information to the person he or she is soliciting prior to commencing his or her solicitation:
1. His or her name as it appears on his or her insurance producer license;
2. The name of the insurer, if known, or insurance producer, that he or she is representing; and
3. The nature of the relationship between the insurance producer and the insurer or insurance producer being represented.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.7 - Unfair discrimination

Current through Register Vol. 56, No. 14, July 15, 2024
No insurance producer shall refuse to take an application from a policyholder or prospective policyholder for any reason based in whole or in part upon the race, color, creed, religion, sex, marital status or physical impairments of an applicant or policyholder, or for any arbitrary, capricious, or unfairly discriminatory reason, or for any reason which is contrary to Federal or State law. Nothing in this section shall prohibit an insurance producer from refusing to submit an application to an insurer where there exists a contractual arrangement with an insurer to perform underwriting pursuant to established and legally permissible written underwriting guidelines or acceptance criteria and the refusal is based on these guidelines or criteria.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.8 - "Twisting" prohibited

Current through Register Vol. 56, No. 14, July 15, 2024
No insurance producer shall make any misleading representations or incomplete or fraudulent comparison of any insurance policies or annuity contracts or insurers for the purpose of inducing, or tending to induce, any person to lapse, forfeit, surrender, terminate, retain, or convert any insurance policy or annuity contract, or to take out a policy of insurance or annuity contract with another insurer.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.9 - Notice to purchasers of self-storage personal property insurance

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Insurance producers that market self-storage personal property insurance as defined in 11:17-1.2 shall provide potential purchasers with written notice:
1. That the renter's or lessee's homeowner's, renter's or business insurance policy may provide coverage for the loss or damage to property located on the self-storage premises and that the purchase of such insurance is not required under the lease terms between the self-storage facility and the renter or lessee; and
2. That the coverage may be cancelled within 30 days and a full refund made to the purchaser upon written notice to the producer who sold the self-storage insurance contract or the insurer.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.10 - Penalty

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Commissioner shall impose penalties for violations of this subchapter in accordance with the provisions of 17B:30-1 et seq., 17:29B-1 et seq. and 17:22A-26 et seq.
(b) For the purpose of determining the existence of a violation and assessing a penalty under this subchapter, a separate violation shall be deemed to exist and a separate penalty therefore shall be assessed for each violation of the provisions of this subchapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 2 - UNFAIR TRADE PRACTICES › Section 11:17A-2.11 - Severability

Current through Register Vol. 56, No. 14, July 15, 2024
If any provision of this subchapter or the application thereof to any person or circumstance is held invalid, the remainder of the subchapter and the application of such provision to other persons or circumstances shall not be affected thereby.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 3 - INCORPORATION OF OTHER PROVISIONS OF THE NEW JERSEY ADMINISTRATIVE CODE APPLICABLE TO INSURANCE PRODUCERS › Section 11:17A-3.1 - Incorporation of other rules

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The following rules are herein incorporated by reference to the extent that they regulate the conduct of insurance producers:
1.N.J.A.C. 11:2-12, concerning mass marketing of property and liability insurance;
2.N.J.A.C. 11:4-11, concerning life insurance solicitation;
3.N.J.A.C. 11:4-17, concerning health insurance solicitation;
4.N.J.A.C. 11:4-2, concerning life insurance replacement;
5.N.J.A.C. 11:2-11 and 11:2-23, concerning life and health insurance advertising; and
6.N.J.A.C. 11:2-17, concerning unfair claims settlement practices.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.1 - Agent and broker authorized to collect premiums

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Premium monies collected by an insurance producer acting as an insurance agent shall be deemed to be received by the insurer by whom the agent is authorized to act whether or not the agent actually remits the monies to the insurer.
(b) Premium monies collected by an insurance producer acting as an insurance broker shall be deemed to be received by the insurer in accordance with the provisions of 17:22-6.2a.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.2 - Insurance producer to witness signature of insured

Current through Register Vol. 56, No. 14, July 15, 2024
In cases where an applicant's signature is required, an insurance producer who takes an application for insurance shall be required to witness the signature of the prospective insured on the application prior to the submission of the application to the insurer only when the application is signed by the applicant after having been completed in a face to face meeting between the producer and the prospective insured. This requirement may be waived, however, upon prior written authorization by the insurer.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.3 - Confirmation of underwriting information

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every insurance producer shall, within 10 days after the effectuation of an insurance transaction made through an insurance producer which modifies the terms of an existing insurance contract or the terms of an application for insurance, notify a policyholder or applicant, in writing, of all information submitted to the insurance producer by the policyholder or applicant pertinent to the modification, including confirmation that the insurance producer has sent the information to the insurer.
1. The requirement in (a) above shall apply to all insurance policies, certificates, binders and endorsements.
2. The requirement in (a) above shall not apply when the request for such modification is required to be submitted by the policyholder or applicant to the insurance producer in writing.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.4 - Special underwriting associations

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Every insurance producer who solicits, negotiates or sells contracts of insurance for the placement of risks in any residual market mechanism created by or pursuant to any statute shall conduct his or her business in accordance with the applicable plan of operation.
(b) For the purpose of this section, "solicit," "negotiate" or "sell" shall have the same meanings as provided by 11:17A-1.2.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.5 - Disclosure of personal or privileged information

Current through Register Vol. 56, No. 14, July 15, 2024
No insurance producer shall disclose or solicit the disclosure of personal or privileged information about an individual collected or received in connection with an insurance transaction except in conformity with 17:23A-1 et seq.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.6 - Delivery of policies

Current through Register Vol. 56, No. 14, July 15, 2024
Policies, certificates, or other evidence of insurance which are received by an insurance producer from an insurer for delivery to an insured shall be delivered or mailed to the insured by the insurance producer within 10 calendar days of their receipt by the insurance producer, unless the insured agrees in writing that the insurance producer may retain them for a longer period of time. With respect to title insurance only, in all cases where the insurance producer prepares the policies of insurance, those policies shall be delivered to the insured or to the applicant within 30 days following the receipt by the insurance producer of the necessary proofs showing that all requirements or exceptions to title as set forth in the title commitment, and which customarily do not appear in the policy, have been satisfactorily disposed of.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.7 - Receipts for materials

Current through Register Vol. 56, No. 14, July 15, 2024
An insurance producer who takes possession of an insured's or a potential insured's insurance policies, certificates, or other documents pertaining to existing or pending insurance, shall provide to the insured a written receipt for those materials at the time the insurance producer receives the materials. The receipt shall contain an itemized list of the materials received, the insurance producer's name and the address and telephone number of the agency or other place where the insurance producer can be contacted. The receipt shall be dated and signed by the insurance producer and the insured.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.8 - Replies to inquiries by Commissioner

Current through Register Vol. 56, No. 14, July 15, 2024
An insurance producer shall reply, in writing, to any inquiry of the Department relative to the business of insurance within the time requested in said inquiry, or no later than 15 calendar days from the date the inquiry was made or mailed in cases where no response time is given.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.9 - Reporting of claims and estimated losses by producers

Current through Register Vol. 56, No. 14, July 15, 2024
Claims and estimated losses thereon shall be reported to the insurer or designated claims representative by an insurance producer no later than five business days following his or her receipt of notice of claim, unless the insurance producer has contractual authority from the insurer to settle the claim.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.10 - Fiduciary capacity

Current through Register Vol. 56, No. 14, July 15, 2024
An insurance producer acts in a fiduciary capacity in the conduct of his or her insurance business.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.11 - Penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Commissioner shall impose penalties for violations of this subchapter in accordance with the provisions of 17:22A-26 et seq. and any other applicable law.
(b) For the purpose of determining the existence of a violation and assessing a penalty under this subchapter, a separate violation shall be deemed to exist, and a separate penalty therefor shall be assessed, for each violation of the provisions of this subchapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17A - INSURANCE PRODUCER STANDARDS OF CONDUCT; MARKETING › Subchapter 4 - MISCELLANEOUS MARKETING AND RELATED REQUIREMENTS › Section 11:17A-4.12 - Severability

Current through Register Vol. 56, No. 14, July 15, 2024
If any provision of this subchapter or the application thereof to any person or circumstance is held invalid, the remainder of the subchapter and the application of such provision to other persons or circumstances shall not be affected thereby.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17B-1.1 - Scope

Current through Register Vol. 56, No. 14, July 15, 2024
This chapter applies to all insurance producers selling commercial and/or personal lines insurance, including private passenger automobile and any other policies written through residual markets pursuant to 17:29D-1, life, health, title, property, or casualty insurance, and limited line authorities except as may be otherwise provided in this chapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17B-1.2 - Purpose

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The purposes of this chapter are:
1. To clarify those circumstances under which fees can be charged in connection with insurance transactions;
2. To clarify to whom commissions may be paid;
3. To require full disclosure of fees charged in connection with insurance policies;
4. To prohibit the commingling of certain non-insurance fees with charges for insurance premiums; and
5. To prohibit certain abuses which could arise out of the sale of insurance by an insurance producer acting as a motor club representative.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17B-1.4 - Penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Commissioner shall impose penalties for violations of this chapter in accordance with the provisions of 17:22A-26 et seq. and any other applicable law.
(b) For the purposes of determining the existence of a violation and assessing a penalty under this chapter, a separate violation shall be deemed to exist, and a separate penalty therefor shall be assessed, for each violation of the provisions of this chapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17B-1.5 - Severability

Current through Register Vol. 56, No. 14, July 15, 2024
If any provision of this chapter or the application thereof to any person or circumstances is held to be invalid, the remainder of the chapter and the application of such provision to other persons or circumstances shall not be affected thereby.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 2 - COMMISSIONS › Section 11:17B-2.1 - Commissions

Current through Register Vol. 56, No. 14, July 15, 2024
(a) No insurance producer shall pay any commission to any unlicensed individual or organization for services rendered in this State as an insurance producer except for services rendered while licensed.
(b) Payment or receipt of renewal or other deferred commissions to or by any individual or organization who has ceased to hold a license under 17:22A-26 et seq. shall be permitted only for business produced by that individual or organization while an insurance producer.
(c) No commission or renewal, deferred or otherwise, or any other compensation shall be paid to any individual or organization whose license has been revoked or suspended, except for services rendered while licensed. Nothing in this subsection shall prohibit a person from selling its book of business for compensation contingent upon the persistency of the business. Nothing in this subsection shall prohibit any person from asserting a right of setoff against an insurance producer whose license is revoked.
(d) No insurance producer shall pay or return, or offer to pay or return to any policyholder, certificateholder, or prospective policyholder or certificateholder, all or any portion of the commission received or which will be received in connection with the sale of insurance.
(e) An insurer or insurance producer may pay or assign commissions, service or brokerage fees or other valuable consideration to an insurance agency or to persons who do not sell, solicit or negotiate insurance in this State, unless the payment would violate the laws of this State.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 3 - FEES › Section 11:17B-3.1 - Fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Insurance producers may charge a fee for services rendered in the sale of personal lines property/casualty or personal lines surplus lines insurance, subject to 11:17B-3.2. Insurance producers acting as agents for an insurance company for personal lines insurance shall not charge or receive any fee on a policy to or from a policyholder or insured for services rendered as an insurance producer except for reimbursement of actual out-of-pocket expenses incurred obtaining documents and other materials related to the underwriting process for new automobile applications and subject to the limitations of 11:17B-3.2(a)9. Subject to (b) through (g) below, insurance producers selling, soliciting or negotiating commercial lines insurance may charge and receive fees for services rendered to an insured or prospective insured.
(b) Any insurance producer charging a fee to an insured or prospective insured shall first obtain from the insured or prospective insured a written agreement, which shall be separate and apart from all other agreements and applications, and shall contain the following provisions and no other provisions:
1. A clear statement of the amount of the fee to be charged and the nature of the service to be provided therefor;
2. A statement that such fees are not a part of the premium charged by the insurance company and that such fees can be charged only if the insured or prospective insured so consents in writing;
3. A clear statement as to whether a commission will be received from the purchase of insurance; and
4. The signature of the insured or prospective insured and the licensed insurance producer and the date of execution of the agreement.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 3 - FEES › Section 11:17B-3.2 - Service fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An insurance producer may charge a fee for services rendered in the sale or service of personal lines property/casualty or, where the producer is the originating or retail producer, in the sale or service of personal lines surplus lines insurance subject to the following conditions:
1. No service fee for any one policy shall exceed $ 20.00.
2. No insurance producer may charge a fee for completing accident or claim report forms, nor shall a fee be charged for providing forms required by an insurer for servicing a policy.
3. An inspection fee may only be charged on a surplus lines policy and shall not exceed two percent of the premium or $ 10.00, whichever is greater; except that the insured may be charged the actual amount paid to an unrelated firm or person for the service if said firm or person is not an insurance agent or insurance broker.
4. No charge may be made for services not actually performed.
5. A maximum service fee of $ 15.00 may be charged by an insurance producer acting as an insurance broker or an insurance consultant upon placement of a renewal, except that an inspection fee may be charged in accordance with (a)3 above if no inspection of the property has occurred during the three years prior to issuance of the renewal policy.
6. Only one service fee per policy per year shall be charged, regardless of whether the policy term is for less than one year.
7. A motor club membership sold in connection with a policy shall not be considered separate coverage for the purpose of charging a service fee.
8. A motor club claim arising from the same loss as a claim under a private passenger automobile coverage policy shall not be considered a separate claim for purposes of charging a fee.
9. Insurance producers may charge a service fee for new automobile insurance applications, subject to the $ 20.00 per policy limit and the other conditions referenced in (a)1 through 8 above, as reimbursement for out-of-pocket costs in obtaining documents or other materials related to the underwriting process, if:
i. The producer retains verifiable proof of the costs incurred;
ii. The producer provides copies of all such documents or other materials to the applicant, regardless of whether the costs incurred by the producer in procuring the documents or materials exceeded the $ 20.00 limit; and
iii. The applicant does not provide the producer with a copy of the underwriting document dated within the previous 90 days.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17B - INSURANCE PRODUCER STANDARDS OF CONDUCT: COMMISSIONS AND FEES › Subchapter 3 - FEES › Section 11:17B-3.3 - Motor club fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Any insurance producer who acts as a motor club representative or receives any compensation, directly or indirectly, or on account of the sale of a motor club service contract purchased in connection with the negotiation or sale of an automobile insurance policy or contract shall:
1. Obtain at the time of the initial application for the motor club service contract a dated written agreement, separate and apart from any other agreements, signed by both the insurance producer and the insured or prospective insured, stating the following information:
i. That the motor club service contract is not an insurance contract;
ii. That the motor club service contract is optional and is not required to be purchased by the insured or prospective insured as a condition of obtaining automobile insurance coverage;
iii. That the motor club membership fee is not related to or included in the automobile insurance premium charge, and cannot lawfully be included in a premium finance agreement entered into by the insured or prospective insured;
iv. The amount of the motor club fee and the automobile insurance premium charge;
v. The identification of the person(s) and/or vehicle(s) covered by the motor club service contract and the term of the contract; and
vi. The name and location of the motor club and the benefits and/or services provided by the motor club service contract.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17C-1.1 - Purpose and scope

Current through Register Vol. 56, No. 14, July 15, 2024
This chapter sets forth standards of conduct for licensed insurance producers, including, but not limited to, limited line credit insurance producers, surplus lines insurance producers, and limited lines insurance producers, concerning the management of funds and general record-keeping for all insurance related transactions, for which a New Jersey insurance producer license of any kind is required, in implementation of 17:22A-40.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17C-1.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this chapter, shall have the following meanings unless the context clearly indicates otherwise.
"Business day" means all days except Saturdays, Sundays and State and Federal holidays.
"Commissioner" means the Commissioner of the Department of Banking and Insurance of the State of New Jersey.
"Department" means the New Jersey Department of Banking and Insurance.
"Financial institution" means a Federal or State chartered bank, savings bank, or savings and loan institution which is a member of the Federal Deposit Insurance Corporation (FDIC) or the Federal Savings and Loan Insurance Corporation (FSLIC).
"Insurance producer" means a person required to be licensed under the laws of the State to sell, solicit or negotiate insurance.
"Insured" means an applicant for insurance or a policyholder.
"Trust account" means a special fiduciary account established and maintained by an insurance producer pursuant to the requirements of this chapter.
"Voluntary deposit" means a deposit in a trust account in excess of aggregate net premium, premiums due the insured and deposits, received but not remitted, made to maintain a minimum balance or to guarantee the adequacy of the account(s).
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17C-1.3 - Penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The Commissioner shall impose penalties for violations of this chapter in accordance with the provisions of 17:22A-26 et seq. and any other applicable law.
(b) For the purposes of determining the existence of a violation and assessing a penalty under this chapter, a separate violation shall be deemed to exist, and a separate penalty therefor shall be assessed, for each violation of the provisions of this chapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17C-1.4 - Severability

Current through Register Vol. 56, No. 14, July 15, 2024
If any provision of this chapter or the application thereof to any person or circumstances is held to be invalid, the remainder of the chapter and the application of such provision to other persons or circumstances shall not be affected thereby.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.1 - Commingling of funds

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All premium funds shall be held by an insurance producer in a fiduciary capacity and shall not be misappropriated, improperly converted to the insurance producer's own use, or illegally withheld by the licensee.
(b) All premium funds shall be segregated and not in any manner commingled with any other funds of the insurance producer, except as may be permitted by this chapter.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.2 - Remittance standards

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All premium funds shall be remitted to the insurer or other insurance producer, as applicable, within five business days after receipt of the funds except as otherwise required or provided by any of the following:
1. The insurance producer's contract with the insurer or written agreement with the insured;
2. Any controlling statute or administrative rule; or
3. The rules of any residual market mechanism created by or pursuant to any statute.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.3 - Trust account

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An insurance producer shall establish and maintain a trust account into which shall be deposited cash, checks and other instruments payable to the insurance producer under the following circumstances:
1. When an insurance producer holds any premiums for more than five business days before remitting the premiums to an insurer or other insurance producer, pursuant to 11:17C-2.2(a)1  through 3; or
2. When an insurance producer deposits any collected premiums into a financial institution account or other investment, or otherwise uses the premiums, even though the premiums are remitted within five business days.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.4 - Receipts

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each insurance producer shall issue a receipt for each premium for any payment, premium deposit or installment payment which is submitted by personal delivery or when a receipt is requested, and shall maintain a copy of each receipt issued. The receipt shall be furnished at the time payment is tendered. For title insurance only, unless a receipt is specifically requested, a settlement statement with the file number denoted shall suffice in lieu of a receipt.
(b) Each receipt and receipt book maintained by an insurance producer shall:
1. Be sequentially prenumbered or otherwise provide documentation of the sequence in which the receipts are issued:
2. Be clearly signed by the insurance producer or his or her authorized employee, and the name of the insurance producer shall be typed or legibly printed below the signature;
3. Indicate the name of the insured;
4. Indicate the name of the insurance company when known, or the name of the residual market mechanism or other insurance producer, if applicable;
5. Indicate the name, address and telephone number of the insurance agency;
6. Indicate the date and type of coverage;
7. Indicate the date of transaction;
8. Indicate the purpose of the payment if it is other than a premium payment; and
9. Indicate the amount of remittance.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.5 - Minimum recordkeeping requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each insurance producer shall maintain accurate books and records reflecting all insurance-related transactions in which the insurance producer or his employees take part in accordance with the standards set forth in this chapter. These records may be maintained by either separate books of record or by one or more consolidated books of record.
1. All books and records shall consist of sequentially numbered pages and shall be maintained in such a manner that they can be produced for examination at any time.
2. Appropriate and required entries shall be made at least once every 30 days.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17C - INSURANCE PRODUCER STANDARDS OF CONDUCT: MANAGEMENT OF FUNDS › Subchapter 2 - RULES CONCERNING MANAGEMENT OF FUNDS › Section 11:17C-2.6 - Record maintenance and examination; electronic recordkeeping

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All required books and records of account, including bank records, shall be maintained for a period of five years after the termination of coverage. With respect to title insurance only, to the extent that the provisions of this section are in conflict with 17:46B-9, the latter shall be deemed to apply.
(b) All records, books and documents required to be maintained by the provisions of this chapter shall, upon his or her request, be produced for examination by the Commissioner or his or her duly authorized representatives.
(c) The books and records required by this chapter to be maintained may be maintained electronically if the following conditions are met:
1. That all of the elements required by this chapter to be maintained are contained in the electronic system;
2. That, upon the request of the Department, the electronically kept records can be reproduced in hardcopy; and
3. That electronic back ups are produced daily and, at least every 30 days, the records maintained electronically are reproduced and stored off-site.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17D - INSURANCE PRODUCER STANDARDS OF CONDUCT: ADMINISTRATIVE PROCEDURES AND PENALTIES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17D-1.1 - Purpose and scope

Current through Register Vol. 56, No. 14, July 15, 2024
This chapter is promulgated to describe the procedures for imposing administrative penalties, including the method of determining monetary fines, for violations of the provisions of N.J.S.A. Titles 17 and 17B and any rules or orders issued by the Commissioner. The procedures and penalties described apply to all insurers, insurance producers and other persons subject to the jurisdiction of the Commissioner.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17D - INSURANCE PRODUCER STANDARDS OF CONDUCT: ADMINISTRATIVE PROCEDURES AND PENALTIES › Subchapter 1 - GENERAL REQUIREMENTS › Section 11:17D-1.2 - Definitions

Current through Register Vol. 56, No. 14, July 15, 2024
The following words and terms, when used in this chapter, shall have the following meanings unless the context clearly indicates otherwise.
"Administrative order" means any and all orders issued or executed by the Commissioner, his designee and the Department, including, but not limited to, consent orders and orders to show cause.
"Administrative penalty" means a sanction authorized by any statute or administrative rule to be imposed by the Commissioner for any act or omission by a person subject to the Commissioner's or Department's jurisdiction, including the revocation, suspension or refusal to renew any license or authority to conduct any regulated activity; any monetary fine and any order to make restitution or to pay the reasonable cost of an investigation and prosecution of any matter. It shall not include the rejection and return of any application or filing for additions or correction of any error, unless a fine is imposed and must be paid as a condition of later acceptance of the application or filing.
"Commissioner" means the Commissioner of the Department of Banking and Insurance of the State of New Jersey.
"Department" means the New Jersey Department of Banking and Insurance.
"Hearing" means a hearing held in accordance with the Administrative Procedure Act, 52:14B-1 et seq., and the rules adopted thereunder.
"Insurance producer" means a person required to be licensed under the laws of this State to sell, solicit or negotiate insurance.
"Notice" means a written communication from the Department to an alleged violator of its intent to assess an administrative penalty containing those elements set forth in 11:17D-2.1. A notice may be in the form of an administrative order such as a consent order or order to show cause.
"Person" means any individual, corporation, organization, association, partnership or legal entity.
"Time related violation" means the failure to meet a time limit or deadline imposed by statute, rule or administrative order. When such a time limit or deadline is not met, each day after the time limit or deadline passes shall be considered a separate and distinct violation.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17D - INSURANCE PRODUCER STANDARDS OF CONDUCT: ADMINISTRATIVE PROCEDURES AND PENALTIES › Subchapter 2 - ADMINISTRATIVE PROCEDURES AND PENALTIES › Section 11:17D-2.1 - Procedures for the imposition of administrative penalties

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Rules concerning the initiation of action against an alleged violator follow:
1. Before an administrative penalty is imposed, the Department shall direct a notice by certified mail or personal delivery to the last known business or mailing address of the alleged violator. The notice shall include:
i. A reference to the statute, rule and/or administrative order alleged to be violated;
ii. A concise statement of the facts alleged to constitute the violation;
iii. A statement of the administrative penalty or penalties sought to be imposed; and
iv. A statement advising the alleged violator of the right to a hearing and the procedure for requesting a hearing.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17D - INSURANCE PRODUCER STANDARDS OF CONDUCT: ADMINISTRATIVE PROCEDURES AND PENALTIES › Subchapter 2 - ADMINISTRATIVE PROCEDURES AND PENALTIES › Section 11:17D-2.2 - Monetary penalty for time related violations

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Time related violations shall include the following:
1. When an insurance producer fails to respond to an inquiry of the Department within the time requested or within 15 calendar days from the date of the inquiry if no response date is given; or
2. When an insurance producer fails to act within or continues his or her actions during the time established or proscribed by a statute, administrative rule or order.
New Jersey Administrative Code › Title 11 - INSURANCE › Chapter 17D - INSURANCE PRODUCER STANDARDS OF CONDUCT: ADMINISTRATIVE PROCEDURES AND PENALTIES › Subchapter 2 - ADMINISTRATIVE PROCEDURES AND PENALTIES › Section 11:17D-2.3 - Alternative remedies

Current through Register Vol. 56, No. 14, July 15, 2024
Neither the assessment of administrative penalties nor the payment of any such penalty shall be deemed to affect the availability to the Department of any other enforcement provision provided for by statute, rule or administrative order, in connection with the violation for which the penalty is levied.