Title 41 — INSURANCE

41-1001. Purpose and scope. (1) This chapter governs the qualifications and procedures for the licensing of insurance producers. It simplifies and organizes statutory language to improve efficiency, permits the use of new technology and reduces costs associated with issuing and r…

41-1002. Terms construed. Wherever the terms "agent" or "broker" appear in title 41, Idaho Code, or in the rules of the department, they shall be understood and construed to mean "producer" as defined in section 41-1003(8), Idaho Code, except as used in section 41-1018, Idaho Cod…

41-1003. Definitions. (1) "Business entity" means a corporation, association, partnership, limited liability company, limited liability partnership or other legal entity. (2) "Home state" means the District of Columbia and any state or territory of the United States or any provin…

41-1004. License required. (1) A person shall not sell, solicit or negotiate insurance in this state for any class or classes of insurance unless the person is licensed as a producer for that line of authority in accordance with this chapter. (2) A person shall not, for a fee, en…

41-1005. Exceptions to licensing. (1) Nothing in this chapter shall be construed to require an insurer to obtain an insurance producer license. In this section, the term "insurer" does not include an insurer’s officers, directors, employees, subsidiaries or affiliates. (2) A lice…

41-1006. Application for examination. (1) A resident individual applying for an insurance producer license shall pass a written examination unless exempt pursuant to section 41-1008(4) or 41-1012, Idaho Code. The examination shall test the knowledge of the individual concerning t…

41-1007. Application for producer license. (1) A person applying for a resident insurance producer license shall make application to the director on the uniform application and declare under penalty of refusal, suspension or revocation of the license that the statements made in t…

41-1008. Producer License. (1) Unless denied licensure pursuant to section 41-1016, Idaho Code, persons who have met the requirements of sections 41-1006 and 41-1007, Idaho Code, shall be issued an insurance producer license. An insurance producer may receive qualification for a …

41-1009. Nonresident producer license. (1) Unless denied licensure pursuant to section 41-1016, Idaho Code, a nonresident applicant shall receive a nonresident producer license if: (a) The applicant is currently licensed as a resident and in good standing in his or her home state…

41-1010. Nonresident producers — Service of process. (1) Each person applying to be a nonresident producer shall, on a form prescribed by the director, appoint the director as his agent for purposes of receiving service of legal process issued against the producer in this state u…

41-1011. Issuance — Refusal of license. If after completion of application for a license, the taking and passing of any examination required under this chapter and, if required by the director, receipt of a report from the federal bureau of investigation based on the fingerprints…

41-1012. Exemption from examination. (1) An individual who applies for an insurance producer license in this state and who was previously licensed for the same lines of authority in another state shall not be required to complete any prelicensing examination if: (a) The person is…

41-1013. Continuation — Expiration of licenses — Continuing education statement. (1) All producer, adjuster, and surplus line broker licenses issued under this code shall continue in force until expired, suspended, revoked or otherwise terminated, subject to payment of the applic…

41-1014. Assumed names. An insurance producer doing business under any name other than the producer’s legal name is required to notify the director in writing prior to using the assumed name.

41-1015. Temporary licensing. (1) The director may issue a temporary insurance producer license for a period not to exceed one hundred eighty (180) days without requiring an examination if the director deems that the temporary license is necessary for the servicing of an insuranc…

41-1016. Administrative penalty — Suspension, revocation, refusal of license. (1) The director may impose an administrative penalty not to exceed one thousand dollars ($1,000), for deposit in the general fund of the state of Idaho, and may suspend for not more than twelve (12) mo…

41-1017. Commissions. (1) An insurance company or insurance producer shall not pay a commission, service fee or other valuable consideration to a person for selling, soliciting or negotiating insurance in this state if that person is not duly licensed as required under this chapt…

41-1018. Appointments. (1) An insurance producer shall not act as an agent of an insurer unless the insurance producer becomes an appointed agent of that insurer. An insurance producer who is not acting as an agent of an insurer is not required to become appointed. (2) To appoint…

41-1019. Notification to director of termination. (1) An insurer or authorized representative of the insurer that terminates the appointment, employment, contract or other insurance business relationship with a producer shall notify the director within thirty (30) days following …

41-1020. Reciprocity. (1) The director shall waive any requirements, except the requirements imposed by section 41-1009, Idaho Code, for a nonresident producer license applicant with a valid license from his or her home state if the applicant’s home state awards nonresident licen…

41-1021. Reporting of actions. (1) A producer shall report to the director any administrative action taken against the producer in another jurisdiction or by another governmental agency within thirty (30) days of the final disposition of the matter. This report shall include a co…

41-1022. Insurers must accept business through licensed producers only. (1) No authorized insurer shall make, write, place or cause to be made, written or placed in this state any policy, duplicate policy, or insurance contract of any kind, covering a subject of insurance residen…

41-1023. Countersignature of policies — Power of attorney. (1) When the signature or countersignature of a property or casualty producer is required on an insurance contract, or rider or endorsement thereto, the producer shall, except as provided in section 41-337(1), Idaho Code,…

41-1024. Reporting and accounting for premiums. (1) All fiduciary funds received or collected by a producer shall be trust funds received by the producer in a fiduciary capacity, and the producer shall, in the applicable regular course of business, account for and pay the same to…

41-1025. Rules. The director may, in accordance with section 41-211, Idaho Code, promulgate reasonable rules as are necessary or proper to carry out the purposes of this chapter.

41-1026. Procedure following suspension, revocation, denial — Reinstatement. (1) Upon suspension, revocation, or refusal to continue any license, the director shall notify the licensee as provided in section 41-212(3), Idaho Code, and, in the case of a producer who holds appointm…

41-1028. Inactive status. (1) Any individual producer who does not want to actively continue in the business of insurance may apply for inactive status of his license on forms prescribed by the director. The director, in his discretion, may grant or deny the application for inact…

41-1029. Severability. If any provision of this chapter or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to…

41-1030. Producer compensation. (1) For purposes of this section: (a) "Consumer" means an insured, a prospective insured or an employer group. (b) "Retail producer" means a producer who solicits, negotiates with or sells an insurance contract directly to a consumer. (c) "Wholesal…

41-1036. Records. (1) A producer holding a license under this chapter shall make available through his principal place of business complete records of transactions placed through or countersigned by the producer. (2) Records as provided in subsection (1) of this section shall inc…

41-1037. Requirements for bail agents — findings — purpose. (1) Sections 41-1037 through 41-1045, Idaho Code, provide requirements for the regulation of bail agents in this state in addition to the requirements generally applicable to producers under this chapter. (2) The legisla…

41-1038. Definitions. As used in sections 41-1037 through 41-1045, Idaho Code: (1) "Bail" means a monetary amount required by the court to release the defendant from custody and to ensure his appearance in court as ordered. (2) "Bail agent" means a person who is a licensed produc…

41-1039. License required. (1) No person shall hold himself out to be a bail agent or sell, solicit, negotiate, advise or consult regarding the terms of bail bond contracts in this state unless that person is licensed as a producer in the line of surety insurance. The director is…

41-1039A. notice. In the event that the director revokes or suspends a bail agent’s license or a surety’s certificate of authority, or lifts such revocation or suspension, the director shall immediately notify all judicial district trial court administrators and all sureties with…

41-1040. Bond required. After January 1, 2004, a producer shall not act as a bail agent unless the producer first files with the department and thereafter maintains in force a surety performance bond, executed by an authorized surety insurer, in favor of the director in the amoun…

41-1041. Records. (1) The bail agent shall provide copies of the bail contract, premium receipts, collateral receipts, and any related documents to the defendant and any cosigner at the time of the bail transaction. (2) In addition to the records set forth in section 41-1036, Ida…

41-1042. Collections and charges permitted. (1) Notwithstanding any other provision of this chapter, a bail agent in any bail transaction shall not, directly or indirectly, charge or collect money or other valuable consideration from any person except for the following: (a) To pa…

41-1043. Collateral. (1) A bail agent may accept collateral in connection with the bail bond transaction if the collateral is not excessive in relation to the face amount of the bond. (2) All collateral received by a bail agent is received in a fiduciary capacity. (a) Collateral …

41-1044. Early surrender of defendant to custody — Return of premium. (1) A bail agent shall immediately return in full all premium and collateral associated with a bail transaction if the bail agent without good cause or in violation of the bail contract surrenders the defendant…

41-1045. Responsibility for actions of others. For purposes of licensing and regulation under title 41, Idaho Code, a bail agent is responsible for the actions of the bail agent’s employees, contractors and agents acting on the bail agent’s behalf in relation to bail transactions…

41-1081. REQUIREMENTS FOR SALE OF PORTABLE ELECTRONICS INSURANCE — FINDINGS — PURPOSE. (1) Sections 41-1081 through 41-1089, Idaho Code, set forth requirements for the sale of portable electronics insurance in this state. (2) The legislature finds that portable electronics insure…

41-1082. definitions. As used in sections 41-1081 through 41-1089, Idaho Code: (1) "Customer" means a person who purchases portable electronics or services. (2) "Enrolled Customer" means a customer who purchases coverage under a portable electronics insurance policy issued to a v…

41-1083. LICENSURE OF VENDORS. (1) A vendor is required to hold a limited lines license to sell or offer coverage under a policy of portable electronics insurance. (2) A limited lines license issued pursuant to the provisions of this section shall authorize any employee or author…

41-1084. REQUIREMENTS FOR SALE OF PORTABLE ELECTRONICS INSURANCE. (1) At every location where portable electronics insurance is offered or sold to customers, brochures or other written materials must be provided by the vendor to a prospective customer which: (a) Disclose that por…

41-1085. AUTHORITY OF VENDORS OF PORTABLE ELECTRONICS. (1) Notwithstanding any other provision of law, the employees and authorized representatives of vendors may sell or offer portable electronics insurance to customers and shall not be subject to licensure as an insurance produ…

41-1086. RESPONSIBILITY FOR ACTIONS OF OTHERS. For purposes of licensing and regulation under title 41, Idaho Code, a portable electronics limited lines licensee shall be responsible for the actions of the licensee’s employees and authorized representatives acting on the licensee…

41-1087. SUSPENSION OR REVOCATION OF LICENSE. If a vendor of portable electronics or its employee or authorized representative violates any applicable provision of this chapter including, but not limited to, section 41-1016, Idaho Code, or applicable provisions of chapter 13, tit…

41-1088. TERMINATION OF PORTABLE ELECTRONICS INSURANCE. Notwithstanding any other provision of law: (1) An insurer may terminate or otherwise change the terms and conditions of a policy of portable electronics insurance only upon providing the policyholder and enrolled customers …

41-1089. APPLICATION FOR LICENSE AND FEES. (1) A sworn application for a limited lines license to sell, solicit or negotiate portable electronics insurance shall be completed and filed with the department of insurance on forms prescribed by the director to include such informatio…

41-1090. SHORT TITLE. Sections 41-1090 through 41-1096, Idaho Code, shall be known and may be cited as the "Limited Lines Travel Insurance Act."