Title 41 — INSURANCE

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."

41-1091. DEFINITIONS. As used in this chapter: (1) "Designated responsible producer" means the individual licensed producer responsible for ensuring compliance by the limited lines travel insurance producer with travel insurance laws and rules of the state, as set forth in sectio…

41-1092. REQUIREMENTS for limited lines travel insurance producers. Notwithstanding any other provision of law: (1) The director may issue to an individual or business entity that has filed with the director an application, in a form and manner prescribed by the director, a limit…

41-1093. REGISTRATION required. A travel retailer, whose insurance-related activities and those of its employees and authorized representatives are limited to offering and disseminating travel insurance, on behalf of and under the direction of a limited lines travel insurance pro…

41-1094. type of POLICY. Travel insurance may be provided under an individual policy or under a group or master policy.

41-1095. RESPONSIBILITY of limited lines travel insurance producers. As the insurer designee, the limited lines travel insurance producer is responsible for the acts of the travel retailer and shall use reasonable means to ensure compliance by the travel retailer with this chapte…

41-1096. no negative option or opt out. No person offering travel insurance on an individual or group basis may do so using a negative option or option to opt out, that would require a consumer to take an affirmative action to deselect coverage such as unchecking a box on an elec…

41-1097. ENFORCEMENT. The limited lines travel insurance producer and any travel retailer offering and disseminating travel insurance under the limited lines travel insurance producer license shall be subject to the provisions of section 41-1016, Idaho Code, and other applicable …

41-1101. Scope of chapter. This chapter applies only as to adjusters, as defined in section 41-1102.

41-1102. "Adjuster" defined. (1) An "adjuster" is a person who, on behalf of the insurer, for compensation as an independent contractor or as the employee of such an independent contractor, or for fee or commission, investigates and negotiates settlement of claims arising under i…

41-1103. License required. No person shall in this state be, act as, or advertise or hold himself out to be, an adjuster unless then licensed as an adjuster under this chapter. No resident of Canada may be licensed as a resident adjuster or may designate Idaho as his home state, …

41-1104. Qualifications for adjuster’s license. (1) Except as provided in subsection (2) of this section, the director shall not issue, continue, or permit to exist any license as an adjuster as to any person not qualified therefor as follows: (a) Must be a natural person not les…

41-1105. Application for license. The individual desiring to be licensed as an adjuster shall make written application therefor to the director, on forms as prescribed and furnished by the director. The application shall be accompanied by payment of the fee for the license as set…

41-1106. Scope of license. Under his license an adjuster shall have authority to act as adjuster on behalf of the insurer only as to losses under insurance contracts.

41-1107. Emergency adjusters. No adjuster’s license or qualifications shall be required as to any adjuster who is sent into this state by and on behalf of an authorized insurer or adjusting firm or corporation for the purpose of investigating or making adjustment of a particular …

41-1108. Other provisions applicable. The following sections of chapter 10, title 41, Idaho Code, shall, to the extent so applicable, also apply as to adjuster licenses: (1) 41-1007(1), Idaho Code (application for producer license). (2) 41-1008, Idaho Code (producer license). (3)…

41-1201. Representing or aiding unauthorized insurer prohibited. (1) No person shall in this state directly or indirectly act as agent for, or otherwise represent or aid on behalf of another, any insurer not then authorized to transact such insurance in this state, in the solicit…

41-1202. Representing or aiding unauthorized insurer prohibited — Penalty. Any person who violates section 41-1201 shall upon conviction thereof be guilty of a misdemeanor punishable by a fine of not to exceed two thousand dollars ($2,000) or by imprisonment in the county jail fo…

41-1203. Suits by unauthorized insurer prohibited. (1) No unauthorized insurer shall institute or file, or cause to be instituted or filed, any suit, action or proceeding in this state to enforce any right, claim or demand arising out of any insurance transaction in this state. (…

41-1204. Unauthorized insurers process act — Title — Interpretation. (1) Sections 41-1204 through 41-1210 constitute and may be cited as the Unauthorized Insurers Process Act. (2) Such act shall be so interpreted as to effectuate its general purpose to make uniform the law of tho…

41-1205. Purpose of process act. The purpose of the unauthorized insurers process act is to subject certain insurers to the jurisdiction of courts of this state in suits by or on behalf of insureds or beneficiaries under insurance contracts. The legislature declares that it is a …

41-1206. Acts constituting director as process agent. Any of the following acts in this state, effected by mail or otherwise, by an unauthorized foreign or alien insurer, is equivalent to and shall constitute an appointment by such insurer of the director to be its true and lawfu…

41-1207. How process is served — Default judgment. (1) Such service of process shall be made as provided for in section 41-334(1), and: (a) The director shall forthwith mail by registered mail one (1) of the copies of such process to the defendant at its last known principal plac…

41-1208. Defense of action by unauthorized insurer. (1) Before any unauthorized foreign or alien insurer shall file or cause to be filed any pleading in any action, suit or proceeding instituted against it, such unauthorized insurer shall: (a) Deposit with the clerk of the court …

41-1209. Unauthorized insurer failing to pay claim — Attorney fees. In any action against an unauthorized foreign or alien insurer, upon a contract of insurance issued or delivered in this state to a resident thereof, or to a corporation authorized to do business therein, if the …

41-1210. Exemptions from Process Act. The provisions of this unauthorized insurers process act shall not apply to any action, suit or proceeding against any unauthorized foreign or alien insurer arising out of any contract of: (1) Reinsurance, ocean marine, aircraft or railway in…

41-1211. Surplus line law — Short title — Purpose. (1) Sections 41-1211 through 41-1234, Idaho Code, constitute and may be cited as the "surplus line law." (2) It is declared that the purposes of the surplus line law are to provide orderly access for the insuring public of Idaho …

41-1212. Exemptions from Surplus Line Law. (1) The provisions of this surplus line law controlling the placing of insurance with unauthorized insurers shall not apply to reinsurance or, except as to subsection (2) below, to the following insurances when so placed by licensed agen…

41-1213. Definitions. As used in this chapter and any applicable rules, the following definitions shall apply: (1) "Affiliated" means, with respect to an insured, any entity that controls, is controlled by or is under common control with the insured. (2) "Affiliated group" means …

41-1214. Conditions for export. If certain insurance coverages cannot be procured from authorized insurers, such coverages, hereinafter designated "surplus lines," may be procured from unauthorized insurers, subject to the following conditions: (1) The insurance must be procured …

41-1215. Broker’s affidavit. At the time of procuring any such surplus line insurance the broker shall execute an affidavit, in form as prescribed or accepted by the director, setting forth facts from which it can be determined whether such insurance was eligible for export under…

41-1216. Open lines for export. (1) The director may by order or by rule declare eligible for export generally and without compliance with the provisions of sections 41-1214(2), 41-1214(3) and 41-1215, Idaho Code, any class or classes of insurance coverage or risk which he finds,…

41-1217. Eligible surplus lines insurers. (1) A broker shall not knowingly place surplus lines insurance with an insurer that is unsound financially, or that is ineligible under this section. (2) The director shall from time to time compile or approve a list of all surplus lines …

41-1218. Eligible surplus line insurers — Penalty for violation. (1) For any violation of section 41-1217, Idaho Code, the broker or a person who independently procures its own insurance shall, upon conviction thereof, be guilty of a misdemeanor punishable as provided in section …

41-1219. Evidence of the insurance — Changes — Penalty. (1) Upon placing a surplus line coverage, the broker shall promptly issue and deliver to the insured evidence of the insurance consisting either of the policy as issued by the insurer or, if such policy is not then available…

41-1220. Endorsement of contract. Every insurance contract procured and delivered as a surplus lines coverage pursuant to this law shall have stamped upon it, either in red ink with at least ten (10) point bold print or in black ink with at least twelve (12) point bold print, and…

41-1221. Surplus line insurance valid. Insurance contracts procured as surplus line coverage from unauthorized insurers in accordance with this law shall be fully valid and enforceable as to all parties, and shall be given recognition in all matters and respects to the same effec…

41-1222. Liability of insurer as to losses and unearned premiums. (1) As to a surplus line risk which has been assumed by an unauthorized insurer pursuant to this surplus line insurance law, and if the premium thereon has been received by the surplus line broker who placed such i…

41-1223. Licensing of surplus line brokers. (1) Any individual while licensed as a producer licensed for property or casualty insurance who has had at least two (2) years’ experience as a producer for the lines of insurance for which he is seeking to be licensed as a surplus line…

41-1224. Suspension or revocation of broker’s license. (1) The director may suspend or revoke any surplus line broker’s license: (a) If the broker fails to file his annual report or to remit the tax as required by this law; or (b) If the broker fails to keep the records, or to al…

41-1226. Acceptance of business from agents. A licensed surplus line broker may accept and place surplus line business for any insurance agent licensed in this state for the kind of insurance involved, and may compensate the agent therefor.

41-1227. Records of broker. (1) Each broker shall keep in his office a full and true record of each surplus line coverage procured by him, including a copy of each daily report, if any, a copy of each certificate of insurance issued by him, and such of the following items as may …

41-1228. Annual report of broker. (1) Each broker shall on or before the first day of March of each year file with the director a verified report of all surplus line insurance transacted by him during the preceding calendar year. (2) The statement shall be on forms as prescribed …

41-1229. Tax on surplus lines. (1) On or before the first day of March of each year, each broker shall remit to the director a tax on the premiums, exclusive of sums collected to cover federal and state taxes and examination fees, on surplus line insurance subject to tax transact…

41-1230. Failure to file report or remit tax — Penalty. If any broker fails to file his annual report, or fails to remit the tax provided by section 41-1229, Idaho Code, prior to the first day of April after the tax is due, he shall be liable for a fine of twenty-five dollars ($2…

41-1231. Legal process against surplus line insurer. (1) An unauthorized insurer shall be sued, upon any cause of action arising in this state under any contract issued by it as a surplus line contract pursuant to this law, in the district court of the county in which the cause o…

41-1232. Rules and regulations. (1) The director shall make or may approve and adopt reasonable rules and regulations, consistent with this surplus lines law, for any or all of the following purposes: (a) Effectuation of such law; (b) Establishment of procedures through which det…

41-1233. Report and tax of independently procured coverages. (1) Every insured who in this state procures or causes to be procured or continues or renews insurance in an unauthorized foreign insurer, or any self-insurer who in this state so procures or continues excess loss, cata…

41-1234. Records of insureds. In order that the director may effectively administer the various provisions of this chapter, every person as to whom insurance has been placed with an unauthorized insurer shall, upon the director’s order, produce for his examination all policies an…