Title 26.1 — Insurance

No filing or recording of an insurance premium finance agreement is necessary to perfect the validity of the agreement as a secured transaction against creditors, subsequent purchasers, pledgees, encumbrances, successors, or assigns.

This chapter applies to premium finance agreements and amendments to existing premium finance agreements executed after July 1, 1989.

1. Any two or more entities that have united to self-insure against their legal liability under chapter 32-12.1 or any state agency that unites with another state agency or political subdivision, or both, to self-insure against their legal liabilities are subject to the provision…

Any government self-insurance pool organized under chapter 32-12.1 is not an insurance company or insurer. The coverages provided by the pools and the administration of the pools do not constitute the transaction of insurance business. Participation in a government self-insurance…

Before the insurance commissioner authorizes the operation of a government self-insurance pool, the pool shall provide the following: 1. A financial plan setting forth: a. The insurance coverages to be offered by the pool, applicable deductible levels, and the maximum level of cl…

1. Every government self-insurance pool authorized by the insurance commissioner shall file with the commissioner on or before March thirty-first of each year an audited statement of its financial condition and business for the year ending on the preceding December thirty-first. …

A government self-insurance pool may only invest its funds and accumulations in those investments described in sections 26.1-05-19 and 26.1-10-02. If a government self-insurance pool investment is made under section 26.1-10-02, a resulting subsidiary insurance company may not wri…

1. Information regarding that portion of the funds or liability reserves of a government self-insured pool established for purposes of satisfying a specific claim or cause of action is confidential. A person is not entitled to discover that portion of the funds or liability reser…

No insurance policy, certificate, contract, agreement, or evidence of participation may be issued or delivered by a self-insured government pool nor may any application, rider, or endorsement be used in connection therewith until the rate and form thereof have been filed and appr…

A government self-insurance pool organized under this chapter shall provide a report to the legislative management by September thirtieth of each even-numbered year. The report must include information on activities of the pool, including the claims activity, claims payment histo…

This chapter applies to personal insurance and does not apply to commercial insurance.

As used in this chapter, unless the context otherwise requires: 1. "Adverse action" means a denial or cancellation of, an increase in any charge for, or a reduction or other adverse or unfavorable change in the terms of coverage or amount of, any insurance, existing or applied fo…

An insurer authorized to do business in this state which uses credit information to underwrite or rate risks may not: 1. Use an insurance score that is calculated using income, gender, address, zip code, ethnic group, religion, marital status, or nationality of the consumer as a …

If it is determined through the dispute resolution process set forth in the federal Fair Credit Reporting Act [Pub. L. 90-321; 15 U.S.C. 1681i(a)(5)] that the credit information of a current insured was incorrect or incomplete and if the insurer receives notice of such determinat…

1. If an insurer writing personal insurance uses credit information in underwriting or rating a consumer, the insurer or the insurer's agent shall disclose, either on the insurance application or at the time the insurance application is taken, that the insurer or the insurer's ag…

If an insurer takes an adverse action based upon credit information, the insurer must meet the notice requirements of this section. The insurer shall: 1. Provide notification to the consumer that an adverse action has been taken, in accordance with the requirements of the federal…

1. An insurer that uses insurance scores to underwrite or rate risks shall file the insurer's scoring models or other scoring processes with the insurance department. A third party may file scoring models on behalf of an insurer. A filing that includes insurance scoring must incl…

An insurer shall indemnify, defend, and hold agents harmless from and against all liability, fees, and costs arising out of or relating to the actions, errors, or omissions of a producer who obtains or uses credit information or insurance scores for an insurer, provided the produ…

1. A consumer reporting agency may not provide or sell data or lists that include any information that in whole or in part was submitted in conjunction with an insurance inquiry about a consumer's credit information or a request for a credit report or insurance score. Such inform…

If any provision of this chapter is declared invalid due to an interpretation of or a future change in the federal Fair Credit Reporting Act [Pub. L. 90-321; 15 U.S.C. 1681 et seq.], the remaining provisions of this chapter are not affected and remain in effect.

This chapter applies to personal insurance policies either written to be effective or renewed after April 30, 2004.

This chapter applies to only personal insurance.

As used in this chapter: 1. "Deceptive practices" means any misstatement or omission of any material fact, or submission of a false statement, in light of the circumstances under which it was made, by a person acting with the intent to defraud in filing an insurance claim. 2. "In…

An insurer may not consider the following events for purposes of surcharging, declining, nonrenewing, or canceling either personal insurance coverage or a binder for personal insurance coverage. The events include: 1. An insured's inquiry into the type or level of coverage or an …

An insurer may not decline to insure a property not previously owned by an applicant based solely upon the loss history of a previous owner of the property, unless the insurer can provide evidence that the previous owner did not repair the damage.

An insurer writing personal insurance must inform the applicant in writing or in the same medium as the application at the time of an application for personal insurance that the insurer will consider the insured's claims history in determining whether to decline, cancel, nonrenew…

For the purposes of this chapter, an "independent insurance producer" means any licensed property and casualty insurance producer representing a property and casualty insurance company on an independent contractor basis and not as an employee. This term includes only those produc…

In an effort to avoid termination, a property and casualty insurance company and an independent insurance producer may endeavor to reach mutual agreement on a written plan for rehabilitation for a period of time agreed upon by them. Any written plan agreed upon must identify the …

Contracts between an independent insurance producer and any property and casualty insurance company may not be terminated or amended by the company except by mutual agreement or unless ninety-day prior written notice has been provided to the independent insurance producer. The ra…

This chapter does not apply to terminations for abandonment, insolvency of the terminating company, gross and willful misconduct, refusal, suspension, revocation, or termination of the insurance producer's license by the insurance commissioner, sale or material change or ownershi…

As used in this chapter: 1. "Actuary" means a person who is a member in good standing of the American academy of actuaries. 2. "Insurer" means any person, firm, association, or corporation duly licensed in this state as an insurance company pursuant to this title. 3. "Managing ge…

1. No individual, partnership, corporation, or limited liability company may act in the capacity of a managing general agent with respect to risks located in this state for an insurer licensed in this state unless the individual, partnership, corporation, or limited liability com…

No individual, partnership, corporation, or limited liability company acting in the capacity of a managing general agent may place business with an insurer unless there is in force a written contract between the parties which sets forth the responsibilities of each party and when…

1. The insurer shall have on file, in a form acceptable to the commissioner, an independent financial examination of each managing general agent with which it has done business. 2. If a managing general agent establishes loss reserves, the insurer shall annually obtain the opinio…

The acts of the managing general agent are considered to be the acts of the insurer on whose behalf it is acting. A managing general agent may be examined as if it were the insurer.

1. If the commissioner determines that the managing general agent or any other person has not materially complied with this chapter or any rule or order adopted under this chapter, after notice and opportunity to be heard, the commissioner may order: a. For each separate violatio…

The insurance commissioner may adopt reasonable rules for the implementation and administration of the provisions of this chapter.

This chapter applies to grandfathered health plans unless a health care insurer or utilization review agent determines to extend the protections of section 26.1-36-47 to a grandfathered plan. "Grandfathered health plan" has the meaning stated in the Patient Protection and Afforda…

For purposes of this chapter, unless the context requires otherwise: 1. "Commissioner" means the insurance commissioner. 2. "Emergency medical condition" means a medical condition of recent onset and severity, including severe pain, that would lead a prudent layperson acting reas…

A utilization review agent may not conduct utilization review in this state unless the utilization review agent has certified to the commissioner in writing that the agent is in compliance with section 26.1-26.4-04. Certification must be made annually on or before March first of …

All utilization review agents must meet the following minimum standards: 1. Notification of a determination by the utilization review agent must be provided to the enrollee or other appropriate individual in accordance with 29 U.S.C. 1133 and the timeframes set forth in 29 CFR 25…

A utilization review agent is deemed to be conducting utilization review in this state if the agent conducts utilization review involving services rendered or to be rendered in the state regardless of where the agent actually performs the utilization review. No person may be empl…

A health care insurer that contracts with another entity to perform utilization review on its behalf remains responsible to ensure that all the requirements of this chapter are met to the same extent the health care insurer would be if it performed the utilization review itself.

Whenever the commissioner has reason to believe that a utilization review agent subject to this chapter has been or is engaged in conduct that violates section 26.1-26.4-03 or 26.1-26.4-04, the commissioner shall notify the utilization review agent of the alleged violation. The u…

As used in this chapter: 1. "Accredited state" means a state in which the insurance department or regulatory agency has qualified as meeting the minimum financial regulatory standards promulgated and established from time to time by the national association of insurance commissio…

This chapter applies to licensed insurers as defined in section 26.1-26.5-01, either domiciled in this state or domiciled in a state that is not an accredited state having in effect a substantially similar law. All provisions of the Insurance Holding Company Act, to the extent th…

1. a. The provisions of this section apply if, in any calendar year, the aggregate amount of gross written premium on business placed with a controlled insurer by a controlling insurance broker is equal to or greater than five percent of the admitted assets of the controlled insu…

The insurance broker, prior to the effective date of the policy, shall deliver written notice to the prospective insured disclosing the relationship between the insurance broker and the controlled insurer, except that, if the business is placed through an insurance broker who is …

1. In addition to any other remedies provided herein, whenever it appears to the commissioner that a person has committed or is committing an act that could be determined to be a violation, the commissioner may institute a proceeding under chapter 28-32. After the hearing, the co…

Within sixty days of August 1, 1993, each controlled insurer and each controlling insurance broker must comply with the provisions of sections 26.1-26.5-03 and 26.1-26.5-04.