Title 26.1 — Insurance

The commissioner may, by rule, exempt any market from any or all of the provisions of this chapter, if and to the extent that the exemption is necessary to achieve the purposes of this chapter.

This chapter governs the qualifications and procedures for the licensing of insurance producers, insurance consultants, and surplus lines insurance producers. This chapter applies to all lines of insurance and types of insurers, including prepaid legal services organizations and …

As used in this chapter, unless the context requires otherwise: 1. "Active participation" means: a. Attendance at a formal meeting of a professional insurance association at which a formal business program is presented; b. Service on the board of directors or a formal committee o…

1. An insurance company or insurance producer may not pay a commission, service fee, brokerage, or other valuable consideration to a person for selling, soliciting, or negotiating insurance in this state if that person is required to be licensed under this chapter and is not lice…

1. Notwithstanding any other provision of this title, an insurance producer may charge a fee for any services rendered in connection with the sale, solicitation, negotiation, placement, or servicing of an insurance contract, if the following conditions are met: a. The fees may no…

A person not licensed as an insurance producer or surplus lines insurance producer who sells, solicits, or negotiates an insurance policy on behalf of an insurer is an insurance producer within the intent of this chapter and is liable for all the duties, requirements, liabilities…

An insurance producer who sells, solicits, or negotiates an application for insurance of any kind is, in any controversy between the insured or the insured's beneficiary and the insurer, regarded as representing the insurer and not the insured or the insured's beneficiary. An ins…

An insurance producer or surplus lines insurance producer, who is not an appointed insurance producer of the insurer with which an insurance policy is placed and who acts or aids in any manner in negotiating insurance contracts or placing risks of effecting insurance for a party …

1. Nothing in this chapter may 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 license as an insurance producer is not r…

A person may not act as an insurance consultant until licensed as such by the commissioner. However, a license as an insurance consultant is not required of: 1. An attorney licensed to practice law in this state acting in the attorney's professional capacity. 2. A licensed insura…

An insurance producer or surplus lines insurance producer may receive a license to market products under one or more of the following lines: 1. Life means insurance coverage on human lives, including benefits of endowment, fixed and indexed annuities, and credit life. 2. Accident…

The commissioner may adopt rules to implement licensing procedures and requirements specific to each line of insurance and each product type within each line of insurance.

Repealed by S.L. 2001, ch. 262, § 136.

Repealed by S.L. 2001, ch. 262, § 136.

1. An insurance producer may 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 an insurance producer as i…

1. A resident individual applying for an insurance producer license or an insurance consultant license must pass a written examination unless exempt under section 26.1-26-25. The examination must test the knowledge of the individual concerning the lines of authority for which app…

1. An individual applying for a resident insurance producer license shall make application to the commissioner on the uniform application and declare under penalty of refusal, suspension, or revocation of the license that the statements made in the application are true, correct, …

A licensed individual insurance producer shall file a biennial license continuation in the form and manner prescribed by the commissioner and pay a fee as prescribed in section 26.1-01-07. The commissioner shall give a licensee not less than sixty days' notice of the biennial lic…

An application for a license under this chapter may be deemed withdrawn if the commissioner contacts an applicant in writing regarding an incomplete application and the commissioner does not receive a response from the applicant within twenty days of the date of the written commu…

Within a reasonable time after receipt of a properly completed application for a license under this chapter, the commissioner may conduct investigations and propound interrogatories concerning the applicant's qualifications, residence, business affiliations, and any other matter …

An applicant for any license under this chapter must be deemed by the commissioner to be competent, trustworthy, financially responsible, and of good personal and business reputation. If the commissioner does not deem an applicant to be competent, trustworthy, financially respons…

Repealed by S.L. 2001, ch. 262, § 136.

Repealed by S.L. 2001, ch. 262, § 136. 26.1-26-16.1. Errors and omissions insurance - License requirement for insurance brokers. Repealed by S.L. 2001, ch. 262, § 136.

Repealed by S.L. 2001, ch. 262, § 136.

An applicant for a license as a surplus lines insurance producer must be licensed in this state as an insurance producer qualified as to the line or lines to be written.

Repealed by S.L. 2001, ch. 262, § 136. 26.1-26-19. Determination of residency for license issuance - Election of residency - When void. An applicant may qualify as a resident if the applicant resides in this state or maintains the applicant's principal place of business in this s…

1. Unless denied licensure pursuant to this chapter, the commissioner shall issue a nonresident person a nonresident insurance producer license if: a. The person is currently licensed as a resident and is in good standing in the person's home state; b. The person has submitted th…

The commissioner shall serve process upon any licensee in any action or proceeding instituted by the commissioner under this chapter by electronic mail to the electronic mail address maintained as required under section 26.1-26-33.1 or United States mail to the licensee at the li…

Repealed by S.L. 2001, ch. 262, § 136. 26.1-26-24. Examination when partnership, limited liability partnership, corporation, or limited liability company is applicant. Repealed by S.L. 2001, ch. 262, § 136.

The requirement for a written examination is subject to the following exceptions: 1. An individual who applies for an insurance producer license in this state who was previously licensed for the same lines of authority in another state may not be required to complete any prelicen…

An insurance producer doing business under any name other than the insurance producer's legal name is required to notify the commissioner before using the assumed name.

The commissioner may issue a temporary license as an insurance producer for a period not to exceed one hundred eighty days without requiring an examination if the commissioner determines that the temporary license is necessary for the servicing of an insurance business in the fol…

Each examination must be approved for use by the commissioner and must reasonably test the applicant's knowledge as to the lines of insurance, policies, and transactions to be handled under the license applied for, the duties and responsibilities of the licensee, and the pertinen…

Repealed by S.L. 2001, ch. 262, § 136.

The license must state the name, address, personal identification number of the licensee, date of issue, and the line or lines of insurance covered by the license, and any other information the commissioner determines to be proper for inclusion in the license.

In order to assist in the performance of the commissioner's duties, the commissioner may contract with nongovernmental entities, including the national association of insurance commissioners or any affiliates or subsidiaries that the national association of insurance commissioner…

A license issued under this chapter continues in force in perpetuity unless: 1. The license is suspended, revoked, or refused by the commissioner; 2. The licensee voluntarily consents to the suspension, revocation, or refusal of the license; 3. The licensee dies or in the case of…

1. Except as otherwise provided in this chapter, any individual licensed as a resident insurance producer or resident insurance consultant shall provide the commissioner evidence, as required by the commissioner, that the individual attended or participated in continuing educatio…

The commissioner shall appoint a continuing education advisory task force consisting of nine members. The members must be representative, to the extent possible, of the various members of the insurance industry and of the several classes of insurance. Before making appointments t…

The commissioner shall adopt by rule criteria for the accreditation of courses for continuing or prelicensure education. Applications for accreditation of any course offered in this state for continuing or prelicensure education must be submitted to the commissioner within the ti…

Repealed by S.L. 2009, ch. 252, § 7.

The commissioner may grant an extension of time, not to exceed one year, for completion of the requirements imposed by section 26.1-26-31.1.

Any person teaching or lecturing at any approved continuing education course, seminar, or program qualifies for the same number of hours granted to a person enrolled in the approved course, seminar, or program.

The commissioner may approve credit earned at any seminar, course, or program offered for prelicensure or continuing education in another state.

Repealed by S.L. 2009, ch. 252, § 7.

1. For each two-year reporting period, the commissioner may approve up to four hours of continuing education credit earned through active participation, with no more than two hours accepted for each calendar year. One hour of active participation equates to one hour of continuing…

An appointment of an insurance producer and the license of a surplus lines insurance producer or insurance consultant terminates upon failure to pay the prescribed annual renewal fees before May first.

Every licensee shall notify the commissioner of any change in the licensee's residential or business address, electronic mail address, or legal name within thirty days of the change. Notification may occur through the insurance producer database maintained by the national associa…

An insurance producer shall maintain an electronic mailing address for regulatory use. It is an insurance producer's sole responsibility to continually monitor the electronic mailing address for regulatory communications from the commissioner.

1. Termination for cause. An insurer or authorized representative of the insurer that terminates the appointment, employment, contract, or other insurance business relationship with an insurance producer shall notify the commissioner within thirty days following the effective dat…