Montana Code 33-17-1402. Requirements to offer and disseminate travel insurance — types of policies — rulemaking
33-17-1402. Requirements to offer and disseminate travel insurance — types of policies — rulemaking. (1) The commissioner may issue a limited lines travel insurance producer license to an individual or business entity that has filed with the commissioner an application for a limited lines travel insurance producer license in a form and manner prescribed by the commissioner. The limited lines travel insurance producer must be licensed to sell, solicit, or negotiate travel insurance through a licensed insurer. A person may not act as a limited lines travel insurance producer or travel retailer unless properly licensed.
Terms Used In Montana Code 33-17-1402
- Answer: The formal written statement by a defendant responding to a civil complaint and setting forth the grounds for defense.
- Business entity: means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity. See Montana Code 33-17-102
- Commissioner: means the commissioner of insurance of the state of Montana. See Montana Code 33-17-1401
- Individual: means a natural person. See Montana Code 33-17-102
- License: means a document issued by the commissioner that authorizes a person to act as an insurance producer for the lines of authority specified in the document. See Montana Code 33-17-102
- Limited lines travel insurance producer: means a:
(a)managing general agent or third-party administrator;
(b)licensed insurance producer, including a limited lines producer, designated by an insurer as the travel insurance supervising entity as set forth in 33-17-1404; or
(c)travel administrator. See Montana Code 33-17-1401
- Negotiate: means the act of conferring directly with or offering advice directly to a purchaser or prospective purchaser of a particular contract of insurance concerning any of the substantive benefits, terms, or conditions of the contract if the person engaged in negotiation either sells insurance or obtains insurance from insurers for purchasers. See Montana Code 33-17-102
- Offer and disseminate: means providing general information, including a description of coverage and price, as well as processing applications, collecting premiums, and performing other activities not requiring licensure by the state. See Montana Code 33-17-1401
- Person: means an individual or a business entity. See Montana Code 33-17-102
- Process: means a writ or summons issued in the course of judicial proceedings. See Montana Code 1-1-202
- Property: means real and personal property. See Montana Code 1-1-205
- Sell: means to exchange a contract of insurance by any means, for money or the equivalent, on behalf of an insurance company. See Montana Code 33-17-102
- Solicit: means attempting to sell insurance or asking or urging a person to apply for a particular kind of insurance. See Montana Code 33-17-102
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
- Travel insurance: means insurance coverage for personal risks incident to planned travel, including but not limited to:
(i)interruption or cancellation of a trip or event;
(ii)loss of baggage or personal effects;
(iii)damages to accommodations or rental vehicles;
(iv)sickness, accident, disability, or death occurring during travel;
(v)emergency evacuation;
(vi)repatriation of remains; or
(vii)any other contractual obligations to indemnify or pay a specified amount to the traveler upon determinable contingencies related to travel as approved by the commissioner. See Montana Code 33-17-1401
- Travel retailer: means a business entity that makes, arranges, or offers travel services and that may offer and disseminate travel insurance as a service to its customers on behalf of and under the direction of a limited lines travel insurance producer. See Montana Code 33-17-1401
(2)A travel retailer may offer and disseminate travel insurance under a limited lines travel insurance producer business entity license only if the following conditions are met:
(a)the limited lines travel insurance producer or travel retailer provides purchasers of travel insurance with:
(i)a description of the material terms or the actual material terms of the insurance coverage;
(ii)a description of the process for filing a claim;
(iii)a description of the review or cancellation process for the travel insurance policy; and
(iv)the identity and contact information of the insurer and the limited lines travel insurance producer;
(b)the limited lines travel insurance producer designates an employee who is an individual licensed producer as the designated responsible producer responsible for the limited lines travel insurance producer’s compliance with the applicable insurance laws and rules of this state;
(c)the designated responsible producer, president, secretary, treasurer, and any other officer or person who directs or controls the limited lines travel insurance producer’s insurance operations have complied with the fingerprinting requirements in the resident state of the limited lines travel insurance producer;
(d)the limited lines travel insurance producer has paid all applicable insurance producer licensing fees required pursuant to 33-2-708 or other applicable state law; and
(e)the limited lines travel insurance producer requires each employee and authorized representative of the travel retailer whose duties include offering and disseminating travel insurance to receive a program of instruction or training, which may be subject to review by the commissioner. The training material must, at a minimum, contain instructions on the types of insurance offered, ethical sales practices, and required disclosures to prospective customers.
(3)A travel retailer offering or disseminating travel insurance shall make available to prospective purchasers brochures or other written materials that:
(a)provide the identity and contact information of the insurer and the limited lines travel insurance producer;
(b)explain that the purchase of travel insurance is not required in order to purchase any other product or service from the travel retailer; and
(c)explain that a travel retailer employee or authorized representative who is not licensed as an insurance producer is permitted to provide general information about the insurance offered by the travel retailer, including a description of the coverage and price, but is not qualified or authorized to answer technical questions about the terms and conditions of the insurance offered by the travel retailer or to evaluate the adequacy of the customer’s existing insurance coverage.
(4)A travel retailer’s employees or authorized representatives who are not licensed as insurance producers may not:
(a)evaluate or interpret the technical terms, benefits, and conditions of the offered travel insurance coverage;
(b)evaluate or provide advice concerning a prospective purchaser’s existing insurance coverage; or
(c)hold themselves out as licensed insurers, licensed producers, or insurance experts.
(5)Travel insurance may be provided under an individual policy or under a group or master policy.
(6)A person licensed in property and casualty as an insurance producer is authorized to sell, solicit, and negotiate travel insurance. A property and casualty insurance producer is not required to become appointed by an insurer in order to sell, solicit, or negotiate travel insurance.