North Dakota Code 26.1-26.3-01 – Definitions
As used in this chapter:
Terms Used In North Dakota Code 26.1-26.3-01
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- following: when used by way of reference to a chapter or other part of a statute means the next preceding or next following chapter or other part. See North Dakota Code 1-01-49
- Individual: means a human being. See North Dakota Code 1-01-49
- Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See North Dakota Code 1-01-49
- United States: includes the District of Columbia and the territories. See North Dakota Code 1-01-49
- written: include "typewriting" and "typewritten" and "printing" and "printed" except in the case of signatures and when the words are used by way of contrast to typewriting and printing. See North Dakota Code 1-01-37
- year: means twelve consecutive months. See North Dakota Code 1-01-33
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 general agent” means any individual, partnership, corporation, or limited liability company which:
a. Manages all or part of the insurance business of an insurer, including the management of a separate division, department, or underwriting office.
b. Acts as an insurance producer for the insurer whether known as a managing general agent, manager, or other similar term, who, with or without the authority, either separately or together with affiliates, produces, directly or indirectly, and underwrites an amount of gross direct written premium equal to or more than five percent of the policyholder surplus as reported in the last annual statement of the insurer in any one quarter or year together with one or more of the following activities related to the business produced:
(1) Adjusts or pays claims in excess of an amount determined by the commissioner; or
(2) Negotiates reinsurance on behalf of the insurer.
c. Notwithstanding the above, the following persons will not be considered as managing general agents for the purposes of this chapter:
(1) An employee of the insurer.
(2) A United States manager of the United States branch of an alien insurer.
(3) An underwriting manager which, pursuant to contract, manages all or part of the insurance operations of the insurer, is under common control with the insurer, subject to chapter 26.1-10, and whose compensation is not based on the volume of premiums written.
(4) The attorney in fact authorized by and acting for the subscribers of a reciprocal insurer or interinsurance exchange under powers of attorney.
4. “Underwrite” means the authority to accept or reject risk on behalf of the insurer.