North Dakota Code 26.1-31.1-02 – Licensure
1. No person, firm, association, or corporation may act as a reinsurance intermediary-broker in this state if the reinsurance intermediary-broker maintains an office either directly or as a member or employee of a firm or association, or an officer, director, or employee of a corporation:
Terms Used In North Dakota Code 26.1-31.1-02
- 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.
- Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
- Precedent: A court decision in an earlier case with facts and law similar to a dispute currently before a court. Precedent will ordinarily govern the decision of a later similar case, unless a party can show that it was wrongly decided or that it differed in some significant way.
- Process: means a writ or summons issued in the course of judicial proceedings. See North Dakota Code 1-01-49
- Service of process: The service of writs or summonses to the appropriate party.
- 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
- 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
a. In this state, unless the reinsurance intermediary-broker is a licensed producer in this state; or
b. In another state, unless the reinsurance intermediary-broker is a licensed producer in this state or another state having a law substantially similar to this law or such reinsurance intermediary-broker is licensed in this state as a nonresident reinsurance intermediary.
2. No person, firm, association, or corporation may act as a reinsurance intermediary-manager:
a. For a reinsurer domiciled in this state, unless the reinsurance intermediary-manager is a licensed producer in this state.
b. In this state, if the reinsurance intermediary-manager maintains an office either directly or as a member or employee of a firm or association, or as an officer, director, or employee of a corporation in this state, unless the reinsurance intermediary-manager is a licensed producer in this state.
c. In another state for a nondomestic insurer, unless the reinsurance intermediary-manager is a licensed producer in this state or another state having a law substantially similar to this law or the person is licensed in this state as a nonresident reinsurance intermediary.
3. The commissioner may require a reinsurance intermediary-manager subject to subsection 2 to:
a. File a bond in an amount from an insurer acceptable to the commissioner for the protection of the reinsurer; and
b. Maintain an errors and omissions policy in an amount acceptable to the commissioner.
4. a. The commissioner may issue a reinsurance intermediary license to any person, firm, association, corporation, or limited liability company who has complied with the requirements of this chapter. Any such license issued to a firm or association will authorize all the members of the firm or association and any designated employees to act as reinsurance intermediaries under the license, and all such persons must be named in the application and any supplements thereto. Any such license issued to a corporation must authorize all of the officers and any designated employees and directors thereof to act as reinsurance intermediaries on behalf of the corporation, and all such persons must be named in the application and any supplements thereto. Any such license issued to a limited liability company must authorize all of the managers and any designated employees and governors thereof to act as reinsurance intermediaries on behalf of the limited liability company, and all such persons must be named in the application and any supplements thereto.
b. If the applicant for a reinsurance intermediary license is a nonresident, the applicant, as a condition precedent to receiving or holding a license, shall designate the commissioner as agent for service of process in the manner, and with the same legal effect, provided for by this title for designation of service of process upon unauthorized insurers. The applicant shall also furnish the commissioner with the name and address of a resident of this state upon whom notices or orders of the commissioner or process affecting the nonresident reinsurance intermediary may be served. The licensee shall promptly notify the commissioner in writing of every change in its designated agent for service of process, and the changes do not become effective until acknowledged by the commissioner.
5. The commissioner may refuse to issue a reinsurance intermediary license if, in the commissioner’s judgment, the applicant, anyone named on the application, or any member, principal, officer, or director of the applicant, is not trustworthy, or that any controlling person of the applicant is not trustworthy to act as a reinsurance intermediary, or that any of the foregoing has given cause for revocation or suspension of the license, or has failed to comply with any prerequisite for the issuance of such license. Upon written request therefor, the commissioner will furnish a summary of the basis for refusal to issue a license.
6. Licensed attorneys at law of this state when acting in their professional capacity as such are exempt from this section.