Vermont Statutes Title 8 Sec. 4816
Terms Used In Vermont Statutes Title 8 Sec. 4816
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Controlled insurer: means a licensed insurer that is controlled, directly or indirectly, by a producer. See
- Controlling producer: means a producer who, directly or indirectly, controls an insurer. See
- insurer: means any person, firm, association, or corporation duly licensed to transact an insurance business in this State. See
- Producer: means an agent, broker, or reinsurance intermediary licensed pursuant to subchapter 1 of this chapter. See
§ 4816. Applicability of subchapter to controlling producers
(a) The provisions of this subchapter shall apply to a controlling producer if, in any calendar year, the aggregate amount of gross written premium on business placed with a controlled insurer is greater than or equal to five percent of the admitted assets of the controlled insurer, as reported in the controlled insurer’s quarterly statement filed as of September 30 of the prior year.
(b) The provisions of this subchapter shall not apply if the controlling producer:
(1) places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer’s holding company system, or the controlled insurer’s parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance;
(2) accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and
(3) the controlled insurer, except for insurance business written through a residual market facility such as The Vermont Automobile Insurance Plan, accepts insurance business only from a controlling producer, a producer controlled by the controlled insurer, or a producer that is a subsidiary of the controlled insurer. (Added 1991, No. 249 (Adj. Sess.), § 18, eff. Jan. 1, 1993.)