Ala. Admin. Code r. 482-1-058-.05

Current through Register Vol. 43, No. 1, October 31, 2024

Section 482-1-058-.05 - Responsibility Of Accepting Agents

(1) Any producer accepting business from another producer under the provisions of Section 27-7-34, herein to be known as the "accepting agent," has the responsibility of determining that the producer offering the business, herein to be known as the "producing agent," is properly licensed in this state as an insurance producer for the lines of insurance involved and that the policy is issued by a licensed insurer in accordance with its approved rules, rates and forms.

(2) Any producer accepting business from another producer under the provisions of Section 27-7-34, Code of Ala. 1975 shall be jointly responsible for servicing the policy along with the producing agent.

(3) Any credit extended by the accepting agent to the producing agent is done at the peril of the accepting agent.

(4) Commissions payable to the producing agent shall be commensurate with services performed.

Ala. Admin. Code r. 482-1-058-.05

New Rule: February 17, 1975; effective April 1, 1975. Revised: April 27, 2007; effective May 7, 2007. Filed with LRS April 27, 2007. Rule is not subject to the Alabama Administrative Procedure Act.

Author: Commissioner of Insurance

Statutory Authority:Code of Ala. 1975, § 27-2-17.