Current through Register Vol. 54, No. 52, December 28, 2024
Section 37a.10 - [Effective 2/12/2025] Business entity license(a) A business entity shall follow the procedures in section 605-A(b) of the act (40 P.S. § 310.5(b)), regarding resident and nonresident business entity license applications.(b) A license shall be required for each business entity, other than a sole proprietorship, which has a separate Federal tax identification number and engages in the business of insurance in this Commonwealth.(c) A license for a business entity will not be issued unless all members, partners, officers or directors or owners, with more than 10% interest or voting interest, are included on the application and all lines of authority of the business entity are also reflected on the combined licenses of the designated licensee or licensees thereof.(d) The designated licensee or licensees of a business entity must hold individually or in combination all the lines of authority held by the business entity. Partners or officers may not engage, either individually or on behalf of the business entity, in an act of an insurance producer requiring a line of authority that they do not individually hold.(e) If a designated licensee's insurance producer license is terminated, the business entity shall designate a licensed replacement within 15 days for each line of authority affected. If all affected lines of authority are terminated, failure to do so may result in the termination of the business entity's license.Adopted by Pennsylvania Bulletin, Vol 54, No. 50. December 14, 2024, effective 2/12/2025