Transactions between an RB and the insurer the RB represents in such capacity shall be entered into only pursuant to a written authorization, specifying the responsibilities of each party. The authorization shall, at a minimum, contain provisions that:
1. The insurer may terminate the authority of the RB at any time;
2. The RB shall render accounts to the insurer accurately detailing all material transactions, including information necessary to support all commissions, charges and other fees received by, or owing, to the RB, and remit all funds due to the insurer within thirty (30) days of receipt;
3. All funds collected for the insurer's account shall be held by the RB in a fiduciary capacity in a bank which is a qualified U.S. financial institution;
4. The RB shall comply with Section 26 of this act;
5. The RB shall comply with the written standards established by the insurer for the cession or retrocession of all risks; and
6. The RB shall disclose to the insurer any relationship with any reinsurer to which business will be ceded or retroceded.
Added by Laws 1992, c. 178, § 25, eff. Sept. 1, 1992.
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