SECTIONS 1758.1-1758.5 - California Statutes

INSURANCE CODE

SECTION 1758.1-1758.5

1758.1. For the purpose of making provision for the issuance of
policies or contracts authorized by Article 5 (commencing with
Section 10506) of Chapter 5 of Division 2, the commissioner may grant
authority to transact variable contracts to a person or a natural
person named on a license of an organization licensed as a life agent
which is appointed by an admitted insurer which is required to
register itself or to register a separate account or fund with the
United States Securities and Exchange Commission under the Federal
Investment Company Act of 1940, or to register its variable policies
or contracts with the Securities and Exchange Commission under the
Federal Securities Act of 1933, and has complied with that
requirement.
No person shall act as an agent of the insurer in the transaction
of the policies or contracts unless he or she holds a valid authority
under this article.

1758.2. Any authority granted pursuant to the provisions of this
article shall be effective only while a permanent underlying life
agent's license remains in full force and effect. The provisions of
subdivision (b) of Section 1704 relating to the inactivation and
reactivation of the underlying life agent's license, and the renewal
thereof, shall apply to any authority issued pursuant to this
article, except that references to agency appointments and
terminations shall relate only to the underlying life agent's
license. Such authority may be revoked, suspended, or otherwise
affected for the same reasons and by the same procedures as a life
agent's license.

1758.3. The commissioner shall not grant authority to transact
variable contracts unless the life agent or applicant furnishes proof
that he or she is registered to sell securities in accordance with
the rules of the United States Securities and Exchange Commission or
the Financial Industry Regulatory Authority.

1758.5. The commissioner may, pursuant to Chapter 4.5 (commencing
with Section 11371), Part 1, Division 3, Title 2 of the Government
Code, adopt reasonable rules and regulations necessary for the
convenient administration of this article.