83-19-207 - Written authorization required for transactions between reinsurance intermediary broker and insurer; minimum contents of authorization. - Mississippi Statutes

§ 83-19-207. Written authorization required for transactions between reinsurance intermediary broker and insurer; minimum contents of authorization.
 

Transactions between a reinsurance intermediary broker and the insurer it represents in such capacity shall only be entered into pursuant to a written authorization, specifying the responsibilities of each party. The authorization shall, at a minimum, contain provisions that: 
 

(a) The insurer may terminate the reinsurance intermediary broker's authority at any time. 

(b) The reinsurance intermediary broker 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 reinsurance intermediary broker, and remit all funds due to the insurer within thirty (30) days of receipt. 

(c) All funds collected for the insurer's account shall be held by the reinsurance intermediary broker in a fiduciary capacity in a bank which is a qualified U.S. financial institution as defined herein. 

(d) The reinsurance intermediary broker shall comply with Section 83-19-209. 

(e) The reinsurance intermediary broker shall comply with the written standards established by the insurer for the cession or retrocession of all risks. 

(f) The reinsurance intermediary broker shall disclose to the insurer any relationship with any reinsurer to which business will be ceded or retroceded. 
 

Sources: Laws,  1992, ch. 330, § 4, eff from and after July 1, 1992.