31A-23a-802 - Required contract provisions -- Reinsurance intermediary-broker. - Utah Statutes

31A-23a-802. Required contract provisions -- Reinsurance intermediary-broker.
Transactions between a reinsurance intermediary-broker and the insurer it represents inthat capacity may only be entered into pursuant to a written authorization, which specifies theresponsibilities of each party. The authorization shall, at a minimum, provide that thereinsurance intermediary-broker:
(1) may have his authority terminated by the insurer at any time;
(2) will 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 that he will remit all funds due to theinsurer within 30 days of receipt;
(3) shall hold, in a fiduciary capacity, all funds collected for the insurer's account in afinancial institution, which is a qualified United States financial institution;
(4) will comply with Section 31A-23a-803;
(5) will comply with the written standards established by the insurer for the cession orretrocession of all risks; and
(6) will disclose to the insurer any relationship with any reinsurer to which business willbe ceded or retroceded.

Renumbered and Amended by Chapter 298, 2003 General Session