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Current as of January 01, 2022 | Updated by FindLaw Staff
(a) No person in this Commonwealth shall directly or indirectly act as a producer for, or otherwise represent or aid on behalf of another, any nonadmitted insurer in the solicitation, negotiation, procurement or effectuation of insurance, or renewals thereof, or forwarding of applications, or delivery of policies or contracts or inspection of risks, or fixing of rates, or investigation or adjustment of claims or losses, or collection or forwarding of premiums, or in any other manner represent or assist such insurer in the transaction of insurance.
(b) If the nonadmitted insurer is not an eligible surplus lines insurer and fails to pay a claim or loss within the provisions of the insurance contract, a person who assisted or in any manner aided, directly or indirectly, in the procurement of the insurance contract shall be liable to the insured for the full amount payable under the provisions of the insurance contract.
(c) This section does not apply to any of the following:
(1) Surplus lines insurance if it is effected and written pursuant to this article.
(2) Insurance effected with a nonadmitted insurer pursuant to sections 1606 and 1610. 1
(3) Transactions for which a certificate of authority to do business is not required of an insurer under the insurance laws of this Commonwealth.
(4) Reinsurance.
(5) Wet marine and transportation insurance.
(6) Transactions subsequent to issuance of a policy in which this Commonwealth becomes the home state.
(7) Transactions involving risk retention groups chartered and licensed outside of this Commonwealth.
Cite this article: FindLaw.com - Pennsylvania Statutes Title 40 P.S. Insurance § 991.1603. Acting for or aiding nonadmitted insurers - last updated January 01, 2022 | https://codes.findlaw.com/pa/title-40-ps-insurance/pa-st-sect-40-991-1603/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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