Wyo. Code R. 044-0002-16
Effective Date: 08/11/2006 to 12/09/2016
Rule Type: Superceded Rules & Regulations
Reference Number: 044.0002.16.08112006
REGULATION GOVERNING INSURANCE COMPANY APPOINTMENTS OF PRODUCERS
Section 1. Authority
These rules and regulations governing the company appointment of producers are promulgated pursuant to the authority granted by Wyo. Stat. §§ 26-2-110 and 26-9-217 of the Wyoming Insurance Code and the Wyoming Administrative Procedure Act (Wyo. Stat. § 16-3-101, et seq.).
Section 2. Purpose
The purpose of these rules and regulations is to establish a procedure for adding, terminating and continuing an insurance producer's company appointment.
Section 3. Definitions
(a) "Appointment" means a notification filed with the insurance department that an insurer has established an agency relationship with a producer.
(b) "Appointment continuation" means continuation of a company's existing appointment based on payment of the required fee without submission of an appointment form.
(c) For purposes of this regulation, "producer" includes title agents as defined in Wyo. Stat. § 26-23-303(a)(xix).
(d) "Termination for cause" means an insurer has ended its agency relationship with a producer for one of the reasons set forth in Wyo. Stat. § 26-9-211 or that the producer has been found by a court, governmental body or self-regulatory organization authorized by law to have engaged in any of the activities set forth in Wyo. Stat. § 26-9-211.
Section 4. Producer Appointment
(a) Each insurer appointing a producer in this state shall within 15 days from the date the agency contract is executed or the first insurance application is submitted file with the commissioner a notice of producer appointment in a form acceptable to the commissioner. Prior to submitting a notice of appointment, the appointing insurer shall verify that the producer is licensed and qualified to sell all products the producer sells for that insurer.
(b) Notwithstanding subsection (a), each insurer appointing a title agent in this state shall, at the time the request for title agent license is submitted, file with the commissioner a notice of producer appointment in a form acceptable to the commissioner.
(c) An insurer may file a notice of appointment electronically by accessing links to vendors through the Department's website at http://insurance.state.wy.us. If an insurer cannot file a request electronically, then the insurer may file a paper form.
(d) Failure to timely file appointment requests pursuant to Section 4(a) may subject an insurer to sanctions under Wyo. Stat. § 26-1-107.
Every producer appointment made by an insurer pursuant to the provisions of the Wyoming Insurance Code and these rules and regulations shall be permanent and remain in effect perpetually, subject to the payment of an annual continuation fee as specified in Wyo. Stat. § 26-4-101, until terminated by the appointing insurer or appointed producer, by failure to pay such continuation fee as provided by these rules and regulations or by cancellation or revocation of the producer's license.
(a) Annually, prior to March 31, the commissioner will generate and deliver to each insurer an invoice and will include a list of all active appointments to be continued. The invoice may not be altered, amended or used for appointing or terminating producers. Annually, on or before March 31, each insurer shall return to the commissioner the invoice accompanied by payment of the annual continuation of appointment fee as specified in Wyo. Stat. § 26-4-101. Failure to submit the proper continuation of appointment fee on or before March 31 as required shall result in the termination of the insurer's producer appointments.
(b) Each insurer terminating a producer appointment for any reason shall file with the commissioner a notice of producer appointment termination in a form acceptable to the commissioner. An insurer may file a notice of termination electronically by accessing links to the vendors through the department's website at http://insurance.state.wy.us. If an insurer cannot file a request electronically, then the insurer may file a paper form.
(c) If any insurer terminates a producer appointment for cause, the insurer must submit a completed Termination for Cause form and written documentation in accordance with Wyo. Stat. § 26-9-214.
If any provision of these rules and regulations or application thereof to any person or circumstance is for any reason held to be invalid, the remainder of these rules and regulations and the application thereof to other persons and circumstances shall not be affected thereby.
These rules and regulations shall become effective upon filing with the Secretary of State.