A BILL TO BE ENTITLED AN ACT TO ALLOW THE DEPARTMENT OF INSURANCE TO LICENSE NATIONAL TRAVEL INSURANCE PRODUCERS TO SELL TRAVEL INSURANCE THROUGH THIRD-PARTY TRAVEL RETAILERS.
Creates new GS 58, Article 44B (Limited Line Travel Insurance), providing definitions to be used in this section, including limited lines travel insurance producer, offer and disseminate, travel insurance, and travel retailer. Provides that the Commissioner of Insurance (Commissioner) can issue to any indivdual or business entity a limited lines travel insurance producer license, authorizing the limited lines travel insurance producer to sell, solicit, or negotiate travel insurance through a licensed insurer.
Provides that a travel retailer can offer and disseminate travel insurance, under the license described above, only if certain conditions are met, found in GS 58-44B-2(b).
Provides that any travel retailer offering or disseminating travel insurance will make available to prospective purchasers brochures or other written materials that must include all of the following: (1) identity and contact information of the insurer and the producer, (2) an explanation that travel insurance is not required in order to purchase any other product or service from the travel retailer, (3) a disclaimer that an unlicensed travel retailer is permitted to provide general information about the insurance offered but cannot answer technical questions about the terms and conditions of the insurance offered by the travel retailer or evaluate adequacy of existing coverage.
A travel retailer's employee who is not licensed cannot evaluate or interpret technical terms, benefits, and conditions of the travel insurance coverage, evaluate or provide advice on a prospective puchaser's existing insurance coverage, or hold itself out as a licensed insurer, licensed producer, or insurance expert.
Provides that travel insurance can be provided under an individual policy or a group or master policy. The insurance producer is responsible for the acts of the travel retailer and will use reasonable means to ensure compliance by the travel retailer.
Provides that the limited lines travel insurance producer will be subject to the provisions of Article 63 and to the full enforcement of the Commisssioner granted by Article 2.
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