§ 2119. Insurance agents, brokers, consultants, life settlement\nbrokers, and title insurance agents; written contract for compensation;\nexcess charges prohibited.\n (a) (1) No person licensed as an insurance agent, broker or consultant\nmay receive any fee, commission or thing of value for examining,\nappraising, reviewing or evaluating any insurance policy, bond, annuity\nor pension or profit-sharing contract, plan or program or for making\nrecommendations or giving advice with regard to any of the above, unless\nsuch compensation is based upon a written memorandum signed by the party\nto be charged and specifying or clearly defining the amount or extent of\nsuch compensation.\n (2) A copy of every such memorandum or contract shall be retained by\nthe licensee for not less than three years after such services have been\nfully performed.\n (b) (1) No person licensed as an insurance agent, broker or a\nconsultant may receive any compensation, direct or indirect, as a result\nof the sale of insurance or annuities to, or the use of securities or\ntrusts in connection with pensions for, any person to whom any such\nlicensee has performed any related consulting service for which he has\nreceived a fee or contracted to receive a fee within the preceding\ntwelve months unless such compensation is provided for in the memorandum\nor contract required pursuant to subsection (a) hereof.\n (2) This chapter shall not prohibit the offset, in whole or in part,\nof compensation payable under subsection (a) hereof by compensation\notherwise payable to such consultant as agent or broker as a result of\nsuch sale of insurance or annuities or the use of securities or trusts\nin connection with pensions, if any such offset is provided for in the\nwritten memorandum or contract required under subsection (a) hereof.\n (c) (1) No insurance broker may receive any compensation, other than\ncommissions deductible from premiums on insurance policies or contracts,\nfrom any insured or prospective insured for or on account of the sale,\nsolicitation or negotiation of, or other services in connection with,\nany contract of insurance made or negotiated in this state or for any\nother services on account of such insurance policies or contracts,\nincluding adjustment of claims arising therefrom, unless such\ncompensation is based upon a written memorandum, signed by the party to\nbe charged, and specifying or clearly defining the amount or extent of\nsuch compensation.\n (2) A copy of every such memorandum shall be retained by the broker\nfor not less than three years after such services have been fully\nperformed.\n (3) This subsection shall not affect the right of any such broker to\nrecover from the insured the amount of any premium or premiums for\ninsurance effectuated by or through such broker.\n (4) This subsection shall not affect the requirements of subsection\n(a) or (b) hereof, subsection (g) of section two thousand one hundred\none or section two thousand one hundred eight of this article.\n (d) No insurance broker shall, in connection with the sale,\nsolicitation or negotiation, issuance, delivery or transfer in this\nstate of any contract of insurance made or negotiated in this state,\ndirectly or indirectly charge, or receive from, the insured or\nprospective insured therein any greater sum than the rate of premium\nfixed therefor by the insurer obligated as such therein, unless such\nbroker has a right to compensation for services created in the manner\nspecified in subsection (c) of this section.\n (e)(1) No person licensed as a life settlement broker may receive any\ncompensation for examining, appraising, reviewing or evaluating any life\nsettlement contract or for making recommendations or giving advice with\nregard to such contract; or receive any compensation from any owner or\nproposed owner for or on account of the solicitation or negotiation of,\nor other services in connection with, any life settlement contract\nsubject to
‹ Prev All New York sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.