South Dakota Code § 58-30-171

Payment to unlicensed insurance producer prohibited
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No insurer or insurance producer may pay a commission, service fee, brokerage, or other valuable consideration to a person for selling, soliciting, or negotiating insurance in this state if that person is required to be licensed under §§
58-30-141
to
58-30-195
, inclusive, and is not so licensed. Nothing in this section allows an insurer to pay commissions to a nonappointed insurance producer if an appointment is otherwise required.

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