Insurance Agents, Brokers, Adjusters, Consultants and Intermediaries

What this document is

New York Insurance Law Article 21 - Insurance Agents, Brokers, Adjusters, Consultants and Intermediaries (Secs. 2101-2140) is a state statute published by New York State Senate, NYS Open Legislation (nysenate.gov). It is one of the New York documents that insurance license exam questions are written from, including new york life & health, new york property & casualty, new york personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• N.Y. Ins. Law Article 21 § 2102(a)(1)(A) (Acting Without a License)

  “No person, firm, association or corporation shall act as an insurance producer, insurance adjuster or life settlement broker in this state without having authority to do so by virtue of a license issued and in force pursuant to the provisions of this chapter.”

• N.Y. Ins. Law Article 21 § 2114(b) (Life, Accident and Health Insurance Agents; Commissions)

  “If any licensed life insurance agent who or which has received an application for a life insurance or annuity contract is unable after reasonable diligence to obtain all or any part of such insurance from the life insurer or insurers which he or it is licensed to represent, such agent may solicit,...”

• N.Y. Ins. Law Article 21 § 2101(c) (Definition of Insurance Broker)

  “In this article, "insurance broker" means any person, firm, association or corporation who or which for any compensation, commission or other thing of value acts or aids in any manner in soliciting, negotiating or selling, any insurance or annuity contract or in placing risks or taking out...”

• N.Y. Ins. Law Article 21 § 2132(h) (Continuing Education; Effect of Noncompliance on Renewal)

  “Any person failing to meet the requirements imposed by this section shall not be eligible to renew the license. (2) Any person whose license was not renewed shall not be eligible to become relicensed during the next biennial licensing period until that person has demonstrated to the satisfaction of...”

• N.Y. Ins. Law Article 21 § 2107(e) (Insurance Consultants; Licensing and Duties)

  “No person licensed as an insurance consultant under this section may be an executive in or employee of or own any shares which give him a substantial interest, direct or indirect, in any authorized insurer.”

• N.Y. Ins. Law Article 21 § 2103(c) (Insurance Agents; Licensing: Sub-Licensees of a Firm or Corporation)

  “any such license issued to a corporation shall authorize only the officers and directors thereof, named in such license as sub-licensees, to act individually as agents thereunder. Every sub-licensee, acting as insurance agent pursuant to such a license shall be authorized so to act only in the name of the licensee.”

• N.Y. Ins. Law Article 21 § 2102(e)(2) (Renewal and Deferred Commissions)

  “Renewal or other deferred commissions may be paid to a person or other entity for selling, soliciting or negotiating insurance in this state if the person or other entity was required to be licensed under this article at the time of the sale, solicitation or negotiation and was so licensed at that time.”

• N.Y. Ins. Law Article 21 § 2103(f)(1) (Insurance Agents; Licensing: Qualifying Examination and Fee)

  “Every individual applying to take any written examination shall, at the time of applying therefor, pay to the superintendent, or, at the discretion of the superintendent, directly to any organization that is under contract to provide examination services, an examination fee of an amount which is...”

• N.Y. Ins. Law Article 21 § 2120(a) (Fiduciary Capacity of Insurance Agents and Brokers)

  “Every insurance agent, title insurance agent, and insurance broker acting as such in this state shall be responsible in a fiduciary capacity for all funds received or collected as insurance agent or insurance broker, and shall not, without the express consent of his, her or its principal, mingle...”

• N.Y. Ins. Law Article 21 § 2110(a)(1) (Grounds for Refusal to Renew, Revocation or Suspension)

  “The superintendent may refuse to renew, revoke, or may suspend for a period the superintendent determines the license of any insurance producer, insurance consultant, adjuster or life settlement broker, if, after notice and hearing, the superintendent determines that the licensee or any...”

• N.Y. Ins. Law Article 21 § 2101(g)(1) (Definition of Independent Adjuster)

  “The term "independent adjuster" means any person, firm, association or corporation who, or which, for money, commission or any other thing of value, acts in this state on behalf of an insurer in the work of investigating and adjusting claims arising under insurance contracts issued by such insurer...”

• N.Y. Ins. Law Article 21 § 2112(b) (Certificate of Appointment: Notice of Appointment Filing)

  “To appoint a producer, the appointing insurer shall file, in a format approved by the superintendent, a notice of appointment within fifteen days from the date the agency contract is executed or the first insurance application is submitted.”

Practice this material

Questions about this source

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• 11 NYCRR Chapter IX (Unfair Trade Practices), Parts 216 and 218 - New York unfair claims settlement practices and claim cost control measures, and the prohibition against geographical redlining (Part 216 = Regulation 64; Part 218 = Regulation 90)Regulation
• 11 NYCRR Parts 27 and 30 - New York excess line placements governing standards and producer compensation transparency (Part 27 = Regulation 41; Part 30 = Regulation 194)Regulation
• 11 NYCRR Chapter III Subchapter B (Property and Casualty Insurance), Subpart 60-2 and Parts 67 and 73 - New York supplementary uninsured/underinsured motorists insurance, mandatory underwriting inspection of private passenger automobiles, and claims-made policy standards (Subpart 60-2 = Regulation 35-A; Part 67 = Regulation 79; Part 73 = Regulation 121)Regulation
• 11 NYCRR Chapter II (Agents, Brokers and Adjusters), Parts 20, 21, 22, 23 and 34 - New York producer licensing, examination, fiduciary, recordkeeping and place-of-business rules (Part 20 = Regulations 9, 18 and 29; Part 21 = Regulation 5; Part 22 = Regulation 6; Part 23 = Regulation 7; Part 34 = Regulation 125)Regulation
• 11 NYCRR Part 243 (Chapter X, Records) and Part 420 (Chapter XIX) - New York standards of records retention by insurance companies, and privacy of consumer financial and health information (Part 243 = Regulation 152; Part 420 = Regulation 169)Regulation
• 23 NYCRR Part 500 - Cybersecurity Requirements for Financial Services Companies (New York Department of Financial Services; the Part the New York P&C exam outline cites as "Reg 23")Regulation
• Seventh Amendment to 11 NYCRR Part 67 (Insurance Regulation 79) -- Mandatory Underwriting Inspection Requirement for Private Passenger Automobiles, sections 67.2 and 67.3 as adoptedRegulation
• N.Y. Ins. Law s. 3203: Individual life insurance policies; standard provisionsState statute