Code of Virginia Title 38.2 Chapter 18, §§ 38.2-1800 through 38.2-1890, 127 sections: Insurance Agents

What this document is

Code of Virginia Title 38.2 Chapter 18 - Insurance Agents (§§ 38.2-1800 through 38.2-1890, 127 sections) is a state statute published by Virginia General Assembly, Division of Legislative Automated Systems (Virginia Law Portal, law.lis.virginia.gov). It is one of the Virginia documents that insurance license exam questions are written from, including virginia property & casualty, virginia 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.

• Va. Code Sec. 38.2-1813(D) (Reporting and accounting for premiums; appointed agent under a written remittance contract)

  “This section shall not require any agent who is a duly appointed agent of an insurer and who has a written contractual relationship with such insurer which includes provisions regarding remittance of funds to maintain a separate fiduciary account for the funds. Such funds shall be held separately...”

• Va. Code Sec. 38.2-1821.1(B)(8) (Exceptions to licensing; referrals)

  “Any person who refers a customer who seeks to purchase any insurance product to a licensed agent and receives compensation for the referral of a customer, provided that: a. The referral does not include a discussion of specific insurance policy terms and conditions; b. The compensation is in the...”

• Va. Code Sec. 38.2-1857.1 (Property and casualty agents may be licensed as surplus lines brokers)

  “The Commission may issue a surplus lines broker's license to any individual or business entity actively licensed as a property and casualty insurance agent for the procuring of insurance of the classes enumerated in §§ 38.2-109 through 38.2-122.2 and §§ 38.2-124 through 38.2-134 from eligible...”

• Va. Code Sec. 38.2-1833(A)(1) (Appointments of agents; the insurer on a first application)

  “1. The insurer shall, within 30 calendar days of the date of execution of the first insurance application or policy submitted by a licensed but not yet appointed agent, either reject such application or policy or notify the Commission of the appointment in a manner acceptable to the Commission.”

• Va. Code Sec. 38.2-1825(C) (Duration and termination; resident surplus lines broker license)

  “C. The license issued to a resident surplus lines broker pursuant to this title shall terminate immediately upon the termination of the licensee's property and casualty insurance agent license, and may not be applied for again until the person has been issued a new property and casualty insurance agent license.”

• Va. Code Sec. 38.2-1812(F) (Payment and sharing of commissions; sharing with an unlicensed person)

  “Except as provided in subdivision B 8 of § 38.2-1821.1, no agent or surplus lines broker shall directly or indirectly share his commissions or other compensation received or to be received by him on account of a transaction under his license with any person not also then licensed under this...”

• Va. Code Sec. 38.2-1812.2(A) (Administrative charges in excess of premium prohibited; exceptions)

  “A. Notwithstanding the provisions of § 38.2-310 and Article 4 (§ 38.2-1837 et seq.) of this chapter, no agent shall charge, or demand or receive from, an applicant for insurance or a policyholder any consideration in return for rendering services associated with a contract of insurance, when the...”

• Va. Code Sec. 38.2-1801(B) (Premium paid to an agent treated as payment to the insurer)

  “B. A premium payment made by an insured to an agent, whether appointed by an insurer or not, or to a surplus lines broker, where the insurer or its appointed agent acknowledged specific insurance for a specific policy period by the issuance of a policy, written binder, or other contract of...”

• Va. Code Sec. 38.2-1802(A) (Acting as agent for an unlicensed insurer prohibited)

  “A. No person other than a licensed surplus lines broker shall sell, solicit, or negotiate contracts of insurance in this Commonwealth on behalf of any insurer which is not licensed to transact the business of insurance in this Commonwealth. Nothing in this section shall prohibit any person from...”

• Va. Code Sec. 38.2-1871(B) (Licensees not subject to the continuing education requirements)

  “B. The following licensees are not subject to the continuing education course requirements set forth in this article: 1. Life and health insurance consultants who are also licensed both as life and annuities insurance agents and as health agents and who satisfy the continuing education course...”

• Va. Code Sec. 38.2-1826(D) (Requirement to report to Commission; resident agent who moves his residence)

  “D. The license authority of any licensed resident agent shall terminate immediately when such agent has moved his residence from the Commonwealth, whether or not the Commission has been notified of such move.”

• Va. Code Sec. 38.2-1800 (Definitions; "License")

  “"License" means a document issued by the Commission authorizing an individual or business entity to act as an insurance producer for the lines of authority specified in the document. Except as provided in § 38.2-1833, the license itself does not create any authority, actual, apparent or inherent,...”

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More Virginia sources

• Virginia Code s. 38.2-1809 - Records; fiduciary duties of agentsState statute
• Virginia Code s. 38.2-1822 - License required; agentsState statute
• Virginia Code s. 38.2-1826 - Reporting of actions; agentsState statute
• Virginia Code s. 38.2-1831 - Prohibited practices; grounds for license refusal, suspension, or revocationState statute
• Virginia Code s. 38.2-1833 - Appointment of agentsState statute
• Virginia Code s. 38.2-1834 - Termination of agent appointmentState statute
• Virginia Code s. 38.2-1837 - Appointment of agentsState statute
• Virginia Code s. 38.2-1845 - Continuing educationState statute