Montana § 33-2-303 - Filing And Endorsement Of Contract -- Submission Form

§ 33-2-303. Filing And Endorsement Of Contract -- Submission Form

Filing and endorsement of contract -- submission form. (1) Each insurance contract, cover note, or certificate of insurance procured and delivered as surplus lines insurance under this part, along with a submission form prescribed by the commissioner by rule, must be filed with: (a) the commissioner if Montana is the home state of the insured and: (i) the coverage is for a single-state risk; or (ii) the commissioner has not entered an agreement pursuant to 33-2-323 for multistate risks; (b) the clearinghouse, established pursuant to 33-2-323 , if in operation and if the commissioner has entered an agreement pursuant to 33-2-323 for multistate risks. (2) The commissioner shall establish by rule a submission form for reporting surplus lines transactions. The commissioner may establish different submission forms for insureds that independently procured insurance, surplus lines insurance producers, single-state risks, and multistate risks. The submission form for surplus lines insurance producers must include: (a) information regarding the producing producer's diligent efforts to place the coverage with authorized insurers and the results of the efforts; and (b) the producing insurance producer's affirmation that the producer has expressly advised the insured prior to placing the insurance that: (i) the surplus lines insurer with whom the insurance is placed is not authorized in this state and is not subject to the same supervision as an authorized insurer; and (ii) in the event of the insolvency of the surplus lines insurer, the property and casualty guaranty fund of the state will not pay losses under the surplus lines coverage. (3) A submission form filed under this section is subject to public inspection. (4) The commissioner may establish by rule an endorsement to be made on each insurance contract, cover note, or certificate of insurance procured and delivered as surplus lines insurance by a surplus lines insurance producer under this part advising the insured that the coverage is issued by an unauthorized insurer that is not covered by the property and casualty guaranty fund of this state if the unauthorized insurer becomes insolvent. The surplus lines insurance producer shall properly fill in and sign the endorsement.