Oklahoma § 36-5108 - Duties of RM

§ 36-5108. Duties of RM

The RM shall not:

1. Bind retrocessions on behalf of the reinsurer, except that

the RM may bind facultative retrocessions pursuant to obligatory

facultative agreements if the contract with the reinsurer contains

reinsurance underwriting guidelines for such retrocessions. Such

guidelines shall include a list of reinsurers with which such

automatic agreements are in effect, and for each such reinsurer, the

coverages and amounts or percentages that may be reinsured, and

commission schedules;

2. Commit the reinsurer to participate in reinsurance

syndicates;

3. Appoint any producer without assuring that the producer is

lawfully licensed to transact the type of reinsurance for which he

is appointed;

4. Without prior approval of the reinsurer, pay or commit the

reinsurer to pay a claim or net of retrocessions, that exceeds the

lesser of an amount specified by the reinsurer or one percent (1%)

of the reinsurer's policyholder's surplus as of December 31 of the

last complete calendar year;

5. Collect any payment from a retrocessionaire or commit the

reinsurer to any claim settlement with a retrocessionaire, without

prior approval of the reinsurer. If prior approval is given, a

report shall be forwarded promptly to the reinsurer;

Oklahoma Statutes - Title 36. Insurance

6. Jointly employ an individual who is employed by the

reinsurer; or

7. Appoint a sub-RM.

Added by Laws 1992, c. 178, § 29, eff. Sept. 1, 1992.