Tennessee § 56-14-104 - Surplus lines agent's license.

§ 56-14-104. Surplus lines agent's license.

The commissioner may issue a surplus lines license to any agent licensed pursuant to chapter 6 of this title. Such license shall grant the agent authority to procure the kinds of insurance provided for in this chapter from unauthorized companies in this state under the conditions prescribed in this chapter. Every license issued pursuant to this section shall be for a twenty-four month term. A license fee in the amount of one hundred and twenty dollars ($120) shall be paid to the commissioner in advance of issuance or renewal of a license. Licenses expiring on December 31, 2011, shall be extended until the next scheduled renewal of a producer's license issued under chapter 6 of this title and may be renewed biennially thereafter. New licenses issued on or after January 1, 2012, may be renewed for ensuing periods of twenty-four (24) months expiring on the last day of the producer's birth month. Before the commissioner may issue or renew a license, the agent seeking licensure or renewal of a license shall file an application in a form that the commissioner prescribes. Before a license is issued, the applicant shall hold a valid license from the department authorizing the applicant to write the coverages provided for in this chapter with a company licensed to transact business in this state. The commissioner may participate in the NAIC producer licensing database. An agent licensed pursuant to this section may accept insurance provided for in this chapter from any insurance producer licensed pursuant to chapter 6 of this title and place that insurance with an eligible surplus lines insurer licensed pursuant to this chapter. The agent may compensate the insurance producer according to § 56-14-115. Acts 1969, ch. 270, § 4; T.C.A., § 56-3804; Acts 2001, ch. 333, § 5; 2011, ch. 446, § 1; 2018, ch. 580, § 1. Code Commission Notes. Former part 1 of this chapter was deleted and renumbered as T.C.A. §§ 56-14-101 to 56-14-117 by authority of the Code Commission in 2016. Compiler's Notes. Acts 2001, ch. 333, § 9 provided that the purpose of the act is to afford the insurance division of the department of commerce and insurance the ability to obtain sufficient staff and resources to adequately implement title 56 and title 55, chapter 18, part 1 as related to the regulation of the business of insurance. Notwithstanding any law to the contrary, the increase in revenues generated by passage of the act shall be utilized by the department to defray the expenses of improvements to the department's insurance division incurred in the regulation of the business of insurance, including the expenses associated with any improvements to the division deemed necessary from time to time by the commissioner. The improvements contemplated by the act shall be in addition to the base level funding appropriated to the insurance division in the fiscal year ending June 30, 2001. The commissioner is directed to identify the increase in revenues generated by the act and the expenditures associated with the increase, and annually inform the commissioner of finance and administration of the amount of any unexpended revenues. The commissioner of finance and administration at the close of each fiscal year shall reserve any excess revenues raised by the act and unspent by the department of commerce and insurance, until expended for purposes consistent with the act. The funds shall not revert to the general fund on any June 30, and excess revenues shall not revert on any June 30, but shall remain available only for the benefit of the department of commerce and insurance's insurance division. Amendments. The 2018 amendment added (e). Effective Dates. Acts 2018, ch. 580, § 4. March 16, 2018.