2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 510 - MANAGING GENERAL AGENTS AND THIRD=PARTY ADMINISTRATORS
510.6 - DUTIES OF INSURERS.

        510.6  DUTIES OF INSURERS.
         1.  An insurer shall have on file an independent financial
      examination, in a form acceptable to the commissioner, of each
      managing general agent with which the insurer does or has done
      business.
         2.  If a managing general agent establishes loss reserves, the
      insurer shall annually obtain the opinion of an actuary attesting to
      the adequacy of loss reserves established for losses incurred and
      outstanding on business produced by a managing general agent.  This
      is in addition to any other required loss reserve certification.
         3.  An insurer shall periodically, but at least semiannually,
      conduct an on-site review of the underwriting and claims processing
      operations of each managing general agent with which the insurer is
      currently doing business.
         4.  Binding authority for all reinsurance contracts or
      participation in insurance or reinsurance syndicates shall rest with
      an officer of the insurer, who is not affiliated with the managing
      general agent.
         5.  Within thirty days of entering into or termination of a
      contract with a managing general agent, the insurer shall provide
      written notification of the appointment or termination to the
      commissioner.  A notice of appointment of a managing general agent
      must include a statement of duties which the applicant is expected to
      perform on behalf of the insurer, the lines of insurance for which
      the applicant is to be authorized to act, and any other information
      the commissioner may request.
         6.  An insurer shall review its books and records each quarter and
      determine if any insurance producer, as defined by section 510A.2,
      has become, by operation of section 510.1B, subsection 4, a managing
      general agent as defined in that section.  If the insurer determines
      that an insurance producer has become a managing general agent by
      operation of section 510.1B, subsection 4, the insurer shall promptly
      notify the insurance producer and the commissioner of such
      determination and the insurer and insurance producer shall fully
      comply with the provisions of this chapter within thirty days.
         7.  An insurer shall not appoint to its board of directors an
      officer, director, employee, insurance producer, or controlling
      shareholder of a managing general agent of the insurer.  This
      subsection shall not apply to relationships governed by chapter 521A
      relating to the regulation of insurance company holding systems, or,
      if applicable, by chapter 510A relating to the regulation of
      insurance producer controlled property and casualty insurers.  

         91 Acts, ch 26, §5; 91 Acts, ch 258, §56; 2004 Acts, ch 1101, §71
         Referred to in § 510.5, 510.10