US Laws, Codes, Statutes & Cases

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 10
                              PRODUCER LICENSING
    41-1019.  NOTIFICATION TO DIRECTOR OF TERMINATION. (1) An insurer or
authorized representative of the insurer that terminates the appointment,
employment,  contract or other insurance business relationship with a producer
shall notify the director within thirty (30) days following the effective date
of the termination, using a format prescribed by the director, if the reason
for termination is one of the reasons set forth in section 41-1016, Idaho
Code, or the insurer has knowledge that the producer was found by a court,
governmental body or self-regulatory organization authorized by law to have
engaged in any of the activities set forth in section 41-1016, Idaho Code.
Upon the written request of the director, the insurer shall provide additional
information, documents, records or other data pertaining to the termination or
activity of the producer.
    (2)  An insurer or authorized representative of the insurer that
terminates the appointment, employment, contract or other insurance business
relationship with a producer for any reason not set forth in section 41-1016,
Idaho Code, shall notify the director within thirty (30) days following the
effective date of the termination, using a format prescribed by the director.
Upon written request of the director, the insurer shall provide additional
information, documents, records or other data pertaining to the termination.
    (3)  The insurer or authorized representative of the insurer shall
promptly notify the director in a format acceptable to the director if, upon
further review or investigation, the insurer discovers additional information
that would have been reportable to the director in accordance with subsection
(1) of this section.
    (4)  A copy of any notification shall be provided to the producer as
follows:
    (a)  Within fifteen (15) days after making the notification required by
    subsections (1), (2) and (3) of this section, the insurer shall mail a
    copy of the notification to the producer at his or her last known address.
    If the producer is terminated for cause for any other reasons listed in
    section 41-1016, Idaho Code, the insurer shall provide a copy of the
    notification to the producer at his or her last known address by certified
    mail, return receipt requested, postage prepaid or by overnight delivery
    using a nationally recognized carrier.
    (b)  Within thirty (30) days after the producer has received the original
    or additional notification, the producer may file written comments
    concerning the substance of the notification with the director. The
    producer shall, by the same means, simultaneously send a copy of the
    comments to the reporting insurer, and the comments shall become a part of
    the director's file and shall accompany every copy of a report distributed
    or disclosed for any reason about the producer as permitted under
    subsection (6) of this section.
    (5)  Immunities.
    (a)  In the absence of actual malice, an insurer, the authorized
    representative of the insurer, a producer, the director, or an
    organization of which the director is a member and that compiles
    information and makes it available to other insurance directors or
    regulatory or law enforcement agencies, shall not be subject to civil
    liability, and a civil cause of action of any nature shall not arise
    against these entities or their respective agents or employees as a result
    of any statement or information required by or provided pursuant to this
    section or any information relating to any statement that may be requested
    in writing by the director from an insurer or producer or as a result of
    any statement by a terminating insurer or producer to an insurer or
    producer limited solely and exclusively to whether a termination for cause
    under subsection (1) of this section was reported to the director,
    provided that the propriety of any termination for cause under subsection
    (1) of this section is certified in writing by an officer or authorized
    representative of the insurer or producer terminating the relationship.
    (b)  In any action brought against a person that may have immunity under
    paragraph (a) of this subsection for making any statement required by this
    section or providing any information relating to any statement that may be
    requested by the director, the party bringing the action shall plead
    specifically in any allegation that paragraph (a) of this subsection does
    not apply because the person making the statement or providing the
    information did so with actual malice.
    (c)  Paragraph (a) or (b) of this subsection shall not abrogate or modify
    any existing statutory or common law privileges or immunities.
    (6)  Confidentiality.
    (a)  Any documents, materials or other information obtained by the
    director in an investigation pursuant to this section shall be exempt from
    public disclosure under chapter 3, title 9, Idaho Code.
    (b)  In order to assist in the performance of the director's duties under
    this chapter, the director:
         (i)   May share documents, materials or other information, including
         confidential and privileged documents and materials or information
         subject to paragraph (a) of this subsection, with other state,
         federal and international regulatory agencies and law enforcement
         authorities, and with the national association of insurance
         commissioners, its affiliates or subsidiaries, provided that the
         recipient agrees to maintain the confidentiality and privileged
         status of the documents, materials or other information;
         (ii)  May receive documents, materials or information, including
         otherwise confidential and privileged documents, materials or
         information, from the national association of insurance
         commissioners, its affiliates or subsidiaries and from regulatory
         agencies and law enforcement authorities of other foreign or domestic
         jurisdictions, and shall maintain as confidential or privileged any
         documents, materials or information received with notice or with the
         understanding that they are confidential or privileged under the laws
         of the jurisdiction that is the source of the documents, materials or
         information; and
         (iii) May enter into agreements governing sharing and use of
         information consistent with this subsection.
    (c)  No waiver of any applicable privilege or claim of confidentiality in
    the documents, materials or information shall occur as a result of
    disclosure to the director under this section or as a result of sharing as
    authorized in paragraph (b) of this subsection.
    (d)  Nothing in this chapter shall prohibit the director from releasing
    final adjudicated actions, including for cause terminations that are open
    to public inspection pursuant to chapter 3, title 9 and title 41, Idaho
    Code, to a database or other clearinghouse service maintained by the
    national association of insurance commissioners or its affiliates or
    subsidiaries.
    (7)  Penalties for failing to report. An insurer, the authorized
representative of the insurer, or a producer who fails to report as required
under the provisions of this section or who is found by a court of competent
jurisdiction to have reported with actual malice may, after notice and
hearing, have his license or certificate of authority suspended or revoked and
may be fined in accordance with section 41-1016 or 41-327, Idaho Code.