2019 Louisiana Laws
Revised Statutes
Title 22 - Insurance
§1570.1. Requirement for professional liability coverage
RS 1570.1 - Requirement for professional liability coverage
A.(1) Every insurance producer who is actively writing insurance policies in this state and is subject to the provisions of R.S. 22:1570 shall maintain professional liability insurance or an errors and omissions policy which includes coverage for acts or omissions as a non-captive insurance producer and which policy is for the purpose of providing coverage for the benefit of the insured customers of the producer.
(2) An insurance producer who is duly empowered and authorized to act through or on behalf of another licensed insurance producer in the sale, solicitation, or negotiation of insurance may satisfy the requirements of this Subsection with professional liability coverage provided by the authorizing insurance producer.
B.(1) Every insurance producer who is actively writing insurance policies in this state and is required to be licensed pursuant to R.S. 22:1543 and who sells insurance products for which the premiums are financed, in whole or in part, by an insurance premium finance company as provided for in R.S. 9:3550 shall maintain professional liability insurance or an errors and omissions policy which includes coverage for acts or omissions as an insurance producer and which policy is for the purpose of providing coverage for the benefit of the insured customers of the producer.
(2) An insurance producer who is duly empowered and authorized to act through or on behalf of another licensed insurance producer in the sale, solicitation, or negotiation of insurance may satisfy the requirements of this Subsection with professional liability coverage provided by the authorizing insurance producer.
C. Should any insurance producer who is subject to the provisions of this Section fail to maintain professional liability insurance or an errors and omissions policy as provided in this Section, such failure shall constitute an unfair trade practice as provided for in R.S. 22:1963 and shall subject the insurance producer to the provisions of R.S. 22:1554(A)(6).
D. The provisions of this Section shall not apply to a producer licensed pursuant to R.S. 22:1547(A)(13).
Acts 2017, No. 380, §1.
