2013 New York Consolidated Laws
ISC - Insurance
Article 21 - (2101 - 2138) AGENTS, BROKERS, ADJUSTERS, CONSULTANTS AND INTERMEDIARIES
2114 - Life, accident and health insurance agents; commissions.

 
    §  2114.  Life, accident and health insurance agents; commissions. (a)
  (1) No insurer or fraternal benefit society doing business in this state
  shall pay any commission or other compensation to any  person,  firm  or
  corporation,  for  any  services  in  obtaining  in  this  state any new
  contract of life insurance or any new  annuity  contract,  except  to  a
  licensed  life  insurance agent of such insurer or of such society or to
  an insurance broker licensed under subparagraph (A) of paragraph one  of
  subsection (b) of section two thousand one hundred four of this article,
  and except to a person described in paragraph two or three of subsection
  (a) of section two thousand one hundred one of this article.
    (2)  No  agent  or  other  representative  of any such life insurer or
  fraternal benefit society shall pay any commission or other compensation
  to any person for any services of the kind specified  in  paragraph  one
  hereof,  except to a licensed life insurance agent of such insurer or of
  such society as the case may be.
    (3) No  insurer,  fraternal  benefit  society  or  health  maintenance
  organization  doing  business  in  this  state  and  no  agent  or other
  representative thereof shall pay any commission or other compensation to
  any person, firm, association or corporation for services in soliciting,
  negotiating or selling in this state any new  contract  of  accident  or
  health  insurance  or  any new health maintenance organization contract,
  except to a  licensed  accident  and  health  insurance  agent  of  such
  insurer,  such  society  or  health  maintenance  organization,  or to a
  licensed insurance  broker  of  this  state,  and  except  to  a  person
  described  in  paragraph  two  or three of subsection (a) of section two
  thousand one hundred one of this article.
    * (4) Services of the kind specified  in  this  subsection  shall  not
  include the referral of a person to a licensed insurance agent or broker
  that  does  not  include a discussion of specific insurance policy terms
  and conditions and where the compensation for referral is not based upon
  the purchase of insurance by such person.
    * NB Repealed September 10, 2014
    (b) If any licensed life insurance agent who or which has received  an
  application  for  a  life  insurance or annuity contract is unable after
  reasonable diligence to obtain all or any part of  such  insurance  from
  the  life  insurer  or insurers which he or it is licensed to represent,
  such agent may solicit, negotiate or sell such insurance, to the  extent
  to  which  it  is  declined  by such insurer or insurers, from any other
  authorized life insurer or insurers, with  the  consent  of  the  person
  making  such application; but no such agent shall receive any commission
  or other compensation for his services in connection therewith from  any
  insurer  unless he is licensed as agent of such insurer at the time when
  he receives such compensation.