376.1092. Certificate of authority, required, application, contents, fee--refusal to issue, when--renewal--bond, required when.
Certificate of authority, required, application, contents,fee--refusal to issue, when--renewal--bond, required when.
376.1092. 1. No person shall act as, or offer to act as, or holdhimself out to be an administrator in this state without a valid certificateof authority as an administrator issued by the director.
2. Applicants to be an administrator shall make an application to thedirector upon a form to be furnished by the director. The application shallinclude or be accompanied by the following information and documents:
(1) All basic organizational documents of the administrator, including,but not limited to, any articles of incorporation, articles of association,partnership agreement, trade name certificate, trust agreement, shareholderagreement and other applicable documents and all amendments to such documents;
(2) The bylaws, rules, regulations or similar documents regulating theinternal affairs of the administrator;
(3) The names, addresses, official positions and professionalqualifications of the individuals who are responsible for the conduct ofaffairs of the administrator, including all members of the board of directors,board of trustees, executive committee or other governing board or committee;the principal officers in the case of a corporation or the partners or membersin the case of a partnership or association; shareholders holding directly orindirectly ten percent or more of the voting securities of the administrator;and any other person who exercises control or influence over the affairs ofthe administrator;
(4) Annual financial statements or reports for the two most recent yearswhich prove that the applicant is solvent and such information as the directormay require in order to review the current financial condition of theapplicant;
(5) A statement describing the business plan including information onstaffing levels and activities proposed in this state and nationwide. Theplan shall provide details setting forth the administrator's capability forproviding a sufficient number of experienced and qualified personnel in theareas of claims processing, record keeping and underwriting;
(6) If the applicant will be managing the solicitation of new or renewalbusiness, proof that it employs or has contracted with an agent licensed bythis state for solicitation and taking of applications. Any applicant whichintends to directly solicit insurance contracts or to otherwise act as aninsurance agent must provide proof that it has a license as an insurance agentor agency, or as an insurance agent and agency, as applicable, in this state;
(7) An application fee of one thousand dollars;
(8) Such other pertinent information as may be required by the director.
3. The applicant shall make available for inspection by the directorcopies of all contracts with insurers or other persons using the services ofthe administrator.
4. The director may refuse to issue a certificate of authority if thedirector determines that the administrator or any individual responsible forthe conduct of affairs of the administrator as described in subdivision (3) ofsubsection 2 of this section is not competent, trustworthy, financiallyresponsible or of good personal and business reputation, has had an insuranceor an administrator license denied or revoked for cause by any state or beensubject to any form of criminal, civil or administrative action by any federalor state court or agency resulting* in some form of discipline or sanction.
5. Such certificate shall be renewable annually on the first day of Julyof each calendar year following the calendar year in which the certificate ofregistration was originally issued, upon application by the administrator andupon payment of the renewal fee of two hundred fifty dollars, provided thatthe director of the department of insurance, financial institutions andprofessional registration is satisfied that none of the facts specified insections 376.1075 to 376.1095 as grounds for revoking a certificate ofregistration exist, and any bond required by sections 376.1075 to 376.1095 isin force. Failure to hold such a certificate shall subject the administratorto an administrative penalty of not more than fifty thousand dollars.
6. An administrator shall immediately notify the director of anymaterial change in its ownership, control, or other fact or circumstanceaffecting its qualification for a certificate of authority in this state.
7. Every administrator, except as hereinafter provided, shall file withthe director a surety bond in the amount and form as prescribed by thedirector. Such bond shall be obtained from an insurance company licensed orapproved to do business in the state of Missouri. Any affiliate or subsidiaryof an insurance company licensed in this state shall not be required to filesuch a bond so long as the director is satisfied with the financial conditionof such insurance company.
(L. 1993 H.B. 709 § 51)*Word "result" appears in original rolls.