56-21-122 - Accepting or rejecting insurance shall not be compensated by commissions on premiums.

56-21-122. Accepting or rejecting insurance shall not be compensated by commissions on premiums.

No officer or other person whose duty it is to determine the character of the risk and upon whose decision the application for insurance thereon shall finally be accepted or rejected shall receive as compensation any commission upon the premium; but the person's compensation shall be a fixed salary, fee, or the part of the net profits of the company as the board of directors may determine.

[Acts 1907, ch. 461, § 7; Shan., § 3369a21; Acts 1921, ch. 160, § 7; Code 1932, § 6272; T.C.A. (orig. ed.), § 56-2024.]