Section 26.1-26-02 - DefinitionsAs used in this chapter, unless the context requires otherwise:
1. "Active participation" means:a. Attendance at a formal meeting of a professional insurance association at which a formal business program is presented;b. Service on the board of directors or a formal committee of a professional insurance association and involvement in the activities of the board or committee; orc. Participation in industry, regulatory, or legislative meetings held by or on behalf of a professional insurance association.2. "Business entity" means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity.3. "Home state" means the District of Columbia and any state or territory of the United States in which an insurance producer maintains the producer's principal place of residence or principal place of business and is licensed to act as an insurance producer.4. "Insurance" means any of the lines of authority in section 26.1-26-11.5. "Insurance consultant" means a person that, for a fee, holds oneself or itself out to the public as engaged in the business of offering any advice, counsel, opinion, or service with respect to the benefits, advantages, or disadvantages promised under any insurance policy that could be issued in this state.6. "Insurance producer" means a person required to be licensed under the laws of this state to sell, solicit, or negotiate insurance.7. "Insurer" means all types of insurance companies as well as prepaid legal services organizations and health maintenance organizations.8. "License" means a document issued by the commissioner authorizing a person to act as an insurance producer for the lines of authority specified in the document. The license itself does not create any authority, actual, apparent, or inherent, in the holder to represent or commit an insurance carrier.9. "Negotiate" means the act of conferring directly with or offering advice directly to a purchaser or prospective purchaser of a particular contract of insurance concerning any of the substantive benefits, terms, or conditions of the contract, provided that the person engaged in that act either sells insurance or obtains insurance from insurers for purchasers.10. "Person" means an individual or a business entity.11. "Professional insurance association" means a state or national membership organization that offers courses, lectures, seminars, or other instructional programs certified by the commissioner as approved continuing education activities pursuant to section 26.1-26-31.3; is organized as an association or corporation for the express purpose of promoting the interests of insurance licensees in this state or nationally; and is based on paid membership renewable annually or biennially for a membership fee.12. "Sell" means to exchange a contract of insurance by any means, for money or its equivalent, on behalf of an insurance company.13. "Solicit" means attempting to sell insurance or asking or urging a person to apply for a particular kind of insurance from a particular company.14. "Surplus lines insurance producer" means a person that sells, solicits, negotiates, or procures an insurance policy from an insurer not licensed to transact business in this state which cannot be procured from an insurer licensed to do business in this state.15. "Terminate" means the cancellation of the relationship between an insurance producer and the insurer or the termination of a producer's authority to transact insurance.16. "Uniform application" means the current version of the national association of insurance commissioners uniform application for resident and nonresident insurance producer licensing.17. "Uniform business entity application" means the current version of the national association of insurance commissioners uniform business entity application for resident and nonresident business entities.Amended by S.L. 2019, ch. 237 (SB 2167),§ 1, eff. 8/1/2019.