11 NCAC 04 .0120             POLICY OR SERVICE FEES

An agent, broker, or limited representative who deals directly with an applicant and who intends to charge a policy or service fee in accordance with G.S. 58‑33‑85(b) shall not do so unless he complies with the following:

(1)        A sign that informs the applicant in large bold print that a policy or service fee of [amount] will be charged, shall be displayed in a prominent place so as to be seen and read from any part of the office lobby.

(2)        The applicant's consent in writing is obtained on a separate form each time a policy or service fee is charged.  The form shall be entitled, "Policy or Service Fee Consent" and shall include the date and amount of each fee charged.

(3)        A dated receipt for the payment of a policy or service fee shall be issued either separately from the policy premium receipt or stated separately on the receipt issued for the policy premium.

 

History Note:        Authority G.S. 58-2-40; 58-2-195; 58-33-85(b);

Eff. February 1, 1993;

Amended Eff. February 1, 1996.