NRS 686A.230
Illegal dealing in premiums

  • excess charges for insurance
  • regulations related to fees of broker, consultant or financial planner
  • written contract for consultation.

1.

A person shall not willfully collect any sum as a premium or charge for insurance which is not then provided or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as authorized by this Code.

2.

Except as otherwise provided in subsection 3, a person shall not willfully collect as a premium or charge for insurance any sum in excess of the premium or charge applicable to the insurance and as specified in the policy, in accordance with the applicable classifications and rates as filed with and approved by the Commissioner. In cases where classifications, premiums or rates are not required by this Code to be so filed and approved, the premiums and charges must not be in excess of those specified in the policy and as fixed by the insurer. This subsection does not prohibit:

(a)

The charging and collection by surplus lines brokers licensed under chapter 685A of NRS of the amount permitted by chapter 685A of NRS and regulations adopted by the Commissioner.

(b)

The charging and collection by a life insurer of amounts actually to be expended for the medical examination of any applicant for life insurance or for reinstatement of a life insurance policy.

3.

The Commissioner may adopt regulations to allow the charging and collection of a fee by an insurance broker, consultant or financial planner:

(a)

In lieu of any other charge or commission for solicitation, negotiation or procurement of a policy of insurance which covers commercial or business risks;

(b)

For consultation or any related advice on the insuring of commercial or business risks which does not result in the procurement of a policy of insurance; and

(c)

For consultation or related advice on the purchase of individual or group life or health insurance or an individual or group annuity, whether or not it results in the purchase of a policy of insurance or annuity. In such a case, the fee must be set forth in a written contract signed by the client before the consultation begins.

4.

An agent or broker who provides consultation or related advice pursuant to this section shall do so pursuant to a written contract specifying the compensation the agent or broker will receive. The compensation may be in addition to or in lieu of a commission and is not a premium as defined in NRS 679A.115.

Source: Section 686A.230 — Illegal dealing in premiums; excess charges for insurance; regulations related to fees of broker, consultant or financial planner; written contract for consultation., https://www.­leg.­state.­nv.­us/NRS/NRS-686A.­html#NRS686ASec230.

686A.010
Purpose. 686A.015
Jurisdiction of Commissioner 686A.020
Unfair methods and deceptive acts prohibited. 686A.025
Unfair acts and practices: Disclosure of nonpublic personal information in manner contrary to federal law. 686A.027
Unfair acts and practices: Use of contractual discount without applicable contractual relationship. 686A.030
Misrepresentation and false advertising of policies prohibited. 686A.040
False information and advertising prohibited. 686A.050
“Twisting” prohibited. 686A.055
Prohibited use of fact that insurance is covered by Nevada Insurance Guaranty Association or Nevada Life and Health Insurance Guaranty Association. 686A.060
Replacement of life insurance. 686A.070
Falsification of records or financial statements prohibited 686A.080
Defamatory statement concerning person engaged or proposing to engage in business of insurance prohibited. 686A.085
Bank prohibited from requiring customers to purchase insurance from parent, subsidiary or affiliate of bank. 686A.090
Boycott, coercion or intimidation tending to result in unreasonable restraint of or monopoly in business of insurance prohibited. 686A.095
Cancellation or restriction of agent’s authority based solely on submission of claims prohibited. 686A.100
Life insurance, annuities and health insurance: Unfair discrimination prohibited. 686A.110
Life insurance, annuities and health insurance: Rebates and other inducements prohibited 686A.120
Life insurance, annuities and health insurance: Exceptions to provisions limiting discrimination, rebates and use of securities as inducements. 686A.130
Property, casualty, surety and title insurance: Unfair discrimination and rebates prohibited 686A.140
Violations concerning rebates and inducements: Penalties 686A.150
Using security, advisory board contract or agreement offering or promising profit as inducement prohibited. 686A.160
Enforcement: Prohibited practices. 686A.170
Enforcement: Undefined practices. 686A.180
Service of process upon unauthorized insurers. 686A.183
Cease and desist orders and penalties for prohibited practices 686A.185
Review and finality of Commissioner’s orders. 686A.187
Penalties for violating cease and desist order. 686A.190
Interlocking ownership or management. 686A.200
Favored agent or insurer. 686A.210
Service and processing charges prohibited. 686A.220
Favored agent or surety for bonds under public building or construction contract. 686A.230
Illegal dealing in premiums 686A.240
Favoritism to groups prohibited 686A.250
Use of insurance or annuity as inducement for purchase or rental of property or services prohibited 686A.260
Revocation or suspension of license for violation of laws of other state. 686A.270
Knowledge of insurer of prohibited acts. 686A.280
Use of name deceptively implying person is insurer prohibited.
Last Updated

Feb. 5, 2021

§ 686A.230’s source at nv​.us