Producer: a person required to be licensed under the laws of the state of Idaho to sell, solicit, or negotiate insurance.
Person: an individual or a business entity.
Negotiate: 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 the act either sells insurance or obtains insurance from insurers for purchasers.
Sell: to exchange a contract of insurance by any means, for money or its equivalent, on behalf of an insurance company.
Solicit: attempting to sell insurance or asking or urging a person to apply for a particular kind of insurance from a particular company or companies.
Limited lines producer” means a producer authorized by the director to sell, solicit or negotiate limited lines insurance.
Limited lines insurance: is insurance which restricts the authority of the license to less than the total authority prescribed in the associated major lines pursuant to section 41-1008(1)(a) through (g), Idaho Code, and shall include, but not be limited to: credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection (GAP) insurance, transportation baggage insurance, transportation ticket policies covering personal accident insurance, pet insurance, portable electronics insurance or any other line of insurance that the director deems necessary to recognize for the purposes of complying with section 41-1009(5), Idaho Code.
Resident: a person whose home state is Idaho or any other particular state identified in conjunction with the use of the term.
Home state: the District of Columbia and any state or territory of the United States or any province of Canada in which an insurance producer maintains his or her principal place of residence or principal place of business and is licensed to act as an insurance producer.
License: a document issued by the director 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.
Terminate: the cancellation of the relationship between an insurance producer and the insurer or the termination of a producer’s authority to transact insurance for or on behalf of an insurer.
Uniform application: the current version of the national association of insurance commissioners (NAIC) uniform application for resident and nonresident producer licensing.
Types of Lines of Authority:
- Life: coverage on human lives, including benefits of endowment and annuities, benefits in the event of death or dismemberment by accident, and benefits for disability income.
- Disability (often referred to as Health in other states): including accident and health or sickness insurance coverage for sickness, bodily injury or accidental death and benefits for disability income.
- Property: insurance coverage for the direct or consequential loss or damage to property of every kind.
- Casualty: insurance coverage against legal liability, including liability for death, injury or disability or damage to real or personal property.
- Variable: life and variable annuity products, meaning insurance coverage provided under variable life insurance contracts and variable annuities.
- Personal lines: meaning property and casualty insurance coverage sold to individuals and families for primarily noncommercial purposes.
For a full list of insurance licensing terms please click here.