Premium Finance Companies
Legislative Change Resources
2011 Legislative Changes
An administrative code rule revision to 11 NCAC 13.0308 Annual Statement was approved on February 16, 2012, by the NC Rules Review Commission. The proposed rule change eliminates the requirement for an annual statement to be filed annually by March 1 and instead requires that the Premium Finance Company submit a new form called “Analysis of Contracts”. This Analysis of Contracts form and annual financial statement information is required to be submitted along with the Premium Finance Company renewal application required by 11 NCAC 13.0304 and is due to Agent Services Division by May 15 annually.
This change was recommended to the Agent Services Division for the following reasons:
- Eliminate concerns with duplicate reporting of information by Premium Finance Companies in the renewal application.
- Eliminate confusion with the different reporting timing with the Annual Statement being due by March 1 and a Premium Finance Company renewal application due May 15.
The effective date for this rule change is March 1, 2012 so Premium Finance Companies are not required to file the annual statement by March 1, 2012.
Agent Services Division will send all Premium Finance Companies notification regarding how to access and complete the new Premium Finance Company renewal application and forms by mid-April.
House Bill 298 – Insurance Law Changes Effective July 1, 2011, update to North Carolina General Statute 58-2-69(g) relative to the Commissioner contracting with the NAIC or other persons for the provision of online services to applicants and licensees.
2010 Rules Filing
The following North Carolina Administrative Rule changes for Title 11 NCAC Chapter 13 applicable to Insurance Premium Finance Companies were approved for an October 1, 2010 effective date:
Chapter 13 - Repealed Rules Effective 10-1-2010
- 11 NCAC 13.0101-0105
- 11 NCAC 13 .0101 DEFINITIONS
- 11 NCAC 13 .0102 PURPOSE OF DIVISION
- 11 NCAC 13 .0103 DEPUTY COMMISSIONER
- 11 NCAC 13 .0104 DIVISION PERSONNEL
- 11 NCAC 13 .0105 FIELD INVESTIGATIONS: EXAMINATIONS
- 11 NCAC 13 .0304 RENEWAL OF INSURANCE PREMIUM FINANCE LICENSE
- 11 NCAC 13 .0309 QUARTERLY REPORT
ALL OF THE CURRENT TITLE 11, NORTH CAROLINA ADMINISTRATIVE CODE, CHAPTER 13 RULES
Initial and Renewal License Fee Increases:
On August 7, 2009, Governor Perdue signed Senate Bill 202 into law. This was a budget appropriations bill for current operations of state departments, institutions, and agencies. Based on this bill, the license fees for certain Department of Insurance licenses issued by Agent Services Division were increased effective 8/15/2009.
License fees for bail bondsmen, runners, premium finance companies, motor clubs, collection agencies, and viatical settlement brokers were increased. View full text of Senate Bill 202.
Agent Services Division has revised the license applications for the above license types to reflect the new fee amounts effective 8/15/2009. These revised applications are posted on the Department’s website www.ncdoi.com. If Agent Services Division receives an application on or after 8/15/2009 with the incorrect license fee amount, we will not review the application until the correct fee amount is paid. We will send a letter to the applicant advising that the application is in a “pending” status until such time the total amount of fee is received.
New Insurance Premium Finance Company Requirements:
Relative to reporting criminal convictions and administrative actions pursuant to House Bill 1166 effective 10/1/2009.
View full text of House Bill 1166.