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North Dakota Insurance Department
Adam Hamm, Commissioner
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Frequently-asked questions
What is required to be licensed as a staff or private adjuster in North Dakota?
North Dakota does not license private or staff adjusters.

What is required to be licensed as a public adjuster in North Dakota?
North Dakota licenses public adjusters as consultants. For information on how to become licensed as a consultant, view the consultant information on our website.

How do I become a licensed abstractor so I can get licensed for title insurance?
The only information the Department has on this topic is a contact email: info@ndlta.org.

Once I complete the 80 hours of training to become licensed for title insurance in North Dakota, what is the next step?
Apply at www.nipr.com with a $100 fee and send in a certification of the training by an insurer.

Do I have to complete continuing education courses if I am licensed as a resident bail bonds producer?
No. Only resident producers licensed in major lines of authority are required to complete continuing education courses.

If a licensed third party administrator will not be administering self-insured plans, do they still need a surety bond?
No. The bond requirement is for self-insured plans only.

Must we provide a surety bond to be licensed as a TPA or will the Department also accept a fidelity bond for the minimum amount?
The fidelity bond coverage is not acceptable for the surety bond requirement for a TPA.

Does North Dakota require a third party administrator to obtain a license to administer workers’ compensation claims?
The North Dakota Insurance Department does not regulate workers’ compensation. Contact North Dakota Workforce Safety and Insurance at 1-800-777-5033, ndwsi@nd.gov or www.workforcesafety.com.

Rebating
N.D.C.C. § 26.1-04-06(2)
permits the giving of a gift or promotional item by an insurance agent to a client or prospective client “if the cost does not exceed an aggregate retail value of fifty dollars per person per year.” See 26.1-04-03(8)(c) for life and annuity and 26.1-25-16 for property and casualty statutes. The current rebate statutes became effective Aug. 1, 2011.

Does North Dakota law allow insurance agents to give small gifts or take prospective clients out for lunch?
North Dakota’s rebating statute was revised effective Aug. 1, 2011, to allow the giving of a gift or promotional item worth no more than $50 per person per year. The statutes place additional restrictions on who may be recipients of gifts or promotional items. The North Dakota Insurance Department has not issued any interpretive guidance on the statute as of this date.
 
What if the gift I want to give has no retail value?
Some specialty products may appear to have no retail value. For example, some specialty clothing manufacturers only have a wholesale price. It is recommended an insurance agent keep documentation of the money spent on such specialty items in case a complaint or question arises about gift-giving practices.
 
Can an insurance agent give $15 gift cards with a note to clients thanking them for their business and also for referrals?
N.D.C.C. § 26.1-04-06 and other rebate statutes of the North Dakota Century Code provide that an insurance producer may not pay and an insured may not accept any rebate of premium on any insurance policy. There is a limited exception to the rebating prohibition. An insurance producer may give a gift card up for specific merchandise or services, but may not give cash, a cash card, any form of currency, or any refund or discount in premium. Producers are cautioned to read the statutes carefully for full details of what is permitted, as there are limitations on what may be given, the dollar value of what is given, and who may be a recipient.

Can an insurance agent host a free appreciation day for clients, serving sandwiches, coffee and dessert?
Expenses related to a client appreciation day would count toward the $50 per person per year limit, even if the appreciation day is open to anyone who shows up.
 
Can an insurance agent offer a special three percent credit for members of an association? Nonmembers would not be given the credit, but they would be able to join the association and then get the credit.

No. N.D.C.C. § 26.1-04-06 states that an insurance producer may not pay and an insured may not accept any rebate of premium on any insurance policy.

North Dakota Insurance Department
600 E. Boulevard Ave.
Bismarck, ND 58505-0320
Phone 701.328.2440
Toll free 800.247.0560
Fax 701.328.4880

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