A premium finance company must be licensed by the North Dakota Insurance Commissioner in order to engage in the business of entering into or acquiring insurance premium finance agreements in North Dakota (N.D.C.C. § 26.1-20.1).
A legal entity seeking licensure as a premium finance company must submit the following:
- Premium Finance Application (SFN 16825);
- Copy of the Premium Finance Agreement, rate chart and all other similar business forms;
- Certified copy of Charter or Articles of Incorporation and Bylaws, if applicable;
- Certificate from the North Dakota Secretary of State showing compliance with the corporate laws of North Dakota, if applicable;
- Most recent Financial Statement executed on oath by president or other principal officer and prepared by a certified public accountant;
- Premium Finance Company Balance Sheet (SFN 16836);
- Federal ID number and resident Power-of-Attorney form;
- Agent for Service of Process form (SFN 8330);
- Name and address of the person who is to have charge of the business under the license; and
- Annual license fee of $100 paid to the Commissioner.
The North Dakota Insurance Department will issue a license if the application is approved. An application may be filed at any time throughout the year. The application and fee should be sent to the Department.
A premium finance company must renew its license on or before April 1 of each year by submitting a $100 annual renewal fee made payable to the North Dakota Insurance Commissioner. The following items must also be filed on or before April 1 of each year:
- SFN 16836;
- Annual Statement for an Insurance Premium Finance Company (SFN 16824);
- Any documents that were filed with the initial application which have changed, including rate charts, cancellation forms, etc.; and
- Audited financial statements (unaudited if audited not available).
Please submit the annual audited financial statements via email to firstname.lastname@example.org with the subject line, "Premium Finance Financial Statements."
A license not renewed by April 1 will be canceled.
A written notification of any corporate changes, such as a name change, address change, merger, or redomestication, must be sent to the Department in a timely manner. The notification should include updated documents (Charter, Articles, Bylaws, Agent for Service of Process, etc.) to reflect the change, as applicable.