Idaho State Statutes - Idaho Attorney Directory

(1) No person, firm, association or corporation shall
act in the capacity of a MGA with respect to risks located in this state for
an insurer licensed in this state unless such person is a licensed agent in
this state pursuant to the provisions of chapter 10, title 41, Idaho Code.
(2) No person, firm, association or corporation shall act in the capacity
of a MGA representing an insurer domiciled in this state with respect to risks
located outside this state unless such person is licensed as an agent in this
state pursuant to the provisions of chapter 10, title 41, Idaho Code.
(3) Every MGA as defined in section 41-1502(3), Idaho Code, shall be
required to be bonded. The bond shall be in favor of the state to be held in
trust for the benefit and protection of insureds and insurers whose money the
MGA handles. The amount of the bond shall not be less than ten per cent (10%)
of the amount of total funds handled, except that in no case shall such bond
be less than five thousand dollars ($5,000). For purposes of fixing the
amount of such bond, the amount of funds handled shall be determined by the
total funds handled by the MGA in the preceding year, or if no funds were
handled during the preceding year, the amount of funds reasonably estimated
to be handled during the current calendar year by the MGA. Only one (1) such
bond shall be required of the MGA for all insurers which utilize the services
of the MGA, unless provided otherwise in the written agreement between the
insurer and the MGA or otherwise required by the director.
(4) The director may require the MGA to maintain an errors and omissions
policy.

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