Skip to Content
The 192nd General Court of the Commonwealth of Massachusetts

Section 162H: Definitions applicable to Secs. 162G to 162X

Section 162H. As used in sections 162G to 162X, inclusive, the following words shall, unless the context requires otherwise, have the following meanings:—

''Business entity'', a corporation, association, partnership, limited liability company, limited liability partnership or other legal entity.

''Home state'', the District of Columbia and any state or territory of the United States in which an insurance producer maintains his principal place of residence or principal place of business and is licensed to act as an insurance producer.

''Insurance'', any of the lines of authority in section 47.

''Insurance producer'', a person required to be licensed under the laws of the commonwealth to sell, solicit or negotiate insurance.

''Insurer'', a corporation, association, partnership or individual engaged as a principal in the business of insurance including exchanges as defined in section 94A.

''License'', a document issued by the commissioner 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.

''Limited line credit insurance'', includes credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection insurance and any other form of insurance offered in connection with an extension of credit that is limited to partially or wholly extinguishing that credit obligation that the commissioner determines should be designated a form of limited line credit insurance.

''Limited line credit insurance producer'', a person who sells, solicits or negotiates 1 or more forms of limited line credit insurance coverage to individuals through a master, corporate, group or individual policy.

''Limited lines insurance'', any line of insurance that the commissioner deems necessary to recognize for the purposes of complying with subsection (e) of section 162N.

''Limited lines producer'', a person authorized by the commissioner to sell, solicit or negotiate limited lines insurance.

''National Association of Insurance Commissioners'', NAIC.

''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 that act either sells insurance or obtains insurance from insurers for purchasers.

''Person'', an individual or a business entity.

''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.

''Terminate'', the cancellation of the relationship between an insurance producer and the insurer or the termination of a producer's authority to transact insurance.

''Uniform business entity application'', the current version of the NAIC uniform business entity application for resident and nonresident business entities.

''Uniform application'', the current version of the NAIC uniform application for resident and nonresident producer licensing.