Page:United States Statutes at Large Volume 122.djvu/2157

 12 2 STA T . 21 34PUBLIC LA W 11 0– 24 6—J U NE 1 8, 2008 SEC.120 0 4 . PR E MIU MS ADJ US T ME N TS. Section508(a) o f t h e F e d e r a lC ro pI n su rance A ct( 7U. S.C. 1 508(a)) is a m ended by addin g at the end the follo w ing

‘( 9 ) PREMIU M ADJ U ST ME N TS. — ‘‘(A) PR OH I B ITION.— Ex cept as pro v ided in subpara - graph ( B ) , no person shall pay, allow, or give, or offer to pay, allow, or give, directly or indirectly, either as an inducement to procure insurance or after insurance has been procured, any rebate, discount, abatement, credit, or reduction of the premium named in an insurance policy or any other valuable consideration or inducement not specified in the policy. ‘‘(B) E XC E P TIONS.—Subparagraph (A) does not apply with respect to— ‘‘(i) a payment authori z ed under subsection (b)(5)(B) ‘‘(ii) a performance-based discount authorized under subsection (d)( 3 ); or ‘‘(iii) a patronage dividend, or similar payment, that is paid— ‘‘(I) by an entity that was approved by the Corporation to ma k e such payments for the 2 005, 200 6, or 2007 reinsurance year, in accordance with subsection (b)(5)(B) as in effect on the day before the date of enactment of this paragraph; and ‘‘(II) in a manner consistent with the payment plan approved in accordance with that subsection for the entity by the Corporation for the applicable reinsurance year. ’ ’. SEC. 1200 5 .C O NTRO L LED B USINESS INSURANCE. Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 1508(a)) (as amended by section 1200 4 ) is amended by adding at the end the following: ‘‘(10) COMMISSIONS.— ‘‘(A) D E F INITION OF IMMEDIATE FAMI LY .—In this para- graph, the term ‘immediate family’ means an individual’s father, mother, stepfather, stepmother, brother, sister, step- brother, stepsister, son, daughter, stepson, stepdaughter, grandparent, grandson, granddaughter, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law, the spouse of the foregoing, and the individual’s spouse. ‘‘(B) PROHIBITION.— N o individual (including a subagent) may receive directly, or indirectly through an entity, any compensation (including any commission, profit sharing, bonus, or any other direct or indirect benefit) for the sale or service of a policy or plan of insurance offered under this title if— ‘‘(i) the individual has a substantial beneficial interest, or a member of the individual’s immediate family has a substantial beneficial interest, in the policy or plan of insurance; and ‘‘(ii) the total compensation to be paid to the indi- vidual with respect to the sale or service of the policies or plans of insurance that meet the condition described

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