Page:United States Statutes at Large Volume 80 Part 1.djvu/162

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PUBLIC LAW 89.403-APRIL 18, 1966

[80 STAT.

Public Law 89-403 April 18, 1966 [H. R. 8466]

D.C. insurance premium finance

complies'.""'"" Licensing and regulation. 54 Stat. 1063.

74 Stat. 69. 78 Stat. 675.

54 Stat. 1082. D.C. Code 35

134VT """" License fee.

^^ ACT To amend the F i r e and Casualty Act to provide for the licensing and regulation of insurance premium finance companies in the District of Columbia.

Be it enacted by the Senate and House of Representatives of the United /States of America in Congress assembled, That the Fire and Casualty Act (D.C. Code, secs. 35-1301—35-1350) is amended by addjj^ff at the cnd thereof the following new chapter: o

"CHAPTER

x

III—INSURANCE PREMIUM COMPANIES

FINANCE

"SEC. 51. APPLICATION.—The provisions of this chapter shall not apply with respect to (A) any insurance company licensed to do business in the District, (B) any banking institution, trust, loan, mortgage, safe deposit, or title company, building association, credit union, moneylenders, or common trust fund authorized to do business in the District, (C) the inclusion of a charge for insurance in connection with an installment sale of a motor vehicle made in accordance with the Act of April 22, 1960 (D.C. Code, secs. 40-901—40-910), or (D) the financing of insurance premiums in the District in accordance with the provisions of sections 28-3301 and 28-3302 of the District of Columbia Code relating to rates of interest. "SEC. 52. DEFINITIONS.—For the purposes of this chapter— "(1) The term 'insurance premium finance company' means a person engaged in the business of entering into insurance premium finance agreements. " (2) The term 'premium finance agreement' means an agreement by which an insured or prospective insured promises to pay to a premium finance company the amount advanced or to be advanced under the agreement to an insurer or to an insurance agent or broker in payment of premiums on an insurance contract together with a service charge as authorized and limited by this chapter. "(3) The term 'licensee' means a premium finance company holding a license issued by the Superintendent under this chapter. "SEC. 53. LICENSES.—(a) No person shall engage in the business of financing insurance premiums in the District without first having obtained a license as a premium finance company from the Superintendent. Any person who shall engage in the business of financing insurance premiums in the District without obtaining a license as provided hereunder shall, upon conviction in the District of Columbia Court of General Sessions, be guilty of a misdemeanor and shall be subject to the penalties provided in section 43 of this Act. "(b) The annual license fee shall be $50. Licenses may be renewed from year to year as of the first day of May of each year upon payment of the fee of $50. The fee for said license shall be paid through the Superintendent to the District of Columbia Treasurer. "(c) The person to whom the license or the renewal thereof may be issued shall file sworn answers, subject to the penalties of perjury, to such interrogatories as the Superintendent may require. The Superintendent shall have authority, at any time, to require the applicant fully to disclose the identity of all stockholders, partners, officers, and employees and he may, in his discretion, refuse to issue or renew a license in the name of any firm, partnership, or corporation if he is not satisfied that any officer, employee, stockholder, or partner thereof who may materially influence the applicant's conduct meets the standards of this chapter.

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