Nevada’s Countersignature Statute Thrown Out

August 10, 2004

  • August 12, 2004 at 9:27 am
    Larry Velasco says:
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    At long last the free ride is about over for the Nevada agents. This was a long time coming. Insurance companies will have one less “perk” to offer agents who place business with them at the expense of their customers and agents outside of Nevada will have fair compensation more adequate to service their customers.

  • August 12, 2004 at 1:24 am
    Bruce says:
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    Good news!!! I agree with Larry

  • August 23, 2004 at 10:38 am
    Mike says:
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    I disagree with this ruling because the purpose of the countersignature is to provide the state a local contact person. Furthermore, without some restrictions, the people of nevada will be opened up to more and more fraud from outside agents.

  • August 23, 2004 at 1:30 am
    BRUCE says:
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    HEY MIKE COME ON ARE YOU SAYING THE PEOPLE OF NEVADA COULN’T BENEFIT FOR GOOD QUALITY AGENTS OUTSIDE OF NEVADA OR ARE YOU SAYING THAT ONLY THE NEVADA AGENTS ARE HONEST????
    AND ALL THE OUTSIDE AGENTS AREN’T. MIKE I TAKE EXCEPTION AT THAT.AND WHAT ABOUT OUR CLIENTS THAT HAVE MUTLI STATE OPS AND ONE HAPPENS TO BE IN NEVADA, WHY SHOULD WE PAY 5% COMM JUST FOR A SIGNATURE. MIKE PLEASE RE THINK THIS.

  • August 23, 2004 at 1:37 am
    Mike says:
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    Bruce,

    The countersignature requirement serves a purpose. I am not saying that NV resident agents are all honest and I am surely not saying that any agent outside of NV is dishonest. My point is that it is harder for an out of state agent to commit fraud within the state of NV when a countersignature is required. The 5% of the gross premium is defeinately a benefit to the countersigning agent and many agents make a nice penny from it. While I am an agent, I work for a surety company as an underwriter and have VERY limited need to countersign for outside agents. NV allows non resident agents to countersign if they go through the proper channels and procure their non resident agents license.

    Lets stop dumbing down the requirements and force people to follow the rules necessary to transact business in NV. I have several agents that are outside of NV and they have no troubles making good money on good business here in NV. They have went through the steps to write business in NV!

  • September 24, 2004 at 6:17 am
    SHANE says:
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    ANYONE WHO AGREES WITH KEEPING THIS LAW FOR SAFETY REASONS OBVIOUSLY HAS NOT SEEN EVERY OTHER STATE IN OUR COUNTRY DO JUST FINE WITHOUT THIS REDICULOUS COUNTERSIGNATURE LAW. JUST BECAUSE SOMEONE LIVES OUTSIDE OF NEVADA AND IS DISHONEST DOESN’T MEAN THAT IF YOU HAVE A SIGNATURE FROM A PERSON INSIDE NV THAT THE BUSINESS WILL STAY CLEAN OR EVEN HAS A BETTER CHANCE TO DO SO. PEOPLE HAVE UNDERMINED THIS RULE FOR A LONG TIME. NOW WE FINALLY HAVE AN OPPURTUNITY AS GOOD HONEST AGENTS TO DO BUSINESS WITHOUT GIVING AWAY 5% WHICH WE IN ALL FAIRNESS HAVE EARNED AND DESERVE.

  • September 27, 2004 at 11:51 am
    BRUCE says:
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    YES YOU ARE RIGHT ON SHANE.

  • December 15, 2004 at 3:32 am
    Jenny says:
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    Mike,
    In your comment to Bruce on 08/23/04 you stated, “NV allows non resident agents to countersign if they go through the proper channels and procure their non resident agents license.” I wanted to advise you that you are misinformed.

    According to NRS 680A.300, 1. Resident Agent; countersignature.
    “Except as provided in NRS 680A.310, no authorized insurer may make … except through its duly appointed and licensed agents RESIDENT in this state, any one of whom shall COUNTERSIGN the policy.”

    NRS 680A.310 Exempts (in brief)
    1. Life Insurance & Annuities
    2. Health Insurance
    3. Policies covering Property in Transit
    4. Reinsurance or Retrocessions
    5. Bid bond issued in connection with contracts
    6. A policy issued to a Risk Retention Group.

    I am a Licensed New York State Insurance Broker who works for an Agency that has gone through all the proper channels to become licensed in the State of Nevada, Certificate of Authority, Non Resident Insurance Agency License, Several Non Resident Individual licenses and Company Appointments, but neither the licensed Individuals nor the Agency’s Licensed Producer can Countersign a NEVADA P&C policy.

  • December 15, 2004 at 3:46 am
    Mike says:
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    Jenny,

    I deal with agents who are domociled in Wa, OR, CA, ID, AZ, UT and many other states who are able to countersign P&C Policies. I work in the Surety Industry and many of the agents out of state also countersign the bonds.

    As with anything in this wonderful state, it depends on how thorough the person checking the countersignature is.

  • August 10, 2005 at 3:03 am
    Insurance Hustler says:
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    This law is a scam. It gives 5% premium to some random agent who is unfortunate enough to live in Nevada and all they do is sign and collect money. As a wholesaler, I am definitely deterred from writing any business in the state because it means I have to cut commissions to my agents so I can pay some tool for their signature. Also, the fact that agents are prohibited from charging brokers fees to make up for low commissions is just as lame as the countersignature law. There really isn’t much to insure in Nevada anyway- it’s a wasteland.

  • June 13, 2007 at 2:21 am
    Dave says:
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    I can walk to NV from my CA office, this law sucks. By the way, nobody really signs these things let alone reads them to make sure it’s a lagit policy. Does anybody know where this law stands? We are struggling here! Any information would help.

  • January 30, 2008 at 11:32 am
    Inssell says:
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    To Dave: ..Perhaps you should learn to spell words like legit if you want folks to take what you are saying seriously. Please do not walk over to our state if you dont like the laws.

  • June 2, 2008 at 11:22 am
    Roy Compliance says:
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    say it like it is for the Nevada countersignature requirement; it’s a givaway of $$$ to NV resident agents that have absoultely nothing to do with completing the insurance placement.
    The rates and forms for admitted policies have been filed with NV, non-residents are forced to have non-resident licenses even if no transaction in the state and they still must obtain a countersignature fro a RESIDENT agent. This has nothing to do with competence; anyone can see this is protectionism and those that are going to lose their free commssions are screaming the loudest. The current commissioner that has fought FOR this stupid law is retiring soon. Hopefully, the new commissioner will see the state of NV is just wasting time and money on fighting this. It’s only a matter of time before the cookie jar lid slams shut on the freeloaders hands!!!



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