N.Y. Insurance Law § 2102: Acting without a license

§ 2102. Acting without a license. (a) (1) (A) No person, firm,

association or corporation shall act as an insurance producer, insurance

adjuster or life settlement broker in this state without having

authority to do so by virtue of a license issued and in force pursuant

to the provisions of this chapter.

(B) No person, firm, association or corporation shall act as an excess

line broker in this state without having authority to do so by virtue of

a license issued and in force pursuant to section two thousand one

hundred five of this article, provided, however, that such person, firm,

association or corporation shall not be required to be licensed as an

excess line broker where the insured's home state is a state other than

this state and such person, firm, association or corporation is

otherwise licensed to sell, solicit or negotiate excess line insurance

in the insured's home state.

(2) Any person, firm, association or corporation who or which acts as

a reinsurance intermediary in violation of paragraph one hereof shall,

in addition to other penalties prescribed by law, be subject to a

penalty not to exceed five thousand dollars for each transaction.

(b) (1) Unless licensed as an insurance agent, insurance broker or

insurance consultant, no person, firm, association or corporation shall

in this state identify or hold himself or itself out to be an insurance

advisor, insurance consultant or insurance counselor.

(2) No person, firm, association or corporation shall use any other

designation or title which is likely to mislead the public or shall hold

himself or itself out in any manner as having particular insurance

qualifications other than those for which he may be otherwise licensed

or otherwise qualified.

(3) Unless licensed as an insurance agent, insurance broker or

insurance consultant with respect to the relevant kinds of insurance, no

person, firm, association or corporation shall receive any money, fee,

commission or thing of value for examining, appraising, reviewing or

evaluating any insurance policy, annuity or pension contract, plan or

program or shall make recommendations or give advice with regard to any

of the above.

(4) This subsection shall not apply to:

(A) licensed attorneys at law of this state acting in their

professional capacity as such;

(B) actuaries or certified public accountants who provide information,

recommendations, advice or services in their professional capacity, if

neither they nor their employer receive any compensation directly or

indirectly on account of any insurance, bond, annuity or pension

contract that results in whole or part from such information,

recommendation, advice or services; or

(C) regular salaried officers or employees of an insurer who devote

substantially all of their services to activities other than the

rendering of consulting services to the insuring public while acting in

their capacity as such in discharging the duties of their employment.

(5) Paragraphs one and three of this subsection shall not apply to any

person who has received a grant from and has been certified by the

health benefit exchange established pursuant to section 1311 of the

Affordable Care Act, 42 U.S.C. § 18031 (i), including persons employed

by certified navigators; provided that the person: (A) has completed the

training required by the health benefit exchange; (B) does not sell

insurance; (C) does not engage in any activity with respect to insurance

not expressly permitted under 42 U.S.C. § 18031 (i) (3) and regulations

thereunder; and (D) does not receive any compensation for acting as a

navigator directly or indirectly from an insured, insurance producer, or

an insurer.

(c) Unless licensed as a reinsurance intermediary, no person, firm,

association or corporation shall in this state act as a reinsurance

intermediary or use any other designation or title which is likely to

mislead the public or hold himself or itself out in any manner as a

reinsurance intermediary.

(d) Notwithstanding the foregoing, any membership corporation or

voluntary association organized and operating in this state prior to

January first, nineteen hundred thirty-nine may, as part of its

operations, continue as theretofore to obtain for its members, from a

property/casualty insurance company licensed to do business in this

state and having a certificate of qualification from the superintendent,

the surety bonds or insurance policies required to be filed by such

members pursuant to section three hundred seventy of the vehicle and

traffic law and may, without being licensed as an insurance broker,

receive compensation from such members or from such insurer for such

services.

(e)(1) No person shall accept any commission, service fee, brokerage

or other valuable consideration for selling, soliciting or negotiating

insurance in this state if that person is required to be licensed under

this article and is not so licensed.

(2) Renewal or other deferred commissions may be paid to a person or

other entity for selling, soliciting or negotiating insurance in this

state if the person or other entity was required to be licensed under

this article at the time of the sale, solicitation or negotiation and

was so licensed at that time.

(3) An insurer, fraternal benefit society, health maintenance

organization or licensed insurance producer may pay or assign

commissions, service fees, brokerages or other valuable consideration to

an insurance producer or to persons who do not sell, solicit or

negotiate a contract of insurance in this state, unless the payment

would violate any provision of this chapter.

(f) Every licensee shall notify the superintendent upon changing his,

her or its legal name. Except for an individual licensee's own legal

name, no licensee shall use any name, in conducting a business regulated

by this article that has not been previously approved by the

superintendent.

(g) Any person, firm, association or corporation who or that violates

this section shall be subject to a penalty not to exceed five hundred

dollars for each transaction, except as provided in paragraph two of

subsection (a) of this section.