                                 CODE OF VIRGINIA

ADMINISTRATIVE CHARGES IN EXCESS OF PREMIUM PROHIBITED; EXCEPTIONS (§
38.2-1812.2)

A. Notwithstanding the provisions of § 38.2-310 and Article 4 (§ 38.2-1837 et
seq.) of this chapter, no agent shall charge, or demand or receive from, an
applicant for insurance or a policyholder any consideration in return for
rendering services associated with a contract of insurance, when the
consideration is in addition to the premium for such contract, unless:

   1. The applicant or policyholder consents in writing before any services are
   rendered. Consent shall be provided on a form that includes the
   applicant&#8217;s or policyholder&#8217;s signature, the duration of services
   and amount of fees to be charged, the services for which the fees are charged,
   and a statement that the agent is entitled to receive a commission from the
   insurer for selling, soliciting, or negotiating the insurance; and

   2. A schedule of fees and documentation for services rendered is maintained in
   the agent&#8217;s office and is made available to applicants or policyholders
   upon request.

B. This section shall not apply to charges for services described in subsection
C of &#xA7; 38.2-4608 when provided by title insurance agents.

C. This section shall apply to new and renewal policies issued or renewed on or
after July 1, 1999.

HISTORY: 1999, c. 2; 2001, c. 706.