                                 CODE OF VIRGINIA

LICENSE REQUIRED OF INDIVIDUAL AND BUSINESS ENTITY AGENTS; INDIVIDUAL ACTING FOR
BUSINESS ENTITY LICENSEE (§ 38.2-1822)

A. No person shall act, and no insurer or licensed agent shall knowingly permit
a person to act, in this Commonwealth as an agent of an insurer licensed to
transact the business of insurance in this Commonwealth without first obtaining
a license in a manner and in a form prescribed by the Commission. As used in
this section, &#8220;act as an agent&#8221; means selling, soliciting, or
negotiating contracts of insurance or annuity on behalf of an insurer licensed
in this Commonwealth or receiving or sharing, directly or indirectly, any
commission or other valuable consideration arising from the sale, solicitation,
or negotiation of any such contract, or both. No person shall submit business to
any joint underwriting association or any plan established under this title for
the equitable distribution of risks among insurers unless the person holds a
valid license to transact the class of insurance involved.

B. No individual shall act as an agent on behalf of a business entity in the
transaction of insurance unless he is licensed as an agent and appointed, if
appointment is required by statute. No individual whose license has been revoked
by the Commission, or voluntarily surrendered in lieu of a hearing before the
Commission, shall directly or indirectly own and operate, control, or be
employed in any manner by an insurance agent or agency during the time period in
which the individual is unlicensed unless otherwise authorized by the
Commission.

C. No business entity may act as an agent in this Commonwealth unless licensed
and appointed, if appointment is required by statute. The existence of the
business entity shall be recorded pursuant to law. The Commission may require
proof of the foregoing before issuing a license to the business entity.

D. For a nonresident business entity, a certification by the insurance
department of the business entity&#8217;s home state satisfying the requirements
of subsection A of &#xA7; 38.2-1836 shall be deemed to satisfy the foregoing
requirements.

E. In addition to the requirements of &#xA7;&#xA7; 59.1-69 and 59.1-70, any
individual or business entity conducting the business of insurance in this
Commonwealth under an assumed or fictitious name shall notify the Bureau of
Insurance either at the time the application for a license to do business is
filed or within 30 calendar days from the date the assumed or fictitious name is
adopted, setting forth the name under which such business is to be conducted.

F. When the business of insurance is no longer conducted under an assumed or
fictitious name, notification to the Bureau of Insurance is required within 30
calendar days from the date of cessation of use of such assumed or fictitious
name.

G. Notwithstanding any other provision in this chapter, no license shall be
required of a person whose employment responsibilities include enrolling
individuals under a group insurance policy, provided that such person receives
no commission or other valuable consideration for such enrollments, and that
such compensation is in no manner contingent upon the number of individuals
enrolled or the amount of premium generated by such enrollments. As used in this
subsection &#8220;enrolling individuals&#8221; means the process of informing
individuals of the availability of coverages, calculating the insurance charge,
assisting with completion of the enrollment application, preparing and
delivering the certificate of insurance, answering questions regarding the
coverages, and assisting the individual in making an informed decision whether
or not enrollment under the group insurance plan is to be elected.

HISTORY: Code 1950, § 38.1-302; 1952, c. 317; 1956, c. 172; 1979, c. 513, §
38.1-327.33; 1980, c. 581; 1981, c. 604; 1985, c. 616; 1986, c. 562; 1987, c.
521; 1989, c. 435; 1991, c. 88; 1994, c. 316; 1997, c. 583; 1999, c. 586; 2001,
c. 706; 2002, c. 456; 2008, c. 213; 2013, c. 212.