Common use of Collection of Audit Premium Clause in Contracts

Collection of Audit Premium. Broker will make all reasonable efforts to collect amounts due. Broker will be relieved of responsibility for audit premium, so adjusted or determined, if Broker notifies American Specialty in writing within twenty (20) days after said invoice date, stating that Xxxxxx has made diligent efforts and is unable to collect such premiums and provided the Insurer releases American Specialty from liability for such premium. A copy of Xxxxxx’s invoice to the insured, as well as copies of correspondence pertaining to the collection, must be sent with this notification. Failure to give American Specialty timely notice shall constitute Broker’s acceptance of responsibility for payment of such premiums. If commission applies to these adjustments, none will be allowed for Broker on premiums collected directly by American Specialty or Insurer under this provision. If, after a period of sixty (60) days from the date liability was assumed by the Insurer, American Specialty has not received payment due for the applicable coverage, American Specialty may, at its option, collect from the insured the premium due. In the event American Specialty collects the premium or any part thereof from the insured, Broker shall not be entitled to any commission on the premium so collected.

Collection of Audit Premium. Broker will make all reasonable efforts to collect amounts due. Broker will be relieved of responsibility for audit premium, so adjusted or determined, if Broker notifies American Specialty in writing within twenty (20) days after said invoice date, stating that Xxxxxx Broker has made diligent efforts and is unable to collect such premiums and provided the Insurer releases American Specialty from liability for such premium. A copy of XxxxxxBroker’s invoice to the insured, as well as copies of correspondence pertaining to the collection, must be sent with this notification. Failure to give American Specialty timely notice shall constitute Broker’s acceptance of responsibility for payment of such premiums. If commission applies to these adjustments, none will be allowed for Broker on premiums collected directly by American Specialty or Insurer under this provision. If, after a period of sixty (60) days from the date liability was assumed by the Insurer, American Specialty has not received payment due for the applicable coverage, American Specialty may, at its option, collect from the insured the premium due. In the event American Specialty collects the premium or any part thereof from the insured, Broker shall not be entitled to any commission on the premium so collected.