Common use of FUNDS HELD IN TRUST Producer Clause in Contracts

FUNDS HELD IN TRUST Producer. shall hold in trust as a fiduciary for SYNCHRONOSURE all Collectible Funds collected from Insureds (together “Collected Policyholder Funds”) to the extent required by the insurance laws rules and regulations of each state in which Producer conducts business. Producer shall deposit Collected Policyholder Funds in a designated trust account on receipt and shall not commingle Collected Policyholder Funds with its corporate accounts. Provided that and for such periods as Producer is in compliance with all terms of this Agreement, Producer shall be entitled to retain any interest earned on Collected Policyholder Funds while so held by the Producer.

FUNDS HELD IN TRUST Producer. shall hold in trust as a fiduciary for SYNCHRONOSURE all Collectible Funds premiums fees and taxes (other than earned commission) collected from Insureds (together “Collected Policyholder Funds”) for business generated under this Agreement to the extent required by the insurance laws rules and regulations of each state in which Producer conducts business. Producer shall deposit Collected Policyholder Funds in a designated trust account on receipt and shall not commingle Collected Policyholder Funds with its corporate accounts. Provided that and for such periods as Producer is in compliance with all terms of this Agreement, Producer shall be entitled to retain any interest earned on Collected Policyholder Funds while so held by the Producer.