PREMIUM AUDITS/ADJUSTMENTS Sample Clauses
PREMIUM AUDITS/ADJUSTMENTS. 1. Producer shall make every effort to collect any additional premiums due as a result of audit/adjustment. Producer must return audit adjustments for direct collection within twenty (20) days of receipt if unable to collect amounts due. Producer recognizes direct collection practices vary amongst Insurance Companies, and Wholesaler will relieve Producer of responsibility to pay such audit/adjustment premium only if, and to the extent Wholesaler is released from responsibility by the Insurance Carrier, but to the extent Wholesaler is not so released from responsibility Producer shall promptly pay to Wholesaler the amount due even if Producer has not collected such monies from others who may owe it. If Producer does not collect or pay the audit adjustment premium then Producer shall not be entitled to any commission on any or all of the audit/adjustment premium thereafter collected through the efforts of another.
2. Any uncollectible monies may not be offset by any credits to Producer unless written authorization from the insured upon whose account the credits have been issued is received and approved by Wholesaler. Commingling of premium trust monies or any kind is prohibited. All fees and expenses incurred in Producer’s collection efforts are at Producer’s expense.
1. Producer expressly understands and acknowledges that Minimum Earned Premium Clauses are customary in the Wholesaler’s business, even in cases where Admitted Carriers insure the risk. Producer agrees to abide by their terms, and agrees that no policy, binder or covernote will be cancelled flat. Cancellation will always be subject to aforementioned Minimum Earned Clauses. Any cancellations unless requested by the Insurance carrier will be computed on a Short Rate Basis, subject always to the Minimum Earned Clause.
2. Notwithstanding the return of the original policy for cancellation, cancellation will not be effected until sufficient time has elapsed for proper notice to mortgagees, loss payees, certificate holders, public regulatory bodies, etc., in cases where such notice is required.
PREMIUM AUDITS/ADJUSTMENTS. Member shall make every effort to collect any additional premiums due as a result of audit or adjustment to policies placed for Member by General Agent and to remit such premiums due according to Section 9 of this agreement. Member acknowledges that collection procedures for audits and adjustments vary from insurer to insurer. Member shall have twenty (20) days from date on General Agent’s invoice or General Agent’s insurer’s invoice if direct-▇▇▇▇, to notify General Agent in writing of Member’s inability to collect additional premiums due as a result of audit or adjustment. If such notice is received by General Agent within the time specified, Member will be relieved of responsibility to pay the audit or adjustment but only to the extent that General Agent is released from responsibility for payment by General Agent’s insurer. To the extent that General Agent is not released from it’s payment obligation to the insurer, Member remains responsible to General Agent as defined in Section 9 of this agreement. If any audit or adjustment is returned by Member to General Agent as uncollectible, then Member shall not be entitled to any commission on any or all of the audit or adjustment thereafter collected through the efforts of the General Agent or its insurer. Audits or adjustments that are disputed by the Member or its client must be returned to General Agent, along with sufficient documentation of the dispute, within twenty (20) days from date on General Agent’s invoice or General Agent’s insurer’s invoice if direct-▇▇▇▇. General Agent will return disputed audits and adjustment to General Agent’s insurer and request that the audit or adjustment be reviewed and re-issued if necessary. Member shall remain responsible for payment of re-issued audits or adjustments as described in this section.