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Kentucky: Advisory Warns Against Premium Finance Companies Paying Referral Fees to Agents
The Kentucky Office of Insurance has issued Advisory Opinion 2005-04 as a reminder to insurers and insurance producers that premium financing companies are prohibited under state statute from paying an agent for referring an insurance customer to them.
The Office said the advisory opinion, which was issued on Monday is not considered legally binding, was in response to several recent complaints and inquires that it had received.
Direct questions to NAMIC State Affairs Manager David Reddick.
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