Common use of Premium Financing Clause in Contracts

Premium Financing. 1. Wholesaler recognizes that Producer may arrange premium financing for clients through established premium financing facilities. If Producer does so, Producer Agrees to forward promptly a copy of the finance agreement to Wholesaler so that Wholesaler may be aware of its terms and conditions. 2. Producer further agrees to identify Wholesaler as the issuing agent on the finance agreement. 3. When finance organizations remit directly to the Insurance Carrier or its issuing agent, or in any instance that the premium is not remitted directly to Wholesaler, Producer shall not be entitled to credit for or payment of any commission on such transaction unless and until Wholesaler receives payment of the commission due to it on such business. Payments to Producer directly by finance company will not constitute payment to Wholesaler or any Insurance Carrier. In any such cases finance company assumes the risk of waiving their Power of Attorney until Wholesaler has been paid. Wholesaler and/or Insurance Carrier retain their right to cancel the policy for non-payment until paid.

Premium Financing. 1. Wholesaler recognizes that Producer may arrange premium financing for clients through established premium financing facilities. If Producer does so, Producer Agrees agrees to forward promptly a copy of the finance agreement to Wholesaler so that Wholesaler may be aware of its terms and conditions. 2. Producer further agrees to identify Wholesaler as the issuing agent on the finance agreement. 3. When finance organizations remit directly to the Insurance Carrier or its issuing agent, or in any instance that the premium is not remitted directly to Wholesaler, Producer shall not be entitled to credit for or payment of any commission on such transaction unless and until Wholesaler receives payment of the commission due to it on such business. Payments to Producer directly by finance company will not constitute payment to Wholesaler or any Insurance Carrier. In any such cases finance company assumes the risk of waiving their Power of Attorney until Wholesaler has been paid. Wholesaler and/or Insurance Carrier retain their right to cancel the policy for non-payment until paid.