Payment of financing contracts to the General Agencies /Insurance Companies
Payments of financing contracts take place Wednesdays and Fridays through electronic transfer. Our interest is that the contracts are paid immediately to agencies, so that the insurance agent can receive their commission as soon as possible and at the same time, assure the riks of the insured to be properly protected.
AGENT/BROKER REPRESENTATIONS AND WARRANTIES
- Signatures Genuine; Insured Has Read this Document. To the best of our knowledge, Insured’s signature is genuine and Insured has been given a copy of this Agreement.
- Authorization/Recognition. Insured has authorized this transaction. Both the Insured and the Agent/Broker recognize the security interest granted herein, pursuant to which the Insured assigns to Spartan all unearned premium, dividends and certain loss payments. Upon cancellation of any of the policies listed in the Schedule of Policies, the Agent/Broker agrees to immediately pay Spartan all unearned commissions and all unearned premiums, dividends and loss payments and to not credit any such payment to any other policy. If such funds are not remitted to Spartan within 10 days of receipt by the Agent/Broker, the Agent/Broker agrees to pay Spartan interest on such funds at the maximum rate allowed by applicable law.
- Policies Effective/Premiums Correct. The policies listed in the Schedule of Policies are in full force and effect and the premiums are correct as listed.
- No Insolvency; Policies Cancellable. To the best of our knowledge, neither Broker, Insured nor the insurance companies are insolvent or involved in a bankruptcy or similar proceeding as debtor, except as clearly indicated on Page 1 of this Agreement. All of the policies listed in the Schedule of Policies are cancellable as per applicable law.
- Deposit/Provisional Premiums. Any audit or reporting form policies subject to retrospective rating included in this Agreement shall be communicated to Spartan in writing in advance. The deposit or provisional premiums for these policies are not less than the anticipated premiums to be earned for the full term of the policies.
- Loss Payees Named. Any policies which provide that the premium may be earned earlier in the event of loss shall be communicated to Spartan in writing in advance. The Agent/Broker has notified the relevant insurance companies and Insured that Spartan is to be named as a loss payee on any such policies.
- Authorized Issuing Agent. For the policies listed in the Schedule of Policies, the Agent/Broker is either the insurance company’s authorized policy issuing agent or the broker placing the coverage directly with the insurance company, except where the name and address of Issuing Agent or General Agent is listed in the Schedule of Policies.
- Amounts due From Insured. The cash down payment and any installments due from the Insured have been collected from the Insured.