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This entry was published on 2018-10-26
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SECTION 554
Definitions
Banking (BNK) CHAPTER 2, ARTICLE 12-B
§ 554. Definitions. In this article, unless the context otherwise
requires:

1. "Authorized insurer" and "insurance contract" have the respective
meanings assigned to them by the insurance law.

2. "Bank" means a bank, trust company, private banker, savings bank,
savings and loan association, credit union, investment company organized
under article twelve of this chapter and authorized to accept deposits,
national bank, federal savings association, federal credit union, or
out-of-state state bank, as such term is defined in subdivision two of
section two hundred twenty-two of this chapter, having a principal,
branch or trust office in this state.

3. "Insurance agent" and "insurance broker" mean, respectively, an
insurance agent or insurance broker duly licensed as such under the
insurance law.

4. "Insured" means a person who enters into a premium finance
agreement with a premium finance agency or makes and delivers a premium
finance agreement to, or to the order of, an insurance agent or broker,
whether or not he is insured under an insurance contract, premiums for
which are advanced or to be advanced under the premium finance
agreement.

5. "Lending institution" means a bank or a lender licensed pursuant to
article nine of this chapter.

6. "Person" means an individual, corporation, business trust, estate,
trust, partnership or association, two or more persons having a joint or
common interest, or any other legal or commercial entity.

7. "Premium finance agency" means:

(a) a person engaged, in whole or in part, in the business of entering
into premium finance agreements with insureds, including a bank if so
engaged; or

(b) a person engaged, in whole or in part, in the business of
acquiring premium finance agreements from insurance agents or brokers or
other premium finance agencies, including a bank if so engaged and an
insurance agent or broker who is licensed as a premium finance agency
and who holds premium finance agreements made and delivered by insureds
to him or his order.

8. "Premium finance agreement" means a promissory note or other
written agreement by which an insured promises or agrees to pay to, or
to the order of, either a premium finance agency or an insurance agent
or broker the amount advanced or to be advanced under the agreement to
an authorized insurer or to an insurance agent or broker in payment of
premiums on an insurance contract, together with a service charge as
authorized and limited by law. If the premium finance agreement is
payable to, or to the order of, an insurance agent or broker not
licensed as a premium finance agency, payments under the agreement must
be payable at the office of a premium finance agency named in the
agreement, to whom the agreement is by its terms to be and is
subsequently assigned. The term "premium finance agreement" does not
include a retail instalment credit agreement which complies with the
provisions of paragraph (b) of subdivision eleven of section four
hundred thirteen of the personal property law.

9. "Superintendent" means the superintendent of financial services.