Why Is TA Service Focused on Solvency?
TA solvency is ability to remit premiums,
net of commission, to insurance carriers and to refund return
premiums to insureds or finance company while preserving the
integrity of premium float. Insurance Code prohibits premiums
received under one policy to be remitted on behalf on another
policy. Insurance Code also prohibits the transfer to the
agency operating account of sales commissions in excess of
their earned amounts. Premium funds may not be used for personal
needs or to cover agency operating expenses.