00                            HOUSE BILL NO. 150                                                                          
01 "An Act relating to insurance premiums for rental motor vehicles."                                                      
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1.  AS 21.27.360(b) is amended to read:                                                                  
04            (b)  Except as provided under (h) of this section, all [ALL] money, except                               
05       that made payable to the insurer, representing premium taxes and fees, premiums, or                           
06       return premiums received by the licensee [,] shall be received in the fiduciary account                           
07       of the licensee and shall be promptly accounted for and paid to the person entitled to                            
08       the money.  The fiduciary account shall be located in this state unless the licensee is                           
09       licensed as a nonresident under AS 21.27.270.  For purposes of this section, the                                  
10       fiduciary account of the firm shall be considered the fiduciary account of an individual                          
11       licensee acting on behalf of the firm and shall be the responsibility of the firm.  Money                         
12       deposited into a fiduciary account may not be commingled or otherwise combined                                    
13       with other money, except as allowed under (d) of this section and AS 21.27.365.                                   
14    * Sec. 2.  AS 21.27.360 is amended by adding a new subsection to read:                                             
15            (h)  A licensee who transacts the business of insurance under a motor vehicle                                

01       rental agency limited producer license under AS 21.27.150(a)(7) is not required to                                
02       hold money collected from a person for the purchase of rental motor vehicle insurance                             
03       coverage in a separate fiduciary account if                                                                       
04                 (1)  the fees for the rental insurance coverage are itemized and are a                                  
05       part of a rental motor vehicle transaction; and                                                                   
06                 (2)  the insurer has given written consent that the money need not be                                   
07       segregated from other money received by the licensee and the consent is signed by an                              
08       officer of the insurer.