# Mich. Comp. Laws § 550.1003: Persons authorized to sell health benefits; packaging health benefits with insurance; notify agent of record; annual appointment fee; "agent of record" defined > Michigan · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1003 ## Section - **Citation:** Mich. Comp. Laws § 550.1003 - **Heading:** Persons authorized to sell health benefits; packaging health benefits with insurance; notify agent of record; annual appointment fee; "agent of record" defined - **Jurisdiction:** Michigan - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** MI Code / Chapter 550 / Act Act-252-of-1986 / Section 550.1003 ## Text Sec. 3. (1) Health benefits may only be sold on behalf of a health benefit corporation by a health benefit agent. (2) A health benefit agent may package health benefits with insurance the agent is authorized to sell. If an application for health benefits that is packaged with insurance is submitted by an agent to a health benefit corporation or to an affiliate of a health benefit corporation and the health benefit corporation or the affiliate of a health benefit corporation knows the agent of record for the group's current health benefits, the health benefit corporation or the affiliate of a health benefit corporation shall notify the agent of record of the application unless any of the following apply: (a) The submitting agent is the agent of record. (b) Both of the following apply: ( i ) The group authorizes changing the agent of record to the submitting agent. ( ii ) The agent of record is not employed by a health benefit corporation or an affiliate of a health benefit corporation. (c) The group requests in writing that the agent of record not be notified. (3) If the health benefit corporation or the affiliate of a health benefit corporation notifies the agent of record under subsection (2), the health benefit corporation or the affiliate of a health benefit corporation shall not process the application for 14 days after the notification is given unless either of the following applies: (a) A shorter period of time is agreed to by the agent of record. (b) The health benefit corporation or the affiliate of a health benefit corporation receives a written request from the group to proceed with consideration of the application. (4) A health benefit corporation shall pay to the director of the department of insurance and financial services an annual appointment fee of $5.00 for each health benefit agent who is authorized to sell health benefits on behalf of the health benefit corporation. (5) As used in this section, "agent of record" means a person that is a health benefit agent authorized to represent a subscriber to transact insurance, including the purchasing, servicing, and maintenance of health benefits and that is shown on the records of the health benefit corporation or the affiliate of a health benefit corporation as the agent to whom commission is to be paid. History: 1986, Act 252, Eff. Mar. 31, 1987; Am. 2018, Act 430, Imd. Eff. Dec. 20, 2018 ## Nearby sections - [Mich. Comp. Laws § 550.1001 Short title.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1001.md) - [Mich. Comp. Laws § 550.1002 Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1002.md) - [Mich. Comp. Laws § 550.1003 Persons authorized to sell health benefits; packaging health benefits with insurance; notify agent of record; annual appointment fee; "agent of record" defined.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1003.md) - [Mich. Comp. Laws § 550.1004 Influencing agent prohibited.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1004.md) - [Mich. Comp. Laws § 550.1004a Applicability of certain statutory provisions.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1004a.md) - [Mich. Comp. Laws § 550.1005 Compensation of health benefit agents.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1005.md) - [Mich. Comp. Laws § 550.1006 Authorized agents; requirements, duties, and restrictions; powers of commissioner.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1006.md) - [Mich. Comp. Laws § 550.1008 Contracts or other arrangements for packaging of health benefits with insurance; policy supplementing health benefits of health maintenance organization.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1008.md) - [Mich. Comp. Laws § 550.1009 Licensing affiliate of health benefit corporation as insurance agent prohibited.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1009.md) - [Mich. Comp. Laws § 550.1010 Health benefit agent as fiduciary; evidence of violation of fiduciary responsibility; use of reasonable accounting methods; records required; examination of records; prohibited conduct.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1010.md) - [Mich. Comp. Laws § 550.1012 Notice of termination of agent's authority; liability; duration of agent's responsibility; cancellation or refusal to renew certificate of subscriber; certain referrals or communications prohibited; records, names of subscribers, and expiration dates of certificates and contracts as property of agent; copies of written communications between health benefit corporations and subscribers; grounds for cancellation of agent's contract or termination of agent's authority; authorizing licensed accident and health insurance agent to sell health benefits.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1012.md) - [Mich. Comp. Laws § 550.1014 Suspension, revocation, refusal to grant, or refusal to renew accident and health insurance license; grounds; notice; hearing; summary suspension; subpoenas.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1014.md) - [Mich. Comp. Laws § 550.1016 Violation of act; orders; penalties for violation of cease and desist order; injunction.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1016.md) - [Mich. Comp. Laws § 550.1018 Construction of act.](https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1018.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_MI_C550_AAct-252-of-1986_S550.1003. Check the current official text before relying on it. Not legal advice.