Key Takeaways

  • Mississippi producers must act in the best interest of clients
  • Producers must disclose compensation arrangements and conflicts of interest
  • Trust funds and premiums must be handled according to strict requirements
  • Producers must maintain accurate records
  • Continuing education includes ethics requirements
Last updated: January 2026

Producer Conduct and Fiduciary Duties

Mississippi insurance producers have legal and ethical obligations to their clients and the public.

Producer Duties

Insurance producers owe duties to their clients:

Key Duties

DutyDescription
LoyaltyPut client's interests first
DisclosureReveal all material information
CompetenceMaintain professional knowledge
ConfidentialityProtect client information
Good FaithAct honestly in all dealings

Disclosure Requirements

Mississippi producers must disclose:

Compensation Disclosures

  • Method of compensation (commission, fee, both)
  • Material conflicts of interest
  • Ownership interests in recommending insurers
  • Referral arrangements

Product Disclosures

  • All material terms and conditions
  • Limitations and exclusions
  • Premium and cost information
  • Comparison with alternatives when replacing

Handling of Funds

Producers must handle premiums and client funds according to strict rules:

Premium Collection

RequirementRule
DepositPromptly to insurer or trust account
ComminglingCannot mix with personal funds
Trust AccountRequired for holding premiums
RecordsMust maintain detailed records

Consequences of Mishandling

  • License suspension or revocation
  • Required restitution
  • Civil liability
  • Potential criminal charges

Continuing Education

Mississippi requires producers to complete continuing education:

  • Ethics hours required
  • Specific hours for lines of authority
  • Compliance with state CE requirements
Test Your Knowledge

What is the consequence of a Mississippi producer commingling client funds with personal funds?

A
B
C
D