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21 December, 2007

The Extent of the Agent Authorithy

Under the agency common system,an insurance agent is appointed by the insurer :-

a-For the primary purpose of canvassing for new business;

and

b- to carry out other tasks or duties as maybe required by the insurer from time to time and no other purposes.

As in other agency agreements,an insurance agent also has his own limits of authority.

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