Montana: premium trust account rules
What Montana requires of insurance producers holding premium funds, and what happens when those funds are diverted.
Citation
§§ 33-1-317; 33-17-1001; 33-17-1102; 33-2-1602
Source chart last reviewed this jurisdiction: 2/25
What the jurisdiction requires
All insurance premiums received by an insurance producer must be held in a trust account subject to a fiduciary duty. Managing general agent shall hold in a fiduciary capacity all funds that are collected for the account of an insurer.
Penalties for diversion
The commissioner may suspend, revoke, or refuse to renew a license if the licensee improperly withheld, misappropriated or converted monies. The commissioner may impose a penalty not exceeding $5,000 per violation.
This reference is not legal advice. Citations and summaries are transcribed from the NAIC's Fiduciary Responsibilities—Premiums chart (Spring 2025) and reflect that chart's own review dates, which vary by jurisdiction. Statutes change, and the chart may lag the current code. Confirm the current text of any provision with the jurisdiction's insurance department or your own counsel before relying on it.
Tie out a Montana trust account
Tie your premium trust account out three ways — bank, ledger and what you owe — with Montana's cited rule beside the worksheet. Runs in your browser; nothing is uploaded.
Trust account reconciliation worksheetKeep your trust account provably in balance
Policy Balance Hub tracks premium held in trust against what you owe each carrier, so the reconciliation an examiner asks for already exists.