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Automobile Dealership Related Agency

An officer, director, shareholder, or owner of the agency may be the same as the dealership's as long as the affiliated individual is not also the licensed installment seller in the State of Michigan, per Motor Vehicle Sales Finance Act, 1950 PA 27, MCL 492.131(c): "An insurance company, agent, or broker shall not pay or cause to be paid, directly or indirectly, to any installment seller, nor shall any installment seller receive from any insurance company, agent, or broker, any portion of an insurance premium involved in the retail installment sale of a motor vehicle other than for the benefit of the installment buyer, and all payments shall be held by the installment seller in trust for the benefit of the installment buyer and shall be paid to the installment buyer within 30 days, unless used in procuring comparable insurance or credited to matured unpaid installments under the contract as provided in section 16(f)." According to MCL 492.102(4), the installment seller or seller is defined as: "... [A]person engaged in the business of selling, offering for sale, hiring, or leasing motor vehicles under installment sale contracts or a legal successor in interest to that person. As used in this subdivision, 'business' does not include an isolated sale."

To license a dealer related agency, follow the same procedures used to license the appropriate business type.