The Council of Insurance Agents & Brokers declared another victory in its effort to eliminate insurance producer countersignature laws throughout the U.S. and its territories after South Dakota dropped its appeal of a federal court ruling, but the celebration has earned the disdain of the state’s independent agent association.

Yesterday, the CIAB said South Dakota officials would not pursue their appeal of U.S. District Judge Charles B. Kornmann’s ruling that the state’s countersignature law, requiring nonresident agents to have a local agent sign off on policies, violated the Privileges and Immunities Clause of the U.S. Constitution (Article IV, Section 2) and served no reasonable benefit to the state’s policyholders.

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