Nevada's Division of Insurance filed an appeal of Judge Mahan's ruling on Oct. 22. The division is supported in its appeal by the Independent Insurance Agents of Nevada.

"We have viewed this as a consumer protection since its inception in the early 1970s," said Kay Lockhart, executive vice president of the IIAN. "It is a well-balanced law to protect Nevada consumers."

Peggy Dehl, a spokeswoman with the insurance department, said one major flaw in Judge Mahan's ruling is that in addition to striking down the countersignature law, it also affects sections governing the relationship between the agent and carrier.

While the appeal continues, the state's law will remain in effect, including the payment of fees to domestic agents by out-of-state agents. It is expected that the entire process could take anywhere from 12 to 15 months.

During that period, CIAB said it would be responding to the state's appeal and defending the district court's judgment.

Judge Mahan ruled in August, that Nevada's statute precluding out-of-state insurance brokers from conducting business in the state without the countersignature of a resident agent is unconstitutional.

The CIAB has pursued aggressively elimination of countersignature laws throughout the country. Florida's law was struck down earlier this year, and West Virginia's legislature eliminated the law after CIAB filed suit.

The association also has ongoing litigation on the countersignature laws in South Dakota, Puerto Rico and Virgin Islands.