(1) Where a premium is paid to an insurance intermediary in respect of a renewal of a policy which has been invited by an undertaking, or in respect of a proposal accepted by an undertaking, the premium shall be treated as having been paid to the undertaking when it is paid to the insurance intermediary.
(2) Nothing in this section shall render an undertaking liable for a premium paid to an intermediary in respect of a proposal accepted by an undertaking or a renewal of a policy which has been invited by the undertaking, where the undertaking has given reasonable notice in writing to the person whose proposal has been accepted or whose policy is being renewed, that the said intermediary has no authority to collect such premiums on behalf of the undertaking.