Title 18 — Insurance Code

§ 535. Nondisclosure of nonpublic personal information; adoption of regulations. No person regulated pursuant to this title shall disclose any nonpublic personal information contrary to the provisions of Title V of the Gramm Leach Bliley Act of 1999 (Public Law 106-002; [15 U.S.C…

§ 536. “Funding agreement” defined. A “funding agreement” is an agreement for an insurer to accept and accumulate funds and to make 1 or more payments at future dates in amounts that are not based on mortality or morbidity contingencies (of the holder of the funding agreement).80…

§ 560. Definitions. As used in this part. (1) “Non-U.S. insurer” means an insurer or reinsurer organized under the laws of a foreign country. (2) “United States branch” or “U.S. branch” means the business unit through which business is transacted within the United States by a non…

§ 561. Scope. This chapter applies to a U.S. branch using this State as a state of entry to transact insurance in the United States. The U.S. branch shall also be subject to all state laws applicable to an insurer domiciled in this State with the exception of Chapter 50 of this t…

§ 562. Authorization of entry. (a) A non-U.S. insurer may use this State as a state of entry to transact insurance in the United States through a U.S. branch by: (1) Qualifying as an insurer licensed to do business in this State; and (2) Establishing a trust account, pursuant to …

§ 563. Maintenance of trust account. The assets in the trust account shall be known as “trusteed assets” and shall at all times be in an amount equal to the U.S. branch’s reserves and other liabilities plus the minimum capital and surplus or authorized control level risk based ca…

§ 564. Requirements for trust agreement. (a) The deed of trust and all amendments thereto shall be authenticated in such form and manner as the Commissioner may prescribe and shall not be effective unless approved by the Commissioner upon a finding that: (1) A deed of trust and i…

§ 565. Reporting requirements for U.S. branches of non-U.S. insurers. (a) In addition to other requirements of this chapter, every authorized U.S. branch shall, not later than the March 1 in each year and 45 days after the end of each of the first 3 calendar-year quarters, file w…

§ 566. Additional requirements for U.S. branch license. (a) Before issuing any new or renewal license to any U.S. branch, the Commissioner may require satisfactory proof, either in the non-U.S. insurer’s charter or by an agreement evidenced by a duly certified resolution of its b…

§ 567. Authority of Commissioner. Whenever it appears to the Commissioner from any annual or quarterly statement or trusteed surplus statement or any other report that a U.S. branch’s trusteed surplus is reduced below minimum capital and surplus or the authorized control level ri…

§ 701. Fee schedule. Except as provided herein or otherwise by law, the Commissioner shall collect, in advance, fees, costs and miscellaneous charges as follows: (1) Insurer’s certificate of authority. a. For filing application for initial certificate of authority including all d…

§ 702. General premium tax; underwriting profits tax. (a) Each authorized insurer and each formerly authorized insurer shall file with the Commissioner, on or before March 1 each year a report in form as prescribed by the Commissioner showing, except with respect to wet marine an…

§ 703. Privilege tax on certain domestic insurers. (a) Except as provided in subsection (e) of this section, a domestic insurer, other than a mutual insurer doing business on the assessment premium plan, shall pay to the Commissioner for the use of the State an annual privilege t…

§ 704. Tax on workers’ compensation; employer’s liability premiums. (a) Every insurance carrier shall pay a tax upon all workers’ compensation or employer’s liability premiums received in this State or on account of business done in this State at the rate of 2% of the amount of s…

§ 705. Reporting by insurers of gross premiums; payments to fire companies or departments and the State Insurance Coverage Office based on the Insurance Commissioner’s reports. (a) (1) Every insurance company receiving premiums for covering risks of loss on any real or personal p…

§ 706. Definitions of terms used in §§ 707-709 of this title. As used in §§ 707-709 of this title: (1) “County police” means any police under the control and direction of the Levy Court or County Council of the 3 counties of this State which are separate and apart from any state …

§ 707. Special tax on gross premiums for benefit of police. (a) Every insurer transacting insurance within this State, other than workers’ compensation insurance and wet marine and transportation insurance, shall, in addition to other taxes, fees and charges required by law, at t…

§ 708. Distribution of proceeds of tax. (a) Each insurance company, firm or corporation covered by the provisions of § 707 of this title shall, at the time of making tax payments, deliver to the Insurance Commissioner a full and detailed statement showing the gross amount of prem…

§ 709. Registering information. (a) It shall be the duty of the officer in charge of any state, county or municipal police department or bureau participating in the provisions of §§ 707 and 708 of this title to register with the State Treasurer on or before the 1st day of April i…

§ 710. Purpose, receipt, deposit of fees, fines and taxes. (a) All fees, charges, administrative fines and taxes payable under this title shall be paid to and collected by the Commissioner. (b) The Commissioner shall give to any person paying cash a prenumbered, itemized receipt …

§ 711. Refund of overpayments. (a) Any person from whom fees, charges or taxes imposed by this title have been erroneously collected may apply to the Commissioner for refund at any time within 1 year from the date such fees, charges or taxes were originally required to be paid or…

§ 712. In lieu; preemption provision. (a) The fees, charges and premium taxes imposed by the State shall be in lieu of all county and municipal license fees and taxes upon the business of insurance in this State, excepting property taxes. (b) The State hereby preempts the field o…

§ 713. Reporting gross premiums received by life and health insurers; special fund for payments to all volunteer ambulance companies or rescue services. (a) The Insurance Commissioner each year shall ascertain the total amount of gross premiums received by insurance companies and…

§ 714. Expenses and fees for form and rate filings. (a) In addition to a filing fee as set forth in § 701 of this title, the expenses and fees of the Department of Insurance for the review and determination of a form and rate filing by an insurer shall be assessed to and paid by …

§ 1301. Scope of chapter. Except as to § 1329 of this title, this chapter applies to domestic insurers only.18 Del. C. 1953, § 1301; 56 Del. Laws, c. 380, § 1;

§ 1302. Eligible investments. (a) Insurers shall invest in or lend their funds on the security of, and shall hold as invested assets, only eligible investments as prescribed in this chapter. (b) Any particular investment held by an insurer on November 1, 1968, which was a legal i…

§ 1303. General qualifications. (a) No security or investment, other than real and personal property acquired under § 1324 (real estate) of this title, shall be eligible for acquisition, unless it is interest bearing or interest accruing or entitled to dividends or is otherwise i…

§ 1304. Authorization; record of investments. An insurer shall not make any investment or loan (other than policy loans or annuity contract loans of a life insurer) unless the same is authorized or approved by the insurer’s board of directors or by a committee thereof charged wit…

§ 1305. Diversification. An insurer shall invest in or hold as admitted assets categories of investments within applicable limits as follows only: (1) One person. — An insurer shall not at any 1 time have any combination of investments in or loans upon the security of obligations…

§ 1306. Public obligations. An insurer may invest in bonds or other evidences of indebtedness, not in default as to principal or interest, which are valid and legally authorized obligations issued, assumed or guaranteed by the United States or by any state thereof, or by Canada o…

§ 1307. Obligations and stock of certain federal and international agencies. An insurer may invest in the obligations and/or stock where stated, issued, assumed or guaranteed by the following agencies of the government of the United States of America, or in which such government …

§ 1308. Corporate obligations. (a) An insurer may invest any of its funds in obligations rated 1 or 2 by the SVO if they are issued, assumed or guaranteed by any solvent institution created or existing under the laws of the United States or Canada or of any state, district, provi…

§ 1309. Corporate obligations; terms defined. (a) Certain terms used are defined for the purposes of this chapter as follows: (1) “Fixed charges” includes interest on funded and unfunded debt, amortization of debt discount and rentals for leased properties, except that interest p…

§ 1310. Preferred or guaranteed stocks. An insurer may invest in preferred or guaranteed stocks or shares of any solvent institution existing under the laws of the United States or of Canada, or of any state or province thereof, if all of the prior obligations and prior preferred…

§ 1311. Common stocks; limited partnerships. An insurer may invest in common stocks, other than insurance stocks, of any solvent institution organized and existing under the laws of the United States or Canada, or of any state or province thereof, if during a period of 7 fiscal y…

§ 1312. Insurance stocks. (a) An insurer may invest in the stocks of other solvent insurers formed under the laws of this or another state, which stocks meet the applicable requirements of §§ 1310 (preferred or guaranteed stock) and 1311 (common stocks) of this title. (b) With th…

§ 1313. Stock of subsidiaries. (a) An insurer may invest in: (1) The stock of subsidiary insurance corporations formed or acquired by it; or, (2) in addition to the right to own stock in other corporations given insurers in § 1305(2) of this title, it may also invest in not less …

§ 1314. Common trust funds; mutual funds. An insurer may invest in: (1) A bank’s common trust fund as defined in § 584 of the United States Internal Revenue Code of 1954 [26 U.S.C. § 584]; and (2) The securities of any open-end or closed-end management type investment company or …

§ 1315. Bankers’ acceptances; bills of exchange. An insurer may invest in bankers’ acceptances and bills of exchange of the kinds and maturities made eligible by law for rediscount with Federal Reserve Banks, and generally accepted by banks or trust companies which are members of…

§ 1316. Equipment trust certificates. An insurer may invest in equipment trust obligations or certificates adequately secured and evidencing an interest in transportation equipment used wholly or in part within the United States of America or Canada, which obligations or certific…

§ 1317. Policy loans. A life insurer may lend to its policyholder upon pledge of the policy as collateral security any sum not exceeding the cash surrender value of the policy, or may lend against pledge or assignment of any of its supplementary contracts or other contracts or ob…

§ 1318. Collateral loans. An insurer may lend and thereby invest its funds upon the pledge of securities eligible for investment under this chapter. As at date made, no such loan shall exceed in amount 100% of the market value of such collateral pledged. The amount so loaned shal…

§ 1319. Savings and share accounts. An insurer may invest in share or savings accounts of savings and loan or building and loan associations, or in savings accounts of banks; and in any 1 such institution only to the extent that the investment is insured by the federal savings an…

§ 1320. Miscellaneous investments. (a) An insurer may make loans or investments not otherwise expressly permitted under this chapter, in an aggregate amount not over 10% of the insurer’s assets, if such loan or investment fulfills the requirements of § 1303 of this title and othe…

§ 1321. Investments in foreign countries. (a) An insurer transacting insurance in a foreign country may invest funds required to meet its obligations in such country and in conformity with the laws thereof in the same kinds of securities and investments of or in such country as t…

§ 1322. Special investments of title insurers. Repealed by 74 Del. Laws, c. 214, § 6, effective March 30, 2004.

§ 1323. Real estate mortgages. (a) An insurer may invest in bonds, notes or other evidences of indebtedness secured by first or second mortgages or deeds of trust representing first or second liens upon real estate, perpetual leases thereon or leasehold estates when the remaining…

§ 1324. Real estate. (a) A domestic insurer may invest in real estate only if used for the purposes or acquired in the manners, and within the limits, as follows: (1) The building in which it has its principal office, the land upon which the building stands, and such other real e…

§ 1325. Time limit for disposal of real estate. (a) Except as stated in subsection (b) of this section, or unless the insurer elects to hold the real estate as an investment under § 1324(a)(7) of this title: (1) An insurer shall dispose of real estate acquired under § 1324(a)(1) …

§ 1326. Time limit for disposal of other ineligible property and securities. Any personal property or securities lawfully acquired by an insurer, which it could not otherwise have invested in or loaned its funds upon at the time of such acquisition, shall be disposed of within 5 …