Title 24, Insurance

[§431:3B-106] Private cause of action. This article shall not be construed to create or imply a private cause of action for any violation of its provisions, and it shall not be construed to curtail a private cause of action that would otherwise exist in the absence of this articl…

[§431:3B-107] Rules. The commissioner may adopt rules pursuant to chapter 91 as necessary to carry out the provisions of this article. [L 2021, c 112, pt of §2]

PART II. INFORMATION SECURITY PROGRAM [§431:3B-201] Implementation of an information security program. Commensurate with the size and complexity of the licensee, the nature and scope of the licensee's activities, including its use of third-party service providers, and the sensiti…

[§431:3B-202] Objectives of the information security program; risk assessment. (a) A licensee's information security program shall be designed to: (b) Regarding risk assessment, the licensee shall:

[§431:3B-203] Risk management. Based on its risk assessment, the licensee shall:

[§431:3B-204] Oversight by board of directors. If the licensee has a board of directors, the board or an appropriate committee of the board shall, at a minimum:

[§431:3B-205] Oversight of third-party service provider arrangements. A licensee shall:

[§431:3B-206] Program adjustments. The licensee shall monitor, evaluate, and adjust, as appropriate, the information security program consistent with any relevant changes in technology, the sensitivity of its nonpublic information, internal or external threats to information, and…

[§431:3B-207] Incident response plan. (a) As part of its information security program, each licensee shall establish a written incident response plan designed to promptly respond to and recover from any cybersecurity event that compromises the confidentiality, integrity, or avail…

[§431:3B-208] Annual certification to commissioner. (a) Each insurer domiciled in the State shall annually submit to the commissioner a written statement by March 31, certifying that the insurer is in compliance with the requirements set forth in this part. (b) Each insurer shall…

PART III. CYBERSECURITY EVENTS [§431:3B-301] Investigation of a cybersecurity event. (a) If the licensee learns that a cybersecurity event has or may have occurred, the licensee or third-party service provider designated to act on behalf of the licensee shall conduct a prompt inv…

[§431:3B-302] Notification of a cybersecurity event. (a) Each licensee shall notify the commissioner as promptly as possible, but in no event later than three business days from a determination that a cybersecurity event impacting two hundred fifty or more consumers has occurred.…

[§431:3B-303] Notification to consumers. The licensee shall comply with chapter 487N, as applicable, and provide a copy of the notice sent to consumers under chapter 487N to the commissioner when a licensee is required to notify the commissioner under section 431:3B-302. [L 2021,…

[§431:3B-304] Notice regarding cybersecurity events of third-party service providers. (a) In the case of a cybersecurity event impacting a licensee's nonpublic information in a system maintained by a third-party service provider, of which the licensee has become aware, the licens…

[§431:3B-305] Notice regarding cybersecurity events of reinsures to insurers. (a) In the case of a cybersecurity event involving nonpublic information that is used by the licensee that is acting as an assuming insurer or in the possession, custody, or control of a licensee that i…

[§431:3B-306] Notice regarding cybersecurity events of insurers to producers of record. (a) In the case of a cybersecurity event involving nonpublic information that is in the possession, custody, or control of a licensee that is an insurer or its third-party service provider, an…

[ARTICLE 3D] RISK MANAGEMENT AND OWN RISK AND SOLVENCY ASSESSMENT [§431:3D-101] Scope and purpose. (a) This article shall apply to all insurers domiciled in this State unless exempt pursuant to section 431:3D-106. (b) The purposes of this article shall be to:

[§431:3D-102] Definitions. As used in this article: "Insurance group" means those insurers and affiliates included within an insurance holding company system as defined in article 11. "Insurer" shall have the same meaning as set forth in article 1, except that it shall not includ…

[§431:3D-103] Risk management framework. An insurer shall maintain a risk management framework to assist the insurer with identifying, assessing, monitoring, managing, and reporting its material and relevant risks. This requirement may be satisfied if the insurance group of which…

[§431:3D-104] Own risk and solvency assessment requirement. Subject to section 431:3D-106, an insurer or the insurance group of which the insurer is a member shall regularly conduct an own risk and solvency assessment consistent with a process comparable to the Own Risk and Solve…

[§431:3D-105] Own risk and solvency assessment summary report. (a) Upon the commissioner's request, and no more than once each year beginning in 2018, an insurer shall submit to the commissioner an own risk and solvency assessment summary report or any combination of reports that…

[§431:3D-106] Exemption. (a) An insurer shall be exempt from the requirements of this article if: (b) If an insurer qualifies for exemption pursuant to subsection (a)(1), but the insurance group of which the insurer is a member does not qualify for exemption pursuant to subsectio…

[§431:3D-107] Contents of own risk and solvency assessment summary report. (a) The own risk and solvency assessment summary report shall be prepared consistent with the Own Risk and Solvency Assessment Guidance Manual and subject to the requirements of subsection (b). Documentati…

[§431:3D-108] Confidentiality. (a) Documents, materials, or other information, including the own risk and solvency assessment summary report, in the possession or control of the commissioner that are obtained by, created by, or disclosed to the commissioner or any other person un…

[§431:3D-109] Sanctions. (a) Any insurer failing without just cause to timely file the own risk and solvency assessment summary report as required in this article shall be required after notice and hearing to pay a penalty of not less than $100 and not more than $500 for each day…

[§431:3D-110] Severability. If any provision of this article or its application to any person or circumstance is held invalid, that determination shall not affect the provisions or applications of this article that can be given effect without the invalid provision or application,…

[ARTICLE 3G] CORPORATE GOVERNANCE ANNUAL DISCLOSURE [§431:3G-101] Purpose and scope. (a) The purpose of this article is to: (b) Nothing in this article shall be construed to prescribe or impose corporate governance standards and internal procedures beyond those required under app…

[§431:3G-102] Definitions. For the purposes of this article: "Corporate governance annual disclosure" means a confidential report filed by the insurer or insurance group made in accordance with the requirements of this article. "Insurance group" means those insurers and affiliate…

[§431:3G-103] Disclosure requirement. (a) An insurer or the insurance group of which the insurer is a member shall, no later than June 1 of each calendar year, submit to the commissioner a corporate governance annual disclosure that contains the information required by section 43…

[§431:3G-104] Rules. The commissioner may adopt rules and issue orders to carry out the provisions of this article. [L 2019, c 71, pt of §1]

[§431:3G-105] Contents of corporate governance annual disclosure. (a) The insurer or insurance group shall have discretion over the responses to the corporate governance annual disclosure inquiries; provided that the corporate governance annual disclosure shall contain the materi…

[§431:3G-106] Confidentiality. (a) Documents, materials, or other information including the corporate governance annual disclosure, in the possession or control of the insurance division that are obtained by, created by, or disclosed to the commissioner or any other person under …

[§431:3G-107] National Association of Insurance Commissioners and third-party consultants. (a) The commissioner may retain, at the insurer's expense, third-party consultants, including attorneys, actuaries, accountants, and other experts not otherwise a part of the commissioner's…

[§431:3G-108] Sanctions. Any insurer failing, without just cause, to timely file the corporate governance annual disclosure as required in this article shall be required, after notice and an opportunity for hearing, to pay a penalty of not less than $100 and not more than $500 fo…

[§431:3G-109] Severability. If any provision of this article other than section 431:3G-106, or the application thereof to any person or circumstance, is held invalid, the determination of invalidity shall not affect those provisions or applications of this article that can be giv…

ARTICLE 4 DOMESTIC INSURERS PART I. ORGANIZATION, POWERS AND SALE OF SECURITIES OF DOMESTIC INSURERS §431:4-101 Definitions. As used in this article: "Available surplus" means the excess over the minimum amount of surplus required for the classes of insurance the insurer is autho…

§431:4-102 Types of insurers permitted. An insurer formed in this State shall be either:

§431:4-103 Corporation law applies in general. The laws of this State relating to private corporations, except where inconsistent with the express provisions of this code, shall apply to incorporated domestic insurers. [L 1987, c 347, pt of §2]

§431:4-104 Articles of incorporation. (a) This section applies to insurers incorporated in this State. (b) The incorporators shall be individuals who are United States citizens, and a majority of them shall be residents of this State. The number of incorporators shall be: (c) Aft…

§431:4-105 Affidavit. (a) Before applying to the commissioner for an initial certificate of authority, a stock or mutual insurer is required to file with the commissioner an affidavit, sworn to by the president, secretary, and treasurer of the corporation as named in the articles…

§431:4-106 Board of directors. The board of directors of a domestic insurer shall consist of not less than five individuals, at least three-fourths of the individuals shall be United States citizens, and a majority of the individuals shall be residents of this State. [L 1987, c 3…

§431:4-106.5 Membership in mutual or subscriber in reciprocal insurers; no personal liability of representative. Any person may make application to enter into agreement for and hold policies or contracts in or with and be a member or subscriber of any domestic, foreign, or alien …

§431:4-107 Solicitation permit required. (a) No person forming or proposing to form in this State any of the following shall advertise, solicit or receive any funds, agreement, stock subscription or membership on account thereof, unless the person has applied for and has received…

§431:4-108 Application for a solicitation permit. To apply for a solicitation permit a person shall:

§431:4-109 Permit issued or denied. (a) The commissioner shall expeditiously examine the application for a solicitation permit and make any investigation relative thereto deemed necessary. (b) The commissioner shall give notice to the applicant that the commissioner will issue a …

§431:4-110 Bond or cash deposit. (a) The commissioner shall not issue a solicitation permit until the person applying therefor files with the commissioner a corporate surety bond in the penalty sum of $150,000, in favor of this State and for the use and benefit of this State and …