Title 24-A, Title 24-A

Before the effective date of any policy placed with a controlled insurer by a controlling producer or a controlling producer's subproducer, the controlling producer shall deliver written notice to the prospective insured disclosing the relationship between the producer and the co…

1. Civil action by superintendent. If the superintendent has good cause to believe that a controlled insurer or any policyholder of the controlled insurer has suffered any loss or damage resulting from a violation of this chapter, the superintendent may maintain a civil action or…

As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [PL 1993, c. 634, Pt. A, §1 (NEW).] 1. Adjusted risk-based capital report. "Adjusted risk-based capital report" means a risk-based capital report that has been adjust…

This chapter applies to fraternal benefit societies authorized to do business in this State pursuant to section 4124, to health maintenance organizations authorized to do business in this State pursuant to section 4204 and to nonprofit hospital or medical service organizations au…

1. Duty to file. A domestic insurer shall, on or before March 1st, submit to the superintendent a report of its risk-based capital levels as of the end of the previous calendar year, in a form and containing such information as is required by the risk-based capital instructions. …

1. Company action level event; defined. "Company action level event" means any of the following events: A. The filing of a risk-based capital report by an insurer that indicates that: (1) The insurer's total adjusted capital is greater than or equal to its regulatory action level…

1. Regulatory action level event; defined. "Regulatory action level event" means, with respect to any insurer, any of the following events: A. The filing of a risk-based capital report by the insurer that indicates that the insurer's total adjusted capital is greater than or equa…

1. Authorized control level event; defined. "Authorized control level event" means any of the following events: A. The filing of a risk-based capital report by the insurer that indicates that the insurer's total adjusted capital is greater than or equal to its mandatory control l…

1. Mandatory control level event; defined. "Mandatory control level event" means any of the following events: A. The filing of a risk-based capital report that indicates that the insurer's total adjusted capital is less than its mandatory control level risk-based capital; [PL 199…

1. Right to hearing. An insurer has the right to a departmental hearing, on record, at which the insurer may challenge any determination or action by the superintendent upon: A. Notification to an insurer by the superintendent of an adjusted risk-based capital report; [PL 1993, c…

1. Confidentiality. The following constitute information that might be damaging to the insurer if made available to its competitors and must be kept confidential by the superintendent: A. Risk-based capital reports, with respect to any domestic insurer or foreign insurer, that ar…

1. Existing authority supplemented. The provisions of this chapter are supplemental to any other provisions of the laws of this State and do not preclude or limit any other powers or duties of the superintendent under those laws, including, but not limited to, sections 417, 3423 …

1. Submission of risk-based capital report. Upon the written request of the superintendent, a foreign insurer shall submit to the superintendent a risk-based capital report as of the end of the previous calendar year by the later of: A. The date a risk-based capital report would …

A notice by the superintendent to an insurer that may result in regulatory action under this chapter is effective upon dispatch if transmitted by registered or certified mail or, in the case of any other transmission, is effective upon the insurer's receipt of the notice.

As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [PL 1993, c. 688, §1 (NEW).] 1. Declaration of trust. "Declaration of trust" means a joint statement of those participating employers composing a multiple-employer we…

1. Multiple-employer welfare arrangement; approval required. A person may not commence operations after January 1, 1995 of a multiple-employer welfare arrangement unless that arrangement is approved by the superintendent. A person may not operate after January 1, 1995 a multiple-…

This section governs all multiple-employer welfare arrangements except for those offered by a registered employee leasing company complying with the requirements of section 6603‑A. [PL 1995, c. 618, §6 (NEW).] 1. Requirements for approval. To meet the requirements for approval an…

An employee leasing company that provides health benefits on other than a fully insured basis for employees leased to client companies shall comply with the requirements of this section. [PL 1995, c. 618, §7 (NEW).] 1. Requirements for approval. The arrangement must meet the requ…

The sponsoring association shall file with the superintendent an application for authorization of the arrangement upon a form to be furnished by the superintendent. The application must include or have attached the following: [PL 1993, c. 688, §1 (NEW).] 1. Constitution or bylaws…

Each multiple-employer welfare arrangement shall maintain a positive fund balance.

1. Examination of finances. The superintendent may conduct, upon reasonable notice, an examination to determine the financial condition of an arrangement. For arrangements subject to the requirements of section 6603‑A, the examination must be limited to the work of the certified …

If the superintendent determines that a multiple-employer welfare arrangement has failed to establish or maintain the actuarially indicated level of funding as required, the superintendent may require the arrangement to file a security deposit or a surety bond in accordance with …

1. Approval of forms by superintendent required. A participation agreement or contract form, application form, certificate, rider, endorsement, summary plan description or other evidence of coverage may not be issued by an arrangement unless the form and all changes to the form h…

1. Liability of each employer participant. The liability of each employer participant for the obligations of the multiple-employer welfare arrangement is joint and several. 2. Contingent assessment liability. Each employer participant has a contingent assessment liability pursuan…

If an arrangement is terminated for any reason, the trust may not be dissolved until all outstanding claims, debts and obligations of the arrangement are paid. The arrangement may retain sufficient funds to provide coverage for an additional period as the trustees of the arrangem…

1. Filing required. Annually within 4 months of the end of the fiscal year or within such extension of time as the superintendent for good cause may grant, every arrangement shall file a report with the superintendent, verified by the oath of the chair of the board of trustees. T…

Each arrangement must have and maintain its principal place of business in the State and must make available to the superintendent complete records of its assets, transactions and affairs in accordance with such methods and systems as are customary for or suitable to the kind or …

1. Mandatory denial, suspension or revocation. Subject to other provisions of this chapter, the superintendent shall deny, suspend or revoke an arrangement's authorization if the superintendent finds that the arrangement: A. Is impaired within the meaning of section 6601, subsect…

In addition to any other penalties provided for by this Title and subject to this chapter: [PL 1993, c. 688, §1 (NEW).] 1. Civil penalty. An arrangement that fails to obtain and maintain a valid approval from the superintendent while operating or maintaining a multiple-employer w…

The rehabilitation, liquidation, conservation or dissolution of a multiple-employer welfare arrangement must be conducted under the supervision of the superintendent, who has all power with regard to the rehabilitation, liquidation, conservation or dissolution of a multiple-emplo…

The superintendent may adopt, pursuant to Title 5, chapter 375, subchapter II, rules that the superintendent determines reasonable and necessary to carry out properly the functions and responsibilities assigned under the laws of this State. Rules adopted to implement the provisio…

As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings. [PL 1997, c. 435, §1 (NEW).] 1. Affiliated company. "Affiliated company" means any company in the same corporate system as a parent or a member organization by virtue…

1. Authority. A captive insurance company may not engage in the business of insurance in this State unless the company: A. Obtains a license from the superintendent authorizing the company to do insurance business in this State; [PL 1997, c. 435, §1 (NEW).] B. Holds at least one …

A captive insurance company may not adopt a name that is the same as, deceptively similar to or likely to be confused with or mistaken for any other existing business name registered in the State.

1. Minimum capital and surplus. A captive insurance company may not be issued a license unless the company has and maintains unimpaired paid-in capital and surplus of: A. In the case of a pure captive insurance company, not less than $250,000; [PL 2009, c. 335, §10 (AMD).] B. In …

1. Pure captive insurance company. A pure captive insurance company must be: A. Incorporated as a stock insurer with capital divided into shares and held by the stockholders; [PL 2009, c. 335, §12 (AMD).] B. Incorporated as a nonprofit corporation whose votes of membership intere…

1. Financial statement. A captive insurance company shall submit an annual statement of financial condition audited by an independent certified public accountant to the superintendent on or before the last day of the 6th month following the end of the company's fiscal year. A. Th…

1. Powers, authorities and duties of superintendent. The powers, authorities and duties relating to examinations and investigations are vested in and imposed upon the superintendent in order for the superintendent to verify that all captive insurance companies operate in accordan…

1. Grounds for suspension or revocation. The superintendent may suspend or revoke the license of a captive insurance company for any of the following reasons: A. Insolvency or impairment of capital or surplus; [PL 1997, c. 435, §1 (NEW).] B. Failure to meet the requirements of se…

A pure captive insurance company is not subject to any restrictions on allowable investments including those provided under chapter 13 and chapter 13‑A, except that the superintendent may prohibit or limit any investment that threatens the solvency or liquidity of such insurance …

1. Reinsurance. A captive insurance company may provide reinsurance on risks ceded by any other insurer to the extent permitted by section 6702. 2. Credit for reserves. A captive insurance company may take credit for the reinsurance of risks or portions of risks ceded to a reinsu…

A captive insurance company is not required to become a member of a rating organization.

A captive insurance company may not join or contribute financially to any plan, pool, association or guaranty or insolvency fund in this State, and a captive insurance company and its insureds, its parent or any affiliated company or member organization of its association may not…

The provisions of chapter 57 apply to captive insurers.

All information submitted to the superintendent pursuant to section 6702, subsection 3 and section 6724, subsection 3 is confidential and is not a public record within the meaning of Title 1, chapter 13, subchapter 1. Each report or statement filed with the superintendent pursuan…

1. Procedure. A foreign or alien captive insurance company may become a domestic captive insurance company by: A. Complying with all of the requirements relating to the organization and licensing of a domestic captive insurance company of the same type and any requirements that t…