Title 57

NRS 694B.200 Assessments. 1. Assessments may from time to time be levied upon subscribers of a domestic reciprocal insurer liable therefor under the terms of their policies by: (a) The attorney upon approval in advance by the subscribers’ advisory committee and the Commissioner; …

NRS 694B.210 Time limit for assessments. Every subscriber of a domestic reciprocal insurer having contingent liability shall be liable for, and shall pay his or her share of any assessment, as computed and limited in accordance with this chapter, if: 1. While the policy of the su…

NRS 694B.220 Aggregate liability. No one policy or subscriber to such policy, shall be assessed or charged with an aggregate of contingent liability as to obligations incurred by a domestic reciprocal insurer in any 1 calendar year, in excess of the amount provided for in the pow…

NRS 694B.230 Nonassessable policies. 1. If a reciprocal insurer has a surplus of assets over all liabilities at least equal to the minimum capital stock and surplus required to be maintained by a domestic stock insurer authorized to transact like kinds of insurance, upon applicat…

NRS 694B.240 Subscribers’ share in assets upon liquidation. Upon the liquidation of a domestic reciprocal insurer, its assets remaining after the discharge of its indebtedness and policy obligations, the return of any contributions of the attorney or other persons to its surplus,…

NRS 694B.250 Merger or conversion. 1. A domestic reciprocal insurer upon the affirmative vote of not less than two-thirds of its subscribers who vote on such merger pursuant to due notice and the approval of the Commissioner of the terms therefor may merge with another reciprocal…

NRS 694B.260 Impaired reciprocal insurer. 1. Subject to the limitation set forth in the power of attorney or policy, if the assets of a domestic reciprocal insurer are at any time insufficient to discharge its liabilities, other than any liability on account of funds contributed …

NRS 694C.010 Definitions. As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 694C.020 to 694C.150, inclusive, have the meanings ascribed to them in those sections. (Added to NRS by 1999, 3207; A 2005, 2151; 2015, 3508; 2017, 73; 201…

NRS 694C.020 “Affiliated company” defined. “Affiliated company” means a company in the same corporate system as its parent or a member organization by virtue of common ownership, control, operation or management. (Added to NRS by 1999, 3207)

NRS 694C.030 “Agency captive insurer” defined. “Agency captive insurer” means a captive insurer that is owned or directly or indirectly controlled by an insurance agency or brokerage and that only insures risks of policies which are placed by or through the agency or brokerage. (…

NRS 694C.035 “Alien captive insurer” defined. “Alien captive insurer” means any insurer that is formed to write insurance business for its parents and affiliates and is licensed pursuant to the laws of an alien jurisdiction which imposes statutory or regulatory standards acceptab…

NRS 694C.040 “Association” defined. “Association” means a legal entity consisting of two or more corporations, limited-liability companies, partnerships, associations or other forms of business organizations. (Added to NRS by 1999, 3207; A 2005, 2151)

NRS 694C.050 “Association captive insurer” defined. “Association captive insurer” means a captive insurer that only insures risks of the member organizations of an association and the affiliated companies of those members if: 1. The association or the member organizations of the …

NRS 694C.053 “Branch business” defined. “Branch business” means any insurance business transacted by a branch captive insurer in this State. (Added to NRS by 2005, 2147)

NRS 694C.055 “Branch captive insurer” defined. “Branch captive insurer” means an alien captive insurer licensed pursuant to this chapter to transact the business of insurance through a business unit with a principal place of business in this State. (Added to NRS by 2005, 2147)

NRS 694C.057 “Branch operations” defined. “Branch operations” means any business operations of a branch captive insurer in this State. (Added to NRS by 2005, 2147)

NRS 694C.060 “Captive insurer” defined. “Captive insurer” means: 1. Any pure captive insurer, association captive insurer, agency captive insurer, rental captive insurer and sponsored captive insurer licensed pursuant to this chapter. The term includes a pure captive insurer who,…

NRS 694C.070 “Commissioner” defined. “Commissioner” means the Commissioner of Insurance. (Added to NRS by 1999, 3208)

NRS 694C.075 “Controlled unaffiliated business” defined. “Controlled unaffiliated business” means any company: 1. That is not in the corporate system of a parent and affiliated companies; 2. That has an existing contractual relationship with a parent or affiliated company; and 3.…

NRS 694C.080 “Division” defined. “Division” means the Division of Insurance of the Department of Business and Industry. (Added to NRS by 1999, 3208)

NRS 694C.085 “Dormant captive insurer” defined. “Dormant captive insurer” means any captive insurer that has been issued a certificate of dormancy by the Commissioner pursuant to NRS 694C.259. (Added to NRS by 2019, 1708)

NRS 694C.090 “Member organization” defined. “Member organization” means any individual or corporation, limited-liability company, partnership, association or other form of business organization that belongs to an association. (Added to NRS by 1999, 3208; A 2005, 2152)

NRS 694C.100 “Mutual insurer” defined. “Mutual insurer” has the meaning ascribed to it in NRS 680A.030. (Added to NRS by 1999, 3208)

NRS 694C.110 “Parent” defined. “Parent” means a corporation, limited-liability company, partnership, association or other form of business organization that directly or indirectly owns, controls or holds with power to vote more than 50 percent of the outstanding voting securities…

NRS 694C.113 “Participant” defined. “Participant” means a corporation, association, limited-liability company, partnership, trust, sponsor or other business organization, any affiliate thereof, and a homeowner or a unit-owners’ association, as defined in NRS 116.011, that is insu…

NRS 694C.115 “Participant contract” defined. “Participant contract” means a contract by which a sponsored captive insurer insures the risks of a participant and limits the losses of each such participant to its pro rata share of the assets of one or more protected cells identifie…

NRS 694C.117 “Protected cell” defined. “Protected cell” means a separate account established by a sponsored captive insurer in which assets are maintained for one or more participants in accordance with the terms of one or more participant contracts that fund the liability of the…

NRS 694C.120 “Pure captive insurer” defined. “Pure captive insurer” means a captive insurer that only insures risks of its parent and affiliated companies or controlled unaffiliated businesses and, unless otherwise provided by the Commissioner, includes a branch captive insurer. …

NRS 694C.130 “Reciprocal insurer” defined. “Reciprocal insurer” has the meaning ascribed to it in NRS 680A.040. (Added to NRS by 1999, 3208)

NRS 694C.140 “Rental captive insurer” defined. “Rental captive insurer” means a captive insurer formed to enter into contractual agreements with policyholders or associations to offer some or all of the benefits of a program of captive insurance and that only insures risks of suc…

NRS 694C.141 “Risk retention group” defined. “Risk retention group” has the meaning ascribed to it in NRS 695E.110. (Added to NRS by 2017, 73)

NRS 694C.143 “Sponsor” defined. “Sponsor” means an insurer licensed pursuant to the laws of any state, a reinsurer authorized or approved under the laws of any state, a captive insurer formed or licensed pursuant to this chapter or a person that: 1. Meets the requirements of subs…

NRS 694C.147 “Sponsored captive insurer” defined. “Sponsored captive insurer” means any captive insurer: 1. In which the minimum capital and surplus required by applicable law is provided by one or more sponsors; 2. That is formed or licensed pursuant to this chapter; 3. That onl…

NRS 694C.149 “State-chartered risk retention group” defined. “State-chartered risk retention group” means any risk retention group that is formed in accordance with the laws of this State. (Added to NRS by 2015, 3504; A 2017, 73; 2019, 1709)

NRS 694C.150 “Stock insurer” defined. “Stock insurer” has the meaning ascribed to it in NRS 680A.050. (Added to NRS by 1999, 3208)

NRS 694C.155 Applicability of chapter 696B of NRS to sponsored captive insurer. The provisions of chapter 696B of NRS apply to a sponsored captive insurer if: 1. The assets of a protected cell are not used to pay any expense or claim other than those that are attributable to the …

NRS 694C.160 Applicability of other provisions. 1. The terms and conditions set forth in chapter 696B of NRS pertaining to insurance reorganization, receiverships and injunctions apply to captive insurers incorporated pursuant to this chapter. 2. The provisions of NRS 679B.285 pe…

NRS 694C.170 Regulations. The Commissioner may establish such regulations as are necessary to carry out the provisions of this chapter. (Added to NRS by 1999, 3217)

NRS 694C.180 Formation of captive insurer. 1. Unless otherwise approved by the Commissioner, a pure captive insurer, an agency captive insurer, a rental captive insurer or a sponsored captive insurer must be incorporated as a stock insurer. 2. An association captive insurer or a …

NRS 694C.190 Name. A captive insurer shall not use or adopt a name that is the same, deceptively similar or likely to be confused with or mistaken for any other existing business name registered in this state. (Added to NRS by 1999, 3210)

NRS 694C.195 Sponsored captive insurer: Formation; conditions for formation and licensure; requirements for sponsor and participants. 1. One or more sponsors may form a sponsored captive insurer pursuant to this chapter. 2. A sponsored captive insurer formed or licensed pursuant …

NRS 694C.200 Authorization to apply for license in certain circumstances; license required to transact insurance; penalty. 1. A captive insurer, when authorized by its articles of association, articles of incorporation or charter, may apply to the Commissioner for a license to tr…

NRS 694C.210 Application: Requirement; contents. A captive insurer must apply to the Commissioner for a license. The application must include: 1. A certified copy of the charter and bylaws of the captive insurer; 2. A pro forma financial statement for the captive insurer that has…

NRS 694C.215 Application: Sponsored captive insurer required to file certain information with Commissioner. In addition to the information required pursuant to NRS 694C.210, each sponsored captive insurer shall file with the Commissioner: 1. Information demonstrating the manner i…

NRS 694C.220 Application: Fees; Commissioner authorized to retain professional services relating to examination of applicant; cost of services. An application by a captive insurer for licensure must include a nonrefundable application fee of $500. The Commissioner may retain lega…

NRS 694C.230 Issuance of license; annual renewal; fees. 1. If the Commissioner determines that the documents and statements filed by the captive insurer satisfy the requirements for licensure, the Commissioner shall issue a license to the captive insurer. The license may be renew…