Title 17, Title 17: CORPORATIONS AND INSTITUTIONS FOR FINANCE AND INSURANCE

17:47B-13 "Captive Insurance Regulation and Supervision Fund." 13. There is created within the Department of Banking and Insurance a fund to be known as the "Captive Insurance Regulation and Supervision Fund," for the purpose of providing the financial means for the commissioner …

17:47B-14 Applicability of C.17:30C-1 et seq. 14. Except as otherwise provided in this act, the terms and conditions set forth in P.L.1975, c.113 (C.17:30C-1 et seq.), pertaining to insurance reorganizations, receiverships and injunctions, shall apply to captive insurance compani…

17:47B-15 Rules. 15. The commissioner may adopt rules establishing standards to ensure that a parent or affiliated company is able to exercise control of the risk management function of any controlled unaffiliated business to be insured by a pure captive insurance company, except…

17:47B-16 Conversion, merger into reciprocal insurer. 16. a. An association captive insurance company or industrial insured captive insurance company formed as a stock or mutual corporation may be converted to or merged with and into a reciprocal insurer in accordance with a plan…

17:47B-17 Sponsored captive insurance company. 17. a. One or more sponsors may form a sponsored captive insurance company as prescribed in this act. b. A sponsored captive insurance company may establish and maintain one or more protected cells to insure the risks of one or more …

17:47B-18 Regulations relative to risk retention group. 18. a. A risk retention group shall not be either a sponsor or participant in a sponsored captive insurance company. b. An association, corporation, limited liability company, partnership, trust or any another business entit…

17:47B-19 No cause of action, imposition of liability against the commissioner. 19. a. No cause of action shall arise nor shall any liability be imposed against the commissioner, the commissioner's authorized agent or any examiner appointed by the commissioner for any statements …

17:47B-2 Application by captive insurance company for license. 2. a. A captive insurance company, if permitted by its articles of association, charter or other organizational document, may apply to the commissioner for a license to do business in any of the lines of insurance in …

17:47B-3 Conditions for issuance of license. 3. a. A captive insurance company shall not be issued a license unless it maintains unimpaired paid-in capital and surplus of: (1) in the case of a pure captive insurance company, not less than $250,000; (2) in the case of an associati…

17:47B-4 Approval required for payment of dividend. 4. A captive insurance company shall not pay a dividend out of, or other distribution with respect to, capital or surplus without the prior approval of the commissioner. Approval of an ongoing plan for the payment of dividends o…

17:47B-5 Incorporation, organization of captive insurance company. 5. a. A pure captive insurance company may be incorporated or organized as: (1) a stock insurer with its capital divided into shares and held by the stockholders; (2) a nonprofit corporation with one or more membe…

17:47B-6 Report of financial condition of captive insurance company. 6. a. Prior to March 1 of each year, a captive insurance company shall submit to the commissioner a report of its financial condition, verified by oath of two of its executive officers. A captive insurance compa…

17:47B-7 Visit, inspection, examination. 7. a. At least once in every three years, and whenever the commissioner determines it to be prudent, the commissioner shall personally, or by some competent person appointed by the commissioner, visit each captive insurance company and tho…

17:47B-8 Suspension, revocation of license. 8. a. Pursuant to subsection b. of this section, the commissioner may suspend or revoke the license of a captive insurance company for any of the following reasons: (1) Insolvency or impairment of capital or surplus; (2) Failure to meet…

17:47B-9 Compliance with investment requirements. 9. a. A captive insurance company shall comply with investment requirements to be prescribed by the commissioner by regulation. b. A pure captive insurance company shall not make a loan to, or an investment in, its parent company …