Chapter 59A, Chapter 59A

The reinsurance intermediary-manager shall not: A. cede retrocessions on behalf of the reinsurer, except that the reinsurance intermediary-manager may cede facultative retrocessions pursuant to obligatory facultative agreements if the contract with the reinsurer contains reinsura…

reinsurance intermediary-manager. A. A reinsurer shall not engage the services of any person, firm, association or corporation to act as a reinsurance intermediary-manager on its behalf unless such person is licensed as required by Subsection B of Section 59A-12D-3 NMSA 1978. B. …

This act [59A-12E-1 to 59A-12E-18 NMSA 1978] may be cited as the "Credit for Reinsurance Act". History: Laws 2022, ch. 35, § 1.

A. Credit shall be allowed when reinsurance is ceded to an assuming insurer meeting each of the following conditions: (1) the assuming insurer shall have its head office or be domiciled in, as applicable, and be licensed in a reciprocal jurisdiction; (2) the assuming insurer shal…

A. The superintendent shall timely create and publish a list of reciprocal jurisdictions. A list of reciprocal jurisdictions shall be published through the national association of insurance commissioners committee process. The superintendent's list shall include any reciprocal ju…

A. The superintendent shall timely create and publish a list of reciprocal jurisdiction assuming insurers that have satisfied the conditions set forth in this section and to which cessions shall be granted credit. The superintendent may add an assuming insurer to the list if a na…

A. With respect to reciprocal jurisdiction reinsurers, credit may be taken pursuant to this section only for reinsurance agreements entered into, amended or renewed on or after the effective date of the Credit for Reinsurance Act and only with respect to losses incurred and reser…

A. If an accredited or certified reinsurer ceases to meet the requirements for accreditation or certification, the superintendent may suspend or revoke the reinsurer's accreditation or certification. B. The superintendent shall give the reinsurer notice and opportunity for hearin…

A. A ceding insurer shall take steps to manage its reinsurance recoverables proportionate to its own book of business. A domestic ceding insurer shall notify the superintendent within thirty days after reinsurance recoverables from any single assuming insurer, or group of affilia…

A. An asset or a reduction in liability for the reinsurance ceded by a domestic insurer to an assuming insurer not meeting the requirements of Sections 3 [59A-12E-3 NMSA 1978] through 15 [59A-12E-15 NMSA 1978] of the Credit for Reinsurance Act shall be allowed in an amount not ex…

A. The superintendent shall adopt rules to implement the provisions of the Credit for Reinsurance Act. B. The superintendent may adopt rules applicable to reinsurance arrangements as set forth in Subsection C of this section. C. A rule adopted pursuant to Subsections B through G …

Upon the insolvency of a non-United-States insurer or reinsurer that provides security to fund its obligations in the United States in accordance with the Credit for Reinsurance Act, the assets representing the security shall be maintained in the United States, and claims shall b…

As used in the Credit for Reinsurance Act: A. "accredited jurisdiction" means a jurisdiction that meets the accreditation standards established by the national association of insurance commissioners; B. "alien assuming insurer" means an assuming insurer that is formed according t…

A. Credit for reinsurance shall be allowed a domestic ceding insurer as either an asset or a reduction from liability on account of reinsurance ceded only when the reinsurer meets the requirements of the Credit for Reinsurance Act. The superintendent shall adopt and promulgate ru…

A. The form of the trust pursuant to Subsection D of Section 3 [59A-12E-3 NMSA 1978] of the Credit for Reinsurance Act and any trust amendments shall be filed with the regulator of insurance of every state in which the ceding insurer beneficiaries of the trust are domiciled. B. T…

Credit shall be allowed when the reinsurance is ceded to an assuming insurer that is accredited by the superintendent as a reinsurer in this state. To be eligible for accreditation, a reinsurer shall: A. file with the superintendent evidence of its submission to the state's juris…

A. The trust fund for a single assuming insurer shall consist of funds in trust in an amount not less than the assuming insurer's liabilities attributable to reinsurance ceded by United States ceding insurers, and, in addition, the assuming insurer shall maintain a trusteed surpl…

A. Credit shall be allowed when the reinsurance is ceded to an assuming insurer that has been certified by the superintendent as a reinsurer in the state and complies with this section and secures its obligations in accordance with the requirements of Sections 7 [59A-12E-7 NMSA 1…

A. The superintendent shall create and publish a list of qualified jurisdictions under which an assuming insurer licensed and domiciled in such jurisdiction is eligible to be considered for certification by the superintendent as a certified reinsurer. B. To determine whether the …

A. If a certified reinsurer's domiciliary jurisdiction ceases to be a qualified jurisdiction, the superintendent may suspend the certified reinsurer's certification indefinitely, in lieu of revocation. B. The superintendent shall assign a rating to each certified reinsurer, givin…

This article [Chapter 59A, Article 13 NMSA 1978] defines adjusters, requires license, states qualifications for licensing, and other requirements of adjusters so acting in this state. As to licensing procedures, issuance, duration, suspension, revocation or refusal to continue li…

A. Each independent adjuster shall keep at the business address shown on his license a record of all transactions under the license. The record shall include: (1) the documents relating to all investigations or adjustments undertaken, and (2) a statement of any fee, commission or…

compensation claims. Each workers' compensation insurer shall have at least one claims representative within New Mexico, licensed as an adjuster, to pay workers' compensation claims of claimants resident or located in New Mexico. Such claims shall be paid promptly through such re…

A. The superintendent shall require as a condition to continuation of an adjuster license that during the twenty-four months next preceding expiration of the current license period, the licensee has attended the minimum number of hours of formal class instruction, lectures or sem…

of property damage. A. An adjuster may not adjust a loss related to physical damage of a property on which the adjuster is also a contractor, acts as a contractor or is employed as a contractor, including a roofing contractor, building contractor or plumbing contractor, or otherw…

A. All adjusters shall adhere to the following standards of conduct: (1) an adjuster shall not permit an unlicensed employee or representative of the adjuster to conduct business for which a license is required pursuant to the Insurance Code [Chapter 59A NMSA 1978]; (2) an adjust…

A. Public adjusters shall ensure that all contracts for their service are in writing and contain the following terms: (1) legible full name of the adjuster signing the contract, as specified in the office of superintendent of insurance records; (2) permanent home state business n…

A public adjuster who receives, accepts or holds any funds on behalf of an insured toward the settlement of a claim for loss or damage shall deposit the funds in a non- interest-bearing escrow or trust account in a financial institution that is insured by an agency of the federal…

A. A public adjuster shall maintain a complete record of each transaction as a public adjuster. The records required by this section shall include the following: (1) the name of the insured; (2) the date, location and amount of the loss; (3) a copy of the contract between the pub…

A. For the purposes of Chapter 59A, Article 13 NMSA 1978: (1) "adjuster" means a person that: (a) investigates, negotiates, settles or adjusts a loss or claim arising under an insurance contract on behalf of an insurer, insured or self-insurer, for a fee, commission or other comp…

A. No person shall, in this state, act as, or make any representation as being, an adjuster unless licensed as such by the superintendent under the Insurance Code. B. No person, regardless of location, shall act as, or make any representation as being, an adjuster with respect to…

A. An individual applying for a license as an adjuster shall, prior to issuance of a license, personally take and pass a written examination. The examination shall test the knowledge of the individual concerning the duties and responsibilities of an adjuster and the insurance law…

A. The superintendent shall license as an adjuster only an individual who is otherwise in compliance with Chapter 59A, Articles 11 and 13 NMSA 1978 and who has furnished evidence satisfactory to the superintendent that the applicant for license: (1) is not less than eighteen year…

A. With application for license as a public adjuster, the applicant shall file with the superintendent a surety bond in favor of the superintendent in aggregate amount of not less than ten thousand dollars ($10,000), conditioned to pay actual damages resulting to the state of New…

A. In the event of an emergency requiring the immediate expansion of adjuster services in New Mexico, an insurer or a public adjuster licensed in New Mexico may request authority from the superintendent to employ adjusters to assist with the emergency who are not licensed in New …

Separate licenses shall be required for independent adjusters and staff adjusters, but the same individual may be so separately licensed as both. History: Laws 1984, ch. 127, § 235.

An independent adjuster shall have the powers granted by its principal to investigate, report upon, adjust and settle claims on behalf of an insurer or self insurer and have additional powers as to claims and losses as may be conferred by the principal. A staff adjuster shall hav…

A. A resident adjuster shall have and maintain a principal place of business in this state that is easily accessible to the public and is the place where the adjuster principally conducts transactions under the license. The address of the principal place of business shall appear …

A. Chapter 59A, Article 14 NMSA 1978 governs the placing of insurance where New Mexico is the home state of the insured, through licensed surplus lines brokers, in insurers not otherwise authorized to transact insurance in this state and subject to the conditions for such placing…

A. A surplus line broker shall maintain an office accessible to the public wherein transactions under his license may be transacted. Nothing herein shall be deemed to prohibit maintenance of the office in the surplus line broker's place of residence, subject to accessibility abov…

A. The producing broker shall complete, execute and provide to the surplus lines broker a signed statement in substantially the form required by the superintendent, as to the diligent efforts to place the coverage with authorized insurers and the results thereof. The statement sh…

A. The superintendent whenever deemed necessary may examine the records and accounts of any surplus line broker for determining whether the surplus line broker is conducting business in accordance with the requirements of this article. B. The superintendent shall conduct the exam…

A. Upon placing surplus lines insurance, the surplus lines broker shall promptly deliver to the insured evidence of the insurance consisting either of the policy or, if the policy is not then available, a certificate complying with Subsection D of this section, a cover note, a bi…

A. As to a risk assumed by an unauthorized insurer under Chapter 59A, Article 14 NMSA 1978, and if the premium thereon has been received by the producing broker or the surplus lines broker who placed the insurance, in all questions thereafter arising under the coverage between th…

A. An unauthorized insurer shall be sued, upon any cause of action arising in this state under any surplus line insurance policy issued by it, in the district court of the county in which the cause of action arose. B. Service of legal process against the insurer may be made in an…

In addition to provisions generally applicable, the following provisions of the Insurance Code shall also apply as to surplus line brokers: A. Section 210 [209] [59A-12-8 NMSA 1978[repealed]] (controlled business); B. Section 218 [59A-12-17 NMSA 1978] (scope of license); and C. S…

No later than July 21, 2012, the superintendent shall participate in the national insurance producer database of the association, or any other equivalent uniform national database, for the licensure of surplus lines brokers and the renewal of the licenses. History: Laws 2011, ch.…

As used in Chapter 59A, Article 14 NMSA 1978: A. "affiliate" means, with respect to an insured, any entity that controls, is controlled by or is under common control with the insured; B. "affiliated group" means any group of entities that are all affiliated; C. "association" mean…

No surplus lines insurance for an insured whose home state is New Mexico shall be solicited, negotiated, contracted for, effectuated or otherwise transacted within the meaning of Section 59A-1-13 NMSA 1978, unless: A. the insurance is procured through a surplus lines broker; B. e…

A. No person shall export insurance on behalf of an insured whose home state is New Mexico except as authorized by and in accordance with Chapter 59A, Article 14 NMSA 1978. B. No surplus lines broker shall transact surplus lines insurance with an insurer other than an eligible su…