D.C. Code § 31-4705.02 — DC Code / Title 31 / Chapter 47 / § 31-4705.02
§ 31-4705.02. Standard nonforfeiture law — In general.
Status: in_force

(a) (1) Except as provided in subsections (i) and (j) of this section and for policies issued after the operative date of this section, no life insurance policy shall be issued or delivered in the District of Columbia unless it contains the following provisions or corresponding provisions which the Commissioner considers at least as favorable to the defaulting or surrendering policyholder as the following provisions;
    (A) (i) If the insured defaults on a premium payment after premiums have been paid 1 full year for ordinary insurance or 3 full years for industrial insurance, the company shall grant, upon proper request no later than 60 days after the premium became due, a paid-up nonforfeiture benefit on a plan stipulated in the policy, and the paid-up nonforfeiture benefit shall be effective when the premiums became due.
      (ii) The company may substitute for the nonforfeiture benefit described in subparagraph (A)(i) of this paragraph an actuarially equal alternative paid-up nonforfeiture benefit which provides a greater amount or longer period of death benefits or a greater amount or earlier payment of endowment benefits.
    (B) If the insured defaults on a premium payment after ordinary insurance premiums have been paid for 3 full years or industrial insurance premiums have been paid for 5 full years and surrenders the policy within 60 days after the premiums became due, the company shall pay a cash surrender value instead of paying a paid-up nonforfeiture benefit.
    (C) A specified paid-up nonforfeiture benefit shall become effective unless the person entitled to make an election chooses another available option no later than 60 days after the defaulted premium became due.
    (D) If all premium payments become paid or if the company continues the policy under a paid-up nonforfeiture benefit which became effective after the eve of the 3rd policy anniversary for ordinary insurance or after the eve of the 5th policy anniversary for industrial insurance, and if the insured surrenders the policy within 30 days after any policy anniversary, the company will pay a cash surrender value.
    (E) (i) For policies creating upon the guaranteed bases unscheduled changes in benefits or premiums or having an option for changes in benefits or premiums other than a change to a new policy, the policy shall describe or show the mortality table, the interest rate, and the method used to calculate cash surrender values and paid-up nonforfeiture benefits available under the policy.
      (ii) For all other policies, the policy shall show the mortality table and the interest rate used to calculate the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value and paid-up nonforfeiture benefit available under the policy on each anniversary either during the first 20 policy years or during the term of the policy, whichever is shorter, and with the values and benefits calculated upon the assumption that there are no dividends or paid-up additions credited to the policy and that there is no indebtedness to the company on the policy.
    (F) (i) The policy shall provide a brief and general statement of the method to be used in calculating the cash surrender value and the paid-up nonforfeiture benefit available on any policy anniversary after the last anniversary treated in the policy according to the manner described in subparagraph (E)(ii) of this paragraph.
      (ii) The brief statement shall explain how paid-up additions and indebtedness on the policy changes the cash surrender values and the paid-up nonforfeiture benefits.
  (2) Any subsection (a) provision that does not apply to the plan of insurance in a policy may be omitted from the policy to the extent that the provision does not apply.
  (3) The company shall reserve the right to defer the payment of any cash surrender value until 6 months after payment has been demanded and until the insured has surrendered the policy.
(b) (1) Any cash surrender value available under subsection (a) of this section after a default on a premium due on a policy anniversary shall be at least the excess of the present value, on the anniversary, of the future guaranteed benefits which would have been provided by the policy and any existing paid-up additions, had there been no default, over the sum of the following:
    (A) The then present value of the adjusted premiums described in subsections (d) and (e) of this section, corresponding to premiums which would have become due after the eve of the anniversary.
    (B) The amount of any indebtedness to the company on the policy.
  (2) For any policy issued after the operative date of subsection (e) of this section and which provides supplemental life insurance or annuity benefits at the option of the insured and for an additional premium by rider or by supplemental policy provision, the cash surrender value referred to in subsection (b)(1) of this section shall be at least the sum of the cash surrender value for an otherwise similar policy issued at the same age without the rider or the supplemental policy provision and the cash surrender value for a policy which provides only the benefits otherwise provided by the rider or the supplemental provision.
  (3) For any family policy issued after the operative date of subsection (e) of this section and which defines a “primary insured” and provides term insurance on the life of the spouse of the primary insured for a period that shall expire before the spouse becomes 71, the cash surrender value referred to in subsection (b)(1) of this section shall be at least the sum of the cash surrender for an otherwise similar policy issued at the same age without the term insurance on the life of the spouse and the cash surrender value for a policy which provides only the benefits otherwise provided by the term insurance on the life of the spouse.
  (4) Any cash surrender value available within 30 days after any policy anniversary on a policy paid up by completion of all premium payments or a policy continued under a paid-up nonforfeiture benefit shall be at least the present value, on the anniversary, of the future guaranteed benefits provided by the policy and any existing paid-up additions, decreased by any indebtedness to the company on the policy.
(c) Any paid-up nonforfeiture benefit available under a policy referred to in subsection (a) of this section after a default in a premium payment due on a policy anniversary shall be in a sufficient amount for the present value on the anniversary to be at least equal to the cash surrender value then provided by the policy or, if none is provided, the cash surrender value that would have been required by this section in the absence of the condition that premiums shall be paid for at least a specified period.
(d) (1) This subsection shall not apply to policies issued after the operative date of subsection (e) of this section.
  (2) Except as provided in paragraphs (2), (3), and (8) of this subsection, the adjusted premiums for any policy referred to in subsection (a) of this section shall be calculated on an annual basis and shall be a uniform percentage of the premiums for each policy year, excluding any extra premiums charged because of impairments or special hazards, and the adjusted premiums shall equal the sum of:
    (A) The value, on the issuance date, of the future guaranteed benefits provided by the policy.
    (B) Two per centum of the amount of insurance for uniform amounts of insurance or an equal amount for amounts of insurance that vary with the duration of the policy.
    (C) Forty per centum of the adjusted premium for the 1st policy year.
    (D) Twenty-five per centum of either the adjusted premium for the 1st policy year or the adjusted premium for a whole life policy of the same or equal uniform amount, with uniform premiums for the whole of life issued at the same age for the same amount of insurance, whichever is less.
  (3) For the percentages described in paragraph (2)(C) and (D) of this subsection, no adjusted premium shall exceed 4% of the amount of insurance.
  (4) (A) For a policy providing an amount of insurance varying with the duration of the policy, the equal uniform amount shall be the uniform amount of insurance provided by an otherwise similar policy that contained the same endowment benefits issued at the same age for the same term, with the benefits not varying with the duration of the policy and with the benefits valued the same on the date of issue as the benefits under the policy.
    (B) For a policy providing a varying amount of insurance issued on the life of a child under age 10, the equal uniform amount may be computed as though the amount of insurance provided by the policy before the child became 10 was the amount of insurance provided at age 10.
  (5) (A) The adjusted premiums for any policy providing term insurance benefits by rider or supplemental policy provision shall equal the sum of the following:
      (i) The adjusted premiums for an otherwise similar policy issued at the same age without the term insurance benefits.
      (ii) For the period when premiums for the term insurance benefits become payable, the adjusted premiums for the term insurance.
    (B) Except as provided in subparagraph (C) of this paragraph, the equation in subparagraph (A) of this paragraph shall be calculated separately and according to paragraphs (1), (2), and (3) of this subsection.
    (C) For paragraph (2)(B), (C), and (D) of this subsection, the amount of insurance or equal uniform amount of insurance used to calculate the adjusted premiums referred to in subparagraph (A)(ii) of this paragraph shall equal the excess of the corresponding amount determined for the entire policy over the amount used to calculate the adjusted premiums described in subparagraph (A)(i) of this paragraph.
  (6) (A) Except as provided in subsections (d) and (e) of this section, paragraph (5)(B) and (C) of this subsection, and paragraph (8) of this subsection, all adjusted premiums and present values for ordinary insurance policies shall be calculated on the basis of the Commissioners 1941 Standard Ordinary Mortality Table.
    (B) For ordinary insurance issued on female risks, adjusted premiums and present values may be calculated according to an age no more than 3 years younger than the actual age of the insured, and the calculations for all policies of industrial insurance shall be made on the basis of the 1941 Standard Industrial Mortality Table.
    (C) (i) All calculations shall be made on the basis of the rate of interest, not exceeding 3 1/2% per year, specified in the policy for calculating cash surrender values and paid-up nonforfeiture benefits.
      (ii) In calculating the present value of any paid-up term insurance with accompanying pure endowment offered as a nonforfeiture benefit, the rates of mortality assumed shall not exceed 130% of the rates of mortality according to the applicable table.
      (iii) For insurance issued on a substandard basis, the calculation of any adjusted premiums and present values may be based on another mortality table specified by the company and approved by the Commissioner.
  (7) (A) (i) Except as provided in subparagraphs (B), (C), (D), and (E) of this paragraph and paragraph (8) of this subsection and for ordinary policies issued after the operative date of this paragraph, the adjusted premiums and present values shall be calculated on the basis of the Commissioners 1958 Standard Ordinary Mortality Table and the interest rate for calculating cash surrender values and paid-up nonforfeiture benefits shall be specified in the policy.
      (ii) Except as provided in sub-subparagraph (iii) of this subparagraph, the interest rate shall not exceed 3 1/2% per year.
      (iii) An interest not exceeding 5 1/2% per year may be used for policies issued after October 12, 1978.
    (B) For ordinary insurance issued on female risks, adjusted premiums and present values may be calculated according to an age no more than 6 years younger than the actual age of the insured.
    (C) In calculating the present value of a paid-up term insurance with pure endowment offered as a nonforfeiture benefit, the rates of mortality assumed may be no more than the rates in the Commissioners 1958 Extended Term Insurance Table.
    (D) For insurance issued on a substandard basis, the calculation of adjusted premiums and present values may be based on another mortality table specified by the company and approved by the Commissioner.
    (E) (i) After June 27, 1960, a company may file with the Commissioner a written notice of the company’s election to comply with this paragraph after a specified date before January 1, 1966.
      (ii) After filing the notice, then, on the specified date, this paragraph shall become operative for ordinary policies issued by the company.
      (iii) If a company makes no election, then the operative date of the paragraph for the company shall be January 1, 1966.
  (8) (A) (i) Except as provided in subparagraphs (B), (C), (D), and (E) of this paragraph and for industrial policies issued after the operative date of this paragraph, adjusted premiums and present values shall be calculated on the basis of the Commissioners 1961 Standard Industrial Mortality Table and the interest rate for calculating cash surrender values and paid-up nonforfeiture benefits shall be specified in the policy.
      (ii) Except as provided in subparagraph (A)(iii) of this paragraph, the interest rate shall not exceed 3 1/2% per year.
      (iii) An interest rate not exceeding 5 1/2% per year may be used for policies issued after October 12, 1978.
    (B) For individual insurance issued on female risks, adjusted premiums and present values may be calculated according to an age no more than 6 years younger than the actual age of the insured.
    (C) In calculating the present value of any paid-up term insurance with pure endowment offered as a nonforfeiture benefit, the rates of mortality assumed shall be no more than the rates in the Commissioners 1961 Industrial Extended Term Insurance Table.
    (D) For insurance issued on a substandard basis, the calculation of adjusted premiums and present values may be based on another mortality table specified by the company and approved by the Commissioner.
    (E) (i) After October 3, 1962, a company may file with the Commissioner a written notice of the company’s election to comply with this paragraph after a specified date before January 1, 1968.
      (ii) After filing the notice, then, on the specified date, this paragraph shall become operative for the industrial policies issued by the company.
      (iii) If a company makes no election, the operative date of this paragraph for the company shall be January 1, 1968.
(e) (1) This subsection shall apply to all policies issued after the operative date of this subsection.
  (2) Except as provided in paragraph (7) of this subsection, the adjusted premiums for a policy shall be calculated on an annual basis and shall be the uniform percentage of the policy premiums for each policy year.
  (3) The adjusted premium shall exclude amounts payable as extra premiums to cover impairments or special hazards and shall also exclude a uniform annual contract change or policy fee described in the policy statement of the method used to calculate the cash surrender values and paid-up nonforfeiture benefits.
  (4) The present value, on the issuance date, of all adjusted premiums shall be equal to the sum of the following:
    (A) The then present value of the future guaranteed benefits provided for by the policy.
    (B) One per centum of either the amount of insurance for uniform amounts of insurance or the average amount of insurance at the beginning of each of the first 10 policy years.
    (C) One hundred twenty-five per centum of the nonforfeiture net level premium.
  (5) For the percentage described in paragraph (4)(C) of this subsection, no nonforfeiture net level premium shall be considered in excess of 4% of either the amount of insurance for uniform amounts of insurance or the average amount of insurance at the beginning of each of the first 10 policy years.
  (6) The policy shall issue when the rated age of the insured is determined.
  (7) The nonforfeiture net level premium shall be equal to the present value, at the issuance date of the guaranteed benefits provided by the policy divided by the present value, on the issuance date, of an annuity of 1 per year payable when the policy issues and on each anniversary when a premium becomes due.
  (8) For policies which create in a guaranteed basis unscheduled changes in benefits or premiums or which provide an option for changes in benefits or premiums other than a change to a new policy, the adjusted premiums and present value shall initially be calculated on the assumption that future benefits and premiums do not change from benefits and premiums established when the policy issues.
  (9) When the benefits or premiums change, the future adjusted premiums, the nonforfeiture net level, and the present values shall be recalculated on the assumption that future benefits and premiums do not change from the benefits and premiums established by the change.
  (10) Except as provided by paragraph (15) of this subsection, the recalculated future adjusted premiums for the policy shall be the uniform percentage of the future premiums for each policy.
  (11) The recalculated future premiums shall exclude amounts payable as extra premiums to cover impairments and special hazards and shall also exclude a uniform annual contract charge or policy fee described on the policy in a statement of the method used to calculate the cash surrender values and paid-up nonforfeiture benefits.
  (12) At the time of the change to new benefits or premiums, the present value of all the future adjusted premiums shall equal the excess of the sum described in subparagraph (A) of this paragraph over the amount described in subparagraph (B) of this paragraph.
    (A) The then present value of the future guaranteed benefits provided by the policy and the additional expense allowance.
    (B) The then cash surrender value or present value of paid-up nonforfeiture benefit under the policy.
  (13) At the time of the change to the new benefits or premiums, the additional expense allowance shall be the sum of the following:
    (A) One per centum of the difference, if positive, between the average amount of insurance at the beginning of each of the first 10 policy years after the change and the average amount of insurance before the change at the beginning of each of the first 10 years after the most recent previous change or, if there has been no previous change, the issuance date.
    (B) One hundred twenty-five per centum of the increase in the nonforfeiture net level premium.
  (14) The recalculated nonforfeiture net level premium shall equal the result obtained by dividing the equation described in subparagraph (A) of this paragraph with the amount described in subparagraph (B) of this paragraph.
    (A) This amount equals the sum of the following:
      (i) The nonforfeiture net level premium before the change multiplied by the present value of an annuity of 1 per year payable, after the change, on each anniversary of the policy where a premium would have fallen due had the change not occurred.
      (ii) The present value of the increase in future guaranteed benefits provided by the policy.
    (B) This amount equals the present value of an annuity of 1 per year payable, after the change, on each anniversary of the policy where a premium falls due.
  (15) For a policy issued on a substandard basis which provides reduced graded amounts of insurance so that, in each policy year, the policy has the same tabular mortality cost as an otherwise similar policy issued on the standard basis which provides higher uniform amounts of insurance, adjusted premiums and present values for the substandard policy may be calculated as if they were issued to provide the higher uniform amounts of insurance on the standard basis.
  (16) (A) (i) Except as provided in subparagraphs (B) through (H) of this paragraph, adjusted premiums and present values shall for all policies of ordinary insurance be calculated on the basis of the Commissioners 1980 Standard Ordinary Mortality Table or, at the election of the company for any specified plans of life insurance, the Commissioners 1980 Standard Ordinary Mortality Table with Ten-Year Select Mortality Factors.
      (ii) Adjusted premiums and present values shall for all policies of industrial insurance be calculated on the basis of the Commissioners 1961 Standard Industrial Mortality Table.
      (iii) Adjusted premiums and present values shall for all policies issued in a particular calendar year be calculated on the basis of a rate of interest not exceeding the nonforfeiture interest rate for policies issued in the calendar year.
    (B) At the option of the company, calculations for all policies issued in a particular calendar year may be made on the basis of an interest rate not exceeding the nonforfeiture interest rate for policies issued in the immediately preceding calendar year.
    (C) Under any paid-up nonforfeiture benefit, including any paid-up dividend additions, any cash surrender value available shall be calculated on the basis of the mortality table and the interest rate used to determine the amount of the paid-up nonforfeiture benefit and the paid-up dividend additions.
    (D) A company may calculate the guaranteed paid-up nonforfeiture benefit including any paid-up additions under the policy on the basis of an interest rate no lower than the rate specified in the policy for calculating cash surrender values.
    (E) In calculating the present value of a paid-up term insurance with pure endowment offered as a nonforfeiture benefit, the rates of mortality assumed shall be no more than the rates in the Commissioners 1980 Extended Term Insurance Table for ordinary insurance policies and no more than the Commissioners 1961 Industrial Extended Term Insurance Table for industrial insurance policies.
    (F) For insurance issued on a substandard basis, the calculation of any adjusted premiums and present values may be based on appropriate modifications of the tables described in subparagraph (E) of this paragraph.
    (G) (i) For policies issued before the operative date of the valuation manual, any Commissioners Standard Ordinary Mortality Tables adopted after 1980 by the National Association of Insurance Commissioners and by the Commissioner determining the minimum nonforfeiture standard may be substituted for the Commissioners 1980 Standard Ordinary Mortality Table with or without Ten-Year Select Mortality Factors or for the Commissioners 1980 Extended Term Insurance Table.
      (ii) For policies issued on or after the operative date of the valuation manual, the valuation manual shall provide the Commissioners Standard mortality table for use in determining the minimum nonforfeiture standard that may be substituted for the Commissioners 1980 Standard Ordinary Mortality Table with or without Ten-Year Select Mortality Factors or for the Commissioners 1980 Extended Term Insurance Table.  If the Commissioner approves by regulation any Commissioners Standard Ordinary Mortality Table adopted by the National Association of Insurance Commissioners for use in determining the minimum nonforfeiture standard for policies issued on or after the operative date of the valuation manual, then that minimum nonforfeiture standard shall supersede the minimum nonforfeiture standard provided by the valuation manual.
    (H) (i) For policies issued before the operative date of the valuation manual, any Commissioners Standard Industrial Mortality Tables adopted after 1980 by the National Association of Insurance Commissioners and approved by the Commissioner for determining the minimum nonforfeiture standard may be substituted for the Commissioners 1961 Standard Industrial Mortality Table or the Commissioners 1961 Industrial Extended Term Insurance Table.
      (ii) For policies issued on or after the operative date of the valuation manual, the valuation manual shall provide the Commissioners Standard Mortality Table for use in determining the minimum nonforfeiture standard that may be substituted for the Commissioners 1961 Standard Industrial Mortality Table or the Commissioners 1961 Industrial Extended Term Insurance Table. If the Commissioner approves by regulation any Commissioners Standard Industrial Mortality Table adopted by the National Association of Insurance Commissioners for use in determining the minimum nonforfeiture standard for policies or contracts issued on or after the operative date of the valuation manual, then that minimum nonforfeiture standard shall supersede the minimum nonforfeiture standard provided by the valuation manual.
  (17) (A) The nonforfeiture interest rate for policies issued before the operative date of the valuation manual in a particular calendar year shall be equal to 125% of the calendar year statutory valuation interest rate for the policy, as described in § 31-4701 , rounded to the nearest 1/4%; provided, that the nonforfeiture interest rate shall not be less than 4.00%.
    (B) For policies issued on or after the operative date of the valuation manual, the nonforfeiture interest rate per annum for any policy issued in a particular calendar year shall be provided by the valuation manual.
  (18) Any refiling of nonforfeiture values or their methods of computation for a previously approved policy form which involves only a change in the interest rate or mortality table used to compute nonforfeiture values shall not require refiling of other provisions of the policy form.
  (19) (A) After March 14, 1985, a company may file with the Commissioner a written notice of the company’s election to comply with this subsection after a specified date before January 1, 1989, which shall be the operative date of this subsection for the category of insurance for the company.
    (B) If a company makes no election for a category of insurance, the operative date for the category of insurance issued by the company shall be January 1, 1989.
(f) For life insurance with future premiums determined by the insurance company based on estimates of future experience or for life insurance with minimum values that cannot be determined according to subsections (a) through (e) of this section, the following requirements shall be complied with:
  (1) The Commissioner shall be satisfied that the benefits are substantially as favorable to policyholders and insureds as the benefits required by subsections (a) through (e) of this section.
  (2) The Commissioner shall be satisfied that the benefits and the pattern of premiums do not mislead prospective policyholders or insureds.
  (3) The cash surrender values and paid-up nonforfeiture benefits shall not be less than the minimum values and benefits required by this section.
(g) (1) Any cash surrender value and any paid-up nonforfeiture benefit, available after a default in the payment of a premium due other than on the policy anniversary, shall be calculated with allowance for the lapse of time and the payment of fractional premiums beyond the last preceding policy anniversary.
  (2) All values described in subsections (b) through (f) of this section may be calculated upon the assumption that any death benefit is payable at the end of the policy or contract year of death.
  (3) Besides paid-up term additions, the net value of paid-up additions shall be at least the amounts used to provide the additions.
  (4) (A) Notwithstanding subsection (b) of this section, additional benefits payable under the following conditions shall be disregarded in ascertaining cash surrender values and nonforfeiture benefits under this section:
      (i) For death or dismemberment by accident.
      (ii) For total and permanent disability.
      (iii) Reversionary annuity or deferred reversionary annuity benefits.
      (iv) Term insurance benefits provided by a rider or by a supplementary policy provision which if issued as a separate policy would not be under this section.
      (v) Term insurance on the lives of children under a policy on the life of a parent of the children if the term insurance expires before a child’s age is 26, if the term insurance is uniform in amount after a child’s age is 1, and if the term insurance has not been paid up because of the parent’s death.
      (vi) Other policy benefits in addition to life insurance, endowment benefits, and premiums for the additional benefits.
    (B) No additional benefits described in paragraph (4)(A) of this subsection shall be required in paid-up nonforfeiture benefits.
(h) (1) This subsection shall apply to policies issued after December 31, 1986.
  (2) For uniform amounts of insurance, a cash surrender value available after a default on a premium due on a policy anniversary shall not differ by more than 1/5 of 1% of the amount of insurance from the sum of the following:
    (A) Either zero or the basic cash value, whichever is greater.
    (B) The present value of existing paid-up additions exceeding policy indebtedness to the company.
  (3) For insurance amounts not treated in paragraph (2) of this subsection, a cash surrender value available after a default on a premium due on a policy anniversary shall not differ by more than 1/5 of 1% of the average insurance amounts at the beginning of the first 10 policy years from the sum of the following:
    (A) Either zero or the basic cash value, whichever is greater.
    (B) The present value of existing paid-up additions exceeding policy indebtedness to the company.
  (4) (A) Except as provided in subparagraphs (B) and (C) of this paragraph, the basic cash value shall equal the present value at the policy anniversary of the future guaranteed benefits exceeding the present value on nonforfeiture factors corresponding with premiums due after the eve of the anniversary.
    (B) The future guaranteed benefits used to determine the basic cash value excludes existing paid-up additions and, where there has been no default in premium payments, would be computed without deducting indebtedness to the company.
    (C) The basic cash value for supplemental life insurance, annuity benefits, or family coverage shall not be affected differently than cash surrender values described in subsections (b) and (d) of this section.
  (5) (A) The nonforfeiture factor for a policy year shall be a percentage of the adjusted premium for the policy year.
    (B) Except as provided in paragraph (6) of this subsection, the adjusted premium percentage shall comply with the following:
      (i) Except as provided in subparagraph (B)(ii) of this paragraph, the percentage cannot change during policy years between the 2nd policy anniversary and the 5th policy anniversary.
      (ii) Unless the 5th anniversary precedes an anniversary when a cash surrender value without paid-up additions and without indebtedness deductions equal at least 1/5 of 1% of the amount described in subparagraph (iii) of this paragraph, the percentage cannot change during policy years between the 2nd anniversary and an anniversary with a cash surrender value, without the additions and the deductions, equaling at least 1/5 of 1% of the subparagraph (iii) amount.
      (iii) The average amount of insurance at the beginning of the first 10 policy years.
      (iv) After the latest anniversary referred to in subparagraph (B)(ii) of this paragraph, or the 5th policy anniversary if later, no percentage may apply to fewer than 5 consecutive policy years.
  (6) The basic cash value shall exceed the amount that would result in the paragraph (4) formula by replacing the nonforfeiture factors with adjusted premiums.
  (7) (A) Adjusted premiums and present values shall be calculated on the mortality and interest rate bases permitted by the Life Insurance Amendments Reform Act of 1984.
    (B) The cash surrender values all include endowment benefits under the policy.
  (8) (A) Except for a defaulted premium due on a policy anniversary, a cash surrender value and a paid-up nonforfeiture benefit arising from a premium default shall be determined consistently with subsections (a) through (g) of this section.
    (B) The cash surrender values and the paid up nonforfeiture benefits granted with additional benefits shall conform with this subsection.
(i) (1) After February 19, 1948, a company, in writing, may inform the Commissioner of the company’s election to comply with this section after an expressly selected date before January 1, 1950.
  (2) After filing the notice described in paragraph (1) of this subsection, this section shall govern the policies and the contracts issued by the company after the date.
  (3) Except as provided in paragraph (4) of this subsection and if a company does not choose a date, then, beginning January 1, 1950, this section shall govern the company.
  (4) Subsection (d)(6) and (7) of this section and subsection (e) of this section expressly establish dates when those provisions govern a company.
(j) (1) This section shall not apply to the following:
    (A) Reinsurance.
    (B) Group insurance.
    (C) Pure endowment.
    (D) Annuity or reversionary annuity contract.
    (E) Uniform amounts of term policy, with no guaranteed nonforfeiture or endowment benefits and with no renewal of guaranteed nonforfeiture or endowment benefits, for a term that lasts no more than 20 years and that expires before the insured becomes age 71, and with premiums payable throughout the policy term.
    (F) Decreasing amounts of term policy with no guaranteed nonforfeiture or endowment benefits, with adjusted premiums under subsections (d) and (e) of this section exceeded by adjusted premiums for uniform amounts of term policy, for a term that lasts no more than 20 years and that expires before the insured becomes age 71, and for a policy issued at the same age and for the same initial amount of insurance as originally provided by the policy.
    (G) A policy with guaranteed nonforfeiture or endowment benefits with no cash value or present value of a paid-up nonforfeiture benefit at the beginning of a policy year exceeding 2 1/2% of the amount of insurance at the beginning of the policy year.
    (H) A policy delivered outside the District of Columbia by an agent of the company.
  (2) For this section, the expiration age for joint term life insurance shall be the age of the oldest life when the insurance expires.
(k) For the purposes of this section, the term "operative date of the valuation manual" means the valuation as described in § 31-4701 .
D.C. Code § 31-204 — DC Code / Title 31 / Chapter 2 / § 31-204
§ 31-204. Required annual financial statements of companies or associations — Foreign companies or associations.
Status: in_force

The financial statements of insurance companies or associations, required hereby to be filed annually with the Commissioner of Insurance and Securities [Commissioner of the Department of Insurance, Securities, and Banking], shall set forth specifically the assets, liabilities, and conduct of the affairs within the United States of companies or associations organized outside of the territorial limits of the United States, and such statement shall be verified under oath by the manager and assistant manager or other proper officers of such companies or associations within the United States; and so much of this chapter as requires the publication of annual statements shall only extend to the statements respecting the affairs of such foreign companies or associations within the United States.
D.C. Code § 31-3302.04 — DC Code / Title 31 / Chapter 33 / § 31-3302.04
§ 31-3302.04. Market requirements.
Status: in_force

(a) The provisions of this chapter shall not be construed to require that a health insurer offering health insurance coverage only in connection with group health plans or through one or more bona fide associations, or both, offer such health insurance coverage in the individual market.
(b) A health insurer offering health insurance coverage in connection with group health plans under this subchapter shall not be deemed to be a health insurer offering individual health insurance coverage solely because such issuer offers a conversion policy.
(c) A health insurer offering individual health insurance coverage solely because such insurer offers any insurance coverage for children as a participant in a pilot program relating to insurance coverage for children shall not be deemed to be a health insurer offering individual health insurance coverage.
D.C. Code § 31-2231.01 — DC Code / Title 31 / Chapter 22A / § 31-2231.01
§ 31-2231.01. Definitions.
Status: in_force

For the purposes of this chapter, the term:
(1) “Agent” or “Broker” means a person who solicits, negotiates, effects, procures, delivers, renews, continues, or binds policies of insurance for persons or risks residing, located, or to be performed in the District of Columbia.
(2) “Annuity contract” means an agreement to make periodic payments in fixed dollar amounts under the terms of a contract for a stated period of time or for the life of the person specified in the contract.
(3) “Commissioner” means the Commissioner of the Department of Insurance and Securities Regulation.
(3A) “Gender identity or expression” shall have the same meaning as provided in § 2-1401.02(12A) .
(4) “Insurance business” means the transaction of all matters pertaining to a contract of insurance, both before and after the effectuation of the contract, and all matters arising out of the contract or a claim thereunder.
(5) “Insurance policy” or “insurance contract” means a contract of insurance, indemnity, medical, health, or hospital service; a health maintenance organization plan or coverage; a suretyship; or an annuity that is issued, proposed for issuance, or intended for issuance.
(6) “Insured” means the party named on a policy or contract as the individual with legal rights to the benefits provided by the policy or contract.
(7) “Insurer” means a person, interinsurer, Lloyd’s insurer, fraternal benefit society, health maintenance organization, or any other legal entity engaged in the business of insurance, including agents, brokers, and third-party administrators. Insurer shall also mean medical service plans and hospital service plans.
(7A) "Living donor" means an individual who has donated all, or part, of an organ or tissue and is not deceased.
(7B) "Organ" means a human eye, kidney, liver, heart, lung, pancreas, esophagus, stomach, small or large intestine, a portion of the gastrointestinal tract, or another part of the human body designated by the Commissioner by rule.
(8) “Person” means any natural or artificial entity, including individuals, partnerships, associations, trusts, or corporations.
(8A) "Tissue" means a portion of the human body other than an organ, including skin, bone, bone marrow, a heart valve, a spermatozoon, an ova, an artery, a vein, a tendon, a ligament, blood, blood derivatives, a pituitary gland, fluid, or another portion of the human body designated by the Commissioner by rule.
(9) “Unfair trade practices” means the commission of any one or more of the acts prohibited by §§ 31-2231.02 through 31-2231.21 , or regulations promulgated hereunder, with such frequency to indicate a general business practice to engage in the proscribed conduct.
D.C. Code § 31-3834.07 — DC Code / Title 31 / Chapter 38B / § 31-3834.07
§ 31-3834.07. Coverage of voluntary sterilization procedures and services.
Status: in_force

(a) Except as otherwise provided in subsection (b) of this section, an individual health plan or group health plan shall provide coverage for voluntary sterilization procedures and services and shall not impose any cost-sharing requirements or impose any medically unnecessary restrictions or delays.
(b) An individual health plan or group health plan may require a deductible, co-payment, or cost sharing for coverage of voluntary sterilization procedures and services for an enrollee covered by a high deductible health plan, as defined in 26 U.S.C. § 223(c)(2), if required by federal law.
(c) The Mayor, pursuant to subchapter I of Chapter 5 of Title 2 , shall issue rules to implement the provisions of this section.
D.C. Code § 31-1608 — DC Code / Title 31 / Chapter 16 / § 31-1608
§ 31-1608. Special enforcement provisions.
Status: in_force

(a) An insurer, or an agent, broker or employee of the insurer who violates any provision of this chapter or rule issued pursuant to this chapter shall be subject to the suspension or revocation of its license or certificate of authority to transact business in the District, as appropriate, in accordance with the provisions of §§ 31-2502.03 , 31-2502.36 [repealed], 31-4305 , and 31-4326 [repealed], or other applicable District laws.
(b) Any person who violates the restrictions on disclosure in § 31-1606(d) shall be fined not less than $500 or more than $5,000 for each disclosure. In the case of an insurer or an agent, broker or employee of an insurer, the fine shall be in addition to the penalties provided in subsection (a) of this section.
(c) Any person injured as the result of a violation of this chapter, or a rule issued pursuant to this chapter, may bring an action for civil damages and other appropriate relief in the Superior Court of the District of Columbia without first pursuing administrative remedies.
D.C. Code § 31-1101 — DC Code / Title 31 / Chapter 11 / § 31-1101
§ 31-1101. Applicability of provisions.
Status: in_force

The provisions of this chapter shall not apply with respect to:
(1) Any insurance company licensed to do business in the District;
(2) Any banking institution, trust, loan, mortgage, safe deposit, or title company, building association, credit union, moneylenders, or common trust fund authorized to do business in the District;
(3) The inclusion of a charge for insurance in connection with an installment sale of a motor vehicle make in accordance with Chapter 6 of Title 50 ; or
(4) The financing of insurance premiums in the District in accordance with the provisions of §§ 28-3301 and 28-3302 relating to rates of interest.
D.C. Code § 31-310 — DC Code / Title 31 / Chapter 3 / § 31-310
§ 31-310. Accountant’s letter of qualifications.
Status: in_force

The accountant shall furnish the insurer in connection with, and for inclusion in, the filing of the annual audited financial report, a letter stating that:
(1) The accountant is independent with respect to the insurer and conforms to the standards of his or her profession as contained in the Code of Professional Ethics and pronouncements of the American Institute of Certified Public Accountants and the rules of the District of Columbia Board of Accountancy.
(2) The background and experience of the accountant in general is listed, and the experience in audits of insurers of the staff assigned to the engagement and whether each is an independent certified public accountant. Nothing within this chapter shall be construed as prohibiting the accountant from utilizing the staff he or she deems appropriate where use is consistent with the standards prescribed by generally accepted auditing standards.
(3) The accountant understands the annual audited financial report and his or her opinion thereon will be filed in compliance with this chapter and that the Mayor will be relying on this information in the monitoring and regulation of the financial position of insurers.
(4) The accountant consents to the requirements of § 31-311 and that the accountant consents and agrees to make available for review by the Mayor, his or her designee or his or her appointed agent, the workpapers, as defined in § 31-311 .
(5) The accountant is properly licensed by an appropriate state licensing authority and is a member in good standing in the American Institute of Certified Public Accountants.
(6) The accountant is in compliance with the requirements of § 31-305 .
D.C. Code § 31-1901 — DC Code / Title 31 / Chapter 19 / § 31-1901
§ 31-1901. Filing requirements.
Status: in_force

(a) Every company or association authorized to transact insurance business in the District shall file annually with the Mayor, before March 1st of each year, a financial statement for the year ending December 31st immediately preceding on forms furnished by the Mayor. The Mayor may extend the time for filing the statement by any company for reasons which the Mayor shall deem sufficient. Such a statement shall be verified by the oath of the president and secretary of the company, or, in their absence, by 2 other principal officers. The Mayor shall annually, in the month of December, furnish to each of the companies and associations authorized to do insurance business in the District forms necessary for filing the annual financial statement required by this section. The forms shall conform substantially to the form of statement adopted by the National Association of Insurance Commissioners (“NAIC”). The filing of these statements shall be in accordance with the NAIC Accounting Practices and Procedures Manual. The Mayor shall have power to make modifications and additions in the financial statement forms as the Mayor may deem necessary to ascertain the condition and affairs of the company. The Mayor may also require that at least once in the month of March in each year a summary of the annual statement by the company be published in a daily newspaper in the District.
(b) Each domestic, foreign, and alien insurer authorized to transact insurance in the District shall annually, on or before March 1st of each year, file with the NAIC, and pay the fee established by the NAIC for filing, reviewing, or processing the information, a copy of its annual statement convention form, along with any additional filings prescribed by the Mayor for the preceding year. The information filed with the NAIC shall be in the same format and scope as that required by the Mayor and shall include the signed jurat page and the actuarial certification. Any amendments and addendums to the annual statement filing subsequently filed with the Mayor shall also be filed with the NAIC.
(c) Foreign insurers domiciled in a state which has a law substantially similar to subsection (a) of this section shall be deemed in compliance with this section if they file their annual statements in compliance with that jurisdiction’s law.
D.C. Code § 31-1607 — DC Code / Title 31 / Chapter 16 / § 31-1607
§ 31-1607. Contestability.
Status: in_force

An insurer may contest the validity of a policy or contract for 3 years from the date of issuance, amendment, or renewal of the policy or contract, if the basis for contesting the validity is that the insured knowingly failed or refused to disclose to the insurer that he or she had AIDS at the time of issuance, amendment, or renewal of any policy issued under this chapter, and the insurance company was prohibited by law from conducting a test to determine the exposure of the insured to the AIDS virus on the date the insurer and insured entered into a contract.
D.C. Code § 31-1402 — DC Code / Title 31 / Chapter 14 / § 31-1402
§ 31-1402. Authority, scope, and scheduling of examinations.
Status: in_force

(a) The Mayor, or any of his or her examiners, may conduct an examination under this chapter of any company as often as the Mayor in his or her sole discretion deems appropriate, but shall at a minimum conduct an examination of every insurer licensed in the District at least once every 5 years. In scheduling and determining the nature, scope, and frequency of the examinations, the Mayor shall consider such factors as the results of financial statement analyses and ratios, changes in management or ownership, actuarial opinions, reports of independent certified public accountants, and other criteria set forth in the Examiners’ Handbook adopted by the National Association of Insurance Commissioners and in effect when the Mayor exercises discretion under this section.
(b) For purposes of completing an examination of any company under this chapter, the Mayor may examine or investigate any person, or the business of any person, insofar as the examination or investigation is, in the sole discretion of the Mayor, necessary or material to the examination of the company.
(c) In lieu of an examination under this chapter of any foreign or alien insurer licensed in the District, the Mayor may accept, until January 1, 1994, an examination report on the company prepared by the insurance department for the company’s state of domicile or port-of-entry state. Thereafter, these reports may be accepted only if the insurance department was at the time of the examination accredited under the National Association of Insurance Commissioners’ Financial Regulation Standards and Accreditation Program, or the examination is performed under the supervision of an accredited state insurance department or with the participation of one or more examiners who are employed by such an accredited state insurance department, and who, after a review of the examination workpapers and report, state under oath that the examination was performed in a manner consistent with the standards and procedures required by their insurance department.
D.C. Code § 31-2502.28b — DC Code / Title 31 / Chapter 25 / § 31-2502.28b
§ 31-2502.28b. Sewer-line backup insurance notice requirements for the provision of homeowner’s and renter’s insurance.
Status: in_force

(a) Within 90 days of September 19, 2013, a company authorized to sell or negotiate homeowner’s or renter’s insurance in the District of Columbia shall provide a written notice that states that a standard homeowner’s or renter’s insurance policy does not cover losses from sewer-line back up to:
  (1) An applicant at the time of application for a homeowner’s or renter’s insurance policy;
  (2) A policyholder at the time of each renewal of a homeowner’s or renter’s insurance policy, to accompany the renewal notice; and
  (3) On a one-time basis, a policyholder of a homeowner’s or renter’s insurance policy; provided, that a company shall not be required to provide the one-time notice to an existing policyholder if the renewal of that policyholder’s policy comes due within 90 days of the date the company began issuing the notices required by this subsection.
(b) The statement shall:
  (1) Be on a separate form;
  (2) Be titled, in at least 12-point type, “Sewer-line Backup Coverage Not Included in the Standard Homeowner’s or Renter’s Insurance Policy”; and
  (3) Contain, at a minimum, the following information, in at least 12-point type:
    (A) Advise the applicant that sewer-line backup insurance may be available for an additional premium and that a claim under a sewer-line backup insurance policy may be adjusted and paid on a different basis than a claim under a homeowner’s or renter’s insurance policy;
    (B) Advise the applicant that a separate application must be completed to purchase sewer-line backup insurance;
    (C) Advise the applicant to consult with the District Department of Insurance, Securities, and Banking or the applicant’s mortgage lender about the risks of sewer- line backup and the potential costs and benefits of sewer-line backup insurance; and
    (D) Advise the applicant that the statement shall not be considered a replacement for the terms of the insurance policy, shall not have the effect of altering the coverage afforded by the policy, shall not confer new or additional rights beyond those expressly provided for in the policy, and is only provided as guidance to the homeowner in understanding the terms of the insurance policy.
(c) If an application is made by telephone, the insurer is deemed to be in compliance with this section if, within 7 calendar days after the date of application, the insurer sends by mail the notice to the insured.
(d) If an application is made using the Internet, the insurer is deemed to be in compliance with this section if the insurer provides the notice to the applicant in a stand-alone format, similar to the notice requirements in subsection (b)(1), (2), and (3) of this section, before the submission of the application.
(e) The insurer’s failure to provide notice as required under this section does not create a private right of action.
D.C. Code § 31-2502.08 — DC Code / Title 31 / Chapter 25 / § 31-2502.08
§ 31-2502.08. Required annual financial statements.
Status: repealed

Repealed.
D.C. Code § 31-3932.14 — DC Code / Title 31 / Chapter 39A / § 31-3932.14
§ 31-3932.14. Standards and criteria applicable in a contested case brought by a third party and certain actions by the Commissioner.
Status: in_force

(a) A contested case brought by a third party based on a decision of the Commissioner pursuant to this subchapter shall be governed by applicable civil law; provided, that, the aggrieved party shall:
  (1) Prove the appeal through clear and convincing evidence;
  (2) Demonstrate irreparable harm;
  (3) Not have another adequate remedy at law; and
  (4) Post a bond of sufficient surety to protect the interests of the holders of the SPFC securities and policyholders in an amount not less than 15% of the total amount of the securitized transaction.
(b) If the Commissioner decides to reverse, amend, or modify a certificate of authority issued to an SPFC or the order issued in connection with them for a reason other than that specified in § 31-3931.15 , the Commissioner shall meet the standards and criteria provided in subsection (a) of this section.
D.C. Code § 31-3875.06 — DC Code / Title 31 / Chapter 38F / § 31-3875.06
§ 31-3875.06. Review personnel qualifications.
Status: in_force

(a) (1) A utilization review entity shall ensure that an adverse determination is made by a physician who:
    (A) Possesses a current and valid non-restricted license to practice medicine in the District, Maryland, or Virginia; and
    (B) Is of the same or similar specialty as a physician who typically manages the medical condition or disease or provides the health care service involved in the request; provided, that a physician making an adverse determination for pediatric care shall have a pediatric specialty.
  (2) The reviewing physician shall:
    (A) Be under the clinical direction of one of the utilization review entity's medical directors licensed in the District who is responsible for providing health care services to enrollees in the District; and
    (B) Not receive any financial incentive based on the number of adverse determinations made; except, that the utilization review entity may establish medically appropriate performance standards.
(b) (1) A utilization entity shall ensure that all appeals are reviewed by a physician who:
    (A) Possesses a current and valid non-restricted license to practice medicine in the District, Maryland, or Virginia;
    (B) Is of the same or similar specialty as a physician who typically manages the medical condition or disease or provides the health care service involved in the request; provided, that the physician reviewing an appeal for pediatric care shall have a pediatric specialty and practiced that specialty for at least 5 years; and
    (C) Is knowledgeable of, and have experience providing, the health care service on appeal.
  (2) A physician reviewing an appeal shall not:
    (A) Receive any financial incentive based on the number of adverse determinations made or upheld on appeal; provided, that the utilization review entity may establish medically appropriate performance standards;
    (B) Have been directly involved in making the adverse determination; and
    (C) Be subordinate of the physician who made the adverse determination.
D.C. Code § 31-2954 — DC Code / Title 31 / Chapter 29 / § 31-2954
§ 31-2954. Regulations.
Status: in_force

The Commissioner may issue rules and regulations necessary to implement the provisions of this subchapter.
D.C. Code § 31-5714 — DC Code / Title 31 / Chapter 57 / § 31-5714
§ 31-5714. Violations of provisions or injunction.
Status: repealed

Repealed.
D.C. Code § 31-5005 — DC Code / Title 31 / Chapter 50 / § 31-5005
§ 31-5005. Joint Underwriting Association; establishment; composition; plan of operation; participation by members; board of directors.
Status: in_force

(a) The Mayor is authorized to establish by order a Joint Underwriting Association if he finds, after notice and hearing, that such Association is necessary to carry out the purposes of this chapter. Such Joint Underwriting Association shall consist of all insurers licensed to write and engaged in writing in the District of Columbia, on a direct basis, such basic property insurance as may be designated by the Mayor or any component thereof in multiperil policies.
(b) Every such insurer shall be and remain a member of the Association and shall comply with all requirements of membership as a condition of its authority to transact such kinds of insurance in the District of Columbia, except that in lieu of revoking or suspending the certificate of authority of any company for any failure to comply with any of the requirements of membership, the Mayor may subject such company to a penalty of not more than $200 for each such failure to so comply when in his judgment he finds that the public interest would be best served by the continued operation of the company in the District of Columbia.
(c) (1) Within 60 days following the effective date of the order of the Mayor under this section the Association shall submit to him a proposed plan of operation, consistent with the provisions of this chapter, which shall provide for economical, fair, and nondiscriminatory administration of the Association and for the prompt and efficient provision of insurance or reinsurance, without regard to environmental hazards, for such basic property insurance and homeowner’s insurance as may be designated by the Mayor. The plan of operation shall include provisions for:
    (A) Preliminary assessment of all members for initial expenses necessary to commence operations;
    (B) Establishment of necessary facilities;
    (C) Management and operation of the Association;
    (D) Assessment of members to defray losses and expenses;
    (E) Commission arrangements;
    (F) Reasonable underwriting standards and ratemaking;
    (G) Assumption and cessation of insurance and of reinsurance;
    (G-i) Immediate binding of eligible homeowner’s risks;
    (G-ii) Encouragement of agents, brokers, and applicants to transfer insurance coverage provided by the Association, through either insurance or reinsurance, to the normal insurance market provided by authorized insurers; and
    (H) Such other matters as the Mayor may designate.
  (2) The plan of operation shall not take effect until approved by the Mayor. If the Mayor disapproves the proposed plan of operation (or any part thereof), he shall state the reasons for so doing, and the Association shall within 30 days thereafter submit for his review an appropriately revised plan of operation. During such time, the Mayor and the Association shall consult regarding the disapproved plan or part thereof. If the Association fails to submit a revised plan of operation, or if the revised plan so submitted is unacceptable to the Mayor, the Mayor shall promulgate a plan of operation.
  (3) The Association may, on its own initiative, amend such plan, subject to approval by the Mayor, and shall amend such plan at the direction of the Mayor if he finds such action is necessary to carry out the purposes of this chapter.
(d) All members of the Association shall participate in its writings, expenses, profits, and losses, or in such categories thereof as may be separately established by the Association, subject to approval by the Mayor, in the proportion that the premiums written by each such member during the preceding calendar year bear to the aggregate premiums written in the District of Columbia by all members of the Association, or in accordance with such other formula as the Association may devise with the approval of the Mayor. Such participation by each insurer in the Association shall be determined annually on the basis of such premiums written during the preceding calendar year as disclosed in the annual statements and other reports filed by the insurer with the Mayor.
(e) The Association shall be governed by a board of 11 directors, elected annually by cumulative voting by the members of the Association, whose votes in such election shall be weighted in accordance with the proportionate amount of each member’s net direct premiums written in the District of Columbia during the preceding calendar year. The 1st board shall be elected at a meeting of the members or their authorized representatives, which shall be held within 30 days after the effective date of the order under this section establishing the Association, at a time and place designated by the Mayor.
D.C. Code § 31-3303.13e — DC Code / Title 31 / Chapter 33 / § 31-3303.13e
§ 31-3303.13e. Negotiated health benefit plans.
Status: in_force

(a) When a negotiated health benefit plan differs in coverage of health services from the standard health benefit plan or formulary offered by the health insurer, the employer shall provide notice to all employees, regardless of whether they are enrolled in the negotiated health benefit plan, of any treatments, including particular services or medications, covered under the standard health benefit plan or formulary but are not covered under the negotiated health benefit plan or formulary offered to employees.
(b) Notice under subsection (a) of this section shall be provided to employees:
  (1) At least 30 days prior to the conclusion of any open enrollment period; and
  (2) Within 30 days after the employer and health insurer finalize the terms of coverage under a negotiated health benefit plan.
(c) For the purposes of this section, the term "negotiated health benefit plan" means a health benefit plan that an employer negotiates with a health insurer to provide to its employees which may otherwise differ from the standard health benefit plan offered by the health insurer.
D.C. Code § 31-3605 — DC Code / Title 31 / Chapter 36 / § 31-3605
§ 31-3605. Standards for long-term care insurance.
Status: in_force

(a) No long-term care insurance policy shall:
  (1) Be cancelled, not renewed, or otherwise terminated on the grounds of the age or deterioration of the mental or physical health of the insured individual or certificate holder;
  (2) Contain a provision establishing a new waiting period in the event existing coverage is converted to, or replaced by, a new or other form of coverage within the same company, except with respect to an increase in benefits voluntarily selected by the insured individual or group policyholder; or
  (3) Provide coverage for skilled nursing care only or provide significantly more coverage for skilled care in a facility than coverage for lower levels of care.
(b) (1) No long-term care insurance policy or certificate, other than a policy or certificate thereunder issued to a group as described in § 31-3601(4)(A) , shall contain a definition of “preexisting condition” which is more restrictive than the following definition: “A condition for which medical advice or treatment was recommended by, or received from a provider of health care services, within 6 months preceding the effective date of coverage of an insured person.”
  (2) No long-term care insurance policy or certificate, other than a policy or certificate thereunder issued to a group as described in § 31-3601(4)(A) , may exclude coverage for a loss or confinement which is the result of a preexisting condition unless such loss or confinement begins within 6 months following the effective date of coverage of an insured person.
  (3) The Commissioner may extend the limitation periods set forth in paragraphs (1) and (2) of this subsection as to specific group categories in specific policy forms if the Commissioner finds that the extension is in the best interest of the public.
  (4) Nothing in this chapter shall be construed to prohibit an insurer from using an application form designed to elicit the complete health history of an applicant and, on the basis of the answers on that application, from underwriting in accordance with that insurer’s established underwriting standards. Unless otherwise provided in the policy or certificate, a preexisting condition, regardless of whether it is disclosed on the application, need not be covered until the waiting period described in paragraph (2) of this subsection expires. No long-term care insurance policy or certificate may exclude or use waivers or riders of any kind to exclude, limit, or reduce coverage or benefits for specifically named or described preexisting diseases or physical conditions beyond the waiting period described in paragraph (2) of this subsection.
(c) (1) No long-term care insurance policy may be delivered or issued for delivery in the District if such policy:
    (A) Conditions eligibility for any benefits on a prior hospitalization requirement;
    (B) Conditions eligibility for benefits provided in an institutional care setting on the receipt of a higher level of institutional care; or
    (C) Conditions eligibility for any benefits other than waiver of premium, post-confinement, post-acute care or recuperative benefits on a prior institutionalization requirement.
  (2) (A) A long-term care insurance policy containing post-confinement post-acute care, or recuperative benefits shall clearly label in a separate paragraph of the policy or certificate entitled “Limitations or Conditions on Eligibility for Benefits” such limitations or conditions, including any required number of days of confinement.
    (B) A long-term care insurance policy or rider which conditions eligibility of noninstitutional benefits on the prior receipt of institutional care shall not require a prior institutional stay of more than 30 days.
(d) (1) Applicants for long-term care insurance shall have the right to return the policy or certificate within 30 days of its delivery and to have the premium refunded if, after examination of the policy or certificate, the applicant is not satisfied for any reason.
  (2) Long-term care insurance policies and certificates shall have a notice prominently printed on the first page or attached thereto stating in substance that the applicant shall have the right to return the policy or certificate within 30 days of its delivery and to have the premium refunded if, after examination of the policy or certificate, other than a certificate issued pursuant to a policy issued to a group defined in § 31-3601(4)(A) , the applicant is not satisfied for any reason.
  (3) If an application for a long-term care contract is denied, the issuer shall refund to the applicant any premium and any other fees submitted by the applicant within 30 days of the denial.
D.C. Code § 31-1806 — DC Code / Title 31 / Chapter 18 / § 31-1806
§ 31-1806. Required contract provisions; reinsurance intermediary-managers.
Status: in_force

Transactions between a reinsurance manager and the reinsurer it represents shall only be entered into pursuant to a written contract, specifying the responsibilities of each party, which shall be approved by the reinsurer’s board of directors. At least 30 days before a reinsurer assumes or cedes business through such a producer, a true copy of the approved contract shall be filed with the Mayor for approval. The contract shall, at a minimum, provide that:
(1) The reinsurer may terminate the contract for cause upon written notice to the reinsurance manager. The reinsurer may immediately suspend the authority of the reinsurance manager to assume or cede business during the pendency of any dispute regarding the cause for termination.
(2) The reinsurance manager will render accounts to the reinsurer accurately detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by, or owing to, the reinsurance manager, and remit all funds due under the contract to the reinsurer on not less than a monthly basis.
(3) All funds collected for the reinsurer’s account will be held by the reinsurance manager in a fiduciary capacity in a bank which is a qualified United States financial institution. The reinsurance manager may retain no more than 3 months estimated claims payments and allocated loss adjustment expenses. The reinsurance manager shall maintain a separate bank account for each reinsurer that it represents.
(4) For at least 10 years after expiration of each contract of reinsurance transacted by the reinsurance manager, the reinsurance manager will keep a complete record for each transaction showing:
  (A) The type of contract, limits, underwriting restrictions, classes, or risks, and territory;
  (B) Period of coverage, including effective and expiration dates, cancellation provisions and notice required of cancellation, and disposition of outstanding reserves on covered risks;
  (C) Reporting and settlement requirements of balances;
  (D) Rate used to compute the reinsurance premium;
  (E) Names and addresses of ceding insurers;
  (F) Rates of all reinsurance commissions, including the commissions on any retrocessions handled by the reinsurance manager;
  (G) Related correspondence and memoranda;
  (H) Proof of placement;
  (I) Details regarding retrocessions handled by the RM, as permitted by § 31-1808(d) , including the identity of retrocessionaires and percentage of each contract assumed or ceded;
  (J) Financial records, including, but not limited to, premium and loss accounts; and
  (K) When the reinsurance manager places a reinsurance contract on behalf of a ceding insurer:
    (i) Directly from any assuming reinsurer, written evidence that the assuming reinsurer has agreed to assume the risk; or
    (ii) If placed through a representative of the assuming reinsurer, other than an employee, written evidence that the reinsurer has delegated binding authority to the representative.
(5) The reinsurer will have access and the right to copy all accounts and records maintained by the reinsurance manager related to its business in a form usable by the reinsurer.
(6) The contract cannot be assigned in whole or in part by the reinsurance manager.
(7) The reinsurance manager will comply with the written underwriting and rating standards established by the insurer for the acceptance, rejection, or cession of all risks.
(8) The rates shall be set forth, as well as the terms and purposes of commissions, charges, and other fees which the reinsurance manager may levy against the reinsurer.
(9) If the contract permits the reinsurance manager to settle claims on behalf of the reinsurer:
  (A) All claims will be reported to the reinsurer in a timely manner.
  (B) A copy of the claim file will be sent to the reinsurer at its request or as soon as it becomes known that the claim:
    (i) Has the potential to exceed the lesser of an amount determined by the Mayor or the limit set by the reinsurer;
    (ii) Involves a coverage dispute;
    (iii) May exceed the reinsurance manager’s claims settlement authority;
    (iv) Is open for more than 6 months; or
    (v) Is closed by payment of the lesser of an amount set by the Mayor or an amount set by the reinsurer.
  (C) All claim files will be the joint property of the reinsurer and reinsurance manager. However, upon an order of liquidation of the reinsurer, the files shall become the sole property of the reinsurer or its estate; the reinsurance manager shall have reasonable access to and the right to copy the files on a timely basis.
  (D) Any settlement authority granted to the reinsurance manager may be terminated for cause upon the reinsurer’s written notice to the reinsurance manager or upon the termination of the contract. The reinsurer may suspend the settlement authority during the pendency of the dispute regarding the cause of termination.
(10) If the contract provides for a sharing of interim profits by the reinsurance manager, the interim profits will not be paid until 1 year after the end of each underwriting period for property business, and 5 years after the end of each underwriting period for casualty business, or a later period set by the Mayor for specified lines of insurance, and not until the adequacy of reserves on remaining claims has been verified pursuant to § 31-1808(c) .
(11) The reinsurance manager will annually provide the reinsurer with a statement of its financial condition prepared by an independent certified accountant.
(12) The reinsurer shall periodically, at least semi-annually, conduct an on-site review of the underwriting and claims processing operations of the reinsurance manager.
(13) The reinsurance manager will disclose to the reinsurer any relationship it has with any insurer prior to ceding or assuming any business with the insurer pursuant to this contract.
(14) Within the scope of its actual or apparent authority, the acts of the reinsurance manager shall be deemed to be the acts of the reinsurer on whose behalf it is acting.
D.C. Code § 31-806 — DC Code / Title 31 / Chapter 8 / § 31-806
§ 31-806. License denial, nonrenewal, or termination.
Status: repealed

Repealed.
D.C. Code § 31-1107 — DC Code / Title 31 / Chapter 11 / § 31-1107
§ 31-1107. Rules and regulations.
Status: in_force

The Commissioner shall have authority to make and enforce such reasonable rules and regulations as may be necessary in making effective the provisions of this chapter, but such rules and regulations shall not be contrary to nor inconsistent with the provisions of this chapter.
D.C. Code § 31-5602.05 — DC Code / Title 31 / Chapter 56 / § 31-5602.05
§ 31-5602.05. Licensing of successor firms.
Status: in_force

(a) A licensed broker-dealer or investment adviser or federal covered adviser shall file an application for the license or a notice filing, as applicable, of a successor, whether or not the successor is then in existence. There shall be no fee for the license or notice filing of the successor.
(b) If a broker-dealer or investment adviser succeeds to, and continues the business of, a licensed broker-dealer or investment adviser, or a federal covered adviser succeeds to and continues the business of, a federal covered adviser who has made a notice filing, and the successor files an application for a license or a notice filing, as applicable, within 30 days after the succession, the license or notice filing of the predecessor remains effective as the license or notice filing of the successor for 60 days after the succession.
(c) The licensing of a licensed agent of the broker-dealer filing an application under subsections (a) or (b) of this section continues without a separate filing or fee upon the licensing of the successor.
D.C. Code § 31-407 — DC Code / Title 31 / Chapter 4 / § 31-407
§ 31-407. Disclosure.
Status: in_force

The producer, prior to the effective date of the policy, shall deliver written notice to the prospective insured disclosing the relationship between the producer and the controlled insurer, except that, if the business is placed through a subproducer who is not a controlling producer, the controlling producer shall retain in his or her records a signed commitment from the subproducer that the subproducer is aware of the relationship between the insurer and the producer and that the subproducer has or will notify the insured.
D.C. Code § 31-4408 — DC Code / Title 31 / Chapter 44 / § 31-4408
§ 31-4408. Minimum capital and surplus requirements.
Status: in_force

(a) A domestic capital-stock company organized under this subdivision shall have a paid-up capital stock of not less than $1,000,000. Each domestic capital-stock company organized under this subdivision, in addition to the paid-up capital stock, shall have a surplus paid-up equal to at least 50% of such capital stock. Each domestic mutual company organized or doing business under this subdivision shall at all times have a surplus as defined by this subdivision of not less than $1,500,000.
(b) No company shall be exempt from the provisions of this section by reason of its having been incorporated in the District or elsewhere prior to the effective date of this subsection or subsequent amendment, except that in the case of companies authorized in the District of Columbia on August 31, 1964, and continuously authorized thereafter without any increase or broadening of authority, the minimum capital required of a stock company, or the minimum surplus required of a mutual company, shall not be increased by this section.
D.C. Code § 31-5513 — DC Code / Title 31 / Chapter 55 / § 31-5513
§ 31-5513. Recognition of assessments in rates.
Status: in_force

The rates and premiums charged for insurance policies to which this chapter applies shall include amounts sufficient to recoup a sum equal to the amounts paid to the Association by the member insurer less any amounts returned to the member insurer by the Association, and these rates shall not be deemed excessive because they contain an amount reasonably calculated to recoup assessments paid by the member insurer.
D.C. Code § 31-601 — DC Code / Title 31 / Chapter 6 / § 31-601
§ 31-601. Definition.
Status: in_force

As used in this chapter, unless the context otherwise requires, “domestic stock insurance company” means a stock insurance company incorporated or organized under the laws of the District of Columbia.
D.C. Code § 31-3932.15 — DC Code / Title 31 / Chapter 39A / § 31-3932.15
§ 31-3932.15. Rulemaking.
Status: in_force

The Commissioner may promulgate rules necessary to effectuate the purposes of this subchapter. Rules promulgated pursuant to this section shall not affect an SPFC insurance securitization in effect at the time of the promulgation.
D.C. Code § 31-5238.02 — DC Code / Title 31 / Chapter 52A / § 31-5238.02
§ 31-5238.02. Compliance and economic impact.
Status: in_force

(a) Information, records, or other data received, prepared, used, or retained by the Commissioner pursuant to this subsection shall not be subject to the disclosure requirements of subchapter II of Chapter 5 of Title 2 to the extent that:
  (1) The information, records, or other data describe the commercial and financial operations or intellectual property of a business entity or individual;
  (2) The information or records have not been publicly disseminated at any time; and
  (3) Disclosure of the information or records may put the business entity or individual at a competitive disadvantage.
(b) (1) A Certified Capital Company shall receive and consider applications from every business interested in obtaining funds from the Certified Capital Company. The Certified Capital Company shall maintain a registry of all contacts made with every person or business that contacts the Certified Capital Company for the purpose of obtaining funding. The registry shall be made available to the Commissioner for inspection.
  (2) A Certified Capital Company shall provide, at the Commissioner’s request, the Commissioner with a detailed written explanation explaining its decision to fund or to decline to fund a prospective business. A Certified Capital Company providing a written explanation pursuant to this paragraph shall include a copy of the prospect’s business plan, financial statements, or other documents submitted by the person or business seeking funding. A Certified Capital Company shall also submit to the Commissioner all internal business analysis documents, if any, prepared by the Certified Capital Company that were considered during its decision-making process.
  (3) A Certified Capital Company that declines to provide funding to any business shall promptly communicate its decision in writing to the business seeking the funding. The letter shall include a detailed statement describing the reason the Certified Capital Company declined to fund the business. A copy of the letter shall be sent to the Commissioner.
(c) (1) Each Qualified Business shall once a year provide the Certified Capital Companies from which it has received a Qualified Investment with a report stating the number and type of jobs created and retained in total and in the District, salaries paid to each employee, taxes paid to the District, money spent with local businesses or persons, including landlords, major suppliers and vendors, accountants, auditors, attorneys, and others, and whether such businesses or persons are located in the District or elsewhere.
  (2) Each Qualified Businesses shall provide the Certified Capital Company with documents, such as leases, invoices, payroll reports, employment records, tax returns and contracts, in support of the reports required by paragraph (1) of this subsection. The Certified Capital Company shall maintain the reports and supporting documents for a period of not less than 5 years from the date of receipt and shall make this information available to the Commissioner during the annual review.
(d) Notwithstanding any other provision in this chapter, the Commissioner shall promptly make available to the Council and its committees, upon their request, any information made available to or otherwise in the possession of the Commissioner pursuant to this chapter.
(e) The Commissioner shall conduct an Economic Impact Study once a year, beginning with the year ending December 31, 2009, and ending with the year ending December 31, 2014, to determine the economic impact of the Certified Capital Company program on the District’s economy. The Certified Capital Companies shall require its Qualified Businesses to provide all information necessary, as determined by the Commissioner or his or her designee, to complete the study. A detailed written report shall be prepared at the conclusion of the study. The Commissioner may retain consultants, economists, and other experts to conduct the Economic Impact Study. The costs of these experts shall be borne by the Certified Capital Companies in proportion to the amount of Certified Capital invested in each Certified Capital Company.
(f) The Commissioner may subject a Certified Capital Company to an administrative penalty not to exceed $25,000 for any violation of this section, subject to the hearing requirements set forth [in] § 2-509 . Prior to imposing a penalty under this section, the Commissioner shall provide the Certified Capital Company with written notice of the violation and at least 30 days to cure the violation.
D.C. Code § 31-5301 — DC Code / Title 31 / Chapter 53 / § 31-5301
§ 31-5301. Definitions.
Status: in_force

For the purposes of this chapter, the term:
(1) “Benefit contract” means the agreement for provision of benefits authorized by § 31-5313 , as that agreement is described in § 31-5316(a) .
(2) “Benefit member” means an adult member who is designated by the laws or rules of the society to be a benefit member under a benefit contract.
(3) “Certificate” means the document issued as written evidence of the benefit contract.
(4) “Commissioner” means the Commissioner of the Department of Insurance, Securities, and Banking.
(5) “District” means the District of Columbia.
(6) “Fraternal benefit societies” means any incorporated society, order or supreme lodge, without capital stock, including one exempted under the provisions of § 31-5333(a)(2) , whether incorporated or not, conducted solely for the benefit of its members and their beneficiaries and not for profit, operated on a lodge system with ritualistic form of work, having a representative form of government, and which provides benefits in accordance with this chapter.
(7) “Laws” means the society’s articles of incorporation, charter, constitution and bylaws, however designated.
(8) “Lodge” means subordinate member units of the society, known as camps, courts, councils, branches or by any other designation.
(9) “Lodge System” means a society that has a supreme governing body and subordinate lodges into which members are elected, initiated, or admitted in accordance with its laws, rules, and rituals.  Subordinate lodges shall be required by the laws of the society to hold regular meetings periodically in furtherance of the purposes of the society.  A society may, at its option, organize and operate lodges for children under the minimum age for adult membership, but membership and initiation in local lodges shall not be required of such children, nor shall they have a voice or vote in the management of the society.
(10) “Premiums” means premiums, rates, dues, or other required contributions by whatever name known, which are payable under the certificate.
(11) “Representative form of government” means a society in which:
  (A) There is a supreme governing body constituted in one of the following ways:
    (i) By assembly if the supreme governing body is composed of delegates elected directly by the members or at intermediate assemblies or conventions of members or their representatives, together with other delegates as may be prescribed in the society’s laws. A society may provide for election of delegates by mail. The elected delegates shall constitute a majority in number and shall not have less than a majority of the votes and not less than the number of votes required to amend the society’s laws. The assembly shall be elected and shall meet at least once every 4 years and shall elect a board of directors to conduct the business of the society between meetings of the assembly. Vacancies on the board of directors between elections may be filled in the manner prescribed by the society’s laws; or
    (ii) By direct election if the supreme governing body is a board composed of persons elected by the members, either directly or by their representatives in intermediate assemblies, and any other persons prescribed in the society’s laws.  A society may provide for election of the board by mail.  Each term of a board member may not exceed 4 years. Vacancies on the board between elections may be filled in the manner prescribed by the society’s laws.  Those persons elected to the board shall constitute a majority in number and not less than the number of votes required to amend the society’s laws.  A person filling the unexpired term of an elected board member shall be considered to be an elected member.  The board shall meet at least quarterly to conduct the business of the society;
  (B) The officers of the society are elected either by the supreme legislative or governing body or by the board by whatever name known, as provided in the society’s constitution and bylaws;
  (C) The members, officers, representatives, or delegates shall not vote by proxy; and
  (D) Only benefit members are eligible for election to the supreme governing body, the board of directors or any intermediate assembly.
(12) “Rules” means all rules, regulations, or resolutions adopted by the supreme governing body or board of directors which are intended to have general application to the members of the society.
(13) “Society” means fraternal benefit society, unless otherwise indicated.
D.C. Code § 31-6005 — DC Code / Title 31 / Chapter 60 / § 31-6005
§ 31-6005. Board of directors.
Status: repealed

Repealed.
D.C. Code § 31-802 — DC Code / Title 31 / Chapter 8 / § 31-802
§ 31-802. Duties of agents and brokers.
Status: repealed

Repealed.
D.C. Code § 31-753 — DC Code / Title 31 / Chapter 7 / § 31-753
§ 31-753. Merger of policyholder membership interests.
Status: in_force

(a) Upon approval of the Commissioner, a domestic or foreign reciprocal or mutual insurance company may merge its policyholders’ membership interests into a mutual insurance holding company formed pursuant to this section and continue, without interruption, the existence of the insurance company as a stock insurance company subsidiary of the mutual insurance holding company or as a stock insurance company subsidiary of an intermediate holding company which is a subsidiary of the mutual insurance holding company.
(b) The Commissioner, after a public hearing as provided in § 31-703(g)(1) , if satisfied that the interests of the policyholders are properly protected and that the merger is fair and equitable to the policyholders, shall approve the proposed merger and may require as a condition of approval such modifications of the proposed merger as the Commissioner finds necessary for the protection of the policyholders’ interests. The Commissioner may retain consultants as provided in § 31-703(g)(3) . A merger pursuant to this section shall be subject to § 31-703(a) , (b), and (c).  The Commissioner shall retain jurisdiction over the mutual insurance holding company organized pursuant to this section to assure that policyholder interests are protected.
(c) All of the initial shares of the capital stock of the reorganized insurance company shall be issued to the mutual insurance holding company.  The membership interests of the policyholders of the reorganized insurance company shall become membership interests in the mutual insurance holding company.
(d) Policyholders of the reorganized insurance company shall be members of the mutual insurance holding company in accordance with the articles of incorporation and bylaws of the mutual insurance holding company.  The mutual insurance holding company shall at all times directly or indirectly own a majority of the voting shares of the capital stock of the reorganized insurance company.  A merger of policyholders’ membership interests in a reciprocal or mutual insurance company into a mutual insurance holding company shall be deemed to be a merger of insurance companies pursuant to § 31-703 which shall be applicable.
D.C. Code § 31-3413 — DC Code / Title 31 / Chapter 34 / § 31-3413
§ 31-3413. Uncovered expenditures insolvency deposit.
Status: in_force

(a) If at any time uncovered expenditures exceed 10% of total health care expenditures, a health maintenance organization shall place an uncovered expenditures insolvency deposit with the Commissioner, or with any organization or trustee acceptable to the Commissioner through which a custodial or controlled account is maintained, cash or securities that are acceptable to the Commissioner. The deposit shall at all times have a fair market value in an amount of 120% of the HMO’s outstanding liability for uncovered expenditures for enrollees in the District, including incurred, but not reported claims, and shall be calculated as of the first day of the month and maintained for the remainder of the month. If a health maintenance organization is not otherwise required to file a quarterly report, it shall file a report within 45 days of the end of the calendar quarter with information sufficient to demonstrate compliance with this section.
(b) The deposit required under this section is in addition to the deposit required under § 31-3412 and is an admitted asset of a health maintenance organization in the determination of net worth. All income from deposits or trust accounts shall be assets of a health maintenance organization and may be withdrawn from the deposit or account quarterly with the approval of the Commissioner.
(c) (1) A health maintenance organization that has made a deposit may withdraw that deposit or any part of the deposit if:
    (A) A substitute deposit of cash or securities of equal amount and value is made;. —
    (B) The fair market value exceeds the amount of the required deposit; or
    (C) The required deposit under subsection (a) of this section is reduced or eliminated.
  (2) Deposits, substitutions or withdrawals may be made only with the prior written approval of the Commissioner.
(d) The deposit required under this section is in trust and may be used only as approved under this section. The Commissioner may use the deposit of an insolvent health maintenance organization for administrative costs associated with administering the deposit and payment claims of enrollees of the District for uncovered expenditures. Claims for uncovered expenditures shall be paid on a pro rata basis based on assets available to pay such ultimate liability for incurred expenditures. Partial distribution may be made pending final distribution. Any amount of the deposit remaining shall be paid into the liquidation or receivership of the health maintenance organization.
(e) The Commissioner may by regulation prescribe the time, manner, and form for filing claims under subsection (d) of this section.
(f) The Commissioner may by regulation or order require health maintenance organizations to file annual, quarterly, or more frequent reports as the Commissioner deems necessary to demonstrate compliance with this section. The Commissioner may require that the reports include liability for uncovered expenditures as well as an audit option.
D.C. Code § 31-3403 — DC Code / Title 31 / Chapter 34 / § 31-3403
§ 31-3403. Issuance of certificate of authority.
Status: in_force

(a) Upon receipt of an application for issuance of a certificate of authority, the Commissioner, in consultation with the Director of the Department of Health, shall determine whether the applicant, with respect to the health care services to be provided, has complied with § 31-3406 .
(b) Within 45 days of receipt of the application for issuance of a certificate of authority, the Commissioner, in consultation with the Director of the Department of Health, shall certify that the proposed health maintenance organization meets the requirements of § 31-3406 or notify the applicant that it does not meet such requirements and specify in what respects it is deficient.
(c) The Commissioner shall issue a certificate of authority to any person filing a completed application upon receiving the prescribed fees and upon the Commissioner being satisfied that:
  (1) The persons responsible for the conduct of the affairs of the applicant are competent, trustworthy, and possess good reputations;
  (2) Any deficiencies identified by the Commissioner have been corrected and the health maintenance organization’s proposed plan of operation meets the requirements of § 31-3406 ;
  (3) The health maintenance organization will effectively provide or arrange for basic health care services on a prepaid basis, through insurance or otherwise, except to the extent of reasonable requirements for copayments or deductibles, or both; and
  (4) The health maintenance organization is in compliance with §§ 31-3412 and 31-3414 .
(d) A certificate of authority may be denied only after the Commissioner complies with the requirements of § 31-3419 .
(e) The Commissioner, in carrying out his obligations under this chapter, may contract with qualified persons to make recommendations concerning the determinations required to be made by him. Recommendations may be accepted in full or in part by the Commissioner.
(f) Repealed.
(g) Repealed.
(h) Each certificate of authority to do business in the District of Columbia shall renew on May 1 of each year following the date of its issuance unless it has been revoked or the renewal fee under subsection (h) of this section has not been paid.
(i) The Commissioner may charge a renewal license fee to health maintenance organizations licensed to do business in the District of Columbia. The renewal fee shall be paid before April 2 of each renewal year. The fee shall be remitted in a manner prescribed by the Commissioner.
(j) After receiving its certificate of authority, a health maintenance organization shall submit to the Commissioner information concerning any modification or amendment to its application for a certificate of authority or supporting documentation prior to the effectuation of the modification or amendment or provide this information or documentation to the Commissioner when the health maintenance organization files its annual report.
D.C. Code § 31-2361.07 — DC Code / Title 31 / Chapter 23R / § 31-2361.07
§ 31-2361.07. Verification of licensure or certification.
Status: in_force

(a) An appraisal management company registered in the District may not enter into any contract or agreement with an appraiser for the performance of appraisals in the District unless the company verifies that the appraiser is licensed or certified in good standing in the District.
(b) An appraisal management company seeking to be registered or to renew a registration in the District shall certify to the Department on a form prescribed by the Department that the company has a system and process in place to verify that an individual being added to the appraiser panel of the company for appraisal services holds an appraiser license or certification in good standing in the District.
D.C. Code § 31-1503 — DC Code / Title 31 / Chapter 15 / § 31-1503
§ 31-1503. Required contract provisions.
Status: in_force

No person, firm, association, or corporation acting in the capacity of a managing general agent shall place business with an insurer unless there is in force a written contract between the parties which sets forth the responsibilities of each party, and where both parties share responsibility for a particular function, specifies the division of the responsibilities, and which contains the following minimum provisions:
(1) The insurer may terminate the contract for cause upon written notice to the managing general agent. The insurer may suspend the underwriting authority of the managing general agent during the pendency of any dispute regarding the cause for termination.
(2) The managing general agent will render accounts to the insurer detailing all transactions and remit all funds due under the contract to the insurer on not less than a monthly basis.
(3) All funds collected for the account of an insurer will be held in a separate account by the managing general agent in a fiduciary capacity in a bank which is a member of the Federal Reserve System. This account shall be used for all payments on behalf of the insurer. The managing general agent may retain no more than 3 months estimated claims payments and allocated loss adjustment expenses.
(4) Separate records of business written by the managing general agent will be maintained. The insurer shall have access and right to copy all accounts and records related to its business in a form usable by the insurer, and the Mayor shall have access to all books, bank accounts, and records of the managing general agent in a form usable to the Mayor. These records shall be retained according to Chapter 14 of this title , and §§ 31-4440 and 31-5204 .
(5) The contract may not be assigned in whole or part by the managing general agent.
(6) Appropriate underwriting guidelines are required, including:
  (A) The maximum annual premium volume;
  (B) The basis of the rates to be charged;
  (C) The types of risks which may be written;
  (D) Maximum limits of liability;
  (E) Applicable exclusions;
  (F) Territorial limitations;
  (G) Policy cancellation provisions; and
  (H) The maximum policy period.
(7) The insurer shall have the right to cancel or not renew any policy of insurance subject to the applicable laws and regulations of the District governing the cancellation and nonrenewal of insurance policies.
(8) If the contract permits the managing general agent to settle claims on behalf of the insurer:
  (A) All claims must be reported to the company within 48 hours of receipt.
  (B) A copy of the claim file will be sent to the insurer at its request or as soon as it becomes known that the claim:
    (i) Has the potential to exceed an amount determined by the Mayor or exceeds the limit set by the company, whichever is less;
    (ii) Involves a coverage dispute;
    (iii) May exceed the managing general agent’s claims settlement authority;
    (iv) Is open for more than 6 months; or
    (v) Is closed by payment of an amount set by the Mayor or an amount set by the company, whichever is less.
  (C) All claim files will be the joint property of the insurer and managing general agent. Upon an order of liquidation of the insurer, however, these files shall become the sole property of the insurer or its estate; the managing general agent shall have reasonable access to and the right to copy the files on a timely basis.
  (D) Any settlement authority granted to the managing general agent may be terminated for cause upon the insurer’s written notice to the managing general agent or upon the termination of the contract. The insurer may suspend the settlement authority during the pendency of any dispute regarding the cause for termination.
(9) Where electronic claims files are in existence, the contract must address the timely transmission of the data.
(10) If the contract provides for a sharing of interim profits by the managing general agent, and the managing general agent has the authority to determine the amount of the interim profits by establishing loss reserves or controlling claim payments, or in any other manner, interim profits will not be paid to the managing general agent until 1 year after they are earned for property insurance business and 5 years after they are earned on casualty business and not until the profits have been verified pursuant to § 31-1504 .
(11) The managing general agent shall not:
  (A) Bind reinsurance or retrocessions on behalf of the insurer, except that the managing general agent may bind facultative reinsurance contracts pursuant to obligatory facultative agreements if the contract with the insurer contains reinsurance underwriting guidelines including, for both reinsurance assumed and ceded, a list of reinsurers with which such automatic agreements are in effect, the coverages and amounts or percentages that may be reinsured, and commission schedules;
  (B) Commit the insurer to participate in insurance or reinsurance syndicates;
  (C) Appoint any producer without assuring that the producer is lawfully licensed to transact the type of insurance for which he is appointed;
  (D) Without prior approval of the insurer, pay or commit the insurer to pay a claim over a specified amount, net of reinsurance, which shall not exceed 1% of the insurer’s policyholder’s surplus as of December 31 of the last completed calendar year;
  (E) Collect any payment from a reinsurer or commit the insurer to any claim settlement with a reinsurer without prior approval of the insurer. If prior approval is given, a report must be promptly forwarded to the insurer;
  (F) Permit its subproducer to serve on the insurer’s board of directors;
  (G) Jointly employ an individual who is employed with the insurer; or
  (H) Appoint a submanaging general agent.
D.C. Code § 31-1335 — DC Code / Title 31 / Chapter 13 / § 31-1335
§ 31-1335. Special claims.
Status: in_force

(a) The claim of a third party which is contingent only on his first obtaining a judgment against the insured shall be considered and allowed as if there were no contingency.
(b) A claim may be allowed even if contingent, if it is filed in accordance with § 31-1333 . It may be allowed and may participate in all distributions declared after it is filed to the extent that it does not prejudice the orderly administration of the liquidation.
(c) Claims that are due except for the passage of time shall be treated as absolute claims are treated, except that the claims may be discounted at the legal rate of interest.
(d) Claims made under employment contracts by directors, principal officers, or persons in fact performing similar functions or having similar powers are limited to payment for services rendered prior to the issuance of any order of rehabilitation or liquidation under § 31-1311 or § 31-1316 .
D.C. Code § 31-5607.02 — DC Code / Title 31 / Chapter 56 / § 31-5607.02
§ 31-5607.02. Prohibitions on use of information.
Status: in_force

The Commissioner or an employee of the Commissioner shall not use for personal gain or benefit information filed with or obtained by the Commissioner which is not public information. The Commissioner or an employee of the Commissioner shall not conduct securities dealings based upon information filed with or obtained by the Commissioner, even though public, if there has not been sufficient time for the securities markets to assimilate the information.
D.C. Code § 31-3231 — DC Code / Title 31 / Chapter 32 / § 31-3231
§ 31-3231. Definitions.
Status: in_force

For the purposes of this subchapter, the term:
(1) “Health benefit plan” means any accident and health insurance policy or certificate, hospital and medical services corporation contract, health maintenance organization subscriber contract, plan provided by a multiple employer welfare arrangement, or plan provided by another benefit arrangement. The term “health benefit plan” does not mean accident only, credit, or disability insurance; coverage of Medicare services or federal employee health plans, pursuant to contracts with the United States government; Medicare supplemental or long-term care insurance; dental only or vision only insurance; specified disease insurance; hospital confinement indemnity coverage; limited benefit health coverage; coverage issued as a supplement to liability insurance, insurance arising out of a workers’ compensation or similar law; automobile medical payment insurance; medical expense and loss of income benefits; or insurance under which benefits are payable with or without regard to fault and that is statutorily required to be contained in any liability insurance policy or equivalent self-insurance.
(2) “Health insurer” means any person that provides one or more health benefit plans or insurance in the District of Columbia, including an insurer, a hospital and medical services corporation, a fraternal benefit society, a health maintenance organization, a multiple employer welfare arrangement, or any other person providing a plan of health insurance subject to the authority of the Commissioner.
(3) “Commissioner” means the Commissioner of the Department of Insurance and Securities Regulation.
D.C. Code § 31-1371.02 — DC Code / Title 31 / Chapter 13A / § 31-1371.02
§ 31-1371.02. Definitions.
Status: in_force

For the purposes of this chapter, the term:
(1) “Acceptable collateral” means:
  (A) As to securities lending transactions, and for the purpose of calculating the counterparty exposure amount, cash, cash equivalents, letters of credit, direct obligations of, or securities that are fully guaranteed as to principal and interest by, the government of the United States, any agency of the United States, the Federal National Mortgage Association, or the Federal Home Loan Mortgage Corporation;
  (B) As to foreign lending securities transactions, investments set forth in subparagraph (A) of this paragraph and sovereign debt rated 1 by the SVO;
  (C) As to repurchase transactions, cash, cash equivalents and direct obligations of, or securities that are fully guaranteed as to principal and interest by, the government of the United States, an agency of the United States, the Federal National Mortgage Association, or the Federal Home Loan Mortgage Corporation; and
  (D) As to reverse repurchase transactions, cash and cash equivalents.
(2) “Acceptable private mortgage insurance” means insurance written by a private insurer protecting a mortgage lender against loss occasioned by a mortgage loan default and issued by a licensed mortgage insurance company, with an SVO 1 designation or a rating issued by a nationally recognized statistical rating organization equivalent to an SVO 1 designation, that covers losses to an 80% loan-to-value ratio.
(3) “Accident and health insurance” means protection which provides payment of benefits for covered sickness or accidental injury, excluding credit insurance, disability insurance, accidental death and dismemberment insurance, and long-term care insurance.
(4) “Accident and health insurer” means a licensed life or health insurer or health service corporation whose insurance premiums and required statutory reserves for accident and health insurance constitute at least 95% of total premium considerations or total statutory required reserves, respectively.
(5) “Admitted assets” means assets having economic value which can be used to fulfill policy obligations and permitted, as allowed in the National Association of Insurance Commissioners Accounting Practices and Procedures Manual, to be reported as admitted assets on the statutory financial statement of the insurer most recently required to be filed with the Commissioner, but excluding assets of separate accounts, the investments of which are not subject to the provisions of this chapter.
(6) “Affiliate” means, as to any person, another person that, directly or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with the person.
(7) “Asset-backed security” means a security or other instrument, excluding a mutual fund, evidencing an interest in, providing the right to receive payments from, or payable from distributions on, an asset, a pool of assets, or specifically divisible cash flows which are legally transferred to a trust or another special purpose bankruptcy-remote business entity, under the following conditions:
  (A) The trust or other business entity is established solely for the purpose of acquiring specific types of assets or right to cash flows, issuing securities and other instruments representing an interest in or right to receive cash flows from those assets or rights, and engaging in activities required to service the assets or rights and any credit enhancement or support features held by the trust or other business entity; and
  (B) The assets of the trust or other business entity consist solely of interest-bearing obligations or other contractual obligations representing the right to receive payment from the cash flows from the assets or rights; provided, that the existence of credit enhancements, such as letters of credit or guarantees, or support features, such as swap agreements, shall not disqualify the security or other instrument as an asset-backed security.
(8) “Business entity” includes a sole proprietorship, corporation, limited liability company, association, partnership, joint stock company, joint venture, mutual fund, trust, joint tenancy or other similar form of business organization, whether organized for profit or not for profit.
(9) “Cap” means an agreement obligating the seller to make payments to the buyer, with each payment based on the amount by which a reference price or level or the performance or value of one or more underlying interests exceeds a predetermined number, sometimes called the strike rate or strike price.
(10) “Capital and surplus” means the sum of the capital and surplus of the insurer required to be shown on the statutory financial statement of the insurer most recently required to be filed with the Commissioner.
(11) “Cash equivalents” means short-term, highly rated, and highly liquid investments or securities readily convertible to known amounts of cash without penalty. Cash equivalents shall include government money market mutual funds and class one money market mutual funds. For the purposes of this definition:
  (A) “Short-term” means investments with a remaining term to maturity of 90 days or less.
  (B) “Highly rated” means an investment rated P-1 by Moody’s Investors Services, Inc., A-1 by the Standard and Poor’s division of The McGraw Hill Companies, Inc., or its equivalent rating by a nationally recognized statistical rating organization recognized by the SVO.
(12) “Class one bond mutual fund” means a bond mutual fund that at all times qualifies for investment using the bond class one reserve factor under the Purposes and Procedures of the Securities Valuation Office of the Securities Valuation Office or any successor publication.
(13) “Class one money market mutual fund” means a money market mutual fund that at all times qualifies for investment using the bond class one reserve factor under the Purposes and Procedures of the Securities Valuation Office of the Securities Valuation Office or any successor publication.
(14) “Code” means the laws relating to insurance which are codified in this title of the D.C. Official Code.
(15) “Collar” means an agreement to receive payments as the buyer of an option, cap, or floor and to make payments as the seller of a different option, cap, or floor.
(16) “Commercial mortgage loan” means a loan secured by a mortgage other than a residential mortgage loan.
(17) “Construction loan” means a loan with a term of less than 3 years made for financing the cost of construction of a building or other improvement to real estate and secured by the real estate to be improved.
(18) “Control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a person, whether through the ownership of voting securities, by contract (other than a commercial contract for goods or non-management services), or otherwise, unless the power is the result of an official position with or corporate office held by the person. Control shall be presumed to exist if a person, directly or indirectly, owns, controls, holds with the power to vote, or holds proxies representing, 10% or more of the voting securities of another person. This presumption may be rebutted by a showing that control does not exist in fact. The Commissioner may determine, after furnishing all interested persons notice and an opportunity to be heard and making specific findings of fact to support the determination, that control exists in fact, notwithstanding the absence of a presumption to that effect.
(19) (A) “Counterparty exposure amount” means the net amount of credit risk attributable to a derivative instrument entered into with a business entity other than through a qualified exchange, qualified foreign exchange, or cleared through a qualified clearinghouse (“over-the-counter derivative instrument”).
  (B) (i) The net amount of credit risk equals:
      (I) The market value of the over-the-counter derivative instrument if the liquidation of the derivative instrument would result in a final cash payment to the insurer; or
      (II) Zero if the liquidation of the derivative instrument would not result in a final cash payment to the insurer.
    (ii) If over-the-counter derivative instruments are entered into under a written master agreement which provides for netting of payments owed by the respective parties, and the domiciliary jurisdiction of the counterparty is either within the United States or, if not within the United States, within a foreign jurisdiction listed in the Purposes and Procedures of the Securities Valuation Office of the Securities Valuation Office as eligible for netting, the net amount of credit risk shall be the greater of zero or the net sum of:
      (I) The market value of the over-the-counter derivative instruments entered into under the agreement, the liquidation of which would result in a final cash payment to the insurer; and
      (II) The market value of the over-the-counter derivative instruments entered into under the agreement, the liquidation of which would result in a final cash payment by the insurer to the business entity.
    (iii) For open transactions, market value shall be determined at the end of the most recent quarter of the insurer’s fiscal year and shall be reduced by the market value of acceptable collateral held by the insurer or placed in escrow by one or both parties.
(20) “Covered” means that, in an income generation transaction, an insurer owns or can immediately acquire, through the exercise of options, warrants, or conversion rights already owned, the underlying interest to fulfill or secure its obligations under a call option, cap, or floor it has written, or has set aside under a custodial or escrow agreement cash or cash equivalents with a market value equal to the amount required to fulfill its obligations under a put option it has written.
(21) “Credit tenant loan” means a mortgage loan which is made primarily in reliance on the credit standing of a major tenant, structured with an assignment of the rental payments to the lender, and is secured by a first lien on the real estate.
(22) (A) “Derivative instrument” means an agreement, option, instrument, or a series or combination thereof:
    (i) To make or take delivery of, or assume or relinquish, a specified amount of one or more underlying interests;
    (ii) To make a cash settlement in lieu thereof; or
    (iii) That has a price, performance, value, or cash flow based primarily upon the actual or expected price, level, performance, value, or cash flow of one or more underlying interests.
  (B) Derivative instruments shall include options, warrants used in a hedging transaction and not attached to another financial instrument, caps, floors, collars, swaps, forwards, and futures; any other agreements, options, or instruments substantially similar thereto, or any series or combination thereof; and any agreements, options, or instruments permitted under regulations adopted under § 31-1375.01 . Derivative instruments shall not include an investment authorized by §§ 31-1372.03 through 31-1372.09 , 31-1372.11 , and 31-1373.04 through 31-1373.10 .
(23) “Derivative transaction” means a transaction involving the use of one or more derivative instruments.
(24) “Direct” or “directly”, when used in connection with an obligation, means that the designated obligor is primarily liable on the instrument representing the obligation.
(25) “Dollar roll transaction” means 2 simultaneous transactions with different settlement dates no more than 96 days apart, where, in the first transaction, an insurer sells to a business entity and, in the second transaction, the insurer is obligated to purchase from the same business entity, substantially similar securities of the following types:
  (A) Asset-backed securities issued, assumed, or guaranteed by the Government National Mortgage Association, the Federal National Mortgage Association, or the Federal Home Loan Mortgage Corporation, or their respective successors; and
  (B) Other asset-backed securities referred to in section 106 of the Secondary Mortgage Market Enhancement Act of 1984, approved October 3, 1984 (98 Stat. 1691; 15 U.S.C. § 77r-1 ).
(26) “Domestic jurisdiction” means the United States, Canada, the District of Columbia, any state, any province of Canada, or any political subdivision of any of the foregoing.
(27) “Equity interest” means any of the following that are not rated credit instruments:
  (A) Common stock;
  (B) Preferred stock;
  (C) Trust certificate;
  (D) Equity investment in an investment company other than a money market mutual fund or a class one bond mutual fund;
  (E) Investment in a common trust fund of a bank regulated by a federal or state agency;
  (F) An ownership interest in minerals, oil, or gas, the rights to which have been separated from the underlying fee interest in the real estate where the minerals, oil, or gas are located;
  (G) Instruments which are mandatorily, or at the option of the issuer, convertible to equity;
  (H) Limited partnership interests and those general partnership interests authorized under § 31-1371.05 ;
  (I) Member interests in limited liability companies;
  (J) Warrants or other rights to acquire equity interests that are created by the person that owns or would issue the equity to be acquired; or
  (K) Instruments that would be rated credit instruments except as excluded by paragraph (71)(B) of this section.
(28) “Equivalent securities” means:
  (A) In a securities lending transaction, securities that are identical to the loaned securities in all features, including the amount of the loaned securities, except as to certificate number if held in physical form; provided, that if any different security shall be exchanged for a loaned security by recapitalization, merger, consolidation, or other corporate action, the different security shall be deemed to be the loaned security;
  (B) In a repurchase transaction, securities that are identical to the purchased securities in all features, including the amount of the purchased securities, except as to the certificate number if held in physical form; or
  (C) In a reverse repurchase transaction, securities that are identical to the sold securities in all features, including the amount of the sold securities, except as to the certificate number if held in physical form.
(29) “Floor” means an agreement obligating the seller to make payments to the buyer in which each payment is based on the amount by which a predetermined number, sometimes called the floor rate or price, exceeds a reference price, level, performance, or value of one or more underlying interests.
(30) “Foreign currency” means a currency other than that of a domestic jurisdiction.
(31) (A) “Foreign investment” means an investment in a foreign jurisdiction, or any investment in a person, real estate, or asset domiciled in a foreign jurisdiction, that is substantially of the same type as those eligible for investment under this chapter, other than under §§ 31-1372.09 and 31-1373.10 . An investment shall not be a foreign investment if the issuing person, qualified primary credit source, or qualified guarantor is a domestic jurisdiction or a person domiciled in a domestic jurisdiction, unless:
    (i) The issuing person is a shell business entity; and
    (ii) The investment is not assumed, accepted, guaranteed, insured, or otherwise backed by a domestic jurisdiction or a person, that is not a shell business entity, domiciled in a domestic jurisdiction.
  (B) For the purposes of this definition:
    (i) “Shell business entity” means a business entity having no economic substance except as a vehicle for owning interests in assets issued, owned, or previously owned by a person domiciled in a foreign jurisdiction.
    (ii) “Qualified guarantor” means a guarantor against which an insurer has a direct claim under contract for full and timely payment for which an enforcement action can be brought in a domestic jurisdiction.
    (iii) “Qualified primary credit source” means the credit source to which an insurer looks for payment as to an investment and against which an insurer has a direct claim under contract for full and timely payment for which an enforcement action can be brought in a domestic jurisdiction.
(32) “Foreign jurisdiction” means a jurisdiction other than a domestic jurisdiction.
(33) “Forward” means an agreement (other than a future) to make or take delivery of, or effect a cash settlement based on the actual or expected price, level, performance, or value of, one or more underlying interests.
(34) “Future” means an agreement, traded on a qualified exchange or qualified foreign exchange, to make or take delivery of, or effect a cash settlement based on the actual or expected price, level, performance or value of, one or more underlying interests.
(35) “Government money market mutual fund” means a money market mutual fund that at all times:
  (A) Invests only in obligations issued, guaranteed, or insured by the federal government of the United States or collateralized repurchase agreements composed of these obligations; and
  (B) Qualified for investment without a reserve under the Purposes and Procedures of the Securities Valuation Office of the Securities Valuation Office or any successor publication.
(36) “Government-sponsored enterprise” means a:
  (A) Governmental agency; or
  (B) Corporation, limited liability company, association, partnership, joint stock company, joint venture, trust, or other entity or instrumentality organized under the laws of any domestic jurisdiction to accomplish a public policy or other governmental purpose; provided, that this subparagraph shall not apply to any entity or instrumentality which qualifies for exemption under section 501(c)(3) of the Internal Revenue Code of 1986, approved October 26, 1986 (68A Stat. 163; 26 U.S.C. § 501(c)(3)).
(37) “Guaranteed or insured”, when used in connection with an obligation acquired under this chapter, means that the guarantor or insurer has agreed to:
  (A) Perform or insure the obligation of the obligor or purchase the obligation; or
  (B) Be unconditionally obligated until the obligation is repaid to maintain in the obligor a minimum net worth, fixed charge coverage, minimum stockholders’ equity, or sufficient liquidity to enable the obligor to pay the obligation in full.
(38) “Hedging transaction” means a derivative transaction which is entered into and maintained to reduce:
  (A) The risk of a change in the value, yield, price, cash flow, or quantity of assets or liabilities which the insurer has acquired or incurred or anticipates acquiring or incurring; or
  (B) The currency exchange rate risk or the degree of exposure as to assets or liabilities which an insurer has acquired or incurred, or anticipates acquiring or incurring.
(39) “High grade investment” means a rated credit instrument rated 1 or 2 by the SVO.
(40) “Income” means, as to a security, interest, accrual of discount, dividends, or other distributions, such as rights, tax or assessment credits, warrants, and distributions in kind.
(41) “Income generation transaction” means a derivative transaction involving the writing of covered call option, covered put options, covered caps, or covered floors that is intended to generate income or enhance return.
(42) “Initial margin” means the amount of cash, securities, or other consideration initially required to be deposited to establish a futures position.
(43) “Insurance future” means a future relating to an index or pool that is based on insurance-related items.
(44) “Insurance futures option” means an option on an insurance futures contract.
(45) “Investment company” means an investment company as defined in section 3(a)(1) of the Investment Company Act of 1940, approved August 20, 1940 (56 Stat. 867; 15 U.S.C. § 80a-3(a)(1) ), and a person described in section 3(c) of the Investment Company Act of 1940, approved August 20, 1940 (56 Stat. 867; 15 U.S.C. § 80a-3(c) ).
(46) “Investment company series” means an investment portfolio of an investment company that is organized as a series company and to which assets of the investment company have been specifically allocated.
(47) “Investment practices” means transactions of the types described in § 31-1372.08 , § 31-1372.10 , § 31-1373.09 , or § 31-1373.11 .
(48) “Investment subsidiary” means a subsidiary of an insurer engaged or organized to engage exclusively in the ownership and management of assets authorized as investments for the insurer if each subsidiary agrees to limit its investment in any asset so that its investments will not cause the amount of the total investment of the insurer to exceed any of the investment limitations or avoid any other provisions of this chapter applicable to the insurer. For the purposes of this paragraph, the total investment of the insurer shall include:
  (A) Direct investment by the insurer in an asset; and
  (B) The insurer’s proportionate share of an investment in an asset by an investment subsidiary of the insurer, which share shall be calculated by multiplying the amount of the subsidiary’s investment by the percentage of the insurer’s ownership interest in the subsidiary.
(49) “Investment strategy” means the techniques and methods used by an insurer to meet its investment objectives, such as active bond portfolio management, passive bond portfolio management, interest rate anticipation, growth investment, and value investing.
(50) “Letter of credit” means a clean, irrevocable, and unconditional letter of credit issued or confirmed by, and payable and presentable at, a financial institution on the list of financial institutions meeting the standards for issuing letters of credit under the Purposes and Procedures of the Securities Valuation Office of the Securities Valuation Office of the Securities Valuation Office , or any successor publication. To constitute acceptable collateral for the purposes of § 31-1372.08 and § 31-1373.02 , a letter of credit shall have an expiration date beyond the term of the subject transaction.
(51) “Limited liability company” means an entity that is an unincorporated association, having perpetual duration, having one or more members that is organized and existing under Chapter 8 of Title 29 , or under the laws of the United States or any state thereof that limits the personal liability of each member to the equity investment of the member in the business entity.
(52) “Lower grade investment” means a rated credit instrument rated 4, 5, or 6 by the SVO.
(53) “Market value” means:
  (A) As to cash and a letter of credit, the amount thereof; and
  (B) As to a security, as of any date, the price of the security on that date obtained from a generally recognized source or the most recent quotation from such a source or, to the extent no generally recognized source exists, the price for the security as determined in good faith by the parties to a transaction, plus accrued but unpaid income thereon to the extent not included in the price as of that date.
(54) “Medium grade investment” means a rated credit instrument rated 3 by the SVO.
(55) “Modified guaranteed contracts” means a modified guaranteed annuity or modified guaranteed life insurance policy or contract.
(56) “Money market mutual fund” means a mutual fund that meets the conditions of 17 C.F.R. § 270.2a-7.
(57) “Mortgage loan” means an obligation secured by a mortgage, deed of trust, trust deed, or other consensual lien on real estate.
(58) “Multilateral development bank” means an international development organization of which the United States is a member.
(59) “Mutual fund” means an investment company or, in the case of an investment company that is organized as a series company, an investment company series, that is registered with the United States Securities and Exchange Commission under the Investment Company Act of 1940, approved August 20, 1940 (56 Stat. 789; 15 U.S.C. § 80a-1 et seq.).
(60) “NAIC” means the National Association of Insurance Commissioners.
(61) “Obligation” means a bond, note, debenture, trust certificate, including an equipment certificate, production payment, negotiable bank certificate of deposit, bankers’ acceptance, credit tenant loan, loan secured by financing, net leases and other evidence of indebtedness for the payment of money (or participations, certificates, or other evidences of an interest in any of the foregoing), whether constituting a general obligation of the issuer or payable only out of certain revenues or certain funds pledged or otherwise dedicated for payment.
(62) (A) “Option” means an agreement giving the buyer the right to buy or receive, sell or deliver, enter into, extend or terminate or effect a cash settlement based on the actual or expected price, level, performance, or value of one or more underlying interests.
  (B) “Call option” means the right of the buyer to buy or receive the option.
  (C) “Put option” means the right of the buyer to sell or deliver the option.
(63) “Person” means an individual, a business entity, a multilateral development bank, or a government or quasi-governmental body, such as a political subdivision or a government-sponsored enterprise.
(64) “Potential exposure” means the amount determined in accordance with the NAIC Annual Statement Instructions.
(65) “Preferred stock” means stock of a business entity, which stock has a preference in liquidation over the common stock of the business entity.
(66) “Qualified bank” means:
  (A) A national bank, state bank, or trust company that at all times is no less than adequately capitalized as determined by standards adopted by United States banking regulators and that is either regulated by state banking laws or is a member of the Federal Reserve System; or
  (B) A bank or trust company incorporated or organized under the laws of a country other than the United States that is regulated as a bank or trust company by that country’s government or an agency thereof and that at all times is no less than adequately capitalized as determined by the standards adopted by international banking authorities.
(67) “Qualified business entity” means a business entity that is:
  (A) An issuer of obligations or preferred stock that are rated 1 or 2 by the SVO or an issuer of obligations, preferred stock, or derivative instruments that are rated the equivalent of 1 or 2 by the SVO or by a nationally recognized statistical rating organization recognized by the SVO; or
  (B) A primary dealer in United States government securities, recognized by the Federal Reserve Bank of New York.
(68) “Qualified clearinghouse” means a clearinghouse for, and subject to the rules of, a qualified exchange or a qualified foreign exchange, which provides clearing services, including acting as a counterparty to each of the parties to a transaction such that the parties no longer have credit risk as to each other.
(69) “Qualified exchange” means:
  (A) A securities exchange registered as a national securities exchange or a securities market regulated under the Securities Exchange Act of 1934 approved June 6, 1934 (48 Stat. 881; 15 U.S.C. § 78 et seq.);
  (B) A board of trade or commodities exchange designated as a contract market by the Commodity Futures Trading Commission;
  (C) Private Offerings, Resales and Trading through Automated Linkages (PORTAL);
  (D) A designated offshore securities market as defined in 17 C.F.R. § 230.902(b); or
  (E) A qualified foreign exchange.
(70) “Qualified foreign exchange” means a foreign exchange, board of trade, or contract market located outside the United States, its territories, or possessions:
  (A) That has received regulatory comparability relief under Rule 30.10, Appendix C, 17 C.F.R. Part 30 (“Rule 30.10”);
  (B) That is, or its members are, subject to the jurisdiction of a foreign futures authority that has received regulatory comparability relief under Rule 30.10 as to futures transactions in the jurisdiction where the exchange, board of trade, or contract market is located; or
  (C) Upon which foreign stock index futures contracts are listed that are the subject of no-action relief issued by the Office of General Counsel of the Commodity Futures Trading Commission; provided, that an exchange, board of trade, or contract market that is a qualified foreign exchange under this subparagraph shall only be a qualified foreign exchange as to foreign stock index futures contracts that are the subject of no-action relief.
(71) (A) “Rated credit instrument” means a contractual right to receive cash or another rated credit instrument from another entity which instrument:
    (i) Is rated, or required to be rated, by the SVO;
    (ii) In the case of an instrument with a maturity not exceeding 397 days, is issued, guaranteed, or insured by an entity that is rated by, or another obligation of such entity is rated by, the SVO or by a nationally recognized statistical rating organization recognized by the SVO;
    (iii) In the case of an instrument with a maturity not exceeding 90 days, is issued by a qualified bank;
    (iv) Is a share of a class one bond mutual fund; or
    (v) Is a share of a money market mutual fund.
  (B) The term “rated credit instrument” shall not mean:
    (i) An instrument that is mandatorily, or at the option of the issuer, convertible to an equity interest; or
    (ii) A security that has a par value and whose terms provide that the issuer’s net obligation to repay all or part of the security’s par value is determined by reference to the performance of an equity, a commodity, a foreign currency, or an index of equities, commodities, foreign currencies, or combinations thereof.
(72) (A) “Real estate” means:
    (i) Real property;
    (ii) Interests in real property, such as leaseholds, minerals, and oil and gas that have not been separated from the underlying fee interest;
    (iii) Improvements and fixtures located on or in real property; or
    (iv) The seller’s equity in a contract providing for a deed of real estate.
  (B) As to a mortgage on a leasehold estate, real estate shall include the leasehold estate only if it has an unexpired term, including renewal options exercisable at the option of the lessee, extending beyond the scheduled maturity date of the obligation that is secured by a mortgage on the leasehold estate by a period equal to the greater of 20% of the original term of the obligation or 10 years.
(73) “Replication transaction” means a derivative transaction that is intended to replicate the performance of one or more assets that an insurer may acquire under this chapter. A derivative transaction that is entered into as a hedging transaction shall not be considered a replication transaction.
(74) “Repurchase transaction” means a transaction in which an insurer purchases securities from a business entity that is obligated to repurchase the purchased securities or equivalent securities from the insurer at a specified price, either within a specified period of time or upon demand.
(75) “Required liabilities” means total liabilities required to be reported on the statutory financial statement of the insurer most recently required to be filed with the Commissioner.
(76) “Residential mortgage loan” means a loan primarily secured by a mortgage on real estate improved with a residence for up to 4 families.
(77) “Reverse repurchase transaction” means a transaction in which an insurer sells securities to a business entity and is obligated to repurchase the sold securities or equivalent securities from the business entity at a specified price, either within a specified period of time or upon demand.
(78) “Secured location” means the contiguous real estate owned by one person.
(79) “Securities lending transaction” means a transaction in which securities are loaned by an insurer to a business entity that is obligated to return the loaned securities or equivalent securities to the insurer, either within a specified period of time or upon demand.
(80) “Series company” means an investment company that is organized as a series company, as defined in SEC Rule 18f-2(a), 17 C.F.R. § 270.18f-2.
(81) “Sinking fund stock” means preferred stock that:
  (A) Is subject to a mandatory sinking fund or similar arrangement that will provide for the redemption or open market purchase of the entire issue over a period not longer than 40 years from the date of acquisition; and
  (B) Provides for mandatory sinking fund installments or open market purchases commencing not more than 10.5 years from the date of issue, with the sinking fund installments providing for the purchase or redemption, on a cumulative basis commencing 10 years from the date of issue, of at least 2.5% per year of the original number of shares of that issue of preferred stock.
(82) “Special rated credit instrument” means a rated credit instrument that is:
  (A) An instrument that is structured so that, if it is held until retired by or on behalf of the issuer, its rate of return, based on its purchase cost and any possible cash flow, may become negative due to reasons other than the credit risk associated with the issuer of the instrument; provided, that a rated credit instrument shall not be a special rated credit instrument under this subsection if it is:
    (i) A share in a class one bond mutual fund;
    (ii) An instrument, other than an asset-backed security, which:
      (I) Has payments of par value fixed as to amount and timing or is callable;
      (II) Is payable only at par or greater; and
      (III) Has interest or dividend cash flows that are based on either a fixed or variable rate determined by reference to a specified rate or index;
    (iii) An instrument, other than an asset-backed security, that has a par value and is purchased at a price no greater than 110% of par value;
    (iv) An instrument, including an asset-backed security, whose rate of return would become negative only as a result of a prepayment due to casualty, condemnation or economic obsolescence of collateral, or change of law;
    (v) An asset-backed security that relies on collateral that meets the requirements of sub-subparagraph (ii) of this subparagraph, the par value of which collateral:
      (I) Is not permitted to be paid sooner than 1/2 of the remaining term to maturity from the date of acquisition;
      (II) Is permitted to be paid prior to maturity only at a premium sufficient to provide a yield to maturity for the investment, considering the amount prepaid and reinvestment rates at the time of early repayment, at least equal to the yield to maturity of the initial investment; or
      (III) Is permitted to be paid prior to maturity at a premium at least equal to the yield of a treasury issue of comparable remaining life; or
    (vi) An asset-backed security that relies on cash flows from assets that are not prepayable at any time at par value, but is not otherwise governed by sub-subparagraph (v) of this subparagraph, if the asset-backed security has par value reflecting principal payments to be received if held until retired by or on behalf of the issuer and is purchased at a price not greater than 105% of such par amount; or
  (B) (i) An asset-backed security that:
      (I) Relies on cash flows from assets that are prepayable at par value at any time;
      (II) Does not make payments of par value that are fixed as to amount and timing; and
      (III) Has a negative rate of return at the time of acquisition if a prepayment threshold assumption is used, with the prepayment threshold assumption defined as:
        (aa) Twice the prepayment expectation reported by a recognized, publicly available source as being the median of expectations contributed by broker-dealers or other entities, except insurers, engaged in the business of selling or evaluating such securities or assets. The prepayment expectation used in this calculation shall be, at the insurer’s election, the prepayment expectation for pass-through securities of the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, the Government National Mortgage Association, or for other assets of the same type as the assets that underlie the asset-backed security, in either case which has a gross weighted average coupon comparable to the gross weighted average coupon of the assets that underlie the asset-backed security; or
        (bb) Another prepayment threshold assumption specified by the Commissioner by regulation promulgated under § 31-1375.01 .
    (ii) For the purposes of this subparagraph, if the asset-backed security is purchased in combination with one or more other asset-backed securities that are supported by identical underlying collateral, the insurer may calculate the rate of return for these specific combined asset-backed securities in combination; provided, that the insurer shall maintain documentation demonstrating that the securities were acquired and are continuing to be held in combination.
(83) “State” means any of the several states, the District of Columbia, the Commonwealth of Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, and the Commonwealth of Northern Mariana Islands.
(84) “Substantially similar securities” means securities that meet all criteria for substantially similar specified in the NAIC Accounting Practices and Procedures Manual, and in an amount that constitutes good delivery form as determined from time to time by the Public Securities Administration.
(85) “SVO” means the Securities Valuation Office of the NAIC, or any successor office established by the NAIC.
(86) “Swap” means an agreement to exchange or to net payments at one or more times based on the actual or expected price, level, performance, or value of one or more underlying interests.
(87) “Variable contracts” means a variable annuity or a variable life insurance policy.
(88) “Underlying interest” means the assets, liabilities, other interests or a combination thereof underlying a derivative instrument, such as any one or more securities, currencies, rates, indices, commodities, or derivative instruments.
(89) “Unrestricted surplus” means the amount by which total admitted assets exceed 125% of the insurer’s required liabilities.
(90) “Warrant” means an instrument that gives the holder the right to purchase an underlying financial instrument at a given price and time or at a series of prices and times outlined in the warrant agreement. Warrants may be issued alone or in connection with the sale of other securities or to facilitate divestiture of the securities of another business entity.
D.C. Code § 31-2502.20a — DC Code / Title 31 / Chapter 25 / § 31-2502.20a
§ 31-2502.20a. Authority to transact business — Lloyd’s organizations.
Status: in_force

Individuals and aggregations of individuals transacting an insurance business upon the plan known as Lloyd’s whereby the individual underwriters become liable severally for specified proportions of the whole amount insured by a policy, heretofore organized under the laws of a state of the United States, or of a foreign government, may be authorized to transact business in the District, upon the following conditions:
(1) They shall comply with and be subject to the same terms, conditions, and provisions as are imposed by this chapter upon foreign stock insurance companies, except as provided in the next succeeding paragraph and except that the maximum amount of insurance to be assumed by an individual underwriter upon any single risk for each kind of insurance shall not exceed 10% of the value of the cash and securities deposited in trust by such underwriter, plus the share of admitted assets other than underwriter’s deposits of such Lloyd’s belonging to such underwriter, less the share of liabilities and reserves of such Lloyd’s allocable to such underwriter, but in no event shall it exceed 10 per centum of the value of cash or securities deposited in trust by such underwriter;
(2) They shall have and shall at all times maintain surpluses of not less than $300,000 in the aggregate and shall at all times have on deposit with an insurance department of a state of the United States, or with a bank or trust company designated by such insurance department, for the benefit of all policyholders within the United States the sum of at least $350,000 in cash or in securities such as are required for the investment of the assets of insurance companies authorized to do business in the District: Provided, that they shall not be required to establish or maintain such a deposit if they have on deposit in the hands of a bank or trust company in the United States as trustee cash deposits or securities issued by the United States worth not less than $2,000,000 in the aggregate and held in trust for the benefit of all policyholders in the United States;
(3) They shall file with the Commissioner an authenticated copy of their powers of attorney and an authenticated copy of the trust agreement, or other agreement under which deposits made by underwriters are held;
(4) They shall notify the Commissioner forthwith of any amendments to their powers of attorney, deposit agreement, or other documents underlying their organization, by filing with the Commissioner an authenticated copy of such document as amended;
(5) They shall notify the Commissioner forthwith of any change in their names or change of attorney-in-fact, or change of address of their attorney-in-fact;
(6) In the case of an alien Lloyd’s, their annual statement shall embrace only their condition and transactions in the United States, and may be verified by the oath of their resident manager or other person or persons having proper authority; and
(7) There shall be filed with the Commissioner by the attorney-in-fact at the time of filing the annual statement, or more often if the Commissioner requires, a statement verified by the appropriate official of such Lloyd’s, setting forth:
  (A) The names and addresses of all the underwriters of such Lloyd’s;
  (B) A description of the cash and securities deposited in trust by each underwriter;
  (C) The maximum amount of insurance assumed by each underwriter upon any single risk or each kind of insurance; and
  (D) That the maximum amount of insurance assumed upon any single risk for each kind of insurance by any individual underwriter does not exceed the limitation provided for in paragraph (1) of this section.
D.C. Code § 31-1802 — DC Code / Title 31 / Chapter 18 / § 31-1802
§ 31-1802. Licensure.
Status: in_force

(a) No person, firm, association, or corporation shall act as a reinsurance broker in the District if the reinsurance broker maintains an office either directly or as a member or employee of a firm or association, or an officer, director, or employee of a corporation:
  (1) In the District, unless the reinsurance broker is a licensed broker in the District; or
  (2) In another state, unless the reinsurance broker is a licensed broker in the District or another state having a law substantially similar to this chapter or the reinsurance broker is licensed in the District as a nonresident reinsurance intermediary.
(b) No person, firm, association, or corporation shall act as a reinsurance manager:
  (1) For a reinsurer domiciled in the District unless the reinsurance manager is a licensed broker in the District;
  (2) In the District, if the reinsurance manager maintains an office either directly or as a member or employee of a firm or association, or an officer, director, or employee of a corporation in the District, unless the reinsurance manager is a licensed broker in the District; or
  (3) In another state for a nondomestic insurer, unless the reinsurance manager is a licensed broker in the District or another state having a law substantially similar to this chapter or the person is licensed in the District as a nonresident reinsurance intermediary.
(c) The Mayor may require a reinsurance manager subject to subsection (b) of this section to:
  (1) File a bond in an amount from an insurer acceptable to the Mayor for the protection of the reinsurer; and
  (2) Maintain an errors and omissions policy in an amount acceptable to the Mayor.
(d) (1) The Mayor may issue a reinsurance intermediary license to any person, firm, association, or corporation that has complied with the requirements of this chapter. Such a license issued to a firm or association will authorize all the members of the firm or association, and any designated employees, to act as reinsurance intermediaries under the license, and all those persons shall be named in the application and any subsequent supplements. Such a license issued to a corporation shall authorize all of the officers, and any designated employees and directors, to act as reinsurance intermediaries on behalf of the corporation, and all those persons shall be named in the application and any subsequent supplements.
  (2) If the applicant for a reinsurance intermediary license is a nonresident, such an applicant, as a condition precedent to receiving or holding a license, shall comply with the service of process provisions of § 31-202 . Such a licensee shall promptly notify the Mayor in writing of every change in its designated agent for service of process, and no change shall become effective until acknowledged by the Mayor.
(e) The Mayor may refuse to issue a reinsurance intermediary license if, in his or her judgment, the applicant, anyone named on the application, or any member, principal, officer, or director of the applicant, is not trustworthy, or that any controlling person of such an applicant is not trustworthy to act as a reinsurance intermediary, or that any of the foregoing has given cause for revocation or suspension of such a license, or has failed to comply with any prerequisite for the issuance of such a license. Upon written request, the Mayor will furnish a summary of the basis for refusal to issue a license, which document shall be privileged and not subject to subchapter II of Chapter 5 of Title 2 .
(f) Licensed attorneys at law of the District, when acting in their professional capacity, shall be exempt from this section.
(g) Any license issued pursuant to this section for a reinsurance intermediary shall be issued as a Financial Services endorsement to a basic business license under the basic business license system as set forth in subchapter I-A of Chapter 28 of Title 47 .
D.C. Code § 31-2231.16 — DC Code / Title 31 / Chapter 22A / § 31-2231.16
§ 31-2231.16. Failure to provide claims history.
Status: in_force

(a) A property and casualty insurer shall provide the following loss information for the 3 previous policy years to the first named insured within 30 days of receipt of the first named insured’s written request:
  (1) On all claims, the date and description of occurrence, and the total amount of payments; and
  (2) For any occurrence not included in paragraph (1) of this subsection, the date and description of the occurrence.
(b) If the first named insured is requested by a prospective insurer to provide detailed loss information other than that required under subsection (a) of this section, the first named insured may mail or deliver a written request to the insurer for the additional information. No prospective insurer shall request more detailed loss information than is reasonably required to underwrite the same line or class of insurance. The insurer shall provide the information under subsection (a) of this section to the first named insured as soon as possible, but not later than 20 days after the receipt of the written request. Notwithstanding any other provision of this section, no insurer shall be required to provide loss reserve information, and no prospective insurer may refuse to insure an applicant, solely because the prospective insurer is unable to obtain loss reserve information.
(c) The Commissioner may promulgate regulations to exclude the provision of the loss information as set forth in subsection (a) of this section for any line or class of insurance if it can be shown that the information is not needed for that line or class of insurance or if the provision of loss information is otherwise required by law.
(d) Information provided under subsection (a) of this section shall not be subject to discovery by a party other than the insured, the insurer, and the prospective insurer.
D.C. Code § 31-5410 — DC Code / Title 31 / Chapter 54 / § 31-5410
§ 31-5410. Credits for assessments paid.
Status: in_force

(a) A member insurer may offset against its premium taxes an assessment described in § 31-5406(h) to the extent of 10% of the amount of the assessment for each of the 10 calendar years following the year in which the assessment was paid. In the event a member insurer should cease doing business, all uncredited assessments may be credited against the premium taxes for the year it ceases doing business.
(b) Any sums which are acquired by refund, pursuant to § 31-5406(f) from the Association by member insurers, and which theretofore have been offset against premium taxes as provided in subsection (a) of this section, shall be paid by member insurers to the District of Columbia in accordance with requirements of the District of Columbia Department of Finance and Revenue. The Association shall notify the Commissioner that the refunds have been made.
D.C. Code § 31-3175.05 — DC Code / Title 31 / Chapter 31E / § 31-3175.05
§ 31-3175.05. Medicaid coverage for medication-assisted treatment.
Status: in_force

Medicaid shall provide coverage for medication-assisted treatment prescribed for the treatment of substance use disorders; provided, that medication assisted treatment covered in accordance with this section shall not be subject to:
(a) (1) Utilization control, other than those processes specified by the American Society of Addiction Medicine;
  (2) Prior authorization;
  (3) Step therapy; or
  (4) Lifetime restriction limits.
D.C. Code § 31-4726 — DC Code / Title 31 / Chapter 47 / § 31-4726
§ 31-4726. Commissioner’s review of test.
Status: in_force

(a) The Commissioner, in his discretion, may, under subsection (b) of this section, permit the use of a form that scores inadequately under § 31-4725(a)(1) .
(b) Before the Commissioner permits the use of inadequately scoring forms, the Commissioner shall find that:
  (1) A lower score more accurately reflects the readability of the form.
  (2) The particular nature of the form or of a type of form warrants a lower passing score than required by § 31-4725(a)(1) .
  (3) Policy language drafted to conform with state law or state agency interpretation of the law has impaired the readability of the rest of the policy or has otherwise lowered the score for the rest of the policy.
D.C. Code § 31-1371.05 — DC Code / Title 31 / Chapter 13A / § 31-1371.05
§ 31-1371.05. Prohibited investments.
Status: in_force

(a) An insurer shall not, directly or indirectly:
  (1) Invest in an obligation or security or make a guarantee for the benefit of or in favor of an officer or director of the insurer, except as provided in § 31-1371.06 ;
  (2) Invest in an obligation or security, make a guarantee for the benefit of or in favor of, or make other investments in a business entity of which 10% or more of the voting securities or equity interests are owned, directly or indirectly, by or for the benefit of one or more officers or directors of the insurer, except as authorized in § 31-701 , or provided in § 31-1371.06 ;
  (3) Engage on its own behalf or through one or more affiliates in a transaction or series of transactions designed to evade the prohibitions of this chapter;
  (4) Invest in a partnership as a general partner; provided, that an insurer may make an investment as a general partner:
    (A) If all other partners in the partnership are subsidiaries of the insurer;
    (B) For the purpose of:
      (i) Meeting cash calls committed to prior to April 11, 2003;
      (ii) Completing those specific projects or activities of the partnership in which the insurer was a general partner as of April 11, 2003, that had been undertaken as of that date; or
      (iii) Making capital improvements to property owned by the partnership on April 11, 2003, if the insurer was a general partner as of that date; or
    (C) In accordance with § 31-1371.03(c) ; or
  (5) Invest in or lend its funds upon the security of shares of its own stock, except that an insurer may acquire shares of its own stock, which shall not be admitted assets of the insurer for the following purposes:
    (A) Conversion of a stock insurer into a mutual or reciprocal insurer or a mutual or reciprocal insurer into a stock insurer;
    (B) Issuance to the insurer’s officers, employees, or agents in connection with a plan approved by the Commissioner for converting a publicly-held insurer into a privately-held insurer under § 31-903 , or in connection with other stock option and employee benefit plans; or
    (C) In accordance with any other plan approved by the Commissioner.
(b) Subsection (a)(3) of this section shall not prohibit a subsidiary or other affiliate of the insurer from becoming a general partner.
D.C. Code § 31-1372.04 — DC Code / Title 31 / Chapter 13A / § 31-1372.04
§ 31-1372.04. Insurer investment pools.
Status: in_force

(a) An insurer may acquire investments in investment pools that invest only in:
  (1) Obligations that are rated 1 or 2 by the SVO or have an equivalent of an SVO 1 or 2 rating (or, in the absence of a 1 or 2 rating or equivalent rating, the issuer has outstanding obligations with an SVO 1 or 2 or equivalent rating) by a nationally recognized statistical rating organization recognized by the SVO and have:
    (A) A remaining maturity not exceeding 397 days or a put that entitles the holder to receive the principal amount of the obligation, which put may be exercised through maturity at specified intervals not exceeding 397 days; or
    (B) A remaining maturity not exceeding 3 years, a floating interest rate that resets no less frequently than quarterly on the basis of a current short-term index (including federal funds, prime rate, treasury bills, London InterBank Offered Rate, or commercial paper), and is subject to no maximum limit if the obligations do not have an interest rate that varies inversely to market interest rate changes;
  (2) Government money market mutual funds or class one money market mutual funds; or
  (3) Securities lending, repurchase, and reverse repurchase transactions that meet all the requirements of § 31-1372.08 , except the quantitative limitations of § 31-1372.08(d) ; or
  (4) Investments which an insurer may acquire under this chapter if the insurer’s proportionate interest in the amount invested in these investments does not exceed the applicable limits of this chapter.
(b) For an investment in an investment pool to be qualified, the investment pool shall not:
  (1) Acquire securities issued, assumed, guaranteed, or insured by the insurer or an affiliate of the insurer;
  (2) Borrow or incur any indebtedness for borrowed money, except for securities lending and reverse repurchase transactions that meet the requirements of § 31-1372.08 other than the quantitative limitations of § 31-1372.08(d) ; or
  (3) Permit the aggregate value of securities then loaned or sold to, purchased from, or invested in any one business entity under this section to exceed 10% of the total assets of the investment pool.
(c) The limitations of § 31-1372.02(a) shall not apply to an insurer’s investment in an investment pool; provided, that an insurer shall not acquire an investment in an investment pool under this section if, as a result of and after giving effect to the investment, the aggregate amount of investments held by the insurer under this section:
  (1) In any one investment pool would exceed 10% of its admitted assets;
  (2) In all investment pools investing in investments permitted under subsection (a)(2) of this section, would exceed 25% of its admitted assets; or
  (3) In all investment pools would exceed 35% of its admitted assets.
(d) For an investment in an investment pool to be qualified, the manager of the investment pool shall:
  (1) Be organized under the laws of the United States or a state and designated as the pool manager in a pooling agreement;
  (2) (A) Be the insurer; an affiliated insurer or a business entity affiliated with the insurer; a qualified bank; or a business entity registered under the Investment Advisors Act of 1940, approved August 22, 1984 (54 Stat. 789; 15 U.S.C. § 80a-1 et seq.);
    (B) In the case of a reciprocal insurer or interinsurance exchange, be its attorney-in-fact; or
    (C) In the case of a United States branch of non-U.S. insurer, be its United States manager or affiliates or subsidiaries of its United States manager;
  (3) Compile and maintain detailed accounting records setting forth:
    (A) The cash receipts and disbursements reflecting each participant’s proportionate investment in the investment pool;
    (B) A complete description of all underlying assets of the investment pool (including amount, interest rate, maturity date, if any, and other appropriate designations); and
    (C) Other records which, on a daily basis, allow third parties to verify each participant’s investment in the investment pool; and
  (4) Maintain the assets of the investment pool in one or more accounts, in the name of or on behalf of the investment pool, under a custody agreement with a qualified bank, which custody agreement shall:
    (A) State and recognize the claims and rights of each participant;
    (B) Acknowledge that the underlying assets of the investment pool are held solely for the benefit of each participant in proportion to the aggregate amount of its investment in the investment pool; and
    (C) Contain an agreement that the underlying assets of the investment pool shall not be commingled with the general assets of the custodian qualified bank or any other person.
(e) The pooling agreement for each investment pool shall be in writing and shall provide that:
  (1) An insurer and its affiliated insurers; in the case of an investment pool investing solely in investments permitted under subsection (a)(1) of this section, the insurer and its subsidiaries, affiliates, or any pension or profit-sharing plan of the insurer, its subsidiaries, and affiliates; and, in the case of a United States branch of a non-U.S. insurer, the affiliates or subsidiaries of its United States manager, shall, at all times, hold 100% of the interests in the investment pool;
  (2) The underlying assets of the investment pool shall not be commingled with the general assets of the pool manager or any other person;
  (3) In proportion to the aggregate amount of each pool participant’s interest in the investment pool:
    (A) Each participant owns an undivided interest in the underlying assets of the investment pool; and
    (B) The underlying assets of the investment pool are held solely for the benefit of each participant;
  (4) A participant, or in the event of the participant’s insolvency, bankruptcy, or receivership, its trustee, receiver, or other successor-in-interest, may withdraw all or any portion of its investment from the investment pool under the terms of the pooling agreement;
  (5) Withdrawals may be made on demand without penalty or other assessment on any business day; provided, that settlement of funds shall occur within a reasonable and customary period thereafter not to exceed five 5 business days.
  (6) The pool manager shall make the records of the investment pool available for inspection by the Commissioner.
(f) Distributions under subsection (e)(5) of this section shall be calculated net of all then applicable fees and expenses of the investment pool. The pooling agreement shall provide that the pool manager may distribute to a participant, at the discretion of the pool manager:
  (A) In cash, the fair market value of the participant’s pro rata share of each underlying asset of the investment pool;
  (B) In kind, a pro rata share of each underlying asset; or
  (C) In a combination of cash and in kind distributions, a pro rata share in each underlying asset.
D.C. Code § 31-2002 — DC Code / Title 31 / Chapter 20 / § 31-2002
§ 31-2002. RBC Reports.
Status: in_force

(a) Every domestic insurer shall, on or prior to each March 1 (“filing date”), prepare and submit to the Commissioner a report of its RBC Levels as of the end of the calendar year just ended, in a form and containing such information as is required by the RBC Instructions. In addition, every domestic insurer shall file its RBC Report:
  (1) With the NAIC in accordance with the RBC Instructions; and
  (2) With the commissioner in any state in which the insurer is authorized to do business, if the commissioner has notified the insurer of its request in writing, in which case the insurer shall file its RBC Report not later than the later of:
    (A) Fifteen days from the receipt of notice to file its RBC Report with that state; or
    (B) The filing date.
(b) A life and health insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may be adjusted for the covariance between:
  (1) The risk with respect to the insurer’s assets;
  (2) The risk of adverse insurance experience with respect to the insurer’s liabilities and obligations;
  (3) The interest rate risk with respect to the insurer’s business; and
  (4) All other business risks and such other relevant risks as are set forth in the RBC Instructions;
(c) Factors set forth in subsection (b)(1) through (4) of this section shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.
(d) A property and casualty insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account and may adjust for the covariance between:
  (1) Asset risk;
  (2) Credit risk;
  (3) Underwriting risk; and
  (4) All other business risks and such other relevant risks as are set forth in the RBC Instructions;
(e) The factors set forth in subsection (d)(1) through (4) of this section shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.
(f) An excess of capital over the amount produced by the risk-based capital requirements contained in this chapter and the formulas, schedules, and instructions referenced in this chapter is desirable in the business of insurance. Insurers should maintain capital above the RBC Levels required by this chapter.
(g) If a domestic insurer files an RBC Report which in the judgment of the Commissioner is inaccurate, then the Commissioner shall adjust the RBC Report to correct the inaccuracy and shall notify the insurer of the adjustment. An RBC Report so adjusted is an Adjusted RBC Report. The notice shall contain a statement of the reason for the adjustment.
D.C. Code § 31-1131.07b — DC Code / Title 31 / Chapter 11A / § 31-1131.07b
§ 31-1131.07b. Continuing education.
Status: in_force

All individual title insurance producers shall fulfill the following continuing education requirements:
(1) Eight hours biennially for District of Columbia barred attorneys in courses specific to District of Columbia real estate laws and related regulations, and any other continuing education courses approved by the Commissioner;
(2) Sixteen hours biennially for resident title insurance producers in instruction specific to District of Columbia real estate laws and related regulations, and continuing education courses approved by the Commissioner of which not more than 8 hours may be completed through on-line or video-based courses; or
(3) Four hours of instruction biennially for nonresident title insurance producers in instruction specific to District of Columbia real estate laws and related regulations.
D.C. Code § 31-813 — DC Code / Title 31 / Chapter 8 / § 31-813
§ 31-813. Temporary licensing.
Status: repealed

Repealed.
D.C. Code § 31-1352 — DC Code / Title 31 / Chapter 13 / § 31-1352
§ 31-1352. Ancillary summary proceedings.
Status: in_force

The Commissioner, in his or her sole discretion, may institute proceedings under §§ 31-1308 and 31-1309 at the request of the commissioner or other appropriate insurance official of the domiciliary state of any foreign or alien insurer having property located in the District.
D.C. Code § 31-5328 — DC Code / Title 31 / Chapter 53 / § 31-5328
§ 31-5328. Suspension; revocation or refusal of license of foreign or alien society.
Status: in_force

(a) When the Commissioner, upon investigation, finds that a foreign or alien society transacting or applying to transact business in the District has exceeded its powers; has failed to comply with any of the provisions of this chapter; is not fulfilling its contracts in good faith; or is conducting its business fraudulently or in a manner hazardous to its members, creditors, or the public, the Commissioner shall notify the society of the deficiency or deficiencies and state in writing the reasons for his or her dissatisfaction. The Commissioner shall immediately issue a written notice to the society requiring that the deficiency or deficiencies which exist are corrected. After the notice, the society shall have a 30-day period in which to comply with the Commissioner’s request for correction.  If the society fails to comply, the Commissioner shall notify the society of the findings of noncompliance and require the society to show cause on a date named why its license should not be suspended, revoked, or refused.
(b) If on such date the society does not present good and sufficient reason why its authority to do business in the District should not be suspended, revoked, or refused, the Commissioner may suspend or refuse the license of the society to do business in the District until satisfactory evidence is furnished to the Commissioner that such suspension or refusal should be withdrawn or the Commissioner may revoke the authority of the society to do business in the District.
(c) Nothing contained in this section shall be taken or construed as preventing any such society from continuing in good faith all contracts made in the District during the time such society was legally authorized to transact business herein.
D.C. Code § 31-2231.06 — DC Code / Title 31 / Chapter 22A / § 31-2231.06
§ 31-2231.06. Boycott, coercion, and intimidation.
Status: in_force

No person shall enter into an agreement to commit, or by a concerted action commit, an act of boycott, coercion, or intimidation resulting in, or tending to result in, unreasonable restraint of, or monopoly in, the business of insurance.
D.C. Code § 31-2502.19 — DC Code / Title 31 / Chapter 25 / § 31-2502.19
§ 31-2502.19. Exclusive agency contracts of domestic companies.
Status: in_force

No domestic company authorized to do an insurance business in the District shall have or make any contract with any person whereby such person is granted the exclusive right or privilege to solicit, procure, write, produce, or manage the entire insurance business of such company, or to collect premiums therefor, unless such contract is filed with and approved in writing by the Commissioner. The Commissioner shall not approve any such contract which:
(1) Subjects the company to excessive charges for expenses or commissions; or
(2) Gives to such person the right to manage any of the affairs of such company or the exclusive right to solicit, procure, write, or produce the entire insurance business for such company, or to collect the premiums therefor for such unreasonable period as may jeopardize the interests or security of the company’s policyholders.
D.C. Code § 31-731 — DC Code / Title 31 / Chapter 7 / § 31-731
§ 31-731. Formation of a mutual holding company.
Status: in_force

(a) A domestic mutual insurance company, upon approval of the Commissioner, may reorganize by directly or indirectly forming an insurance holding company based upon a mutual plan. The reorganized insurance company shall continue, without interruption, its corporate existence as a stock insurance company subsidiary to the mutual insurance holding company or as a stock insurance company subsidiary to an intermediate holding company which is subsidiary to the mutual insurance holding company.
(b) The Commissioner, after a public hearing as provided in § 31-703(g)(1) , if satisfied that the interests of the policyholders are properly protected and that the plan of reorganization is fair and equitable to the policyholders, shall approve the proposed plan of reorganization and may require as a condition of approval such modifications of the proposed plan of reorganization as the Commissioner finds necessary for the protection of the policyholders’ interests. The Commissioner may retain consultants as provided in § 31-703(g)(3) . A reorganization pursuant to this section is subject to § 31-703(a) , (b), and (c). The Commissioner shall retain jurisdiction over a mutual insurance holding company organized pursuant to this section to assure that policyholder interests are protected.
(c) All of the initial shares of the capital stock of the reorganized insurance company shall be issued to the mutual insurance holding company. The membership interests of the policyholders of the reorganized insurance company shall become membership interests in the mutual insurance holding company.
(d) Policyholders of the reorganized insurance company shall be members of the mutual insurance holding company in accordance with the articles of incorporation and bylaws of the mutual insurance holding company. The mutual insurance holding company shall at all times own a majority of the voting shares of the capital stock of the reorganized insurance company.
D.C. Code § 31-3171.06 — DC Code / Title 31 / Chapter 31D / § 31-3171.06
§ 31-3171.06. Powers and duties of executive board.
Status: in_force

(a) Subject to any limitations under this chapter, or other applicable law, the executive board shall have all the powers necessary to carry out the functions authorized by the Federal Act and consistent with the purposes of the Authority.
(b) The enumeration of specific powers in this chapter is not intended to restrict the executive board’s power to take any lawful action that it determines is necessary to carry out the functions authorized by the Federal Act and is consistent with the purposes of the Authority.
(c) In addition to the powers set forth elsewhere in this chapter, the executive board may:
  (1) Adopt and alter an official seal;
  (2) Sue, be sued, plead, and be impleaded;
  (3) Adopt bylaws, rules, and policies;
  (4) Maintain an office in the District at a place designated by the executive board;
  (5) Enter into any agreements or contracts and execute the instruments necessary to manage its affairs and to carry out the purposes of this chapter;
  (6) Apply for and receive grants, contracts, or other public or private funding; and
  (7) Do all things necessary in conformity with the law to exercise the powers granted by this chapter.
(d) (1) To carry out the purposes of this chapter or perform any of its functions under this chapter, the executive board may contract or enter into memoranda of understanding with eligible entities, including the:
    (A) Department of Health Care Finance;
    (B) Department of Human Services;
    (C) Department of Insurance, Securities and Banking;
    (D) Insurance producers and third-party administrators registered in the District; and
    (E) Any other entities that have experience in individual and small group public and private health insurance plans or in facilitating enrollment in those plans.
  (2) The executive board shall ensure that any entity under a contract with the Authority complies with the provisions of this chapter when performing services on behalf of the Authority that are subject to this chapter.
(e) (1) The executive board may enter into information-sharing agreements with federal agencies, District agencies, agencies of one or more states, and other state health insurance exchanges to carry out the provisions of this chapter.
  (2) An information-sharing agreement entered into under paragraph (1) of this subsection shall:
    (A) Include adequate protections with respect to the confidentiality of information; and
    (B) Comply with all District and federal laws and regulations.
(f) The executive board shall adopt written policies and procedures, which shall be made publicly accessible on the Authority’s website and published in the District of Columbia Register, governing all procurements of the Authority.
(g) The executive board may limit the number of plans offered in the exchanges using selective criteria or contracting; provided, that individuals and employers have an adequate number and selection of choices.
(h) The executive board may merge the exchanges for individual coverage within the American Health Benefits Exchange and the SHOP Exchange if a merger is considered by the Authority to be in the best interest of the District.
D.C. Code § 31-1329 — DC Code / Title 31 / Chapter 13 / § 31-1329
§ 31-1329. Assessments.
Status: in_force

(a) As soon as practicable but not more than 2 years from the date of an order of liquidation under § 31-1316 of an insurer issuing assessable policies, the liquidator shall make a report to the court setting forth:
  (1) The reasonable value of the assets of the insurer;
  (2) The insurer’s probable total liabilities;
  (3) The probable aggregate amount of the assessment necessary to pay all claims of creditors and expenses in full, including expenses of administration and costs of collecting the assessment; and
  (4) A recommendation as to whether or not an assessment should be made and in what amount.
(b) (1) Upon the basis of the report provided in subsection (a) of this section, including any supplements and amendments, the Superior Court of the District of Columbia may levy 1 or more assessments against all members of the insurer who are subject to assessment.
  (2) Subject to any applicable legal limits on assessability, the aggregate assessment shall be for the amount that the sum of the probable liabilities, the expenses of administration, and the estimated cost of collection of the assessment exceeds the value of existing assets, with due regard being given to assessments that cannot be collected economically.
(c) After the levy of assessment under subsection (b) of this section, the liquidator shall issue an order directing each member who has not paid the assessment pursuant to the order to show cause why the liquidator should not pursue a judgment therefor.
(d) The liquidator shall give notice of the order to show cause by publication and by first class mail to each member liable mailed to his or her last known address as it appears on the insurer’s records, at least 20 days before the return date of the order to show cause.
(e) (1) If a member does not appear and serve duly verified objections upon the liquidator on or before the return date of the order to show cause under subsection (c) of this section, the court shall issue an order adjudging the member liable for the amount of the assessment against him or her pursuant to subsection (c) of this section, together with costs, and the liquidator shall have a judgment against the member.
  (2) If on or before the return date, the member appears and serves duly verified objections upon the liquidator, the Commissioner may hear and determine the matter, or may appoint a referee to hear it, and issue such an order as the facts warrant. In the event that the Commissioner determines that the objections do not warrant relief from assessment, the member may request that the court review the matter and vacate the order to show cause.
(f) The liquidator may enforce any order or collect any judgment under subsection (e) of this section by any lawful means.
D.C. Code § 31-1373.08 — DC Code / Title 31 / Chapter 13A / § 31-1373.08
§ 31-1373.08. Mortgage loans and real estate.
Status: in_force

(a) (1) Subject to the limitations of § 31-1373.03 , an insurer may acquire, directly or indirectly, through limited partnership interests and general partnership interests not otherwise prohibited by § 31-1371.05 , joint ventures, stock of an investment subsidiary, membership interests in a limited liability company, trust certificates, or other similar instruments, obligations secured by a first mortgage on real estate situated within a domestic jurisdiction; provided, that a mortgage loan which is secured by a subordinate lien shall not be acquired unless the insurer is the holder of the first lien. The obligations held by the insurer and any obligations with an equal lien priority, shall not, at the time of acquisition of the obligation, exceed:
    (A) Ninety percent of the fair market value of the real estate if the mortgage loan is secured by a purchase money mortgage or like security received by the insurer upon disposition of the real estate;
    (B) Eighty percent of the fair market value of the real estate if the mortgage loan requires immediate scheduled payment in periodic installments of principal and interest, has an amortization period not exceeding 30 years, periodic payments made no less frequently than annually; provided, that:
      (i) Each periodic payment shall be sufficient to assure that at all times the outstanding principal balance of the mortgage loan shall be not greater than the outstanding principal balance which would be outstanding under a mortgage loan with the same original principal balance, with the same interest rate and requiring equal payments of principal and interest with the same frequency over the same amortization period;
      (ii) Mortgage loans permitted under this paragraph shall be permitted notwithstanding the fact that they provide for a payment of the principal balance prior to the end of the period of amortization of the loan;
      (iii) For residential mortgage loans, the 80% limitation shall be 97% if acceptable private mortgage insurance has been obtained; or
    (C) Seventy-five percent of the fair market value of the real estate for mortgage loans that do not meet the requirements of subparagraphs (A) or (B) of this paragraph.
  (2) For purposes of paragraph (1) of this subsection, the amount of an obligation required to be included in the calculation of the loan-to-value ratio may be reduced to the extent the obligation is insured by the Federal Housing Administration or guaranteed by the Administrator of Veterans Affairs, or their successors.
  (3) A mortgage loan that is held by an insurer under § 31-1371.03(f) or acquired under this section and is restructured in a manner that meets the requirements of a restructured mortgage loan in accordance with the NAIC Accounting Practices and Procedures Manual, or successor publication, shall continue to qualify as a mortgage loan.
  (4) Subject to the limitations of § 31-1373.03 , credit lease transactions that do not qualify for investment under § 31-1373.04 shall be exempt from the provisions of paragraph (1) of this subsection if their terms are as follows:
    (A) The loan balance at the end of the initial term of the lease will not exceed the original appraised value of the real estate;
    (B) The lease payments equal or exceed the total debt service over the term of the loan;
    (C) A tenant or its affiliated entity whose rated credit instruments have a SVO 1 or 2 designation or a comparable rating from a nationally recognized statistical rating organization recognized by the SVO is obligated to make the lease payments;
    (D) The insurer holds, or is the beneficial holder of, a first lien mortgage on the real estate;
    (E) The expenses of the maintenance and operation of the real estate, excluding exterior, structural, parking, and heating, ventilation and air conditioning replacement expenses, are passed through to the tenant, or annual escrow contributions from the lease payments equal or exceed the deficiencies in any such expense; and
    (F) There is a perfected assignment of the rents due under the lease to, or for the benefit of, the insurer.
(b) (1) An insurer may acquire, manage, and dispose of real estate situated in a domestic jurisdiction, directly or indirectly, through limited partnership interests and general partnership interests not otherwise prohibited by § 31-1371.05 , joint ventures, stock of an investment subsidiary, membership interests in a limited liability company, trust certificates, or other similar instruments. The real estate shall be income-producing or intended for improvement or development for investment purposes under an existing program.
  (2) The real estate may be subject to mortgages, liens, other encumbrances, the amount of which shall, to the extent that the obligations secured by the mortgages, liens, or encumbrances are nonrecourse to the insurer, be deducted from the amount of the investment of the insurer in the real estate for purposes of determining compliance with subsection (d)(2) and (d)(3) of this section.
(c) (1) An insurer may acquire, manage, and dispose of real estate for the convenient accommodation of the business operations, including home office, branch office, and field office operations of the insurer, its affiliates, or subsidiaries.
  (2) Real estate acquired under this subsection may include excess space for rent to others if the excess space, valued at its fair market value, would otherwise be a permitted investment under subsection (b) of this section and is so qualified by the insurer.
  (3) The real estate acquired under this subsection may be subject to one or more mortgages, liens, or other encumbrances, the amount of which shall, to the extent that the obligations secured by the mortgages, liens, or encumbrances are nonrecourse to the insurer, be deducted from the amount of the investment of the insurer in the real estate for purposes of determining compliance with subsection (d)(4) of this section.
  (4) For purposes of this subsection, business operations shall not include that portion of real estate used for the direct provision of health care services by an insurer whose insurance premiums and required statutory reserves for accident and health insurance constitute at least 95% of total premium considerations or total statutory required reserves, respectively. An insurer may acquire real estate used for these purposes under subsection (b) of this section.
(d) (1) An insurer shall not acquire an investment under subsection (a) of this section if, as a result of and after giving effect to the investment, the aggregate amount of all investments held by the insurer under subsection (a) of this section would exceed:
    (A) One percent of its admitted assets in mortgage loans covering any one secured location;
    (B) One quarter of one percent of its admitted assets in construction loans covering any one secured location; or
    (C) One percent of its admitted assets in construction loans in the aggregate.
  (2) An insurer shall not acquire an investment under subsection (b) of this section if, as a result of and after giving effect to the investment and any outstanding guarantees made by the insurer in connection with the investment, the aggregate amount of investments held by the insurer under subsection (b) of this section plus the guarantees then outstanding would exceed:
    (A) One percent of its admitted assets in one parcel or group of contiguous parcels of real estate; provided, that this limitation shall not apply to that portion of real estate used for the direct provision of health care services by an insurer whose insurance premiums and required statutory reserves for accident and health insurance constitute at least 95% of total premium considerations or total statutory required reserves, respectively, such as hospitals, medical clinics, medical professional buildings, or other health facilities used for the purpose of providing health services; or
    (B) The lesser of 10% of its admitted assets or 40% of its surplus as regards policyholders in the aggregate as to properties that are to be improved or developed; provided, that for an insurer whose insurance premiums and required statutory reserves for accident and health insurance constitute at least 95% of total premium considerations or total statutory required reserves, respectively, this limitation shall be increased to 15% of its admitted assets in the aggregate.
  (3) An insurer shall not acquire an investment under subsection (a) or (b) of this section if, as a result of and after giving effect to the investment and any guarantees it has made in connection with the investment, the aggregate amount of all investments held by the insurer under subsections (a) and (b) of this section, and the guarantees then outstanding would exceed 25% of its admitted assets.
  (4) The limitations of § 31-1373.03 shall not apply to an insurer’s acquisition of real estate under subsection (c) of this section. An insurer shall not acquire real estate under subsection (c) of this section if, as a result of and after giving effect to the acquisition, the aggregate amount of all real estate held by the insurer under subsection (c) of this section would exceed 10% of its admitted assets. With the permission of the Commissioner, additional amounts of real estate may be acquired under subsection (c) of this section.
D.C. Code § 31-2231.24 — DC Code / Title 31 / Chapter 22A / § 31-2231.24
§ 31-2231.24. Judicial review.
Status: in_force

If, after any hearing under § 31-2231.23 , the Commissioner does not find a violation of this chapter, an aggrieved person may, within 60 days after the decision has been issued, or later in connection with § 31-2231.11(a) , (b), or (b-1) upon a showing of good cause by a victim of an intrafamily offense, sexual assault, dating violence, or stalking, appeal the decision of the Commissioner to the District of Columbia Court of Appeals. In addition, any person subject to an order of the Commissioner under § 31-2231.22 may obtain a review of the order by filing in the District of Columbia Court of Appeals, within 60 days after the order has been issued, a written petition requesting that the order of the Commissioner be set aside. Except as provided above for the time for filing an appeal, appeals shall be made in accordance with § 2-510 .
D.C. Code § 31-1803 — DC Code / Title 31 / Chapter 18 / § 31-1803
§ 31-1803. Required contract provisions; reinsurance intermediary-brokers.
Status: in_force

Transactions between a reinsurance broker and the insurer it represents shall only be entered into pursuant to a written authorization, specifying the responsibilities of each party. The authorization shall, at a minimum, provide that:
(1) The insurer may terminate the reinsurance broker’s authority at any time.
(2) The reinsurance broker shall render accounts to the insurer accurately detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by, or owing to, the reinsurance broker, and remit all funds due to the insurer within 30 days of receipt.
(3) All funds collected for the insurer’s account will be held by the reinsurance broker in a fiduciary capacity in a bank which is a qualified United States financial institution as defined in § 31-1801 .
(4) The reinsurance broker will comply with § 31-1804 .
(5) The reinsurance broker will comply with the written standards established by the insurer for the cession or retrocession of all risks.
(6) The reinsurance broker will disclose to the insurer any relationship with any reinsurer to which business will be ceded or retroceded.
D.C. Code § 31-3868 — DC Code / Title 31 / Chapter 38D / § 31-3868
§ 31-3868. Rules.
Status: repealed

Repealed.
D.C. Code § 31-5404 — DC Code / Title 31 / Chapter 54 / § 31-5404
§ 31-5404. Board of Directors.
Status: in_force

(a) (1) The Board shall consist of no fewer than 7 and no more than 11 member insurers serving terms as established in the plan of operations.
  (2) The members of the Board shall be selected by member insurers subject to the approval of the Mayor.
  (3) Vacancies on the Board shall be filled for the remaining period of the term by a majority vote of the remaining Board members, subject to the approval of the Mayor.
(b) The Mayor shall give notice to all member insurers of the time and place of the organizational meeting to select the initial Board of Directors, and to initially organize the Association.
(c) In determining voting rights at the organizational meeting, each member insurer shall be entitled to 1 vote in person or by proxy.
(d) If the Board of Directors is not selected within 60 days after notice of the organizational meeting, the Mayor may appoint the initial members.
(e) In approving selections or in appointing members to the Board, the Mayor shall consider, among other things, whether all member insurers are fairly represented.
(f) Members of the Board may be reimbursed from the assets of the Association for expenses incurred by them as members of the Board of Directors, but shall not otherwise be compensated by the Association for their services.
D.C. Code § 31-1104 — DC Code / Title 31 / Chapter 11 / § 31-1104
§ 31-1104. Licenses — Issuance or renewal.
Status: in_force

(a) Upon the filing of an application and the payment of the license fee the Commissioner shall make an investigation of each applicant and shall issue a license if the applicant is qualified in accordance with this chapter. If the Commissioner does not so find, he shall, within 30 days after he has received such application, at the request of the applicant, give the applicant a full hearing.
(b) The Commissioner shall issue or renew a license as may be applied for when he is satisfied that the person to be licensed:
  (1) Is competent and trustworthy and intends to act in good faith in the capacity involved by the license applied for;
  (2) Has a good business reputation and has had experience, training, or education so as to be qualified in the business for which the license is applied for; and
  (3) If a corporation, is a corporation incorporated under the laws of the District or a foreign corporation authorized to transact business in the District.
D.C. Code § 31-1207 — DC Code / Title 31 / Chapter 12 / § 31-1207
§ 31-1207. Records.
Status: in_force

The Mayor shall, at all reasonable times, make books, records, and files available to insurance company representatives for the purpose of examining any matter coming within the scope of the chapter and the insurance laws of the District of Columbia.
D.C. Code § 31-5108 — DC Code / Title 31 / Chapter 51 / § 31-5108
§ 31-5108. Refunds, credits and charges.
Status: in_force

(a) Each individual policy or certificate of credit life insurance or credit accident and health insurance shall provide that in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the person entitled thereto; provided, that the Commissioner shall prescribe a minimum refund and no refund which would be less than such minimum need be made. The formula to be used in computing refunds shall be filed with the Commissioner who may disapprove such formula if he finds that it is unjust or unreasonable.
(b) If a creditor requires a debtor to make a payment in connection with credit life insurance or credit accident and health insurance and an individual policy or certificate of insurance is not issued, the creditor shall promptly give written notice to such debtor and shall promptly make an appropriate credit to the account.
(c) The amount charged to a debtor for credit life or credit accident and health insurance shall not exceed the premium rate charged by the insurance company at the time the charge to the debtor is determined.