reglab/housing_qa huggingface dataset:
AL Code § 27-5B-14 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-14 - Asset or Reduction From Liability for Reinsurance Ceded by a Domestic Insurer to an Assuming Insurer Not Meeting the Requirements of Sections 27-5b-3 Through 27-5b-13.

Section 27-5B-14Asset or reduction from liability for reinsurance ceded by a domestic insurer to an assuming insurer not meeting the requirements of Sections 27-5B-3 through 27-5B-13. (a) An asset or a reduction from liability for the reinsurance ceded by a domestic insurer to an assuming insurer not meeting the requirements of Section 27-5B-3, 27-5B-4, 27-5B-5, 27-5B-6, 27-5B-7, 27-5B-8, 27-5B-8.1, 27-5B-9, 27-5B-10, 27-5B-11, 27-5B-12, or 27-5B-13 shall be allowed in an amount not exceeding the liabilities carried by the ceding insurer.  (b) In addition to any other authority of the commissioner, the commissioner, by rule adopted pursuant to subsection (b) of Section 27-5B-19, may adopt specific additional requirements relating to any of the following: (1) The valuation of assets or reserve credits. (2) The amount and forms of security supporting reinsurance arrangements described in subsection (b) of Section 27-5B-19. (3) The circumstances pursuant to which credit will be reduced or eliminated. (c) The reduction shall be in the amount of funds held by or on behalf of the ceding insurer, including funds held in trust for the ceding insurer, under a reinsurance contract with the assuming insurer as security for the payment of obligations thereunder, if the security is held in the United States subject to withdrawal solely by, and under the exclusive control of, the ceding insurer; or, in the case of a trust, held in a qualified U.S. financial institution, as defined in subsection (b) of Section 27-5B-15. This security may be in the form of any of the following: (1) Cash. (2) Securities listed by the Securities Valuation Office of the National Association of Insurance Commissioners, including those deemed exempt from filing as defined by the Purposes and Procedures Manual of the Securities Valuation Office, and qualifying as admitted assets. (3) Clean, irrevocable, unconditional letters of credit, issued or confirmed by a qualified U.S. financial institution, as defined in subsection (a) of Section 27-5B-15, effective no later than December 31 of the year for which the filing is being made, and in the possession of, or in trust for, the ceding insurer on or before the filing date of its annual statement. (4) Letters of credit meeting applicable standards of issuer acceptability as of the dates of their issuance (or confirmation) shall, notwithstanding the issuing (or confirming) institution's subsequent failure to meet applicable standards of issuer acceptability, continue to be acceptable as security until their expiration, extension, renewal, modification, or amendment, whichever first occurs. (5) Any other form of security acceptable to the commissioner. (Act 2013-209, p. 463, §1; Act 2021-235, §1.)
AL Code § 27-5B-15 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-15 - Qualified u.s. Financial Institutions.

Section 27-5B-15Qualified U.S. financial institutions. (a) For purposes of subdivision (3) of Section 27-5B-14, a qualified U.S. financial institution means an institution that meets all of the following: (1) Is organized or, in the case of a U.S. office of a foreign banking organization, licensed, under the laws of the United States or any state thereof. (2) Is regulated, supervised, and examined by U.S. federal or state authorities having regulatory authority over banks and trust companies. (3) Has been determined by either the commissioner or the Securities Valuation Office of the National Association of Insurance Commissioners to meet such standards of financial condition and standing as are considered necessary and appropriate to regulate the quality of financial institutions whose letters of credit will be acceptable to the commissioner. (b) A qualified U.S. financial institution means, for purposes of those provisions of this law specifying those institutions that are eligible to act as a fiduciary of a trust, an institution that meets both of the following: (1) Is organized, or, in the case of a U.S. branch or agency office of a foreign banking organization, licensed, under the laws of the United States or any state thereof and has been granted authority to operate with fiduciary powers. (2) Is regulated, supervised, and examined by federal or state authorities having regulatory authority over banks and trust companies. (Act 2013-209, p. 463, §1.)
AL Code § 27-5B-16 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-16 - Insolvency Clause.

Section 27-5B-16Insolvency clause. Except as provided in Section 27-5B-17, no credit shall be allowed, as an admitted asset or deduction from liability, to any ceding insurer for reinsurance placed with a reinsurer qualified under this chapter, unless the reinsurance contract provides, in substance, that in the event of the insolvency of the ceding insurer, the reinsurance shall be payable under a contract reinsured by the assuming insurer on the basis of reported claims allowed by the liquidation court, without diminution because of the insolvency of the ceding insurer. The payments shall be made directly to the ceding insurer or to its domiciliary liquidator except in either of the following instances: (1) Where the contract or other written agreement specifically provides another payee of the reinsurance in the event of the insolvency of the ceding insurer. (2) Where the assuming insurer, with the consent of the direct insured, has assumed the policy obligations of the ceding insurer as direct obligations of the assuming insurer to the payees under the policies and in substitution for the obligations of the ceding insurer to the payees. (Act 2013-209, p. 463, §1.)
AL Code § 27-5B-17 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-17 - Guaranty Association Election.

Section 27-5B-17Guaranty association election.  Notwithstanding Section 27-5B-16, in the event that a life and health insurance guaranty association has made the election to succeed to the rights and obligations of the insolvent insurer under the contract of reinsurance, the reinsurer's liability to pay covered reinsured claims shall continue under the contract of reinsurance subject to the payment to the reinsurer of the reinsurance premiums for the coverage. Payment for the reinsured claims shall only be made by the reinsurer pursuant to the direction of the guaranty association or its designated successor. Any payment made at the direction of the guaranty association or its designated successor by the reinsurer shall discharge the reinsurer of all further liability to any other party for the claim payment. (Act 2013-209, p. 463, §1.)
AL Code § 27-5B-18 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-18 - Notice by Domiciliary Liquidator.

Section 27-5B-18Notice by domiciliary liquidator. The reinsurance agreement may provide that the domiciliary liquidator of an insolvent ceding insurer shall give written notice to the assuming insurer of the pendency of a claim against the ceding insurer on the contract within a reasonable time after the claim is filed in the liquidation proceeding. During the pendency of the claim, any assuming insurer may investigate the claim and interpose, at its own expense, in the proceeding where the claim is to be adjudicated any defenses which it deems available to the ceding insurer, or its liquidator. The expense may be filed as a claim against the insolvent ceding insurer to the extent of a proportionate share of the benefit which may accrue to the ceding insurer solely as a result of the defense undertaken by the assuming insurer. Where two or more assuming insurers are involved in the same claim and a majority in interest elect to interpose a defense to the claim, the expense shall be apportioned in accordance with the terms of the reinsurance agreement as though the expense had been incurred by the ceding insurer. (Act 2013-209, p. 463, §1.)
AL Code § 27-5B-19 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-19 - Rulemaking Authority.

Section 27-5B-19Rulemaking authority. (a) The commissioner may adopt rules implementing this chapter.  (b) In addition to the authority of the commissioner pursuant to subsection (a), the commissioner may adopt rules applicable to reinsurance arrangements as provided in this subsection. (1) A rule adopted pursuant to this subsection may apply only to reinsurance relating to any of the following: a. Life insurance policies with guaranteed nonlevel gross premiums or guaranteed nonlevel benefits. b. Universal life insurance policies with provisions resulting in the ability of a policyholder to keep a policy in force over a secondary guarantee period. c. Variable annuities with guaranteed death or living benefits. d. Long-term care insurance policies. e. Any other life and health insurance and annuity product for which the NAIC adopts model regulatory requirements with respect to credit for reinsurance. (2) A rule adopted pursuant to paragraph a. or b. of subdivision (1) may apply to any reinsurance agreement containing any of the following:  a. Policies issued on or after January 1, 2015.  b. Policies issued prior to January 1, 2015, if risk pertaining to the pre-2015 policies is ceded in connection with the reinsurance agreement, in whole or in part, on or after January 1, 2015.  c. Reinsurance agreements meeting both items a. and b. (3) A rule adopted pursuant to this subsection may require the ceding insurer, in calculating the amounts or forms of security required to be held under rules adopted under this authority, to use the valuation manual adopted by the NAIC as described in subdivision (b)(1) of Section 27-36A-15, including all amendments adopted by the NAIC and in effect on the date as of which the calculation is made, to the extent applicable. (4) A rule adopted pursuant to this subsection does not apply to cessions to an assuming insurer that meets any of the following: a. The conditions set forth in Section 27-5B-8.1. b. Is certified in this state. c. Maintains at least two hundred fifty million dollars ($250,000,000) in capital and surplus when determined in accordance with the Accounting Practices and Procedures Manual of the NAIC, including all amendments thereto adopted by the NAIC, excluding the impact of any permitted or prescribed practices, and is either of the following: 1. Licensed in at least 26 states. 2. Licensed in at least 10 states, and licensed or accredited in a total of at least 35 states. (5) The authority to adopt rules pursuant to this subsection does not limit the commissioner’s general authority to adopt rules pursuant to subsection (a). (Act 2013-209, p. 463, §1; Act 2021-235, §1.)
AL Code § 27-5B-20 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 5B - Reinsurance.|Section 27-5B-20 - Reinsurance Agreements Affected.

Section 27-5B-20Reinsurance agreements affected. The amendments of this chapter and the additions to this chapter by Act 2021-235 shall apply to all cessions after January 1, 2022, under reinsurance agreements that have an inception, anniversary, or renewal date on or after July 1, 2022. (Act 2021-235, §2.)
AL Code § 27-6-1 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-1 - Deposits of Insurers - Authorized Deposits.

Section 27-6-1Deposits of insurers - Authorized deposits. The following deposits of insurers, when made through the commissioner, shall be accepted and held and shall be subject to the provisions of this chapter: (1) Deposits required under this title for authority to transact insurance in this state; (2) Deposits of domestic insurers when made pursuant to the laws of other states, provinces, and countries as requirement for authority to transact insurance in such state, province, or country; (3) Deposits of reserves made by domestic life insurers under laws heretofore in force; and (4) Deposits in such additional amounts as are permitted to be made under Section 27-6-11. (Acts 1971, No. 407, p. 707, §97.)
AL Code § 27-6-2 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-2 - Deposits of Insurers - Purposes for Which Held.

Section 27-6-2Deposits of insurers - Purposes for which held. Such deposits shall be held for purposes as follows: (1) Deposits made in this state under Sections 27-3-11, 27-3-12, and 27-3-14 of this title shall be held for the purposes stated in the respective sections; (2) A deposit made in this state by a domestic insurer transacting insurance in another state, province or country and as required by the laws of such state, province, or country shall be held for the protection of the insurer's policyholders or policyholders and creditors; (3) Deposits of reserves made by domestic life insurers under laws heretofore in force shall be held for the purpose or purposes specified in such laws or in the policies or contracts by which such deposit was required or declared; and (4) Deposits required pursuant to the retaliatory provision, Section 27-3-29, shall be held for such purposes as are required by such laws and as specified by the commissioner's order by which the deposit is required. (Acts 1971, No. 407, p. 707, §98.)
AL Code § 27-6-4 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-4 - Deposits of Insurers - State Treasurer as Custodian.

Section 27-6-4Deposits of insurers - State Treasurer as custodian. (a) Deposits made in this state under Sections 27-3-11, 27-3-12, and 27-3-14, together with deposit of reserves of domestic life insurers under registered policies heretofore issued, shall be made through the commissioner with the Treasurer of the State of Alabama. (b) The State Treasurer, in his official capacity, shall take receipt for and hold deposits made under this title as provided in subsection (a) of this section, subject to the provisions of this chapter. (c) The State Treasurer shall hold all such deposits in safekeeping in the vaults located in his offices or, if space in such vaults is not reasonably adequate and safe for all securities and property otherwise to be contained therein, the Treasurer may keep such securities in safe deposit boxes rented by him for the purpose and under his control in established safe deposit institutions located in the City of Montgomery, Alabama. (d) The Treasurer shall be the custodian only of such deposits and shall have no powers or responsibility as to the character or amount thereof. He shall accept, permit substitutions, and release securities or assets so deposited only upon written authorization of the commissioner and the insurer or upon order of the court and shall have no obligation to determine in any instance whether such authorization or order, if genuine, is otherwise lawful or proper. (e) For all securities and assets deposited as provided in this section, the faith and credit of the State of Alabama is pledged that the same will be returned to the parties entitled to receive them or disposed of as provided in this chapter. (Code 1940, T. 28, §73; Acts 1971, No. 407, p. 707, §100.)
AL Code § 27-6-5 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-5 - Deposits of Insurers - Record of Securities and Assets.

Section 27-6-5Deposits of insurers - Record of securities and assets. The commissioner shall keep a record of the securities and assets comprising each deposit, showing by item the amount and market value and of all his transactions relative thereto. (Acts 1971, No. 407, p. 707, §101.)
AL Code § 27-6-6 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-6 - Securities and Assets - Assignment and Reassignment, etc.; Appraisal or Valuation.

Section 27-6-6Securities and assets - Assignment and reassignment, etc.; appraisal or valuation. (a) All securities not negotiable by delivery and deposited by an insurer shall be duly assigned to the commissioner and his successors in office. All other assets so deposited shall be duly transferred or conveyed to the commissioner. Upon release of any such security or asset to the insurer, the commissioner shall reassign, or transfer or reconvey the same to the insurer. (b) The commissioner may, in his discretion, prior to acceptance for deposit of any security or asset or at any time thereafter while so deposited, have the same appraised or valued by competent appraisers. The reasonable costs of any such appraisal or valuation shall be borne by the insurer. (Acts 1971, No. 407, p. 707, §102.)
AL Code § 27-6-7 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-7 - Securities and Assets - Power of Attorney to Sell, Etc.

Section 27-6-7Securities and assets - Power of attorney to sell, etc. In lieu of the assignment, transfer, or conveyance of securities and assets to the commissioner as provided for in subsection (a) of Section 27-6-6 and at all events in connection with any deposit heretofore or hereafter made through the commissioner, the commissioner may require or permit the depositing insurer to deliver to him a power of attorney, executed by the lawful owner of such securities or assets, authorizing the commissioner to transfer, sell, or exchange the same for the purposes of the law under which the same are deposited or held on deposit. The power of attorney shall specifically describe each of the securities and assets covered thereby and shall not be a general power of attorney covering all securities and assets on deposit or thereafter deposited. (Acts 1953, No. 727, p. 981, §1; Acts 1971, No. 407, p. 707, §103.)
AL Code § 27-6-8 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-8 - Securities and Assets - Authority to Sell; Exception.

Section 27-6-8Securities and assets - Authority to sell; exception. The commissioner shall exercise the power granted by the power of attorney provided for in Section 27-6-7 or otherwise sell any security or asset under any assignment, transfer or conveyance pursuant to Section 27-6-6, only pursuant to, and in accordance with, an order of a court of competent jurisdiction in a proper proceeding or action to which the insurer owning such securities or assets is a party. This section shall not apply as to the special deposits of surety insurers which are subject to Section 27-6-13. (Acts 1953, No. 727, p. 981, §2; Acts 1971, No. 407, p. 707, §104.)
AL Code § 27-6-9 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-9 - Power of Attorney - Safekeeping; Return.

Section 27-6-9Power of attorney - Safekeeping; return. The power of attorney provided for in Section 27-6-7 shall be kept by the commissioner in a place of safekeeping and may be physically attached to the securities or assets described therein. Whenever such securities or assets, or any portion thereof, are returned to the insurer which deposited them, the power of attorney shall be returned to the insurer or to the trustee or other representative authorized for that purpose. (Acts 1953, No. 727, p. 981, §3; Acts 1971, No. 407, p. 707, §105.)
AL Code § 27-6-10 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-10 - Power of Attorney - New Power of Attorney.

Section 27-6-10Power of attorney - New power of attorney. If less than all of the securities or assets covered by any such power of attorney is returned to the insurer or its trustee or agent, the commissioner may require the insurer to deliver to him, as a condition precedent to the return of such power of attorney, a new power of attorney covering the securities and assets not then being withdrawn. The new power of attorney shall be held and exercised under the same restrictions and upon the same conditions as prescribed in this chapter for the original power of attorney. (Acts 1953, No. 727, p. 981, §4; Acts 1971, No. 407, p. 707, §106.)
AL Code § 27-6-11 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-11 - Excess Deposits.

Section 27-6-11Excess deposits. An insurer may so deposit assets or securities in an amount exceeding its deposit required or otherwise permitted under this title by not more than 20 percent of such required or permitted deposit or $100,000.00, whichever is the larger amount, for the purpose of absorbing fluctuations in the value of securities and assets deposited and to facilitate the exchange and substitution of such securities and assets. During the solvency of the insurer, any such excess shall be released to the insurer upon its request. During the insolvency of the insurer, such excess deposit shall be released only as provided in subdivision (b) (3) of Section 27-6-15. (Acts 1971, No. 407, p. 707, §107.)
AL Code § 27-6-12 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-12 - Rights of Solvent Insurers.

Section 27-6-12Rights of solvent insurers. So long as the insurer remains solvent and is in compliance with this title, it may: (1) Demand, receive, maintain actions for, and recover the income from the securities or assets deposited; (2) Exchange and substitute for the deposited securities or assets, or any part thereof, other eligible securities and assets of equivalent or greater value; and (3) At any reasonable time, inspect any such deposit. (Code 1940, T. 28, §73; Acts 1971, No. 407, p. 707, §108.)
AL Code § 27-6-13 (2021)
2021 Code of Alabama|Title 27 - Insurance.|Chapter 6 - Administration of Deposits.|Section 27-6-13 - Sale of Surety Insurers' Special Deposit to Pay Outstanding Judgment.

Section 27-6-13Sale of surety insurers' special deposit to pay outstanding judgment. (a) If any surety insurer which has made the deposit provided for in Section 27-3-12 fails or refuses to pay any final judgment entered against it upon any bond or undertaking from which no appeal and supersedeas has been taken for 30 days after the entry of such judgment, the clerk or register of the court in which such judgment was entered shall certify a copy thereof to the commissioner, together with the fact that it remains unpaid, and the commissioner shall sell as many of the securities or other assets deposited by such insurer as may be necessary to pay such judgment, and the interest and costs thereon, and to pay to the clerk or register of the court, from the proceeds of the sale, the amount of the judgment, with interest and costs. The commissioner shall sell such securities or other assets at private or public sale, with or without notice, or so many as may be necessary for the best price he can obtain in the market, shall assign the same to the purchaser and shall apply the proceeds, or so much thereof as may be necessary, to the payment of such judgment, with interest and costs, the surplus, if any, remaining on deposit in lieu of the securities or other assets so sold. (b) Of such sale, the commissioner must forthwith notify the insurer and require it to supply the deficiency, if any, in the deposit within 30 days as required in Section 27-6-14; and, if the insurer fails to do so, the commissioner shall revoke its certificate of authority. (Acts 1909, No. 147, p. 329; Acts 1971, No. 407, p. 707, §109.)