reglab/statecodes huggingface dataset:
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6833. Stabilization Reserve Fund.

§ 6833. Stabilization Reserve Fund.
(a) There is hereby created a Stabilization Reserve Fund. The Fund shall be administered by 3 directors, 1 of whom shall be the Commissioner or the Commissioner's deputy. The remaining 2 directors shall be appointed by the Commissioner. One shall be a representative of the Association; the other a representative of its policyholders.
(b) The directors shall act by majority vote with 2 directors constituting a quorum for the transaction of any business or the exercise of any power of the Fund. The directors shall serve without salary, but each director shall be reimbursed for actual and necessary expenses incurred in the performance of his or her official duties as a director of the Fund. In the absence of fraud or wilful misconduct, the directors shall not be subject to any personal liability or accountability with respect to the administration of the Fund.
(c) Each policyholder shall pay to the Association a Stabilization Reserve Fund charge equal to one third of each premium payment due for insurance through the Association. Such charge shall be separately stated in the policy. The Association shall cancel the policy of any policyholder who fails to pay the Stabilization Reserve Fund charge.
(d) The Association shall promptly pay to the trustee of the Fund all Stabilization Reserve Fund charges which it collects from its policyholders and any retrospective premium refunds payable under the group retrospective rating plan authorized by this subchapter.
(e) All moneys received by the Fund shall be held in trust by a corporate trustee selected by the directors. The corporate trustee must be authorized to act as a corporate trustee in the State. The corporate trustee may invest the moneys held in trust, subject to the approval of the directors. All investment income shall be credited to the Fund. All expenses of administration of the Fund shall be charged against the Fund. The moneys held in trust shall be used solely for the purpose of discharging, when due, any retrospective premium charges payable by policyholders of the Association under the group retrospective rating plan authorized by this chapter. Payment of retrospective premium charges shall be made by the directors upon certification to them by the Association of the amount due. If all moneys accruing to the Fund are finally exhausted in payment of retrospective premium charges, all liability and obligations of the Association's policyholders with respect to the payment of retrospective premium charges shall thereupon terminate and shall be conclusively presumed to have been discharged. Any moneys remaining in the Fund after all such retrospective premium charges have been paid shall be returned to policyholders in proportion to their policy premiums under procedures authorized by the directors.
60 Del. Laws, c. 373, §  1;  70 Del. Laws, c. 186, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6834. Procedures.

§ 6834. Procedures.
(a) Any licensed physician, hospital or other licensed health-care provider shall, on or after the effective date of the plan of operation, be entitled to apply to the Association for such coverage.
(b) If the Association determines that the applicant meets the underwriting standards of the Association as prescribed in the plan of operation and there is no unpaid, uncontested premium due from the applicant for prior insurance (as shown by the insured having failed to make written objection to the premium charges within 30 days after billing), then the Association, upon receipt of the premium, or such portion thereof as is prescribed in the plan of operation, shall cause to be issued a policy of health-care medical negligence insurance.
60 Del. Laws, c. 373, §  1;  71 Del. Laws, c. 373, §  3;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6835. Participation.

§ 6835. Participation.
All insurers which are members of the Association shall participate in its writings, expenses, servicing allowance, management fees and losses in the proportion that the net direct premiums of each such member (excluding that portion of premiums attributable to the operation of the Association) written during the preceding calendar year bears to the aggregate net premiums written in this State by all members of the Association. Each insurer's participation in the Association shall be determined annually on the basis of such net direct premiums written during the preceding calendar year, as reported in the annual statements and other reports filed by the insurer with the Commissioner.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6836. Directors.

§ 6836. Directors.
The Association shall be governed by a board of 11 directors, to be elected annually. Eight directors shall be elected by cumulative voting by the members of the Association whose votes in such election shall be weighted in accordance with each member's net direct premiums written in the areas of insurance determining membership in the Association during the preceding calendar year. Three directors shall be appointed by the Commissioner as representatives of health-care providers. The 8 member companies serving on the first board shall be elected at a meeting of the members held at a time and place designated by the Commissioner. The Commissioner shall appoint the other 3 directors serving on the first board on or before the date of such meeting from lists of names tendered to the Commissioner by all interested health-care provider groups.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6837. Appeals and judicial review.

§ 6837. Appeals and judicial review.
(a) Any applicant to the Association, any person insured pursuant to this subchapter, or their representatives, or any affected insurer, may appeal to the Commissioner within 30 days after any ruling, action or decision by or on behalf of the Association with respect to those items the plan of operation defines as appealable matters.
(b) All orders of the Commissioner made pursuant to this chapter shall be subject to judicial review as provided in § 328 of this title.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6838. Annual statements.

§ 6838. Annual statements.
The Association shall file in the office of the Commissioner, annually on or before March 1, a statement which shall contain information with respect to transactions, condition, operations and affairs during the preceding year. Such statement shall contain such matters and information as are prescribed and shall be in such form as is approved by the Commissioner. The Commissioner may, at any time, require the Association to furnish additional information with respect to its transactions, condition or any matter connected therewith considered to be material and of assistance in evaluating the scope, operation and experience of the Association.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6839. Examinations.

§ 6839. Examinations.
The Commissioner shall make an examination into the affairs of the Association at least annually. Such examination shall be conducted and the report thereon filed in the manner prescribed in Chapter 3 of this title. The expenses of every such examination shall be borne and paid by the Association in the manner prescribed by § 326 of this title.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6840. Privileged communications.

§ 6840. Privileged communications.
There shall be no liability on the part of, and no cause of action of any nature shall arise against the Association, the Commissioner, or authorized representatives or any other person or organization, for any statements made in good faith by them during any proceeding or concerning any matters within the scope of this chapter.
60 Del. Laws, c. 373, §  1;  70 Del. Laws, c. 186, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter V. Joint Underwriting Association › § 6841. Public officers or employees.

§ 6841. Public officers or employees.
No member of the board of directors of the Stabilization Reserve Fund who is otherwise a public officer or employee shall suffer a forfeiture of his or her office or employment or any loss or diminution in the rights and privileges appertaining thereto, by reason of membership on the board of directors of the Stabilization Reserve Fund.
60 Del. Laws, c. 373, §  1;  70 Del. Laws, c. 186, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6850. Legal terms as at common law.

§ 6850. Legal terms as at common law.
Any legal term or word of art used in this chapter, not otherwise defined, shall have such meaning as is consistent with the common law.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6851. Agreement assuring result to be in writing.

§ 6851. Agreement assuring result to be in writing.
No liability shall be imposed upon any health-care provider on the basis of an alleged breach of contract, express or implied, assuring results to be obtained from undertaking or not undertaking any diagnostic or therapeutic procedure in the course of health care, unless such contract is set forth in writing and signed by such health-care provider or by an authorized agent of such health-care provider.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6852. Informed consent.

§ 6852. Informed consent.
(a) No recovery of damages based upon a lack of informed consent shall be allowed in any action for medical negligence unless:
(1) The injury alleged involved a nonemergency treatment, procedure or surgery; and
(2) The injured party proved by a preponderance of evidence that the health-care provider did not supply information regarding such treatment, procedure or surgery to the extent customarily given to patients, or other persons authorized to give consent for patients by other licensed health-care providers in the same or similar field of medicine as the defendant.
(b) In any action for medical negligence, in addition to other defenses provided by law, it shall be a defense to any allegation that such health-care provider treated, examined or otherwise rendered professional care to an injured party without his or her informed consent that:
(1) A person of ordinary intelligence and awareness in a position similar to that of the injured party could reasonably be expected to appreciate and comprehend hazards inherent in such treatment;
(2) The injured party assured the health-care provider he or she would undergo the treatment regardless of the risk involved or that he or she did not want to be given the information or any part thereof to which he or she could otherwise be entitled; or
(3) It was reasonable for the health-care provider to limit the extent of his or her disclosures of the risks of the treatment, procedure or surgery to the injured party because further disclosure could be expected to affect, adversely and substantially, the injured party's condition, or the outcome of the treatment, procedure or surgery.
60 Del. Laws, c. 373, §  1;  70 Del. Laws, c. 186, §  1;  71 Del. Laws, c. 373, §§  2, 3;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6854. Expert witness.

§ 6854. Expert witness.
No person shall be competent to give expert medical testimony as to applicable standards of skill and care unless such person is familiar with the degree of skill ordinarily employed in the field of medicine on which he or she will testify.
60 Del. Laws, c. 373, §  1;  62 Del. Laws, c. 274, §  1;  70 Del. Laws, c. 186, §  1;  70 Del. Laws, c. 415, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6855. Punitive damages.

§ 6855. Punitive damages.
In any action for medical negligence, punitive damages may be awarded only if it is found that the injury complained of was maliciously intended or was the result of wilful or wanton misconduct by the health-care provider, and may be awarded only if separately awarded by the trier of fact in a separate finding from any finding of compensatory damages which separate finding shall also state the amounts being awarded for each such category of damages. Injuries shall not be considered maliciously intended in instances in which unforeseen damage or injury results from intended medication, manipulation, surgery, treatment or the intended omission thereof, administered or omitted without actual malice or if the intended treatment is applied or omitted by mistake to or for the wrong patient or wrong organ.
60 Del. Laws, c. 373, §  1;  71 Del. Laws, c. 373, §  3;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6857. Savings clause.

§ 6857. Savings clause.
This chapter applies to actions, cases and proceedings brought after April 26, 1976, and also applies to any further conduct of actions, cases and proceedings then pending, except to the extent that application of this chapter would not be feasible, or would work injustice, in which event former procedures apply.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VI. General Provisions › § 6858. Tail coverage for Veterans Administration hospital surgeons.

§ 6858. Tail coverage for Veterans Administration hospital surgeons.
No insurance policy sold or delivered in this State providing insurance for acts of medical negligence or malpractice shall revoke the tail coverage of a retired physician as a consequence of that physician ending that physician's retirement for the specific and sole purpose of practicing medicine at a Veterans Administration facility in the State. Any contract language inconsistent with this section is void under Delaware law.
76 Del. Laws, c. 417, §  2;  70 Del. Laws, c. 186, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VII. Compensation for Health Care Injuries › § 6861. Advance payment; evidence thereof.

§ 6861. Advance payment; evidence thereof.
(a) Any advance payment made by a defendant health care provider or the provider's insurer to or for a plaintiff or any other person shall not be construed as an admission of liability for injuries or damages suffered by the plaintiff or anyone else in an action brought for health care medical negligence.
(b) Evidence of an advance payment shall not be admissible unless there is a final judgment in favor of the plaintiff, in which event the Court shall reduce the judgment to the plaintiff to the extent of the advance payment. The advance payment shall inure to the exclusive credit of the defendant or the defendant's insurer making the payment. In the event the advance payment exceeds the liability of the defendant or the insurer making it, the Court shall order any adjustment necessary to equalize the amount which each defendant is obligated to pay, exclusive of costs. In no case shall an advance payment in excess of an award be repayable by the person receiving it.
60 Del. Laws, c. 373, §  1;  71 Del. Laws, c. 373, §  3;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VII. Compensation for Health Care Injuries › § 6862. Collateral source.

§ 6862. Collateral source.
In any medical negligence action for damages because of property damage or bodily injury, including death resulting therefrom, there may be introduced, and if introduced, the trier of facts shall consider evidence of:
(1) Any and all facts available as to any public collateral source of compensation or benefits payable to the person seeking such damages (including all sums which will probably be paid payable to such person in the future) on account of such property damage or bodily injury; and (2) any and all changes, including prospective changes, in the marital, financial or other status of any persons seeking or benefiting from such damages known to the parties at the time of trial; provided, however, this section shall not be applicable to life insurance or private collateral sources of compensation or benefits.
60 Del. Laws, c. 373, §  1;  71 Del. Laws, c. 373, §  3;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VII. Compensation for Health Care Injuries › § 6863. Nonassignability of claims.

§ 6863. Nonassignability of claims.
A claim for compensation under this chapter is not assignable; provided, however, that rights of subrogation shall not be deemed to constitute assignment.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VII. Compensation for Health Care Injuries › § 6864. Periodic payments; reduction of awards in event of certain contingencies.

§ 6864. Periodic payments; reduction of awards in event of certain contingencies.
(a) Where a person recovers a judgment against a health-care provider, the Court may, after making a determination as to the amount of such judgment which was awarded as compensation for future pain and suffering, if any, the amount of such judgment awarded for future expenses of care of the injured party made necessary by reason of the injury involved, if any, and the amount of such judgment awarded as compensation for any other future damages, if any, direct that:
(1) There shall be deducted from the award, and paid to the plaintiff, an amount sufficient to cover the plaintiff's attorney's fees, expenses related to the litigation, expenses incurred for past health-care and pain and suffering incurred as of the date of said payment;
(2) The remainder of the award shall be paid to the plaintiff in equal or unequal monthly installments to be fixed by the Court for a period of time to be fixed by the Court; provided, however, that in addition thereto, medical expenses incurred and paid by plaintiff not otherwise reimbursed shall also be paid to plaintiff from the undistributed portion of the award;
(3) Each monthly installment shall, in addition, include a payment of interest on the then unpaid balance at a rate to be fixed by the Court.
(b) If a plaintiff receiving installment payments of a judgment shall die before the expiration of a 20-year period from the date of the award, and prior to the receipt by the plaintiff or on the plaintiff's behalf of all such installment payments, the Court shall deduct from the total of the installment payments then remaining unpaid the amount thereof representing compensation for future pain and suffering and future expenses of care made necessary by the injury involved, shall cause the balance of all such installments after such deduction to be paid to the estate of the plaintiff so dying and shall cause such judgment to be marked satisfied.
(c) If the plaintiff receiving installment payments shall die after the expiration of a 20-year period from the date of the award, then the payment shall automatically terminate as of the date of the plaintiff's death.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VII. Compensation for Health Care Injuries › § 6865. Limitation on attorneys' fees.

§ 6865. Limitation on attorneys' fees.
(a) The amount of the claimant's attorneys' fees may not exceed the amounts in the following schedule:
(1) 35% of the first $100,000 of damages;
(2) 25% of the next $100,000 of damages;
(3) 10% of the balance of any awarded damages.
(b) Notwithstanding subsection (a) of this section, a claimant has the right to elect to pay for the attorneys' services on a mutually satisfactory per diem basis. The election, however, must be exercised in written form at the time of employment.
60 Del. Laws, c. 373, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 68. HEALTH-CARE MEDICAL NEGLIGENCE INSURANCE AND LITIGATION › Subchapter VIII. Study Commission › § 6870, 6871. Study Commission; submission of reports and proposed legislation.

§§ 6870, 6871. Study Commission; submission of reports and proposed legislation.
Repealed by 67 Del. Laws, c. 105, § 1, effective July 12, 1989.
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6901. Finding; purpose.

§ 6901. Finding; purpose.
(a) It is determined and declared as a matter of legislative finding that captive insurance companies can serve a valuable risk management function, and that their responsible utilization and the growth of the captive insurance industry in the State of Delaware are in the best interests of this State.
(b) It is further determined and declared that the purpose and policy of this chapter shall be:
(1) To provide for the regulation of captive insurance companies consistent with their nature and purpose;
(2) To provide flexibility and opportunity to captive insurance companies and to persons utilizing them; and
(3) To foster economic development in this State through the growth of the captive insurance industry.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6904. Company name.

§ 6904. Company name.
No captive insurance company shall adopt a name that is the same as, deceptively similar to, or likely to be confused with or mistaken for, any other existing business name registered in this State.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6905. Minimum capital and surplus; letter of credit.

§ 6905. Minimum capital and surplus; letter of credit.
(a) No captive insurance company shall be issued a certificate of authority unless it shall possess and thereafter maintain capital and surplus of:
(1) In the case of a pure captive insurance company, not less than $250,000;
(2) In the case of an association captive insurance company, not less than $750,000;
(3) In the case of an industrial insured captive insurance company, not less than $500,000;
(4) In the case of an agency captive insurance company, not less than $250,000;
(5) In the case of a risk retention group, not less than $1,000,000;
(6) In the case of a sponsored captive insurance company, not less than $500,000;
(7) In the case of a special purpose captive insurance company, not less than $250,000 or such other amount determined by the Commissioner;
(8) In the case of a branch captive insurance company, not less than $250,000 or such other amount determined by the Commissioner;
(9) In the case of a special purpose financial captive insurance company that is also a sponsored captive insurance company, not less than $500,000, and in the case of a special purpose financial captive insurance company that is not also a sponsored captive insurance company, not less than $250,000; and
(10) In the case of a series captive insurance company, the minimum capital and surplus shall be an amount as specified by the Commissioner.
(b) In connection with the issuance of a certificate of authority, the Commissioner may prescribe additional minimum capital and surplus based upon the type, volume, and nature of insurance business transacted.
(c) Minimum capital and surplus described in paragraphs (a)(1)-(9) of this section shall be maintained in this State and may be in the form of cash, an irrevocable letter of credit issued by a financial institution chartered by or licensed or otherwise authorized to do banking business in this State, or by any other financial institution approved by the Commissioner, or such other assets as may be approved by the Commissioner.
(d) Notwithstanding the foregoing, the minimum capital and surplus funds may be proceeds received by the captive insurance company resulting from the issuance by the captive insurance company of a surplus note as approved by the Commissioner.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;  76 Del. Laws, c. 161, §§  4, 5;  77 Del. Laws, c. 252, §§  6, 7;  80 Del. Laws, c. 46, §  7;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6907. Annual reports.

§ 6907. Annual reports.
(a) Captive insurance companies shall not be required to make any annual report to the Commissioner except as provided in this chapter.
(b) Prior to April 15 of each year, each captive insurance company other than a branch captive insurance company for which the Commissioner has waived any of the requirements of this section pursuant to § 6974 of this title, shall submit to the Commissioner a report of its financial condition, verified by oath of 2 of its executive officers or authorized persons. Each captive insurance company shall report using generally accepted accounting principles, unless the Commissioner approves the use of statutory accounting principles or international accounting standards, with any appropriate or necessary modifications or adaptations thereof required or approved or accepted by the Commissioner for the type of insurance and kinds of insurers to be reported upon, and as supplemented by additional information required by the Commissioner. Any captive insurance company whose use of statutory accounting principles is approved by the Commissioner may make such modifications and adaptations thereof as are necessary:
(1) To record, as “admitted,” the full value of all investments by such captive insurance company permitted under this chapter; and
(2) Subject to the Commissioner's approval, to make its reports under this section consistent with the purposes of this chapter.
The Commissioner shall by rule propose the forms in which captive insurance companies shall report.
(c) Any captive insurance company may make written application to the Commissioner for filing the required report on a fiscal year-end. If an alternative reporting date is granted by the Commissioner:
(1) The annual report is due 60 days after the fiscal year-end; and
(2) In order to provide sufficient detail to support the premium tax return, the captive insurance company shall file prior to April 15 of each year for each calendar year-end such form or information as the Commissioner shall by rule prescribe, verified by oath of 2 of its executive officers or other authorized persons.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;  77 Del. Laws, c. 252, §  10;  81 Del. Laws, c. 251, § 1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6908. Examinations and investigations.

§ 6908. Examinations and investigations.
At least once in 3 years, and whenever the Commissioner determines it to be prudent, the Commissioner or the Commissioner's examiner shall personally visit each captive insurance company and thoroughly inspect and examine its affairs to ascertain its financial condition, its ability to fulfill its obligations and its compliance with the provisions of this chapter. The Commissioner may enlarge the aforesaid 3-year period to 5 years, provided said captive insurance company is subject to a comprehensive annual audit during such period of a scope satisfactory to the Commissioner by independent auditors approved by the Commissioner. The expenses and charges of the examination shall be paid to this State by the company or companies examined.
64 Del. Laws, c. 454, §  1;  70 Del. Laws, c. 186, §  1;  75 Del. Laws, c. 150, §  1;  80 Del. Laws, c. 46, §  9;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6910. Legal investments; management of assets.

§ 6910. Legal investments; management of assets.
(a) Association captive insurance companies, special purpose captive insurance companies, series captive insurance companies, and risk retention groups shall comply with:
(1) The investment requirements contained in Chapter 13 of this title, as applicable; or
(2) Such investment requirements as may be approved by the Commissioner upon application by any such captive insurance company.
(b) No pure captive insurance company, industrial insured captive insurance company, agency captive insurance company, special purpose financial captive insurance company or branch captive insurance company shall be subject to any restrictions on allowable investments whatsoever, including those limitations contained in this title; provided, however, that the Commissioner may prohibit or limit any investment that threatens the solvency or liquidity of any such captive insurance company.
(c) Loans of minimum capital and surplus funds required by § 6905 of this title are prohibited. Notwithstanding the foregoing, the minimum capital and surplus funds may be received by the issuance by the captive insurance company of a surplus note as approved by the Commissioner.
(d) Subject to subsections (a) and (b) of this section and § 6937 of this title, as applicable, a captive insurance company may own securities of or other interests in another captive insurance company, whether voting or nonvoting.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;  76 Del. Laws, c. 161, §  8;  77 Del. Laws, c. 252, §  11;  80 Del. Laws, c. 46, §  10;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6911. Reinsurance.

§ 6911. Reinsurance.
(a) Any captive insurance company may provide reinsurance, on risks ceded by any other insurer, in accordance with § 910 of this title.
(b) With the exception of a risk retention group, any captive insurance company may take credit or a reduction from liability for the reinsurance of risks or portions of risks ceded to reinsurers in accordance with subchapter III of Chapter 9 of this title, or as otherwise approved by the Commissioner.
(c) A risk retention group may take credit or a reduction from liability for the reinsurance of risks or portions of risks ceded to reinsurers only in accordance with subchapter III of Chapter 9 of this title.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;  78 Del. Laws, c. 321, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6912. Rating organization membership.

§ 6912. Rating organization membership.
No captive insurance company shall be required to join a rating organization.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6913. Prohibited associations.

§ 6913. Prohibited associations.
No captive insurance company shall be permitted to join or contribute financially to any plan, pool, association, or guaranty or insolvency fund in this State, nor shall any such captive insurance company, or any insured or affiliate thereof, receive any benefit from any such plan, pool, association or guaranty or insolvency fund for claims arising out of the operations of such captive insurance company.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6915. Rules and regulations; in general.

§ 6915. Rules and regulations; in general.
The Commissioner may establish and from time to time amend such rules and regulations relating to captive insurance companies as are necessary to enable the Commissioner to carry out the provisions of this chapter.
64 Del. Laws, c. 454, §  1;  70 Del. Laws, c. 186, §  1;  75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6915A. Exemption from rules and regulations; special purpose captive insurance companies.

§ 6915A. Exemption from rules and regulations; special purpose captive insurance companies.
The Commissioner, on a case by case basis, may by order exempt a special purpose captive insurance company from the provisions of this chapter and any rule or regulation established by the Commissioner pursuant to § 6915 of this title that, as reasonably determined by the Commissioner based on such factors deemed relevant by the Commissioner consistent with the purposes of this chapter, are inappropriate to apply to such special purpose captive insurance company.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6916. Applicable laws.

§ 6916. Applicable laws.
(a) Only the following provisions of this title apply to a captive insurance company:
(1) Chapter 3 of this title, except for § § 331, 332, and 333 of this title.
(2) Sections 2702, 2703, 2706, and 2716 of this title.
(3) This chapter.
(4) Provisions of this title specifically referenced in this chapter.
(b) Subchapter V of Chapter 11, Chapters 16, 16A, 18, 50, 58 and § 909 of this title shall apply to risk retention groups.
64 Del. Laws, c. 454, §  1;  75 Del. Laws, c. 150, §  1;  78 Del. Laws, c. 321, §  2;  79 Del. Laws, c. 90, §  1;  80 Del. Laws, c. 46, §  12;  83 Del. Laws, c. 50, § 4;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6917. Captive insurance regulatory and supervision fund.

§ 6917. Captive insurance regulatory and supervision fund.
(a) There is hereby created a fund to be known as the captive insurance regulatory and supervision fund for the purpose of providing the financial means for the Commissioner to administer this chapter. All of the tax under § 6914 of this title and all other amounts received by the Department pursuant to this chapter shall be credited to this fund.
(b) At the end of each fiscal year, the balance in the captive insurance regulatory and supervision fund, in excess of such amount reasonably necessary to finance the Commissioner's administration of this chapter during the upcoming fiscal year, shall be transferred to the General Fund.
(c) Within 30 days after the end of each fiscal year, the Commissioner shall submit to the Secretary of Finance of this State a written report stating:
(1) The total amount of taxes and other amounts paid to the Department pursuant to this chapter during such fiscal year, and the total amount of the Commissioner's costs and expenses to administer this chapter during such fiscal year; and
(2) The Commissioner's estimate of the total amount of the Commissioner's costs and expenses to administer this chapter during the current fiscal year.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6918. Delinquency.

§ 6918. Delinquency.
To the extent not inconsistent with this chapter, the provisions of Chapter 59 of this title shall apply to captive insurance companies licensed under this chapter (including for this purpose individual protected cells of sponsored captive insurance companies as set forth in § 6938 of this title).
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6919. Rules for controlled unaffiliated business.

§ 6919. Rules for controlled unaffiliated business.
The Commissioner may adopt rules establishing standards to ensure that a pure captive insurance company's parent or any of its affiliated companies is able to exercise control of the risk management function of any controlled unaffiliated business to be insured by the pure captive insurance company; provided, however, that, until such time as rules under this section are adopted, the Commissioner may approve the coverage of such risks by a pure captive insurance company, on a case by case basis.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6920. Confidentiality.

§ 6920. Confidentiality.
All portions of license applications reasonably designated confidential by or on behalf of an applicant captive insurance company, all information and documents, and any copies of the foregoing, produced or obtained by or submitted or disclosed to the Commissioner pursuant to subchapter III of this chapter of this title that are reasonably designated confidential by or on behalf of a special purpose financial captive insurance company, and all examination reports, preliminary examination reports, working papers, recorded information, other documents, and any copies of any of the foregoing, produced or obtained by or submitted or disclosed to the Commissioner that are related to an examination pursuant to this chapter must, unless the prior written consent (which may be given on a case-by-case basis) of the captive insurance company to which it pertains has been obtained, be given confidential treatment, are not subject to subpoena, may not be made public by the Commissioner, and may not be provided or disclosed to any other person at any time except:
(1) To the insurance department of any state or of any country or jurisdiction other than the United States of America; or
(2) To a law-enforcement official or agency of this State, any other state or the United States of America so long as such official or agency agrees in writing to hold it confidential and in a manner consistent with this section.
75 Del. Laws, c. 150, §  1;  76 Del. Laws, c. 161, §  10;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6921. Material changes in information; continued licensure.

§ 6921. Material changes in information; continued licensure.
In the event of any material change in the financial condition or management of a captive insurance company, the captive insurance company shall notify the Commissioner in writing promptly of any such change and in any event within 10 business days thereof.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6922. Material transactions; prior notice.

§ 6922. Material transactions; prior notice.
No captive insurance company shall voluntarily take any of the following actions without providing the Commissioner at least 30 days prior written notice or receiving the Commissioner's approval of any such action within such 30 day period:
(1) The dissolution of the captive insurance company;
(2) Any sale, exchange, lease, mortgage, assignment, pledge or other transfer of or granting of a security interest in, all or substantially all of the assets of the captive insurance company;
(3) Any incurrence of material indebtedness by the captive insurance company;
(4) Any making of a material loan or other material extension of credit by the captive insurance company;
(5) Any material payment out of capital and surplus;
(6) Any merger or consolidation to which the captive insurance company is a constituent party;
(7) Any conversion of the captive insurance company to another business form;
(8) Any transfer to or domestication in any jurisdiction by the captive insurance company; or
(9) Any material amendment of the organizational documents of the captive insurance company.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter I. General Provisions › § 6923. Books and records.

§ 6923. Books and records.
(a) Unless otherwise approved by the Commissioner, a captive insurance company shall maintain its books, records, documents, accounts, vouchers and agreements in this State. A captive insurance company shall make its books, records, documents, accounts, vouchers and agreements available for inspection by the Commissioner at any time. A captive insurance company shall keep its books, records, documents, accounts, vouchers and agreements in such manner that its financial condition, affairs and operations can be readily ascertained and in such manner that the Commissioner may readily verify its financial statements and determine its compliance with this chapter.
(b) Unless otherwise approved by the Commissioner, all original books, records, documents, accounts, vouchers and agreements of a captive insurance company must be preserved and kept available in this State for the purpose of examination and inspection until the Commissioner approves the destruction or other disposition of the books, records, documents, accounts, vouchers and agreements. If the Commissioner approves the preservation and keeping of the foregoing outside this State, the captive insurance company shall maintain a complete and true copy of each such original in the State. Books, records, documents, accounts, vouchers and agreements may be photographed, reproduced on film or stored and reproduced electronically.
76 Del. Laws, c. 161, §  11;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter II. Sponsored Captive Insurance Companies › § 6931. General.

§ 6931. General.
In addition to the provisions of subchapter I of this chapter, the provisions of this subchapter shall apply to sponsored captive insurance companies, and § 6922 of this title shall apply to each protected cell of a sponsored captive insurance company.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter II. Sponsored Captive Insurance Companies › § 6932. Definitions.

§ 6932. Definitions.
As used in this subchapter, unless the context requires otherwise:
(1) “Participant” means any person, including any counterparty as defined in § 6952(1) of this title, that is insured by a sponsored captive insurance company, where the losses of the participant are limited through a participant contract to the participant's pro rata share of the assets of 1 or more protected cells identified in the participant contract.
(2) “Participant contract” means a contract by which a sponsored captive insurance company insures the risks of 1 or more participants, and limits the losses of each participant to its pro rata share of the assets of 1 or more protected cells identified in the participant contract, including an SPFC contract as defined in § 6952 of this title.
(3) “Protected cell” means a separate and distinct account established and maintained by or on behalf of a sponsored captive insurance company in which assets, including assets invested pursuant to § 6937 of this title, are accounted for and recorded for 1 or more participants in accordance with the terms of 1 or more participant contracts to fund the liability of the sponsored captive insurance company assumed on behalf of the participants as set forth in the participant contracts.
(4) “Sponsor” means a person qualifying as a sponsor under § 6935 of this title.
(5) “Sponsored captive insurance company” means a captive insurance company, including a special purpose financial captive insurance company as defined in § 6952 of this title:
a. Of which the minimum capital and surplus required by this chapter is provided by 1 or more sponsors;
b. That is licensed under the provisions of this chapter;
c. That insures the risks of its participants only, through separate participant contracts; and
d. That funds its liability to each participant through 1 or more protected cells and segregates the assets of each protected cell from the assets of other protected cells and from the assets of the sponsored captive insurance company's general account.
75 Del. Laws, c. 150, §  1;  76 Del. Laws, c. 161, §  12;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter II. Sponsored Captive Insurance Companies › § 6933. Supplemental license application materials.

§ 6933. Supplemental license application materials.
In addition to the information required by § 6903(c) of this title, each applicant sponsored captive insurance company shall file with the Commissioner the following:
(1) Materials demonstrating to the satisfaction of the Commissioner how the applicant will report to the Commissioner on, and account for, the loss and expense experience of each protected cell;
(2) A statement acknowledging that all financial records of the sponsored captive insurance company, including records pertaining to any protected cells, shall be made available for inspection or examination by the Commissioner or the Commissioner's designated agent;
(3) All contracts or sample contracts between the sponsored captive insurance company and any participants; and
(4) Evidence that expenses shall be allocated to each protected cell in a fair and equitable manner.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter II. Sponsored Captive Insurance Companies › § 6935. Qualification of sponsors.

§ 6935. Qualification of sponsors.
A sponsor of a sponsored captive insurance company shall be an insurer (including a reinsurer) licensed under the laws of this State or any other state, a captive insurance company licensed under this chapter, or any other person approved by the Commissioner. A risk retention group shall not be a sponsor of a sponsored captive insurance company, and a risk retention group may be a participant of a sponsored captive insurance company only to the extent that it is the sole participant of 1 or more protected cells.
75 Del. Laws, c. 150, §  1;
2023 Delaware Code › Title 18 - Insurance Code › Chapter 69. CAPTIVE INSURANCE COMPANIES › Subchapter II. Sponsored Captive Insurance Companies › § 6936. Participants in sponsored captive insurance companies.

§ 6936. Participants in sponsored captive insurance companies.
(a) Any person may be a participant in any sponsored captive insurance company.
(b) A sponsor may be a participant in a sponsored captive insurance company.
(c) A participant need not be an owner of the sponsored captive insurance company or any affiliate thereof.
(d) Except as otherwise approved by the Commissioner, a participant may insure through a sponsored captive insurance company only its own risks and the risks of its affiliates who are participants.
75 Del. Laws, c. 150, §  1;