reglab/statecodes huggingface dataset:
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-16. - Chapter 16. Creditor-Placed Insurance (500.1601...500.1631) › Section 500.1629 - Judicial Review; Court Order.

500.1629 Judicial review; court order.
Sec. 1629.
(1) A person aggrieved by a final order, decision, finding, ruling, action, or inaction provided for under this chapter may seek judicial review as provided in section 244.
(2) To the extent that the order or final determination of the commissioner is affirmed, the court shall issue its own order commanding obedience to the terms of the commissioner's order or final determination. If either party applies to the court for leave to produce additional evidence, and shows to the satisfaction of the court that the additional evidence is material and that there were reasonable grounds for the failure to produce the evidence in the proceeding before the commissioner, the court may order the additional evidence to be taken before the commissioner and to be produced in a hearing in the manner and upon the terms and conditions the court considers proper. The commissioner may modify the findings of fact or make new findings by reason of the additional evidence taken and shall file the modified or new findings with a recommendation, if any, for the modification or setting aside of the original order or final determination, with the return of the additional evidence.
(3) An order issued by the commissioner under section 1627 shall become final upon the expiration of the time allowed for filing a petition for review if no petition has been duly filed within that time, except that the commissioner may thereafter modify or set aside the order to the extent provided in section 1627 or upon the final decision of the court if the court directs that the order of the commissioner be affirmed or the petition for review dismissed.
(4) An order of the commissioner under this chapter or an enforcement order of a court does not relieve or absolve any person affected by the order from liability under any other laws of this state.
History:
Add. 2002, Act 655, Eff. Mar. 23, 2003
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-16. - Chapter 16. Creditor-Placed Insurance (500.1601...500.1631) › Section 500.1631 - Violation of Order of Commission; Penalty.

500.1631 Violation of order of commission; penalty.
Sec. 1631.
An insurer that violates an order of the commissioner under this chapter shall be afforded a hearing before the commissioner under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328. If the commissioner finds a violation has occurred, the commissioner may order either or both of the following:
(a) Payment of a monetary penalty of not more than $1,000.00 for each violation, but not to exceed an aggregate penalty of $100,000.00, unless the violation was committed in a conscious and flagrant disregard of this chapter, in which case the commissioner may order the payment of a monetary penalty of not more than $25,000.00 for each violation, but not to exceed an aggregate penalty of $250,000.00.
(b) Suspension or revocation of the insurer's license.
History:
Add. 2002, Act 655, Eff. Mar. 23, 2003
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1701 - Definitions.

500.1701 Definitions.
Sec. 1701.
As used in this chapter:
(a) "Insurance group" means, for the purpose of conducting an ORSA, insurers and affiliates included within an insurance holding company system.
(b) "Insurer" means that term as defined in section 106. Insurer also includes a fraternal benefit society as that term is defined in section 8164 and a nonprofit dental care corporation operating under 1963 PA 125, MCL 550.351 to 550.373. Insurer does not include agencies, authorities, or instrumentalities of the United States, its possessions and territories, the Commonwealth of Puerto Rico, the District of Columbia, or a state or political subdivision of a state.
(c) "NAIC" means the National Association of Insurance Commissioners.
(d) "Own risk and solvency assessment" or "ORSA" means a confidential internal assessment, appropriate to the nature, scale, and complexity of an insurer or insurance group, conducted by the insurer or insurance group, of the material and relevant risks associated with the insurer or insurance group's current business plan, and the sufficiency of capital resources to support those risks.
(e) "ORSA guidance manual" means the own risk and solvency assessment guidance manual as adopted and prescribed by the director. A change in the ORSA guidance manual is effective on the January 1 following the calendar year in which the changes have been adopted and prescribed by the director.
(f) "ORSA summary report" means a confidential high-level summary of an insurer or insurance group's ORSA.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1703 - Risk Management Framework.

500.1703 Risk management framework.
Sec. 1703.
An insurer shall maintain a risk management framework to assist the insurer with identifying, assessing, monitoring, managing, and reporting on its material and relevant risks. This requirement may be satisfied if the insurance group of which the insurer is a member maintains a risk management framework applicable to the operations of the insurer.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1705 - Orsa; Conduct.

500.1705 ORSA; conduct.
Sec. 1705.
Subject to section 1709, an insurer, or the insurance group of which the insurer is a member, shall regularly conduct an ORSA consistent with a process comparable to the ORSA guidance manual. The ORSA shall be conducted no less than annually but also at any time when there are significant changes to the risk profile of the insurer or the insurance group of which the insurer is a member.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1707 - Orsa Summary Report.

500.1707 ORSA summary report.
Sec. 1707.
(1) An insurer shall annually submit to the director an ORSA summary report, or any combination of reports that together contain the information as described in the ORSA guidance manual, applicable to the insurer, the insurance group of which it is a member, or both. Within 90 days after the effective date of the amendatory act that added this section, the insurer shall submit to the director the calendar date the insurer will annually submit the ORSA summary report required under this section. The insurer shall file the first report required under this subsection no later than the insurer's submitted calendar date in 2018. If the insurer is a member of an insurance group and if the director is the lead state regulator of the insurance group as determined under the procedures within the National Association of Insurance Commissioners Financial Analysis Handbook, as adopted by the director, the insurer shall submit a report required by this subsection.
(2) A report required under subsection (1) must include a signature of the insurer or insurance group's chief risk officer or other executive having responsibility for the oversight of the insurer's enterprise risk management process attesting to the best of his or her belief and knowledge that the insurer applies the enterprise risk management process described in the ORSA summary report and that a copy of the report has been provided to the insurer's board of directors or appropriate committee of the insurer's board of directors.
(3) An insurer may comply with subsection (1) by providing the most recent and substantially similar report provided by the insurer or another member of an insurance group of which the insurer is a member to a commissioner of another state or to a supervisor or regulator of a foreign jurisdiction, if the report provides information that is comparable to the information described in the ORSA guidance manual. A report in a language other than English must be accompanied by a translation of the report into the English language.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1711 - Orsa Summary Report; Preparation; Maintenance and Availability; Review by Director.

500.1711 ORSA summary report; preparation; maintenance and availability; review by director.
Sec. 1711.
(1) Subject to subsection (2), an insurer shall prepare an ORSA summary report under section 1707 consistent with the ORSA guidance manual prescribed by the director. The insurer shall maintain and make available to the director documentation and supporting information relating to the ORSA summary report.
(2) The director shall review an ORSA summary report and any additional requests for information using similar procedures used in the analysis and examination of multistate or global insurers and insurance groups.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17 - Chapter 17 Risk Management and Own Risk and Solvency Assessment (500.1701...500.1715) › Section 500.1715 - Failure to File Timely Orsa Summary Report; Penalty.

500.1715 Failure to file timely ORSA summary report; penalty.
Sec. 1715.
An insurer that does not, without just cause, timely file an ORSA summary report as required in this chapter shall pay a civil fine of $1,000.00 for each day's delay, to be recovered by the director and paid into the general fund. The maximum civil fine under this section is $75,000.00. The director may reduce the penalty if the insurer demonstrates to the director that the penalty would cause a financial hardship to the insurer.
History:
Add. 2015, Act 245, Imd. Eff. Dec. 22, 2015
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1751 - Limitation of Chapter in Accordance With Other Applicable State Laws; Exception.

500.1751 Limitation of chapter in accordance with other applicable state laws; exception.
Sec. 1751.
This chapter does not prescribe or impose corporate governance standards and internal procedures beyond that which is required under applicable state corporate law. However, this chapter does not limit the director's authority, or the rights or obligations of third parties, under chapter 2.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1753 - Applicability of Chapter.

500.1753 Applicability of chapter.
Sec. 1753.
This chapter applies to all insurers domiciled in this state.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1755 - Definitions.

500.1755 Definitions.
Sec. 1755.
As used in this chapter:
(a) "Corporate governance annual disclosure" or "CGAD" means a confidential report filed by the insurer or insurance group made in accordance with the requirements of this chapter.
(b) "Insurance group" means insurers and affiliates included within an insurance holding company system.
(c) "Insurer" means that term as defined in section 1701.
(d) "NAIC" means that term as defined in section 1701.
(e) "ORSA Summary Report" means that term as defined in section 1701.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1759 - Corporate Governance Policies; Information Made Available to Director.

500.1759 Corporate governance policies; information made available to director.
Sec. 1759.
(1) The insurer or insurance group has discretion over the responses to the CGAD inquiries if the CGAD contains the material information necessary to permit the director to gain an understanding of the insurer's or group's corporate governance structure, policies, and practices. The director may request additional information that he or she considers material and necessary to provide the director with a clear understanding of the corporate governance policies, the reporting or information system, or the controls implementing those policies.
(2) Notwithstanding subsection (1), the CGAD must be prepared as prescribed by the director. Documentation and supporting information related to the CGAD must be maintained and made available on examination or on request of the director.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1765 - Failure to File Corporate Governance Annual Disclosure; Civil Fine; Waiver.

500.1765 Failure to file corporate governance annual disclosure; civil fine; waiver.
Sec. 1765.
(1) An insurer or insurance group that does not, without just cause, timely file the CGAD as required in this chapter, after written notice and hearing, shall pay a civil fine of $1,000.00 for each day's delay, to be recovered by the director and paid into the general fund of this state. The maximum civil fine under this section is $75,000.00. The director may reduce or waive the penalty if the insurer demonstrates to the director that either of the following applies:
(a) The penalty would cause a financial hardship to the insurer.
(b) There is just cause for the delayed filing.
(2) On written request, the director may grant a 90-day extension for filing the CGAD.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-17A - Chapter 17a Corporate Governance Annual Disclosure (500.1751...500.1767) › Section 500.1767 - Severability.

500.1767 Severability.
Sec. 1767.
If in a final decision a court holds section 1761 of this chapter to be invalid, that section is not severable, and the entire chapter is void as of the date of the court decision.
History:
Add. 2018, Act 520, Eff. Jan. 1, 2020
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1803 - Risk Retention Group Chartered in State; Certificate of Authority; License; Compliance.

500.1803 Risk retention group chartered in state; certificate of authority; license; compliance.
Sec. 1803.
(1) To be chartered in this state, a risk retention group shall obtain a certificate of authority from the commissioner and be licensed as a domestic stock or mutual casualty insurer.
(2) Except as otherwise provided in this chapter, a risk retention group chartered in this state shall comply with all statutes, rules, regulations, and requirements applicable to domestic stock or mutual casualty insurers.
(3) A certificate of authority issued to a risk retention group chartered in this state shall be limited to the business of insurance for liability.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1804 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1804 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to void contracts of fire insurance.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1805 - Risk Retention Group Chartered in State; Summary Form of Required Information.

500.1805 Risk retention group chartered in state; summary form of required information.
Sec. 1805.
To be chartered in this state, a risk retention group shall provide to the commissioner in summary form, at the time of its application for a certificate of authority, all of the following:
(a) The identity of the initial members of the risk retention group.
(b) The identity of those individuals who organized the risk retention group or who will provide administrative services or otherwise influence or control the activities of the group.
(c) The amount and nature of initial capitalization.
(d) The coverages to be afforded.
(e) The states in which the risk retention group intends to operate.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Compiler's Notes:
Former MCL 500.1805, which provided a penalty for fire insurance with unauthorized insurer, was repealed by Act 341 of 1980, Eff. June 23, 1981.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1806 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1806 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section provided penalty for agents' solicitation of fire insurance with unauthorized insurer.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1807 - Risk Retention Group Chartered in State; Plan of Operation or Feasibility Study.

500.1807 Risk retention group chartered in state; plan of operation or feasibility study.
Sec. 1807.
Before it may offer insurance in this state, a risk retention group chartered in this state shall submit to the commissioner for approval a plan of operation or feasibility study and, within 10 days of a change, shall submit an appropriate revision if a subsequent material change in an item of the plan of operation or feasibility study occurs. The risk retention group shall not offer any additional kinds of liability insurance until a revision of the plan of operation or feasibility study is approved by the commissioner.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1809 - Risk Retention Group Chartered in State; Name.

500.1809 Risk retention group chartered in state; name.
Sec. 1809.
The name under which a risk retention group chartered in this state may be authorized as a domestic casualty insurer shall be a brief description of the risk retention group's membership followed by the phrase "risk retention group".
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1810 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1810 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section provided penalty for life insurance with unauthorized insurer.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1811 - Risk Retention Group Not Chartered in State; Submission of Information to Commissioner.

500.1811 Risk retention group not chartered in state; submission of information to commissioner.
Sec. 1811.
A risk retention group not chartered in this state shall submit to the commissioner all of the following:
(a) Before offering insurance in this state, a statement identifying any state in which the risk retention group is chartered as a liability insurance company, the date on which it was chartered, and its principal place of business.
(b) Before offering insurance in this state, a copy of the risk retention group's plan of operation or feasibility study and revisions of the plan or study submitted to the state in which the risk retention group is chartered. However, the submission of a plan of operation or feasibility study shall not apply with respect to any line or classification of liability insurance which was defined in the liability risk retention act of 1986 before the October 27, 1986 amendments to that act and was offered before October 27, 1986 by a risk retention group which had been chartered and operating for not less than 3 years before October 27, 1986. A revision to the risk retention group's plan of operation or feasibility study submitted under this subdivision shall be submitted at the same time the revision is submitted to the commissioner of the risk retention group's chartering state.
(c) Before offering insurance in this state and by March 1 of each year thereafter, a copy of the risk retention group's financial statement submitted to the state in which the risk retention group is chartered. The financial statement shall be certified by an independent public accountant and contain a statement of opinion on loss and loss adjustment expense reserves made by a member of the American Academy of Actuaries or a qualified loss reserve specialist.
(d) A copy of the most recent examination of the risk retention group and upon request by the commissioner, any examination of the risk retention group, as certified by the commissioner or public official conducting the examination.
(e) Upon request by the commissioner, a copy of any audit performed with respect to the risk retention group and other information as considered necessary by the commissioner in order to determine the risk retention group's financial condition.
(f) Before offering insurance in this state, a $25.00 registration fee and, on a form prescribed by the commissioner, a statement of registration which designates the commissioner as its agent for the purpose of receiving service of legal documents or process.
(g) Other information as may be required to verify the risk retention group's continuing qualification as a risk retention group.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1812 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1812 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section provided penalty for disability, casualty, title, or surety insurance with unauthorized insurer.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1813 - Risk Retention Group Without Certificate of Authority Issued by Commissioner; Tax; Regulatory Fee; Report.

500.1813 Risk retention group without certificate of authority issued by commissioner; tax; regulatory fee; report.
Sec. 1813.
A risk retention group that does not have a certificate of authority issued by the commissioner shall be liable for the payment of a tax of 2% on direct business for a risk resident or located within this state and, instead of the costs and expenses that may be imposed by the commissioner pursuant to this chapter, an additional regulatory fee of 0.5% on direct business for a risk resident or located within this state and shall report to the commissioner the net direct premiums written for that business.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990 ;-- Am. 1994, Act 228, Imd. Eff. June 30, 1994
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1815 - Risk Retention Group Not Chartered in State and Doing Business in State; Compliance Required; Examination of Financial Condition.

500.1815 Risk retention group not chartered in state and doing business in state; compliance required; examination of financial condition.
Sec. 1815.
(1) A risk retention group, not chartered in this state and doing business in this state, and the risk retention group's agents and representatives, shall comply with chapter 20.
(2) A risk retention group not chartered in this state and doing business in this state shall submit to an examination by the commissioner to determine its financial condition if the commissioner of the charter state has not initiated an examination or does not initiate an examination within 60 days after a request by the commissioner of this state. An examination under this subsection should be coordinated with examination requests in other states to avoid unjustified repetition and conducted in an expeditious manner in accordance with generally accepted auditing standards.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1817 - Risk Retention Group Not Chartered in State and Doing Business in State; Voluntary Dissolution or Delinquency Proceeding.

500.1817 Risk retention group not chartered in state and doing business in state; voluntary dissolution or delinquency proceeding.
Sec. 1817.
A risk retention group not chartered in this state and doing business in this state shall comply with a lawful order issued in a voluntary dissolution proceeding or in a delinquency proceeding commenced by the commissioner if there has been a finding of financial impairment after an examination performed under section 1815(2).
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1819 - Notice Required on Application Form and Front and Declaration Pages of Policy.

500.1819 Notice required on application form and front and declaration pages of policy.
Sec. 1819.
An application form for insurance from a risk retention group chartered or doing business in this state, as well as the front and declaration pages of a policy issued by a risk retention group, shall contain in 10-point type the following notice:
"NOTICE
This policy is issued by your risk retention group. Your risk retention group may not be subject to all of the insurance laws and regulations of your state. State insurance insolvency guaranty funds are not available for your risk retention group."
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1820 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1820 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section contained a short title.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1821 - Risk Retention Group Chartered or Doing Business in State; Prohibited Conduct.

500.1821 Risk retention group chartered or doing business in state; prohibited conduct.
Sec. 1821.
A risk retention group chartered or doing business in this state shall not do any of the following:
(a) Solicit or sell insurance to a person who is not eligible for membership in the group.
(b) Solicit or sell insurance if the risk retention group is in a hazardous financial condition or is financially impaired.
(c) Have as a member or owner, whether directly or indirectly, an insurance company, unless all members of the risk retention group are insurance companies.
(d) Issue an insurance policy with terms which provide, or could be construed to provide, coverage prohibited generally by law or declared unlawful by a final and binding decision of an appellate court that has considered the matter.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Compiler's Notes:
Former MCL 500.1821, which pertained to substituted service of process, was repealed by Act 341 of 1980, Eff. June 23, 1981.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1822 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1822 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to acts constituting appointment of commissioner as attorney for service of process.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1823 - Violation; Fines and Penalties; Compliance.

500.1823 Violation; fines and penalties; compliance.
Sec. 1823.
A risk retention group that violates a provision of this chapter shall be subject to fines and penalties applicable to licensed insurers, including revocation of the right to do business in this state. A risk retention group operating in this state prior to January 1, 1990 shall comply with section 1811 by February 1, 1990.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1825 - Purchasing Group; Information Required Before Doing Business in State.

500.1825 Purchasing group; information required before doing business in state.
Sec. 1825.
(1) Before doing business in this state, a purchasing group shall provide the commissioner with all of the following:
(a) The identity of the name of the purchasing group through which it is purchasing liability insurance.
(b) The identity of the state in which the purchasing group is domiciled.
(c) The identity of all other states in which the purchasing group intends to do business or is doing business.
(d) The identity of the specific types and classifications of liability insurance which the purchasing group intends to purchase.
(e) The identity of any insurance company from which the group intends to purchase its insurance and the domicile of those companies.
(f) The method by which, and if applicable, the person through whom, insurance will be offered to the purchasing group's members whose risks are resident or located in this state.
(g) The identity of the officer or person responsible for the purchasing group.
(h) Other information as may be required by the commissioner to verify that the purchasing group is qualified under this chapter.
(2) A purchasing group shall notify the commissioner of any changes in any of the items set forth in subsection (1) within 10 days of the change.
(3) A purchasing group shall notify the commissioner annually of its intention to continue doing business in this state.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Compiler's Notes:
Former MCL 500.1825, which pertained to service of process on insurance commissioner or secretary of state, was repealed by Act 341 of 1980, Eff. June 23, 1981.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1827 - Purchasing Group and Insurer Thereof; Registration Fee; Statement of Registration; Applicability of Subsection (1); Information to Be Furnished.

500.1827 Purchasing group and insurer thereof; registration fee; statement of registration; applicability of subsection (1); information to be furnished.
Sec. 1827.
(1) The purchasing group and any insurer of the purchasing group which has not submitted a registration fee shall submit a $25.00 registration fee and, on a form prescribed by the commissioner, a statement of registration which designates the commissioner as its agent for the purpose of receiving service of legal documents or process.
(2) Subsection (1) shall not apply to a purchasing group which meets all of the following:
(a) Was a purchasing group under the requirements of the liability risk retention act of 1986 before October 27, 1986.
(b) Only purchases insurance that was authorized under the liability risk retention act of 1986 before October 27, 1986.
(c) Was domiciled in a state before April 1, 1986 and is domiciled in a state on and after September 25, 1981.
(d) Before September 25, 1981 purchased insurance from an insurance carrier licensed in a state and since September 25, 1981, purchased its insurance from an insurance carrier licensed in a state.
(3) A purchasing group under subsection (1) shall furnish information as requested by the commissioner that does all of the following:
(a) Verifies that the entity qualifies as a purchasing group.
(b) Determines where the purchasing group members are located.
(c) Determines appropriate tax treatment.
(4) A purchasing group which was doing business in this state prior to January 1, 1990 shall provide the information required by section 1825 to the commissioner by February 1, 1990.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1828 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1828 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to defense of action against unauthorized foreign or alien insurer.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1829 - Purchase of Insurance by Purchasing Group; Written Information to Members; Deductible or Self-Insured Retention.

500.1829 Purchase of insurance by purchasing group; written information to members; deductible or self-insured retention.
Sec. 1829.
(1) A purchasing group doing business in this state may purchase insurance for risks resident or located in this state only from a risk retention group chartered in a state, from an insurer authorized in this state, or from an eligible unauthorized insurer pursuant to chapter 19.
(2) A purchasing group which obtains liability insurance from an insurer not authorized in this state or a risk retention group shall inform in writing each of the members of the group which have a risk resident or located in this state that the risk is not protected by an insurance insolvency guaranty fund in this state and that the risk retention group or the insurer may not be subject to all insurance laws and regulations of this state.
(3) A purchasing group shall not purchase insurance providing for a deductible or self-insured retention, unless the deductible or self-insured retention is the sole responsibility of each individual member of the purchasing group.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1830 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1830 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to refusal to defend action against unauthorized foreign or alien insurer.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1831 - Premium Taxes and Other Taxes.

500.1831 Premium taxes and other taxes.
Sec. 1831.
Premium taxes and other taxes paid for coverage of risks resident or located in this state by a purchasing group or any members of the purchasing group shall be imposed at the same rate and subject to the same interest, fines, and penalties as that applicable to premium taxes and other taxes paid for similar coverage from a similar insurance source by other insureds.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1832 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1832 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to applicability of unauthorized insurers process act.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1833 - Prohibitions Regarding Property and Casualty Guaranty Association or Similar Association; Risks Covered by Property and Casualty Guaranty Association; Participating Member in Michigan Automobile Insurance Placement Facility; Submission of Information by Risk Retention Group; Apportioning Proportionate Share of Losses and Expenses.

500.1833 Prohibitions regarding property and casualty guaranty association or similar association; risks covered by property and casualty guaranty association; participating member in Michigan automobile insurance placement facility; submission of information by risk retention group; apportioning proportionate share of losses and expenses.
Sec. 1833.
(1) A risk retention group chartered or doing business in this state shall not join or contribute financially to the property and casualty guaranty association created under chapter 79 or other similar association or mechanism in this state. A risk retention group, its insureds, or claimants against its insureds, shall not receive any benefit from the property and casualty guaranty association or other similar association or mechanism for claims arising under the insurance policies issued by the risk retention group.
(2) A purchasing group obtaining insurance covering its members' risks from an insurer not authorized in this state or a risk retention group shall not be covered by the property and casualty guaranty association or similar association or mechanism in this state.
(3) If a purchasing group obtains insurance covering its members' risks from an insurer authorized in this state, only risks resident or located in this state shall be covered by the property and casualty guaranty association under chapter 79.
(4) A risk retention group chartered or doing business in this state which offers coverage for the security required under chapter 31 shall be a participating member in the Michigan automobile insurance placement facility established under chapter 33 for the purpose of sharing in the equitable apportionment among insurers of liability insurance losses and expenses incurred on policies written through that facility. The risk retention group shall submit sufficient information to the commissioner, or to whomever the commissioner may designate, to enable the apportionment on a nondiscriminatory basis of the risk retention group's proportionate share of the losses and expenses.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1835 - Licensing as Condition to Soliciting, Negotiating, or Procuring Liability Insurance; Residency Requirement for Agent or Broker; Licensure of Nonresident.

500.1835 Licensing as condition to soliciting, negotiating, or procuring liability insurance; residency requirement for agent or broker; licensure of nonresident.
Sec. 1835.
(1) A person, firm, association, or corporation shall not act or aid in any manner in soliciting, negotiating, or procuring liability insurance in this state from a risk retention group unless the person, firm, association, or corporation is licensed under chapter 12 or chapter 19.
(2) A person, firm, association, or corporation shall not act or aid in any manner in soliciting, negotiating, or procuring liability insurance in this state for a purchasing group from an authorized insurer or a risk retention group chartered in this state unless the person, firm, association, or corporation is licensed under chapter 12.
(3) A person, firm, association, or corporation shall not act or aid in any manner in soliciting, negotiating, or procuring liability insurance from an insurer not authorized to do business in this state on behalf of a purchasing group doing business in this state unless the person, firm, association, or corporation is licensed under chapter 19.
(4) For the purpose of acting as an agent or broker for a risk retention group or purchasing group under subsections (1) and (2), the requirement of residence in this state shall not apply. However, licensure of a nonresident under chapter 19 shall be for the limited purpose of soliciting, negotiating, or procuring liability insurance from a risk retention group not chartered in this state.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1837 - Enforcement.

500.1837 Enforcement.
Sec. 1837.
The commissioner may use any of the powers established under this act to enforce the laws of this state so long as those powers have not been specifically preempted by the liability risk retention act of 1986. For risk retention groups, the commissioner's injunctive authority is restricted by the requirement that an injunction be issued by a court of competent jurisdiction.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1839 - Financial Responsibility.

500.1839 Financial responsibility.
Sec. 1839.
If a law of this state or any political subdivision of this state requires a demonstration of financial responsibility as a condition for obtaining a license or permit to undertake specified activities, and the requirement may not be satisfied by obtaining insurance coverage from an insurer not authorized to do business in this state, the requirement shall not be satisfied by purchasing insurance from a risk retention group not chartered and authorized in this state.
History:
Add. 1989, Act 214, Eff. Jan. 1, 1990
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1840 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1840 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed section pertained to procurement of additional indemnity.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1841 - Repealed. 2000, Act 486, Imd. Eff. Jan. 11, 2001.

500.1841 Repealed. 2000, Act 486, Imd. Eff. Jan. 11, 2001.
Compiler's Notes:
The repealed section pertained to promulgation of rules.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-18 - Chapter 18 (500.1801...500.1864) › Section 500.1843-500.1864 - Repealed. 1980, Act 341, Eff. June 23, 1981.

500.1843-500.1864 Repealed. 1980, Act 341, Eff. June 23, 1981.
Compiler's Notes:
The repealed sections pertained to surplus lines insurers and agents.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-19 - Chapter 19 (500.1901...500.1955) › Section 500.1901 - Short Title.

500.1901 Short title.
Sec. 1901.
This chapter shall be known and may be cited as the "surplus lines insurance act".
History:
Add. 1980, Act 341, Eff. June 23, 1981
Compiler's Notes:
Act 341 of 1980 did not provide a subject-matter heading for Chapter 19.
Popular Name:
Act 218
2023 Michigan Compiled Laws › Chapter 500 - Insurance Code of 1956 › Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302) › 218-1956-19 - Chapter 19 (500.1901...500.1955) › Section 500.1902 - Liberal Construction and Application.

500.1902 Liberal construction and application.
Sec. 1902.
This chapter shall be liberally construed and applied to promote its underlying purposes which include:
(a) Protecting persons seeking insurance in this state.
(b) Permitting stable and reputable insurers to write surplus lines insurance in this state.
(c) Establishing a system of regulation which will permit an orderly access to surplus lines insurance in this state.
History:
Add. 1980, Act 341, Eff. June 23, 1981
Popular Name:
Act 218