reglab/statecodes huggingface dataset:
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.113 - "Participant" defined.

"Participant" means a corporation, association, limited-liability company, partnership, trust, sponsor or other business organization, and any affiliate thereof, that is insured by a sponsored captive insurer, where the losses of the participant are limited by a participant contract to the participant’s pro rata share of the assets of one or more protected cells identified in such participant contract.
(Added to NRS by 2005, 2147)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.115 - "Participant contract" defined.

"Participant contract" means a contract by which a sponsored captive insurer insures the risks of a participant and limits the losses of each such participant to its pro rata share of the assets of one or more protected cells identified in the participant contract.
(Added to NRS by 2005, 2148)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.117 - "Protected cell" defined.

"Protected cell" means a separate account established by a sponsored captive insurer in which assets are maintained for one or more participants in accordance with the terms of one or more participant contracts that fund the liability of the sponsored captive insurer assumed on behalf of the participants as set forth in the participant contracts.
(Added to NRS by 2005, 2148)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.120 - "Pure captive insurer" defined.

"Pure captive insurer" means a captive insurer that only insures risks of its parent and affiliated companies or controlled unaffiliated businesses and, unless otherwise provided by the Commissioner, includes a branch captive insurer.
(Added to NRS by 1999, 3208; A 2005, 2152)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.140 - "Rental captive insurer" defined.

"Rental captive insurer" means a captive insurer formed to enter into contractual agreements with policyholders or associations to offer some or all of the benefits of a program of captive insurance and that only insures risks of such policyholders or associations.
(Added to NRS by 1999, 3208)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.143 - "Sponsor" defined.

"Sponsor" means an insurer licensed pursuant to the laws of any state, a reinsurer authorized or approved under the laws of any state, a captive insurer formed or licensed pursuant to this chapter or a person that:
1. Meets the requirements of subsection 3 of NRS 694C.180 or is approved as a sponsor by the Commissioner; and
2. Is approved by the Commissioner to provide all or part of the capital and surplus required by applicable law and to organize and operate a sponsored captive insurer.
(Added to NRS by 2005, 2148; A 2013, 3371)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.147 - "Sponsored captive insurer" defined.

"Sponsored captive insurer" means any captive insurer:
1. In which the minimum capital and surplus required by applicable law is provided by one or more sponsors;
2. That is formed or licensed pursuant to this chapter;
3. That only insures the risks of its participants through separate participant contracts; and
4. That funds the liability for each participant through one or more protected cells where the assets of each protected cell are segregated from the assets of other protected cells and the assets of the general account of the sponsored captive insurer.
(Added to NRS by 2005, 2148)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.155 - Applicability of chapter 696B of NRS to sponsored captive insurer.

The provisions of chapter 696B of NRS apply to a sponsored captive insurer if:
1. The assets of a protected cell are not used to pay any expense or claim other than those that are attributable to the protected cell; and
2. The capital and surplus of the sponsored captive insurer are available at all times to pay any expenses of or claims against the sponsored captive insurer.
(Added to NRS by 2005, 2150)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.160 - Applicability of other provisions.

1. The terms and conditions set forth in chapter 696B of NRS pertaining to insurance reorganization, receiverships and injunctions apply to captive insurers incorporated pursuant to this chapter.
2. The provisions of NRS 679B.285 pertaining to the confidentiality and disclosure of certain records and information relating to an insurer apply to such records and information relating to a captive insurer incorporated pursuant to this chapter.
3. An agency captive insurer, a rental captive insurer and an association captive insurer are subject to those provisions of chapter 686A of NRS which are applicable to insurers.
4. A state-chartered risk retention group is subject to the following:
(a) The provisions of NRS 681A.250 to 681A.580, inclusive, regarding intermediaries;
(b) The provisions of NRS 681B.550 regarding risk-based capital;
(c) The provisions of chapter 683A of NRS regarding managing general agents;
(d) The provisions of chapter 686A of NRS which are applicable to insurers; and
(e) The provisions of NRS 693A.110 and any regulations adopted pursuant thereto regarding management and agency contracts of insurers.
(Added to NRS by 1999, 3217; A 2017, 73; 2019, 1709; 2023, 2640)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.200 - Authorization to apply for license in certain circumstances; license required to transact insurance; penalty.

1. A captive insurer, when authorized by its articles of association, articles of incorporation or charter, may apply to the Commissioner for a license to transact insurance.
2. A captive insurer shall not transact insurance in this State unless the captive insurer first obtains a license from the Commissioner.
3. A person who violates this section is subject to the provisions of, and shall be punished pursuant to, the Unauthorized Insurers Act set forth in NRS 685B.020 to 685B.087, inclusive.
(Added to NRS by 1999, 3208)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.210 - Application: Requirement; contents.

A captive insurer must apply to the Commissioner for a license. The application must include:
1. A certified copy of the charter and bylaws of the captive insurer;
2. A pro forma financial statement for the captive insurer that has been prepared by a certified public accountant or an actuary authorized by the Division to conduct business in this State;
3. Any other statements or documents that the Commissioner requires to be filed with the application;
4. Evidence of:
(a) The amount and liquidity of its assets relative to the risks to be assumed by the captive insurer;
(b) The expertise, experience and character of the persons who will manage the captive insurer;
(c) The overall soundness of the plan of operation of the captive insurer; and
(d) The adequacy of the programs of the captive insurer providing for loss prevention by its parent or member organizations, as applicable; and
5. Such other information deemed to be relevant by the Commissioner in ascertaining whether the proposed captive insurer will be able to meet its policy obligations.
(Added to NRS by 1999, 3210; A 2011, 3393)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.215 - Application: Sponsored captive insurer required to file certain information with Commissioner.

In addition to the information required pursuant to NRS 694C.210, each sponsored captive insurer shall file with the Commissioner:
1. Information demonstrating the manner in which the applicant will account for the loss and expense experience of each protected cell, at a level of detail deemed sufficient by the Commissioner, and the method of reporting such information;
2. A written acknowledgment that all financial records of the sponsored captive insurer, including, but not limited to, records pertaining to any protected cells, must be made available for inspection or examination by the Commissioner or a designee of the Commissioner;
3. All contracts entered into between the sponsored captive insurer and any participant, including, but not limited to, participant contracts; and
4. Evidence satisfactory to the Commissioner indicating that expenses will be allocated to each protected cell in a fair and equitable manner.
(Added to NRS by 2005, 2151)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.220 - Application: Fees; Commissioner authorized to retain professional services relating to examination of applicant; cost of services.

An application by a captive insurer for licensure must include a nonrefundable application fee of $500. The Commissioner may retain legal, financial and examination services from outside the Division to review and make recommendations regarding the qualifying examination of the applicant. The cost of those services must be paid by the applicant. The provisions of NRS 679B.230 to 679B.287, inclusive, apply to examinations, investigations and processing conducted pursuant to this section.
(Added to NRS by 1999, 3210)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.230 - Issuance of license; annual renewal; fees.

1. If the Commissioner determines that the documents and statements filed by the captive insurer satisfy the requirements for licensure, the Commissioner shall issue a license to the captive insurer. The license may be renewed annually upon the satisfaction of all requirements imposed by the Commissioner and payment of all applicable renewal fees.
2. A captive insurer must pay a fee of $300 for the issuance of a license and, on or before March 1 of each year, an annual fee of $300 and, in addition to any other fee or charge, all applicable fees required pursuant to NRS 680C.110 for the renewal of a license.
(Added to NRS by 1999, 3210; A 2005, 2153; 2009, 1814)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.240 - Insurer required to include business plan with application for issuance and renewal of license; updates to business plan.

A captive insurer shall include its business plan with its application for the issuance and renewal of a license. If the captive insurer makes any changes to the business plan, the captive insurer shall, as soon as practicable, file a copy of the updated business plan with the Commissioner.
(Added to NRS by 1999, 3210)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.250 - Capital or surplus required: Amount; form; Commissioner authorized to prescribe additional requirements; letter of credit; use of surplus note.

1. A captive insurer must not be issued a license, and shall not hold a license, unless the captive insurer has and maintains, in addition to any other capital or surplus required to be maintained pursuant to subsection 3, unimpaired paid-in capital and unencumbered surplus of:
(a) For a pure captive insurer, not less than $200,000;
(b) For an association captive insurer, not less than $500,000;
(c) For an agency captive insurer, not less than $600,000;
(d) For a rental captive insurer, not less than $800,000;
(e) For a sponsored captive insurer, not less than $500,000; and
(f) For a state-chartered risk retention group, not less than $500,000.
2. Except as otherwise provided by the Commissioner pursuant to subsection 3, the capital and surplus required to be maintained pursuant to this section must be in the form of cash or an irrevocable letter of credit.
3. The Commissioner may prescribe additional requirements relating to capital or surplus based on the type, volume and nature of the insurance business that is transacted by the captive insurer and requirements regarding which capital and surplus, if any, may be in the form of an irrevocable letter of credit.
4. A letter of credit used by a captive insurer as evidence of capital and surplus required pursuant to this section must:
(a) Be issued by a bank chartered by this State or a bank that is a member of the United States Federal Reserve System and has been approved by the Commissioner; and
(b) Include a provision pursuant to which the letter of credit is automatically renewable each year, unless the issuer gives written notice to the Commissioner and the captive insurer at least 90 days before the expiration date.
5. A surplus note used by a captive insurer as evidence of capital and surplus required pursuant to this section must:
(a) Be subject to strict control by the Commissioner and have been approved by the Commissioner as to form and content.
(b) Be subordinate to:
(1) Policyholders;
(2) Claims by claimants and beneficiaries under policies; and
(3) All other classes of creditors pursuant to paragraph (k) of subsection 1 of NRS 696B.420.
(c) Require prior approval of the Commissioner for any:
(1) Payment of interest; and
(2) Repayment of principal.
(d) Be accompanied by proceeds which are received by the captive insurer in the form of:
(1) Cash; or
(2) Other assets that:
(I) Are acceptable to the Commissioner;
(II) Have values that are readily determined; and
(III) Have liquidity that is satisfactory to the Commissioner.
(e) Be accounted for in such a manner that interest shall not be recorded as a liability or an expense until approval for payment of such interest has been granted by the Commissioner.
(Added to NRS by 1999, 3211; A 2005, 2153; 2007, 3328; 2019, 1711)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.270 - Suspension or revocation of license: Grounds; hearings.

1. The Commissioner may suspend or revoke the license of a captive insurer if, after a hearing, the Commissioner determines that:
(a) The captive insurer:
(1) Is insolvent or has impaired its required capital or surplus;
(2) Has failed to meet a requirement of NRS 694C.250, 694C.320 or 694C.330;
(3) Has refused or failed to submit an annual report, as required by NRS 694C.400, or any other report or statement required by law or by order of the Commissioner;
(4) Has failed to comply with the provisions of its charter or bylaws;
(5) Has failed to submit to an examination required pursuant to NRS 694C.410;
(6) Has refused or failed to pay the cost of an examination required pursuant to NRS 694C.410;
(7) Has used any method in transacting insurance pursuant to this chapter which is detrimental to the operation of the captive insurer or would make its condition unsound with respect to its policyholders or the general public; or
(8) Has failed to pay taxes on premiums as required by NRS 694C.450 or otherwise to comply with the laws of this State; and
(b) The suspension or revocation of the license of the captive insurer is in the best interest of its policyholders or the general public.
2. The provisions of NRS 679B.310 to 679B.370, inclusive, apply to hearings conducted pursuant to this section.
(Added to NRS by 1999, 3214; A 2007, 3329; 2019, 1712)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.300 - Authorized and prohibited types of insurance.

1. Except as otherwise provided in this section, a captive insurer licensed pursuant to this chapter may transact any form of insurance described in NRS 681A.020 to 681A.080, inclusive.
2. A captive insurer licensed pursuant to this chapter:
(a) Shall not directly provide personal motor vehicle or homeowners’ insurance coverage, or any component thereof.
(b) Shall not accept or cede reinsurance, except as otherwise provided in NRS 694C.350.
(c) May provide excess workers’ compensation insurance to its parent and affiliated companies, unless otherwise prohibited by the laws of the state in which the insurance is transacted.
(d) May reinsure workers’ compensation insurance provided pursuant to a program of self-funded insurance of its parent and affiliated companies if:
(1) The parent or affiliated company which is providing the self-funded insurance is certified as a self-insured employer by the Commissioner, if the insurance is being transacted in this State; or
(2) The program of self-funded insurance is otherwise qualified pursuant to, or in compliance with, the laws of the state in which the insurance is transacted.
3. A pure captive insurer shall not insure any risks other than those of its parent and affiliated companies or controlled unaffiliated businesses.
4. An association captive insurer shall not insure any risks other than those of the member organizations of its association and the affiliated companies of the member organizations.
5. A state-chartered risk retention group shall not insure any risks other than those of the members of its association.
6. An agency captive insurer shall not insure any risks other than those of the policies that are placed by or through the insurance agency or brokerage that owns the captive insurer.
7. A rental captive insurer shall not insure any risks other than those of the policyholders or associations that have entered into agreements with the rental captive insurer for the insurance of those risks. Such agreements must be in a form which has been approved by the Commissioner.
8. A sponsored captive insurer shall not insure any risks other than those of its participants.
9. As used in this section, "excess workers’ compensation insurance" means insurance in excess of the specified per-incident or aggregate limit, if any, established by:
(a) The Commissioner, if the insurance is being transacted in this State; or
(b) The chief regulatory officer for insurance in the state in which the insurance is being transacted.
(Added to NRS by 1999, 3208; A 2005, 2154; 2019, 1712)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.310 - Meetings of board of directors; additional requirements to transact insurance; review by Commissioner of qualifications of manager.

1. The board of directors of a captive insurer shall meet at least once each year in this State. The captive insurer shall:
(a) Maintain its principal place of business in this State; and
(b) Appoint a resident of this State as a registered agent to accept service of process and otherwise act on behalf of the captive insurer in this State. If the registered agent cannot be located with reasonable diligence for the purpose of serving a notice or demand on the captive insurer, the notice or demand may be served on the Secretary of State who shall be deemed to be the agent for the captive insurer.
2. A captive insurer shall not transact insurance in this State unless:
(a) The captive insurer has made adequate arrangements with:
(1) A state-chartered bank, a state-chartered credit union or a thrift company licensed pursuant to chapter 677 of NRS that is located in this State; or
(2) A federally chartered bank or federally chartered credit union that has a branch which is located in this State,
that is authorized pursuant to state or federal law to transfer money.
(b) If the captive insurer employs or has entered into a contract with a natural person or business organization to manage the affairs of the captive insurer, the natural person or business organization meets the standards described in paragraph (b) of subsection 4 of NRS 694C.210 to the satisfaction of the Commissioner.
(c) The captive insurer employs or has entered into a contract with a qualified and experienced certified public accountant who is approved by the Commissioner or a firm of certified public accountants that is nationally recognized.
(d) The captive insurer employs or has entered into a contract with qualified, experienced actuaries who are approved by the Commissioner to perform reviews and evaluations of the operations of the captive insurer.
(e) The captive insurer employs or has entered into a contract with an attorney who is licensed to practice law in this State and who meets the standards of competence and experience in matters concerning the regulation of insurance in this State established by the Commissioner by regulation.
3. The Commissioner may periodically review the qualifications of a natural person or business organization described in paragraph (b) of subsection 2 and, if appropriate:
(a) Disqualify the manager pursuant to the authority of the Commissioner under NRS 679B.125; or
(b) Suspend or revoke the license of the captive insurer pursuant to NRS 694C.270.
(Added to NRS by 1999, 3209; A 2005, 2155; 2019, 1713; 2021, 2992)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.320 - Plan for payment of dividends; regulations.

The Commissioner may approve an ongoing plan for the payment of dividends or other distributions by a captive insurer if, at the time of each payment or distribution, the retention of capital by the captive insurer is in excess of the amounts required by the Commissioner. The Commissioner shall adopt by regulation:
1. A specific amount that a captive insurer must have in excess capital for the approval of an ongoing plan for the payment of dividends or other distributions; or
2. A formula pursuant to which the specific amount of required excess capital may be calculated.
(Added to NRS by 1999, 3211)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.330 - Payment of dividends and extraordinary dividends.

1. Except as otherwise provided in this section, a captive insurer shall pay dividends out of, or make any other distributions from, its capital or surplus, or both, in accordance with the provisions set forth in NRS 692C.370, 693A.140, 693A.150 and 693A.160.
2. A captive insurer other than a state-chartered risk retention group shall not pay extraordinary dividends out of, or make any other extraordinary distribution with respect to, its capital or surplus, or both, in violation of this section unless the captive insurer has obtained the prior approval of the Commissioner to make such a payment or distribution. As used in this subsection, "extraordinary dividend" and "extraordinary distribution" mean any dividend or distribution of cash or other property, the fair market value of which, together with that of other dividends or distributions within the preceding 12 months, exceeds the greater of:
(a) Ten percent of the surplus of the captive insurer as of December 31 next preceding the date of the dividend or distribution; or
(b) The net income of the captive insurer for the 12-month period ending December 31 next preceding the date of the dividend or distribution.
3. A state-chartered risk retention group shall not pay any dividend or distribution without prior approval of the Commissioner.
(Added to NRS by 1999, 3212; A 2011, 3393; 2019, 1714)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.340 - Compliance with requirements relating to investments; loan to parent or affiliated company by pure captive insurer in certain circumstances.

1. Except as otherwise provided in this section and NRS 694C.382, an association captive insurer, an agency captive insurer, a rental captive insurer, a sponsored captive insurer or a state-chartered risk retention group shall comply with the requirements relating to investments set forth in chapter 682A of NRS. Upon the request of the association captive insurer, agency captive insurer, rental captive insurer, sponsored captive insurer or state-chartered risk retention group, the Commissioner may approve the use of reliable, alternative methods of valuation and rating.
2. A pure captive insurer is not subject to any restrictions on allowable investments, except that the Commissioner may prohibit or limit any investment that threatens the solvency or liquidity of the pure captive insurer.
3. A pure captive insurer may make a loan to its parent or affiliated company if the loan:
(a) Is first approved in writing by the Commissioner;
(b) Is evidenced by a note that is in a form that is approved by the Commissioner; and
(c) Does not include any money that has been set aside as capital or surplus as required by subsection 1 of NRS 694C.250.
(Added to NRS by 1999, 3214; A 2005, 2156; 2007, 3329; 2019, 1714)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.350 - Reinsurance; credit for reserves on risks or portions of risks in certain circumstances; plan for workers’ compensation deemed reinsurance in certain circumstances.

1. A captive insurer may provide reinsurance on risks ceded by any other insurer.
2. A captive insurer may take credit for reserves on risks or portions of risks ceded to a reinsurer that is in compliance with NRS 681A.140 to 681A.240, inclusive. A captive insurer shall not take credit for reserves on risks or portions of risks ceded to a reinsurer if the reinsurer is not in compliance with NRS 681A.140 to 681A.240, inclusive.
3. The Commissioner may authorize a captive insurer to take credit for reserves on risks or portions of risks ceded to a pool, an exchange or an association acting as a reinsurer. The Commissioner may require such documents, financial information or other evidence as the Commissioner determines necessary to show that the pool, exchange or association will be able to provide adequate security for its financial obligations. The Commissioner may deny authorization or impose any limitations on the activities of a reinsurance pool, exchange or association that, in the judgment of the Commissioner, are necessary and proper to provide adequate security for the ceding captive insurer and for the protection and benefit of the general public.
4. For the purposes of this chapter, insurance provided by a captive insurer of any plan for workers’ compensation of its parent and affiliated companies which is certified or otherwise qualified in the state in which the insurance is provided as a self-insurance plan shall be deemed to be reinsurance.
(Added to NRS by 1999, 3215)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.360 - Use of insurance of captive insurer to satisfy requirements relating to insurance on vehicles subject to Nevada Transportation Authority or Taxicab Authority prohibited; exception.

Insurance provided by a captive insurer in accordance with this chapter may not be used to satisfy the requirements set forth in chapter 706 of NRS relating to the insurance required to be maintained by vehicles subject to the jurisdiction of the Nevada Transportation Authority or Taxicab Authority, unless the Nevada Transportation Authority or Taxicab Authority, as appropriate, specifically approves the use of insurance provided by a captive insurer for that purpose.
(Added to NRS by 1999, 3215)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.380 - Insurer prohibited from joining or contributing to or receiving benefit for claims from assigned risk pool or insurance insolvency guaranty fund.

A captive insurer shall not join or contribute financially to an assigned risk pool or insurance insolvency guaranty fund in this state. A captive insurer or its insured, its parent or an affiliated company, or any member organization of its association shall not receive any benefit from such a pool or fund for claims arising out of the operations of the captive insurer.
(Added to NRS by 1999, 3215; A 2017, 73)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.382 - Combining assets for investment.

Notwithstanding the provisions of this chapter, the assets of two or more protected cells may be combined for the purpose of investment, and such combination must not be construed as defeating the separation of the assets for accounting or other purposes. Sponsored captive insurers shall comply with the investment requirements set forth in NRS 694C.340, if applicable, except to the extent that credit for reinsurance ceded to reinsurers is allowed pursuant to NRS 694C.350 or to the extent otherwise deemed reasonable and appropriate by the Commissioner. Notwithstanding the provisions of this chapter, the Commissioner may approve the use of alternative reliable methods of valuation and rating.
(Added to NRS by 2005, 2150)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.384 - Security for branch operations.

1. As security for the payment of liabilities attributable to the branch operations of a branch captive insurer, the Commissioner shall require that a trust fund, funded by an irrevocable letter of credit or other acceptable asset, be established and maintained in the United States for the benefit of United States policyholders and ceding United States insurers under insurance policies or reinsurance contracts issued or assumed by the branch captive insurer through its branch operations.
2. The amount of the security must be not less than the total amount required by NRS 694C.250, and any reserves on such insurance policies or reinsurance contracts, including reserves for losses, allocated loss adjustment expenses, incurred but not reported losses and unearned premiums with regard to business written through the branch operations. The Commissioner may authorize a branch captive insurer that is required to post security for loss reserves on branch business by its reinsurer to reduce the funds in the trust account required by this section by that same amount as long as the security remains posted with the reinsurer.
3. If the form of the security is a letter of credit, the letter of credit must be established, issued or confirmed by a bank chartered in this State or a bank that is a member of the Federal Reserve System.
(Added to NRS by 2005, 2150; A 2007, 3330)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.386 - Alien captive insurer: Issuance of certificate related to branch operations; registration.

An alien captive insurer licensed as a branch captive insurer shall petition the Commissioner to issue a certificate setting forth the finding of the Commissioner that, after considering the character, reputation, financial responsibility, insurance experience and business qualifications of the officers and directors of the alien captive insurer, the licensing and maintenance of the branch operations will promote the general welfare of the State. The alien captive insurer may register to do business in this State after the certificate is issued by the Commissioner.
(Added to NRS by 2005, 2150)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.388 - Alien captive insurer: Reports and statements.

Before June 30 of each year or, if approved by the Commissioner, not more than 60 days after the expiration of the fiscal year of the branch captive insurer, the branch captive insurer shall file with the Commissioner a copy of all reports and statements required to be filed under the laws of the jurisdiction in which the alien captive insurer is domiciled. The reports and statements must be verified by oath of two of the executive officers of the alien captive insurer. If the Commissioner is satisfied that the annual report filed by the alien captive insurer in the jurisdiction in which it is domiciled provides adequate information concerning the financial condition of the alien captive insurer, the Commissioner may waive the requirement for completion of the captive annual statement for business written in the alien jurisdiction.
(Added to NRS by 2005, 2150; A 2023, 2642)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.390 - State-chartered risk retention group: Required filings.

1. In addition to the information required pursuant to NRS 694C.210, a state-chartered risk retention group must submit to the Commissioner in summary form:
(a) The identities of:
(1) All members of the group;
(2) All organizers of the group;
(3) Those persons who will provide administrative services to the group; and
(4) Any person who will influence or control the activities of the group;
(b) The amount and nature of initial capitalization of the group;
(c) The coverages to be offered by the group; and
(d) Each state in which the group intends to operate.
2. Before it may transact insurance in any state, the state-chartered risk retention group must submit to the Commissioner, for approval by the Commissioner, a plan of operation. The risk retention group shall submit an appropriate revision in the event of any subsequent material change in any item of the plan of operation within 10 days after the change. The group shall not offer any additional kinds of liability insurance, in this State or in any other state, until a revision of the plan is approved by the Commissioner.
3. A state-chartered risk retention group chartered in this State must file with the Commissioner on or before March 1 of each year a statement containing information concerning the immediately preceding year which must:
(a) Be submitted in a form prescribed by the National Association of Insurance Commissioners;
(b) Be prepared in accordance with the
Annual Statement Instructions
for the type of insurer to be reported on as adopted by the National Association of Insurance Commissioners for the year in which the insurer files the statement;
(c) Utilize accounting principles in a manner that remains consistent among financial statements submitted each year and that are substantively identical to:
(1) Generally accepted accounting principles, including any useful or necessary modifications or adaptations thereof that have been 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; or
(2) Statutory accounting principles, as described in the
Accounting Practices and Procedures Manual
adopted by the National Association of Insurance Commissioners effective on January 1, 2001, and as amended by the National Association of Insurance Commissioners after that date; and
(d) Be submitted electronically, if required by the Commissioner.
4. The Commissioner shall transmit to the National Association of Insurance Commissioners a copy of:
(a) All information submitted by a state-chartered risk retention group to the Commissioner pursuant to subsections 1 and 3; and
(b) Any revisions to a plan of operation submitted to the Commissioner pursuant to subsection 2.
(Added to NRS by 2015, 3504; A 2019, 1715)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.410 - Examinations: Conducted by Commissioner; frequency; Commissioner authorized to obtain professional services; cost.

1. Except as otherwise provided in this section, at least once every 3 years, and at such other times as the Commissioner determines necessary, the Commissioner, or a designee of the Commissioner, shall visit each captive insurer and thoroughly inspect and examine the affairs of the captive insurer to ascertain:
(a) The financial condition of the captive insurer;
(b) The ability of the captive insurer to fulfill its obligations; and
(c) Whether the captive insurer has complied with the provisions of this chapter and the regulations adopted pursuant thereto.
2. Upon the application of a captive insurer, the Commissioner may conduct the visits required pursuant to subsection 1 every 5 years if the captive insurer conducts comprehensive annual audits:
(a) The scope of which is satisfactory to the Commissioner; and
(b) Which are conducted by an independent auditor appointed by the Commissioner.
3. The provisions of subsections 1 and 2 do not apply to a pure captive insurer. The Commissioner may conduct an examination of a pure captive insurer at any reasonable time to ascertain:
(a) The financial condition of the pure captive insurer;
(b) The ability of the pure captive insurer to fulfill its obligations; and
(c) Whether the pure captive insurer has complied with the provisions of this chapter and the regulations adopted pursuant thereto.
4. The Commissioner may contract to obtain legal, financial and examination services from outside the Division to conduct the examination and make recommendations to the Commissioner. The cost of the examination must be paid to the Commissioner by the captive insurer.
5. The provisions of NRS 679B.230 to 679B.287, inclusive, apply to examinations conducted pursuant to this section.
(Added to NRS by 1999, 3213; A 2011, 3394)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.415 - Examinations: Branch captive insurer; alien captive insurer.

1. The examination of a branch captive insurer pursuant to NRS 694C.410 must be of branch business and branch operations only, so long as the branch captive insurer provides to the Commissioner on an annual basis a certificate of compliance, or equivalent documentation, issued by or filed with the licensing authority of the jurisdiction in which the branch captive insurer is formed, and demonstrates to the satisfaction of the Commissioner that it is operating in a sound financial condition and in accordance with all applicable laws and regulations of that jurisdiction.
2. As a condition of licensure, the alien captive insurer must authorize the Commissioner to examine the affairs of the alien captive insurer in the jurisdiction in which the alien captive insurer is formed.
(Added to NRS by 2005, 2151)
2023 Nevada Revised Statutes › Chapter 694C - Captive Insurers › NRS 694C.460 - Account for the Regulation and Supervision of Captive Insurers: Creation; uses; deposits; transfers to agency for economic development; administrative expenses; transfers to State General Fund; warrants by State Controller on receipts.

1. There is hereby created in the Fund for Insurance Administration and Enforcement created by NRS 680C.100 an Account for the Regulation and Supervision of Captive Insurers. Money in the Account must be used only to carry out the provisions of this chapter or for any other purpose authorized by the Legislature. Except as otherwise provided in NRS 680C.110 and 694C.450, all fees and assessments received by the Commissioner or Division pursuant to this chapter must be credited to the Account. Not more than 2 percent of the tax collected and deposited in the Account pursuant to NRS 694C.450, may, upon application by the Division or an agency for economic development to, and with the approval of, the Interim Finance Committee, be transferred to an agency for economic development to be used by that agency to promote the industry of captive insurance in this State.
2. Except as otherwise provided in this section, all payments from the Account for the maintenance of staff and associated expenses, including contractual services, as necessary, must be disbursed from the State Treasury only upon warrants issued by the State Controller, after receipt of proper documentation of the services rendered and expenses incurred.
3. At the end of each fiscal year, that portion of the balance in the Account which exceeds $500,000 must be transferred to the State General Fund.
4. The State Controller may anticipate receipts to the Account and issue warrants based thereon.
(Added to NRS by 1999, 3217; A 2005, 2158; 2009, 1814; 2010, 26th Special Session, 25; 2011, 982)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.001 - Definitions.

As used in this chapter, unless the context otherwise requires, the words and terms defined in NRS 695A.003 to 695A.044, inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1991, 221; A 1995, 2432)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.010 - "Fraternal benefit society" defined.

"Fraternal benefit society" means any incorporated society, order or supreme lodge, without capital stock, including one exempted under the provisions of paragraph (b) of subsection 1 of NRS 695A.570 whether incorporated or not, which:
1. Is conducted solely for the benefit of its members and their beneficiaries and not for profit;
2. Operates on a lodge system with ritualistic form of work;
3. Has a representative form of government; and
4. Provides benefits in accordance with this chapter.
(Added to NRS by 1971, 1835; A 1991, 222)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.020 - "Lodge system" defined.

"Lodge system" means the system under which a society is operating if:
1. The society has a supreme governing body and subordinate lodges into which members are elected, initiated or admitted in accordance with its laws, ritual and rules; and
2. The subordinate lodges are required by the laws of the society to hold regular meetings at least once in each month.
(Added to NRS by 1971, 1835; A 1991, 223)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.023 - "Medicaid" defined.

"Medicaid" means a program established in any state pursuant to Title XIX of the Social Security Act (42 U.S.C. §§ 1396 et seq.) to provide assistance for part or all of the cost of medical care rendered on behalf of indigent persons.
(Added to NRS by 1995, 2431)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.027 - "Order for medical coverage" defined.

"Order for medical coverage" means an order of a court or administrative tribunal to provide coverage under a certificate for health benefits to a child pursuant to the provisions of 42 U.S.C. § 1396g-1.
(Added to NRS by 1995, 2431)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.040 - "Representative form of government" defined.

"Representative form of government" means that form of government which a society has when:
1. It has a supreme governing body which is:
(a) An assembly composed of delegates elected either directly by the members of the society or at intermediate assemblies or conventions of members or their representatives, and such other delegates as prescribed in the laws of the society; or
(b) A board composed of persons elected by the members of the society, either directly or by their representatives in intermediate assemblies, and such other persons as prescribed in the laws of the society.
2. If its supreme governing body is an assembly:
(a) The elected delegates constitute a majority in number, have a majority of the votes and have not less than the number of votes necessary to amend the laws of the society;
(b) The election of delegates is done in person or by mail, as prescribed in the laws of the society;
(c) The assembly is elected and meets not less than once every 4 years;
(d) A board of directors is elected by the assembly to conduct the business of the society in the interim between meetings of the assembly; and
(e) Vacancies on the board of directors are filled in the manner prescribed in the laws of the society.
3. If its supreme governing body is a board:
(a) The persons elected to the board constitute a majority in number, have a majority of the votes and have not less than the number of votes necessary to amend the laws of the society;
(b) The election of the members of the board is done in person or by mail, as prescribed in the laws of the society;
(c) The term of any member of the board does not exceed 4 years;
(d) The board meets not less than quarterly to conduct the business of the society;
(e) Vacancies on the board are filled in the manner prescribed in the laws of the society; and
(f) A person filling the unexpired term of an elected member of the board is considered to be an elected member.
4. The officers of the society are elected either by the supreme governing body or by the board of directors.
5. Only benefit members are eligible for election to the supreme governing body, the board of directors or any intermediate assembly.
6. Each member who is entitled to vote has only one vote, and votes are not cast by proxy.
(Added to NRS by 1971, 1836; A 1991, 223)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.050 - Organization: Preparation and contents of articles of incorporation.

Ten or more citizens of the United States, a majority of whom are citizens of this state, who desire to form a fraternal benefit society, may make, sign and acknowledge before some person competent to take acknowledgment of deeds, articles of incorporation, in which must be stated:
1. The proposed corporate name of the society, which must not so closely resemble the name of any society or insurer as to be misleading or confusing;
2. The purposes for which it is being formed, which must not include more liberal powers than are granted by this chapter;
3. The mode in which its corporate powers are to be exercised; and
4. The names and residences of the incorporators and the names, residences and official titles of all the officers, trustees, directors or other persons who are to have and exercise the general control of the management of the affairs and money of the society for the first year or until the ensuing election at which all officers must be elected by the supreme governing body, which election must be held not later than 1 year after the date of the issuance of the permanent certificate of authority.
(Added to NRS by 1971, 1836; A 1991, 224)
2023 Nevada Revised Statutes › Chapter 695A - Fraternal Benefit Societies › NRS 695A.060 - Organization: Filing of documents and bond with Commissioner; preliminary certificate of authority.

1. Duly certified copies of the laws and rules of the society, copies of all proposed forms of certificates, applications therefor, circulars to be issued by the society and a bond conditioned upon the return to applicants of the advanced payments if the organization is not completed within 1 year must be filed with the Commissioner, who may require such further information as the Commissioner deems necessary. The bond must comply with NRS 679B.175 and be in an amount determined by the Commissioner, which must be not less than $300,000 nor more than $1,500,000. All documents filed must be in the English language. If the purposes of the society conform to the requirements of this chapter and all applicable provisions of the law of this state have been complied with, the Commissioner shall so certify, retain and file the articles of incorporation and furnish the incorporators a preliminary certificate of authority for the society to solicit members as provided in this chapter.
2. No preliminary certificate of authority granted under the provisions of this section is valid after 1 year from its date or after such further period, not exceeding 1 year, as may be authorized by the Commissioner upon cause shown, unless 500 applicants have been secured and the organization has been completed as provided in this chapter. The articles of incorporation and all proceedings thereunder are void 1 year after the date of the preliminary certificate of authority, or at the expiration of the extended period, unless the society has completed its organization and received a certificate of authority to do business.
(Added to NRS by 1971, 1837; A 1991, 225; 2021, 2993)