2023 New York Laws › ISC - Insurance › Article 70 - Captive Insurance Companies › 7002 - Definitions.

§ 7002. Definitions. In this article: (a) "Affiliated companies" means
companies  in  the  same  corporate  system  as an industrial insured by
virtue of common ownership, control, operation, or management. Such term
shall also include  any  statutory  subsidiary,  affiliate,  contractor,
subcontractor  and consultant of any tier of a city with a population of
one million  or  more  for  liability  related  to  or  arising  out  of
activities  in  or  near  the World Trade Center site in response to the
attacks of September eleventh, two thousand one.
(b)  "Captive  insurance  business"  means  the  business   authorized
pursuant  to  subsection  (a)  of  section  seven thousand three of this
article.
(c) "Captive insurance  company"  means  any  pure  captive  insurance
company  or any group captive insurance company licensed to do a captive
insurance business under the provisions of this article.
(d) "Captive manager" means any person or firm contracted by a captive
insurance company to manage its affairs.
(e) "Industrial insured" means an insured:
(1) whose net worth exceeds one hundred million dollars;
(2) who is a member of  a  holding  company  system  whose  net  worth
exceeds one hundred million dollars;
(3) who is the metropolitan transportation authority and its statutory
subsidiaries.  When  filing  an  application  to  form  a  pure  captive
insurance company the metropolitan transportation authority shall submit
written notice of such filing to the governor, the  temporary  president
of the senate and the speaker of the assembly;
(4)  who  is  the  power  authority  of  the state of New York and any
statutory subsidiary thereof. When filing an application to form a  pure
captive  insurance  company  the  power  authority  shall submit written
notice of such filing to the governor, the temporary  president  of  the
senate and the speaker of the assembly; or
(5)  who  is  a  city  with  a population of one million or more. When
filing an application to form a pure captive insurance company,  a  city
with  a population of one million or more shall submit written notice of
such filing to the governor, the temporary president of the  senate  and
the speaker of the assembly.
(f)  "Group  captive  insurance  company" means any domestic insurance
company licensed under the provisions of this article  for  the  primary
purpose  of providing insurance or reinsurance covering the risks of the
industrial insureds that comprise the industrial insured group.
(g)  "Industrial  insured  group"  means  any  group  of  unaffiliated
industrial insureds that are engaged in similar or related businesses or
activities,  however,  the  metropolitan  transportation  authority, the
power authority of the state of New York and  any  statutory  subsidiary
thereof and cities with a population of one million or more shall not be
a member of an industrial insured group, and that collectively:
(1)  own,  control  or  hold with power to vote all of the outstanding
voting shares of stock of a group captive insurance company incorporated
as a stock insurer; or
(2) represent one hundred percent of the voting  members  of  a  group
captive insurance company organized as a mutual insurer.
(h) "Pure captive insurance company" means any company that:
(1)  is  a  subsidiary  of  an industrial insured which is one hundred
percent owned by or is a statutory subsidiary of the industrial insured;
and
(2) is licensed under the provisions of this article for  the  primary
purpose  of providing insurance or reinsurance covering the risks of its
parent and affiliated companies.