reglab/statecodes huggingface dataset:
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5 - Authorization of Insurers and General Requirements › Section 59A-5-30 - Penalties for late, false annual statements.

A. Any insurer failing, without just cause reasonably beyond control of the insurer, to file its annual statement as required in Section 59A-5-29 NMSA 1978 shall be required to pay a penalty of one hundred dollars ($100) for each day's delay, but not to exceed five thousand dollars ($5,000) in aggregate amount. This penalty may be in addition to any refusal to continue, or suspension or revocation of, the insurer's certificate of authority for such failure.
B. Any director, officer, agent or employee of any insurer who subscribes to, makes or concurs in making or publishing any annual or other statement of the insurer required by law, knowing the same to contain any material statement that is false, shall upon conviction thereof be guilty of a misdemeanor and upon conviction shall be sentenced to a fine of not more than one thousand dollars ($1,000), unless by its extent and nature the offense is punishable under other statutes as a felony.
History:
Laws 1984, ch. 127, § 97; 2017, ch. 130, § 4.
ANNOTATIONS
The 2017 amendment,
effective July 1, 2017, removed the requirement that a civil action be brought by the New Mexico attorney general in order for the superintendent of insurance to collect penalties for late or false annual statements; in Subsection A, after "Section", changed "96 of this article" to "59A-5-29 NMSA 1978", and after "in aggregate amount", deleted "to be recovered in a civil action brought against the insurer in the name of the State of New Mexico by the attorney general.", and deleted "Such", and added "This".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5 - Authorization of Insurers and General Requirements › Section 59A-5-31 - Appointment of superintendent as process agent.

A. Before the superintendent authorizes it to transact insurance in this state, each insurer shall appoint the superintendent and [his] successors in office as its attorney to receive service of legal process issued against the insurer in this state. The appointment shall be on form as designated and furnished by the superintendent, accompanied by copy of resolution of the board of directors or like governing body of the insurer, or other appropriate instrument acceptable to the superintendent, showing that those who executed the appointment were duly authorized to do so on behalf of the insurer.
B. The appointment shall be irrevocable, shall bind the insurer and any successor in interest to the assets or liabilities of the insurer, and shall remain in effect as long as there exists any contract of the insurer in this state or any obligation of the insurer arising out of its transactions in this state.
C. The insurer shall file the appointment with the superintendent as part of its application for certificate of authority, together with a designation of the person to whom the superintendent shall forward process against the insurer served upon the superintendent. The insurer may change such designation by a new filing.
History:
Laws 1984, ch. 127, § 98.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5A - Risk-Based Capital › Section 59A-5A-1 - Short title.

Chapter 59A, Article 5A NMSA 1978 may be cited as the "Risk-Based Capital Act".
History:
1978 Comp., § 59A-5A-1, enacted by Laws 1995, ch. 149, § 1.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5A - Risk-Based Capital › Section 59A-5A-10 - Supplemental provisions; rules; exemption.

A. The provisions of the Risk-Based Capital Act are supplemental to any other provisions of law, and shall not supersede, preclude the exercise of or limit any other powers or duties of the superintendent under such laws, including but not limited to Chapter 59A, Article 41 NMSA 1978.
B. The superintendent may adopt reasonable rules and regulations for the implementation of the Risk-Based Capital Act.
C. The superintendent may exempt from the application of the Risk-Based Capital Act any domestic insurer which:
(1) writes direct business only in this state;
(2) writes direct annual premiums of two million dollars ($2,000,000) or less; and
(3) assumes no reinsurance in excess of five percent of direct premium written.
History:
1978 Comp., § 59A-5A-10, enacted by Laws 1995, ch. 149, § 10.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5A - Risk-Based Capital › Section 59A-5A-12 - Immunity.

There shall be no civil liability on the part of, and no civil cause of action shall arise against the superintendent, the insurance department or its employees or agents for any action taken by them in the performance of their powers and duties under the Risk-Based Capital Act.
History:
1978 Comp., § 59A-5A-12, enacted by Laws 1995, ch. 149, § 12.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 5A - Risk-Based Capital › Section 59A-5A-13 - Notices.

The superintendent's notices to an insurer or health organization pursuant to the Risk-Based Capital Act shall be effective upon mailing by certified mail or, in the case of any other mode of transmission, shall be effective upon the insurer's or health organization's receipt.
History:
1978 Comp., § 59A-5A-13, enacted by Laws 1995, ch. 149, § 13; 2014, ch. 59, § 11.
ANNOTATIONS
The 2014 amendment,
effective July 1, 2014, subjected health organizations to the Risk-Based Capital Act; after "notices to an insurer", added "or health organization", and after "upon the insurer's", added "or health organization's".
Severability.
— Laws 2014, ch. 59, § 12 provided that if any part or application of the provisions of the Risk-Based Capital Act is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-1.1 - Surcharge imposed; appropriation.

A three-dollar ($3.00) surcharge shall be assessed for the period beginning March 1, 1996 and ending June 30, 2009 on the annual continuation of appointment fees imposed in Subsections E, F, N, S, W and X of Section 59A-6-1 NMSA 1978. The surcharge collected shall be distributed monthly to the New Mexico finance authority to be pledged irrevocably for the payment of principal, interest and any other expenses or obligations related to the bonds issued by the authority to finance information and communication equipment, including computer hardware and software, for the insurance division.
History:
1978 Comp., § 59A-6-1.1, enacted by Laws 1996, ch. 6, § 1; 2005, ch. 278, § 1.
ANNOTATIONS
The 2005 amendment,
effective June 17, 2005, changed the ending date of the assessment period from March 1, 2006 to June 30, 2009 and changed the statutory reference from Subsections M, R, V and W to N, S, W, and X.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-1.2 - Property and casualty annual rates and forms filing fees.

The annual filing fee for rates and forms due in advance on July 1 for each company in the following groupings shall be equal to the product produced by multiplying three thousandths by the company's previous calendar year's direct written premium as shown on its annual financial statement, but not to exceed an amount of one thousand five hundred dollars ($1,500) and not to be less than an amount of one hundred dollars ($100):
A. private passenger automobile - liability and physical damage;
B. homeowner's and farm owners';
C. workers' compensation;
D. other casualty, including surety and fidelity; and
E. other property.
History:
Laws 2001, ch. 302, § 2.
ANNOTATIONS
Effective dates.
— Laws 2001, ch. 302, § 3 made Laws 2001, ch. 302, § 2 effective July 1, 2001.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-1.3 - Dishonored checks and other forms of payment; penalty.

When a check or an electronic payment transaction for payment of fees is dishonored or reversed by the payer's financial institution, the payer shall pay to the insurance division a civil penalty in the amount of twenty-five dollars ($25.00). Neither the division nor the fiscal agent of New Mexico is obligated to resubmit the transaction or check for payment. The superintendent shall treat the transaction as though payment has not been made and cancel, suspend, rescind or revoke the transaction for failure to make payment. Any other penalty, reinstatement fee or other cost associated with failure to make the payment shall be in addition to the penalty set forth in this section. In this section, "electronic payment transaction" means credit card payments, electronic fund transfers, automated clearinghouse transactions and other similar forms of payment.
History:
Laws 2007, ch. 282, § 5.
ANNOTATIONS
Effective dates.
— Laws 2007, ch. 282 contained no effective date provision, but, pursuant to N.M. Const., art. IV, § 23, was effective June 15, 2007, 90 days after the adjournment of the legislature.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-2 - Repealed.

History:
Laws 1984, ch. 127, § 102; 1987, ch. 259, § 5; 1988, ch. 74, § 2; 1988, ch. 75, § 1; 1991, ch. 9, § 40; 1993, ch. 320, § 15; 2003, ch. 14, § 18; 2003, ch. 58, § 1; 2004, ch. 122, § 2; 2005, ch. 132, § 1; 2007, ch. 282, § 3; 2014, ch. 59, § 13; repealed by Laws 2018, ch. 57, § 31.
ANNOTATIONS
Repeals.
— Laws 2018, ch. 57, § 31 repealed 59A-6-2 NMSA 1978, as enacted by Laws 1984, ch. 127, § 102, relating to premium tax; health insurance premium surtax, effective January 1, 2020. For provisions of former section,
see
the 2019 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-2.1 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1991, ch. 9, § 45 repealed 59A-6-2.1 NMSA 1978, as enacted by Laws 1988, ch. 77, § 1, relating to supplemental premium tax, effective July 1, 1993. For provisions of former section,
see
the 1990 NMSA 1978 on
NMOneSource.com.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-3 - Insurer must pay tax on withdrawal from state.

Any insurer holding certificate of authority to transact insurance in New Mexico that ceases to do business in the state shall thereupon file with the secretary of taxation and revenue a report of its premiums collected to date of such cessation of business that are subject to the premium tax or the health insurance premium surtax and not theretofore reported, and forthwith pay to the secretary the tax thereon and surrender its certificate of authority to the superintendent. Upon receipt, the secretary shall submit a copy of the report to the superintendent and shall certify that all tax obligations have been satisfied by the withdrawing insurer.
History:
Laws 1984, ch. 127, § 103; 2018, ch. 57, § 14.
ANNOTATIONS
The 2018 amendment,
effective January 1, 2020, moved the collection of insurance premium tax from the office of the superintendent of insurance to the taxation and revenue department, and authorized the secretary of taxation and revenue to also collect the health insurance premium surtax from insurers that cease to do business in the state; and after "shall thereupon file with the", deleted "superintendent" and added "secretary of taxation and revenue", after "premium tax", deleted "as provided by Section 102 of this article" and added "or the health insurance premium surtax", after "forthwith pay to the", deleted "superintendent" and added "secretary", and added the last sentence.
Temporary provisions.
— Laws 2018, ch. 57, § 30 provided that:
A. On January 1, 2020, all personnel directly involved with the audit and collection of the taxes imposed pursuant to the New Mexico Insurance Code prior to the effective date of this act, functions, appropriations, money, records, furniture, equipment and other property of, or attributable to, the financial audit bureau of the office of superintendent of insurance shall be transferred to the taxation and revenue department.
B. On January 1, 2020, no contractual obligations of the office of superintendent of insurance shall be binding on the taxation and revenue department.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-4 - Penalty for failure to pay fees.

Every insurer, nonprofit health care plan, health maintenance organization, prepaid dental plan or prearranged funeral plan transacting business in New Mexico that fails to pay when due any fees as required in Chapter 59A, Article 6 NMSA 1978 may be liable to the state for the amount thereof and for penalty of up to one thousand dollars ($1,000) for each month or part thereof it has failed to pay the fees when due. Services of process in any action against a person to recover the fee or penalty may be made upon the superintendent as attorney for service of process as provided in Section 59A-5-32 NMSA 1978.
History:
Laws 1984, ch. 127, § 104; 1987, ch. 259, § 6; 1988, ch. 76, § 2; 1993, ch. 320, § 16; 2018, ch. 57, § 15.
ANNOTATIONS
The 2018 amendment,
effective January 1, 2020, removed the penalty for failure to file when due any report for taxation or pay the tax owed; in the catchline, after "failure to", deleted "report or", and after "pay", deleted "tax or"; after "New Mexico that fails to", deleted "file when due any report for taxation, regardless of whether tax is due, or to", after "when due any", deleted "tax or", after "as required in", deleted "this" and added "Chapter 59A", after "Article", deleted "shall" and added "6 NMSA 1978 may", after "penalty of", added "up to", after "thereof it has failed to", deleted "file the report or", after "pay the", deleted "tax or", after "fees", deleted "after demand therefor" and added "when due", and after "person to recover the", deleted "tax".
Temporary provisions.
— Laws 2018, ch. 57, § 30 provided that:
A. On January 1, 2020, all personnel directly involved with the audit and collection of the taxes imposed pursuant to the New Mexico Insurance Code prior to the effective date of this act, functions, appropriations, money, records, furniture, equipment and other property of, or attributable to, the financial audit bureau of the office of superintendent of insurance shall be transferred to the taxation and revenue department.
B. On January 1, 2020, no contractual obligations of the office of superintendent of insurance shall be binding on the taxation and revenue department.
The 1993 amendment,
effective June 18, 1993, in the first sentence, inserted "regardless of whether tax is due" and deleted "of New Mexico" following "state".
Am. Jur. 2d, A.L.R. and C.J.S. references. —
44 C.J.S. Insurance §§ 96, 97.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-6 - Preemption and in lieu provision.

The state government of New Mexico preempts the field of taxation of insurers, nonprofit health care plans, health maintenance organizations, prepaid dental plans, prearranged funeral plans and insurance producers as such. The payment of the taxes, licenses and fees provided for in the Insurance Premium Tax Act [7-40-1 to 7-40-10 NMSA 1978] and the Insurance Code shall be in lieu of all other taxes, licenses and fees of every kind now or hereafter imposed by this state or any political subdivision thereof on any of the foregoing specified entities, excepting the regular state, county and city taxes on property located in New Mexico and excepting the income tax on insurance producers. The provisions of this section shall not apply to revenues or receipts that are not directly attributable to persons, entities and activities subject to the provisions of the Insurance Code.
History:
Laws 1984, ch. 127, § 106; 1987, ch. 259, § 7; 1988, ch. 76, § 3; 2016, ch. 89, § 3; 2018, ch. 57, § 17.
ANNOTATIONS
The 2018 amendment,
effective January 1, 2020, included the Insurance Premium Tax Act within the preemption provisions of this section, and clarified that the preemption provisions of this section do not apply to revenues or receipts that are not directly attributable to persons, entities and activities subject to the provisions of the Insurance Code; after "producers as such", deleted "and" and added "The", after "fees provided for in", added "the Insurance Premium Tax Act and", and after "income tax on insurance producers", deleted "No provision of law enacted after January 1, 1985 shall be deemed to modify this provision except by express reference to this section" and added the last sentence.
Temporary provisions.
— Laws 2018, ch. 57, § 30 provided that:
A. On January 1, 2020, all personnel directly involved with the audit and collection of the taxes imposed pursuant to the New Mexico Insurance Code prior to the effective date of this act, functions, appropriations, money, records, furniture, equipment and other property of, or attributable to, the financial audit bureau of the office of superintendent of insurance shall be transferred to the taxation and revenue department.
B. On January 1, 2020, no contractual obligations of the office of superintendent of insurance shall be binding on the taxation and revenue department.
The 2016 amendment,
effective July 1, 2017, after "prearranged funeral plans and insurance", deleted "agents and solicitors" and added "producers", after "on property located in New Mexico", added "and" and after "excepting the income tax on", deleted "not include insurance adjusters" and added "insurance producers".
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-7 - Repealed.

ANNOTATIONS
Repeals.
— Laws 1991, ch. 9, § 45 repealed 59A-6-7 NMSA 1978, as enacted by Laws 1988, ch. 76, § 5, relating to approval by superintendent of refund plans, effective July 1, 1993. For provisions of former section,
see
the 1990 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 6 - Fees and Taxes › Section 59A-6-8 - Superintendent shall provide information to the taxation and revenue department necessary to administer the Insurance Premium Tax Act.

The superintendent shall provide to the taxation and revenue department information regarding an insurer or plan subject to the Insurance Premium Tax Act [7-40-1 to 7-40-10 NMSA 1978] that is necessary to that department to administer the provisions of the Insurance Premium Tax Act.
History:
Laws 2019, ch. 47, § 3.
ANNOTATIONS
Effective dates.
— Laws 2019, ch. 47, § 5 made Laws 2019, ch. 47, § 3 effective January 1, 2020.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-1 - Definitions not mutually exclusive; insuring powers; classification of insurers.

A. It is intended that certain insurance coverages may come within more than one "kind" of insurance as defined in Chapter 59A, Article 7 NMSA 1978, and inclusion of such coverage within one definition shall not exclude it as to any other kind of insurance within the definition of which the coverage is likewise reasonably includable.
B. No insurer shall be authorized to transact any kind or kinds of insurance other than those defined in Chapter 59A, Article 7 NMSA 1978. Insurers shall be classified as to insuring powers according to kind or kinds of insurance for which so authorized.
C. An insurer may apply to engage in insurance activities in one or more of the following lines of insurance:
(1) life and annuities;
(2) accident and health;
(3) property;
(4) casualty; and
(5) variable life and annuity.
History:
Laws 1984, ch. 127, § 107; 2016, ch. 89, § 4.
ANNOTATIONS
The 2016 amendment,
effective July 1, 2017, listed the major lines of insurance in which insurers may apply to engage in business; in Subsection A, after "as defined in", deleted "this article" and added "Chapter 59A, Article 7 NMSA 1978"; in Subsection B, after "those defined in", deleted "this article" and added "Chapter 59A, Article 7 NMSA 1978"; and added new Subsection C.
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance §§ 461 to 467.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-2 - Life and annuity.

Life and annuity includes:
A. fixed annuity;
B. immediate annuity;
C. deferred annuity;
D. equity-indexed annuity;
E. endowment;
F. term life;
G. universal life;
H. whole life;
I. credit life; and
J. similar products relating to life and annuity matters.
History:
Laws 1984, ch. 127, § 108; 1995, ch. 149, § 14; 1978 Comp., § 59A-7-2, repealed and reenacted by Laws 2016, ch. 89, § 5.
ANNOTATIONS
Repeals and reenactments.
— Laws 2016, ch. 89, § 5 repealed former 59A-7-2 NMSA 1978, and enacted a new section, effective July 1, 2017.
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
The 1995 amendment,
effective June 16, 1995, added "as defined in Section 59A-20-2 NMSA 1978" at the end of the first sentence and inserted "health insurance, as defined in Section 59A-7-3 NMSA 1978" in the second sentence.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance §§ 530 to 532.
Accident or life insurance: death by autoerotic asphyxiation as accidental, 62 A.L.R.4th 823.
44 C.J.S. Insurance § 8 et seq.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-3 - Accident and health insurance.

A. Accident and health includes:
(1) accident;
(2) accidental death and dismemberment;
(3) blanket accident and sickness;
(4) credit disability;
(5) critical illness;
(6) dental;
(7) disability income;
(8) home health care;
(9) hospital indemnity;
(10) long-term care;
(11) major medical;
(12) medical expense;
(13) medicare supplement;
(14) prescription drug;
(15) sickness;
(16) specified disease;
(17) vision; and
(18) similar products relating to accident and health matters.
B. An insurer or a health maintenance organization authorized to transact accident and health insurance may write stop-loss liability insurance as listed in Paragraph (51) of Subsection A of Section 59A-7-6 NMSA 1978.
History:
Laws 1984, ch. 127, § 109; Laws 2000, ch. 61, § 1; 1978 Comp., § 59A-7-3, repealed and reenacted by Laws 2016, ch. 89, § 6; 2017, ch. 58, § 1; 2017, ch. 130, § 5.
ANNOTATIONS
Repeals and reenactments.
— Laws 2016, ch. 89, § 6 repealed former 59A-7-3 NMSA 1978, and enacted a new section, effective July 1, 2017.
The 2017 amendment,
effective July 1, 2017, removed excess or stop loss insurance from the list of different accident and health insurance products, and authorized certain insurers to write stop loss liability insurance; added subsection designation "A.", and redesignated former Subsections A through G as Paragraphs A(1) through A(7), respectively; deleted former Subsection H and redesignated former Subsections I through S as Paragraphs A(8) through A(18), respectively; and added a new Subsection B.
Duplicate laws.
— Laws 2017, ch. 58, § 1, and Laws 2017, ch. 130, § 5, both effective July 1, 2017, enacted identical amendments to this section, with the exception of a paragraph designation in Subsection B. Laws 2017, ch. 130, § 5 refers to "Paragraph (51) [formerly Subsection YY] of Section 59A-7-6", while Laws 2017, ch. 58, § 1 refers to "Subsection YY of Section 59A-7-6". Both references are to "stop loss liability". The section was set out as amended by Laws 2017, ch. 130, § 5.
See
Section 12-1-8 NMSA 1978.
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance §§ 547 to 680.
Accident insurance: what is "loss" of body member, 51 A.L.R.4th 156.
Accident or life insurance: death by autoerotic asphyxiation as accidental, 62 A.L.R.4th 823.
What services, equipment, or supplies are "medically necessary" for purposes of coverage under medical insurance, 75 A.L.R.4th 763.
Death or injury from taking illegal drugs or narcotics as accidental or result of accidental means within insurance coverage, 32 A.L.R.5th 629.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-4 - Property.

Property includes:
A. aircraft cargo;
B. aircraft hull;
C. auto commercial physical damage;
D. baggage;
E. builders risk;
F. business owners;
G. cargo;
H. commercial inland marine;
I. commercial multi-peril;
J. commercial property;
K. crop;
L. crop hail;
M. difference in conditions;
N. dwelling;
O. earthquake;
P. event cancellation;
Q. extended coverages;
R. farm and ranch property;
S. fire and allied lines;
T. flood;
U. garage;
V. marine cargo;
W. marine hull;
X. ocean marine;
Y. personal inland marine;
Z. personal property;
AA. pet insurance;
BB. travel coverage; and
CC. similar products relating to property matters.
History:
Laws 1984, ch. 127, § 110; 1978 Comp., § 59A-7-4, repealed and reenacted by Laws 2016, ch. 89, § 7.
ANNOTATIONS
Repeals and reenactments.
— Laws 2016, ch. 89, § 7 repealed 59A-7-4 NMSA 1978, and enacted a new section, effective July 1, 2017.
Severability.
— Laws 2016, ch. 89, § 71 provided that if any part or application of Laws 2016, ch. 89 is held invalid, the remainder or its application to other situations or persons shall not be affected.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance §§ 468 to 503.
Liability insurance: when is vehicle in "dead storage," 48 A.L.R.4th 591.
Theft and vandalism insurance: coinsured's misconduct as barring innocent coinsured's right to recover on policy, 64 A.L.R.4th 714.
Property damage insurance: what constitutes "contamination" within policy clause excluding coverage, 72 A.L.R.4th 633.
What is "flood" within exclusionary clause of property damage policy, 78 A.L.R.4th 817.
Construction and effect of provisional or monthly reporting inventory insurance, 81 A.L.R.4th 9.
Construction and effect of property insurance provision permitting recovery of replacement cost of property, 1 A.L.R.5th 817.
Requirement under property insurance policy that insured submit to examination under oath as to loss, 16 A.L.R.5th 412.
What constitutes "vacant land" within meaning of liability of property insurance policy provisions, 47 A.L.R.5th 535.
What constitutes "suit" triggering insurer's duty to defend environmental claims-state cases, 48 A.L.R.5th 355.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-5 - Repealed.

History:
Laws 1984, ch. 127, § 111; repealed by Laws 2016, ch. 89, § 70.
ANNOTATIONS
Repeals.
— Laws 2016, ch. 89, § 70 repealed 59A-7-5 NMSA 1978, as enacted by Laws 1984, ch. 127, § 111, relating to marine and transportation, wet marine insurance defined, effective July 1, 2017. For provisions of former section,
see
the 2016 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-8 - Repealed.

History:
Laws 1984, ch. 127, § 114; repealed by Laws 2016, ch. 89, § 70.
ANNOTATIONS
Repeals.
— Laws 2016, ch. 89, § 70 repealed 59A-7-8 NMSA 1978, as enacted by Laws 1984, ch. 127, § 114, relating to surety insurance defined, effective July 1, 2017. For provisions of former section,
see
the 2016 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-9 - Repealed.

History:
Laws 1984, ch. 127, § 115; repealed by Laws 2016, ch. 89, § 70.
ANNOTATIONS
Repeals.
— Laws 2016, ch. 89, § 70 repealed 59A-7-9 NMSA 1978, as enacted by Laws 1984, ch. 127, § 115, relating to title insurance defined, effective July 1, 2017. For provisions of former section,
see
the 2016 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 7 - Kinds of Insurance; Limits of Risk; Reinsurance › Section 59A-7-11 - Repealed.

History:
Laws 1984, ch. 127, § 117; 1993, ch. 320, § 18; 1994, ch. 13, § 1; 2014, ch. 59, § 14; repealed by Laws 2022, ch. 35, § 19.
ANNOTATIONS
Repeals.
— Laws 2022, ch. 35, § 19 repealed 59A-7-11 NMSA 1978, as enacted by Laws 1984, ch. 127, § 117, relating to reinsurance, effective March 2, 2022. For provisions of former section,
see
the 2021 NMSA 1978 on
NMOneSource.com
.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-2 - Assets not allowed.

A. In addition to assets impliedly excluded by provisions of Section 118 [59A-8-1 NMSA 1978] of this article, the following expressly shall not be allowed as assets in any determination of the financial condition of any insurer or fraternal benefit society:
(1) goodwill, trade names and other like intangible assets;
(2) advances to directors, officers, employees and agents (other than policy loans) whether secured or not, and advances to other persons on personal security only;
(3) stock of such insurer, owned by it, or any equity therein or loans secured thereby, or any proportionate interest in such stock acquired or held through ownership by the insurer of an interest in another corporation or business unit;
(4) furniture, fixtures, furnishings, safes, vehicles, libraries, stationery, literature and supplies (other than data processing, recordkeeping, accounting, word processing and electronic computer systems authorized under Subsection L of Section 118 [59A-8-1 NMSA 1978] of this article) except:
(a) in the case of title insurers such materials and plants as the insurer is expressly authorized to carry as an asset under Subsection M of Section 118 [59A-8-1 NMSA 1978] of this article; and
(b) in the case of any insurer or fraternal benefit society, such personal property as it is permitted to hold pursuant to Article 9 (investments) [Chapter 59A, Article 9 NMSA 1978] of the Insurance Code, or which is reasonably necessary for the maintenance or operation of real property lawfully acquired and held, other than real property used for home office, branch office and similar purposes;
(5) the amount, if any, by which the aggregate book value of investments as carried in ledger assets exceeds the aggregate value thereof as determined under the Insurance Code.
B. All nonadmitted assets and all other assets of doubtful value or character included as ledger or nonledger assets in any statement by an insurer or fraternal benefit society to the superintendent, or in any examiner's report to the superintendent, shall be reported, to the extent of the value disallowed, as deductions from gross assets except where the superintendent permits a reserve to be carried among liabilities in lieu of any such deductions.
History:
Laws 1984, ch. 127, § 119.
ANNOTATIONS
Cross references.
— For the Insurance Code,
see
59A-1-1 NMSA 1978 and notes thereto.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-3 - Disallowance of "wash" transactions.

A. The superintendent shall disallow as an asset or as a credit against liabilities of an insurer, any sale or transfer of property or accounts or any reinsurance found by him after a hearing thereon to have been arranged for the purpose principally of an apparent but temporary betterment as to the transferor, vendor or ceding insurer's financial condition as of the date of any financial statement of the insurer. Without limiting the general purport of the foregoing provision, transfer, sale or reinsurance contracted for in fact within six (6) months prior to the date of any such financial statement and reversed or cancelled in fact within six (6) months after the date of such statement, or reinsurance under which the reinsurer bears no substantial insurance risk or chance of net loss to itself, shall prime [prima] facie be deemed to have been arranged principally for the purpose of such apparent betterment.
B. The superintendent shall disallow as an asset any deposit, funds or other property of the insurer found by him after a hearing thereon:
(1) not to be in good faith the property of the insurer; and
(2) if other than a deposit required to be made and held under or pursuant to statute, not freely subject to withdrawal or liquidation by the insurer at any time for payment or discharge of claims or other obligations arising under its policies; and
(3) to be resulting from arrangements made principally for the purpose of such apparent betterment as to the insurer's financial condition as at the date of any financial statement of the insurer.
C. The superintendent may suspend or revoke the certificate of authority of any insurer which has knowingly been party to any such transaction or attempt thereat.
History:
Laws 1984, ch. 127, § 120.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-4 - Liabilities, in general.

In any determination of the financial condition of an insurer, capital stock and liabilities to be charged against its assets shall include:
A. the amount of its capital stock outstanding, if any;
B. the amount, estimated to be consistent with the provisions of the Insurance Code, necessary to pay all of its unpaid losses and claims incurred on or prior to date of the statement whether reported or unreported, together with the expense of adjustment or settlement thereof;
C. as to life insurance policies and annuity contracts, and disability and accidental death benefits in or supplemental thereto:
(1) the amount of reserves on life insurance policies and annuity contracts in force, valued according to the tables of mortality, rates of interest and methods adopted pursuant to the Insurance Code which are applicable thereto;
(2) reserves for disability benefits, for both active and disabled lives;
(3) reserves for accidental death benefits; and
(4) any additional reserves which may be required by the superintendent consistent with applicable customary and general practice in insurance accounting;
D. as to health insurance policies, the reserves required under Section 59A-8-7 NMSA 1978;
E. as to insurance other than referred to in Subsections C and D of this section, and other than title insurance, the amount of unearned premium reserves computed in accordance with Sections 59A-8-9 and 59A-8-10 NMSA 1978;
F. taxes, expenses and other obligations due or accrued at date of the statement; and
G. liability to agents for commissions contingent on collection of premium shall not be construed as a liability.
History:
Laws 1984, ch. 127, § 121; 1987, ch. 259, § 8.
ANNOTATIONS
Cross references.
— For the Insurance Code,
see
59A-1-1 NMSA 1978 and notes thereto.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-6 - Recompiled.

History:
Laws 1984, ch. 127, § 123; 1993, ch. 320, § 21; recompiled and amended as 59A-8A-3 by Laws 2014, ch. 59, § 17.
ANNOTATIONS
Recompilations.
— Laws 2014, ch. 59, § 17 recompiled and amended former 59A-8-6 NMSA 1978 as 59A-8A-3 NMSA 1978, effective January 1, 2017.
See
compiler's note below.
Compiler's notes.
— Pursuant to Laws 2014, ch. 59, § 55, the effective date of Laws 2014, ch. 59, §§ 15 through 27 was January 1, 2017. On June 30, 2016, the superintendent of insurance certified to the New Mexico compilation commission and the director of the legislative council service that:
(1) the most recent version of the manual of valuation instructions adopted by the national association of insurance commissioners has been adopted by the national association of insurance commissioners by an affirmative vote of at least forty-two members or three-fourths of the members voting, whichever is greater;
(2) the Standard Valuation Law of the national association of insurance commissioners, as amended in 2009, or legislation including substantially similar terms and provisions, has been enacted by states that collectively represent more than seventy-five percent of written direct premiums, as reported in the life, accident and health annual statements, the health annual statements and the fraternal annual statements submitted for 2008; and
(3) the Standard Valuation Law of the national association of insurance commissioners, as amended in 2009, or legislation including substantially similar terms and provisions, has been enacted by at least forty-two of the following fifty-five jurisdictions:
(a) the fifty states of the United States;
(b) American Samoa;
(c) the Virgin Islands of the United States;
(d) the District of Columbia;
(e) Guam; and
(f) Puerto Rico.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-7 - Recompiled.

History:
1978 Comp., § 59A-8-7, enacted by Laws 1993, ch. 320, § 22; recompiled and amended as 59A-8A-4 by Laws 2014, ch. 59, § 18.
ANNOTATIONS
Recompilations.
— Laws 2014, ch. 59, § 18 recompiled and amended former 59A-8-7 NMSA 1978 as 59A-8A-4 NMSA 1978, effective January 1, 2017.
See
compiler's note below.
Compiler's notes.
— Pursuant to Laws 2014, ch. 59, § 55, the effective date of Laws 2014, ch. 59, §§ 15 through 27 was January 1, 2017. On June 30, 2016, the superintendent of insurance certified to the New Mexico compilation commission and the director of the legislative council service that:
(1) the most recent version of the manual of valuation instructions adopted by the national association of insurance commissioners has been adopted by the national association of insurance commissioners by an affirmative vote of at least forty-two members or three-fourths of the members voting, whichever is greater;
(2) the Standard Valuation Law of the national association of insurance commissioners, as amended in 2009, or legislation including substantially similar terms and provisions, has been enacted by states that collectively represent more than seventy-five percent of written direct premiums, as reported in the life, accident and health annual statements, the health annual statements and the fraternal annual statements submitted for 2008; and
(3) the Standard Valuation Law of the national association of insurance commissioners, as amended in 2009, or legislation including substantially similar terms and provisions, has been enacted by at least forty-two of the following fifty-five jurisdictions:
(a) the fifty states of the United States;
(b) American Samoa;
(c) the Virgin Islands of the United States;
(d) the District of Columbia;
(e) Guam; and
(f) Puerto Rico.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-7.1 - Continued liability after assumption reinsurance transactions.

A ceding insurer shall remain jointly and severally liable with an unauthorized assuming insurer on ceded contracts or policies for which assumption certificates have been issued covering risks resident in this state until such time as:
A. the assuming insurer obtains a certificate of authority to transact the applicable kind of insurance in this state; or
B. the assuming insurer deposits with the superintendent a special deposit in an amount equal to the greater of:
(1) one hundred thousand dollars ($100,000); or
(2) twenty thousand dollars ($20,000) plus the statutory reserves required of an authorized insurer for the contracts assumed.
History:
1978 Comp., § 59A-8-7.1, enacted by Laws 1993, ch. 320, § 23.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-8 - Loss reserves.

A. Each authorized insurer shall maintain reserves in such amount as is requisite to cover losses and claims incurred and unpaid, together with related adjustment and settlement expense, whether reported or unreported as at financial statement date. In computing or approving such reserves the superintendent may estimate any portion which it is not practicable to compute accurately for [due to] failure to receive notice or otherwise.
B. Whenever the loss and loss expense experience of an insurer shows that its loss reserves, however calculated, are inadequate, the superintendent may require the insurer to maintain additional reserves.
History:
Laws 1984, ch. 127, § 125.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and it is not part of the law.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-9 - Unearned premium reserve, casualty, vehicle, property, marine and surety insurances.

As to property, casualty, vehicle and surety insurance, and marine and transportation insurance other than as provided in Section 59A-8-10 NMSA 1978, the insurer shall maintain as a liability an unearned premium reserve on policies in force computed as follows: fifty percent of the gross premium in force on policies having one year or less to run and pro rata on those for longer periods, or pro rata for all premiums in force.
History:
Laws 1984, ch. 127, § 126; 1997, ch. 121, § 4.
ANNOTATIONS
The 1997 amendment,
effective June 20, 1997, substituted "Section 59A-8-10 NMSA 1978" for "Section 127 of this article" and deleted the second sentence, which read: "As to surety risks the minimum unearned premium reserve shall be the aggregate of the net premiums for the entire term instead of the unexpired portion thereof".
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-10 - Unearned premium reserve, marine and transportation insurance.

As to marine and transportation insurance, the entire amount of premiums on trip risks not terminated shall be deemed unearned; and the superintendent may require the insurer to carry a reserve equal to one hundred percent of premiums on trip risks written during the month ended as of the date of statement.
History:
Laws 1984, ch. 127, § 127.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-11 - Title insurance reserves.

A. As to title insurance the insurer shall set up and maintain unearned premium reserves as follows:
(1) as to guaranties and policies on property in this state issued prior to January 1, 1957, the insurer shall reserve initially a sum equal to ten percent of gross premiums therefor. The sum so accumulated may be reduced by five percent thereof at the end of each calendar year thereafter;
(2) as to guaranties and policies on property in this state issued on and after January 1, 1957, the insurer shall reserve initially a sum equal to ten percent of the gross risk premium therefor. At end of each calendar year following the year in which the guaranty or policy was issued the insurer may reduce the sum so reserved by five percent thereof.
B. The sums so reserved initially, or maintained thereafter, in accordance with the above provisions shall be considered unearned portions of the gross risk premiums on such guaranties or policies and shall be shown as a liability of the insurer in determining its financial condition.
C. If a title insurer on withdrawing from the title insurance business in this state desires to reinsure with another title insurer all its title guaranties or policies in this state, the superintendent may require the reinsurer to increase its unearned premium reserve by an amount not greater than the unearned premium reserve required of the withdrawing insurer as to the guaranties and policies so reinsured.
D. The term "gross risk premium" as used in this action [section] shall not include charges for abstracting, record searching, escrow and closing services and other related services which may be provided by the insurer, or costs and expenses of examinations of title, or premiums paid for reinsurance.
History:
Laws 1984, ch. 127, § 128.
ANNOTATIONS
Bracketed material.
— The bracketed material was inserted by the compiler and is not part of the law.
Am. Jur. 2d, A.L.R. and C.J.S. references. —
43 Am. Jur. 2d Insurance § 62.
44 C.J.S. Insurance § 112.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-12 - Mortgage guaranty contingency reserve.

A. Casualty or surety insurers insuring real property mortgage or deed of trust lenders against loss by nonpayment of the indebtedness shall maintain a contingency reserve for protection of policyholders against the effects of adverse economic cycles.
B. The insurer shall contribute to such contingency reserve fifty percent of net premiums (gross premiums less premiums returned to policyholders) written on such insurance remaining after establishment of the unearned premium reserve.
C. Subject to the superintendent's approval, the contingency reserve shall be available for payment of losses only when the insurer's incurred losses in any one (1) calendar year exceed the rate formula expected losses by ten percent of the related earned premiums.
History:
Laws 1984, ch. 127, § 129.
2023 New Mexico Statutes › Chapter 59A - Insurance Code › Article 8 - Assets and Liabilities › Section 59A-8-13 - Valuation of bonds.

A. Subject to the provisions of Subsections B, C and D of this section, all bonds or other evidences of debt having a fixed term and rate of interest held by an insurer may, if amply secured and not in default as to principal or interest, be valued as follows:
(1) if purchased at par, at the par value; and
(2) if purchased above or below par, on the basis of the purchase price adjusted so as to bring the value to par at maturity and so as to yield in the meantime the effective rate of interest at which the purchase was made.
B. The purchase price shall in no event be taken at a higher figure than actual market value at time of purchase, plus incidental costs of acquisition of the securities.
C. No such security shall be carried at above the call price for the entire issue during any period within which the security may be so called, and premiums paid at purchase shall be amortized by the scientific method to the first call date at which the entire issue may be redeemed.
D. Obligations subject to amortization under the published findings of the national association of insurance commissioners shall be carried at their amortized values. Obligations which do not qualify for amortization shall be reported at their market value or book value based upon an amortized computation, whichever is lower.
History:
Laws 1984, ch. 127, § 130; 1987, ch. 259, § 9; 1993, ch. 320, § 24.
ANNOTATIONS
The 1993 amendment,
effective June 18, 1993, in Subsection A, added "Subject to the provisions of Subsections B, C, and D of this section" at the beginning of the subsection and deleted "or, in lieu of such method, according to such accepted method of valuation as the superintendent approves" at the end of Paragraph (2); and rewrote Subsections C and D.