reglab/statecodes huggingface dataset:
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4223 - License—Revocation and denial

(a) The Commissioner may refuse to issue, suspend, revoke or refuse to renew the license of a viatical settlement provider, or viatical settlement broker if the Commissioner finds that the authorized person or entity:
(1) Made any material misrepresentation of an essential fact in the application for the license;
(2) the authorized person or entity or any officer, partner, member or key management personnel has been convicted of fraudulent or dishonest practices, is subject to a final administrative action or is otherwise shown to be untrustworthy or incompetent;
(3) the viatical settlement provider demonstrates a pattern of unreasonable payments to viators;
(4) the authorized person or entity, or its officer, partner, member or key management personnel has been found guilty of, or has pleaded guilty or nolo contendere to, any felony, or to a misdemeanor involving fraud or moral turpitude, regardless of whether a judgment of conviction be final and unappealable;
(5) the viatical settlement provider has entered into any viatical settlement that has not been approved pursuant to this chapter;
(6) the viatical settlement provider has failed to honor contractual obligations set forth in a viatical settlement.
(7) the broker or the provider no longer meet the requirements for initial licensure or its authorization;
(8) the viatical settlement provider has assigned, transferred or pledged a policy subject to a viatical settlement contract to a person other than a viatical settlement provider licensed in this state, viatical settlement purchaser, an accredited investor or qualified institutional buyer as defined respectively in the Federal Securities Act of 1933, as amended, its Regulations and the Uniform Securities Act of Puerto Rico, §§ 851 et seq. of Title 10, a financing entity, special purpose entity, or viatical settlement trust, or
(9) the authorized person or entity, its officer, partner, member or key management personnel have violated any provision of this chapter.
(b) If the Commissioner denies a license application or suspends, revokes or refuses to renew the license of a viatical settlement provider or a viatical settlement broker, the Commissioner shall conduct a hearing in accordance with the provisions of the Insurance Code of Puerto Rico, its Regulations and §§ 2101 et seq. of Title 3.
History —Ins. Code, added as § 43.030, on Dec. 28, 2005, No. 164, § 2; Aug. 4, 2006, No. 147, § 23.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4224 - Approval of viatical settlements and disclosure statements

No person shall use a viatical settlement executed in the Commonwealth of Puerto Rico or provide to a viator a disclosure statement form in Puerto Rico unless they have been filed with the Commissioner for his/her approval. The Commissioner shall approve or deny the forms within sixty (60) days after being filed, unless said term is extended for an additional sixty (60) days, if the Commissioner notifies said extension within the initial sixty (60) days. Once the initial term has elapsed, if the Commissioner failed to notify the extension thereof, or the additional term without the Commissioner having denied the forms, it shall be understood that the same are approved. The Commissioner shall disapprove a viatical settlement form or disclosure statement form if, in the Commissioner’s opinion, the contract or provisions contained therein are unreasonable, contrary to the interests of the public, or otherwise misleading or unfair to the viator. At the Commissioner’s discretion, the Commissioner may require, through regulations, the submission of advertising material regarding the viatical settlements.
The provider shall submit to the Office of the Insurance Commissioner the viatical settlement purchase agreements solely for knowledge and information purposes.
History —Ins. Code, added as § 43.040 on Dec. 28, 2005, No. 164, § 2; Aug. 4, 2006, No. 147, § 24.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4225 - Reporting requirements and privacy

(a) Every authorized person or entity shall file with the Commissioner on or before March 1 of each year an annual statement containing such information as the Commissioner may prescribe by regulation.
(b) Except as otherwise allowed or required by law, a viatical settlement provider, viatical settlement broker, insurance company, insurance producer, information bureau, rating agency or company, or any other person with actual knowledge of an insured’s identity, shall not disclose that identity as an insured, or the insured’s financial or medical information to any other person unless the disclosure:
(1) Is necessary to execute a viatical settlement contract between the viator and a viatical settlement provider and the viator and insured have provided prior written consent to the disclosure;
(2) is provided in response to an investigation or examination by the Commissioner or any other governmental officer or agency or pursuant to the provisions of § 4231(c) of this title;
(3) is a term of or condition to the transfer of a policy by one viatical settlement provider to another viatical settlement provider;
(4) is necessary to permit a financing entity, related provider trust or special purpose entity to finance the purchase of policies by a viatical settlement provider and the viator and insured have provided prior written consent to the disclosure;
(5) is necessary to allow the viatical settlement provider or viatical settlement broker or their authorized representatives to make contacts for the purpose of determining health status, or
(6) is required to purchase stop loss coverage.
History —Ins. Code, added as § 43.050 on Dec. 28, 2005, No. 164, § 2; Jan. 19, 2006, No. 10, § 9, eff. 120 days after Jan. 19, 2006.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4232 - Injunctions; cease and desist; other civil remedies

(a) In addition to the penalties and other enforcement provisions of this chapter, if any person violates this chapter or any regulation pursuant to this chapter, the Commissioner may seek an injunction in a Court of First Instance and may apply for temporary and permanent orders that the Commissioner determines are necessary to restrain the person from committing the violation to this chapter.
(b) Any person damaged by the acts of a person in violation of this chapter may bring a civil action against the person committing the violation in a court of competent jurisdiction.
(c) The Commissioner may issue, in accordance with the Insurance Code of Puerto Rico and the Uniform Administrative Procedures Act of Puerto Rico, a cease and desist order upon a person that violates any provision of this chapter or its regulations, or of any order adopted by the Commissioner, or any written agreement entered into with the Commissioner.
(d) When the Commissioner finds that an activity in violation of this chapter presents an immediate danger to the public that requires an immediate final order, the Commissioner may issue an emergency cease and desist order itemizing in particular the facts underlying the same. The emergency cease and desist order is effective immediately upon service of a copy of the order on the respondent and remains effective for ninety (90) days. If the Commissioner initiates a permanent cease and desist proceedings, the emergency cease and desist order shall remain effect, in the absence of an order to the contrary by a court of competent jurisdiction pursuant to the Uniform Administrative Procedures Act of Puerto Rico.
(e) Any person who violates any provision of this chapter is subject to civil penalties provided in §§ 2701–2740 of this title. In addition, any person who violates any provision of this chapter shall be ordered to pay restitution to the persons aggrieved by the violation of this chapter.
(f) In addition to the penalties provided in this chapter, any person who violates any provision of this chapter may be convicted of misappropriation, fraud or any other applicable crime, pursuant to the Criminal Code of Puerto Rico. The conviction does not mean that restitution shall not be paid to the aggrieved persons.
History —Ins. Code, added as § 43.120 on Dec. 28, 2005, No. 164, § 2, eff. 90 days after Dec. 28, 2005.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4233 - Unfair trade practices and fraud

A violation of this chapter shall be considered an unfair trade practice and subject to the penalties provided in §§ 2701–2740 of this title.
History —Ins. Code, added as § 43.130 on Dec. 28, 2005, No. 164, § 2, eff. 90 days after Dec. 28, 2005.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4234 - Authority to promulgate regulations

The Commissioner shall have the authority to:
(a) Promulgate regulations within 180 days following the approval of this act.
(b) Establish standards for evaluating fairness of payments under viatical settlements for persons who are terminally or chronically ill. This authority includes, but is not limited to, regulation of discount rates used to determine the amount paid in exchange for assignment, transfer, sale, devise or bequest of a benefit under a life insurance policy.
(c) Establish appropriate licensing requirements, fees and standards to obtain and renew a license for viatical settlement providers and brokers.
(d) Require a mechanism for accountability of negligent acts to viatical settlement providers and brokers.
(e) Adopt rules governing the relationship and responsibilities of both insurers and viatical settlement providers and brokers during the viatication of a life insurance policy or certificate.
(f) Adopt rules governing the relationship and responsibilities of both viatical settlement investment providers and brokers during the purchase, sale or transfer process of viatical settlements.
History —Ins. Code, added as § 43.140 on Dec. 28, 2005, No. 164, § 2; Aug. 4, 2006, No. 147, § 30; Nov. 7, 2010, No. 166, § 6, eff. 90 days after Nov. 7, 2010.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 42A - Viatical Settlements (§§ 4221 — 4235) › § 4235 - Jurisdiction

The Office of the Insurance Commissioner of Puerto Rico shall have exclusive jurisdiction to oversee viatical settlement transactions and viatical settlement purchase contract transactions.
History —Ins. Code, added as § 43.150 on Aug. 4, 2006, No. 147, § 31; Nov. 7, 2010, No. 166, § 7, eff. 90 days after Nov. 7, 2010.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4301 - Purpose

This chapter shall be known as the “International Insurers and Reinsurers Act of Puerto Rico”, which purpose is the establishment of the legal basis to develop Puerto Rico as an International Insurance Center, through which insurers and reinsurers shall export and import insurance and services related to the insurance industry. These entities shall provide insurance and consulting services exclusively in international markets and to captive entities, while entities engaged in the business of reinsurance shall provide insurance and services within Puerto Rico and abroad.
History —Ins. Code, added as § 61.010 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4303 - Applicability of other laws

(1) An international insurer shall be exempted from all the provisions of this Code, with the exception of those that are expressly provided in this chapter or the specific provisions referred to in this chapter.
(2) Without it being construed as a limitation, such exemption shall include the following:
(a) No international insurer shall be required to become associated with or financially contribute to any plan, consortium, association or guaranty or insolvency fund in Puerto Rico, nor shall any international insurer or insured of such insurer receive any benefit from said plan, consortium, association or guaranty or insolvency fund due to claims that arise from the operations of said insurer;
(b) no international insurer shall be required to be a member of any rating agency or to be otherwise subject to the inscription of tariff types in Puerto Rico with respect to any policy issued by said insurer, and
(c) no international insurer shall have the obligation to submit any insurance policy form or tariff plan for the approval of the Commissioner.
History —Ins. Code, added as § 61.030 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4306 - Grounds for non-renewal, revocation or suspension of the certificate of authority

(1) The Commissioner shall refuse to renew, revoke or suspend the authorization of an international insurer:
(a) If it is a branch and does not qualify or meet the requirements for such authorization.
(b) If it is an insurer organized under this chapter and ceases to cover any capital deficiency, as required by the Commissioner.
(c) If the international insurer knowingly acted beyond the powers stated in the articles of incorporation or its certificate of authority.
(2) The Commissioner may refuse to renew, revoke or suspend the authorization certificate of an international insurer if:
(a) The insurer fails to comply with or contravenes any of the provisions in this chapter, apart from the provisions with respect to which the refusal to renew, suspension or revocation is mandatory in case of noncompliance or contravention;
(b) there is failure to comply with any regulation approved pursuant to this chapter or with any order of the Commissioner, duly notified in said order, within the term granted thereto, or
(c) for any of the reasons provided in subsections (3) and (6) of § 321 of this title.
(3) An international insurer organized under the provisions of this Code, whose authorization is revoked and who maintains a solvent financial situation shall be liquidated, pursuant to the voluntary liquidation procedures provided in §§ 2948–2953 of this title, as may apply; Provided, That:
(a) The notification required by § 2948(2) of this title shall be deemed as issued on the date of the revocation of the certificate of authority.
(b) Until the certificate of dissolution provided in § 2953 of this title is submitted, the international insurer shall continue to enjoy any tax exemption conferred upon it by virtue of this chapter.
(4) Any trust constituted pursuant to the provisions of § 4318 of this title, by an international insurer that operates as a branch to which the certificate of authority is revoked and which maintains a solvent financial situation, shall be liquidated according to the procedure established in the deed of trust. Provided, That said insurer shall continue to enjoy any tax exemption conferred upon it by virtue of this chapter until the liquidation procedures provided herein are concluded.
History —Ins. Code, added as § 61.060 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4307 - Business name

The international insurer shall be governed by the provisions set forth in § 325 of this title, as may apply.
History —Ins. Code, added as § 61.070 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4308 - Minimum capital and surplus; deposits

(1) No certificate of authority shall be issued to any international insurer, unless it possesses and maintains intact capital and surplus:
(a) Of not less than five hundred thousand dollars ($500,000) in the case of a Class 1 Authority insurer;
(b) of not less than seven hundred fifty thousand dollars ($750,000) in the case of a Class 2 Authority insurer;
(c) of not less than one million five hundred thousand dollars ($1,500,000) in the case of a Class 3 Authority insurer;
(d) of not less than one hundred million dollars ($100,000,000) in the case of a Class 4 Authority insurer, and
(e) in the case of a Class 5 Authority insurer, not less than seven hundred fifty thousand dollars ($750,000) of capital and surplus, in addition to the requirements for other classes of authority.
(2) With respect to the sums provided in subsection (1) of this section, the insurer shall have and maintain a minimum capital of:
(a) Not less than five hundred thousand dollars ($500,000) in the case of a Class 1, Class 2 or Class 3 Authority insurer;
(b) not less than two million dollars ($2,000,000) in the case of a Class 4 Authority insurer;
(c) in the case of a Class 5 Authority insurer, not less than seven hundred fifty thousand dollars ($750,000) of capital in addition to any other capital required for another authority class.
(3) The Commissioner may prescribe additional sums of capital and surplus according to the type, volume and nature of the insurance transactions to be carried out.
(4) The portion corresponding to capital shall be maintained in assets, as defined in this chapter. Provided, That, subject to the approval of the Commissioner, the capital may be maintained in an irrevocable letter of credit in the amount and in compliance with the requirements established by the Commissioner by rules or regulations.
(5) The portion corresponding to surplus may be held in assets as defined in this chapter or in an irrevocable letter of credit, issued by a Puerto Rico bank or a bank that is a member of the Federal Reserve System, and approved by the Commissioner. The Commissioner may establish through regulations the requirements for accepting letters of credit to be used for this purpose.
(6) In Puerto Rico, at all times, an international insurer shall maintain whichever is less among the following:
(a) The capital and surplus it is required to maintain pursuant to subsection (1) of this section, or
(b) five million dollars ($5,000,000).
History —Ins. Code, added as § 61.080 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4309 - Premium ratio; liquidity ratio

The international insurer shall maintain, at all times, sufficient liquid assets, capital and surplus to satisfy the premium and liquidity ratios required in this chapter, and any other ratio or standard that the Commissioner may require by regulations or orders.
History —Ins. Code, added as § 61.090 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4310 - Annual report

(1) The international insurer shall prepare an annual statement of its true financial condition and its business transactions at the closing of the preceding fiscal year (the annual report):
(a) The annual report shall be prepared using the generally accepted accounting principles, provided that the notes of said report include a reconciliation of the difference between the net profit and the capital and surplus as stated in the annual report filed based upon statutory accounting principles. The Commissioner may establish through regulation the statutory accounting standards that may apply to international insurers.
(b) The annual report shall be audited by an independent certified public accountant, approved by the Commissioner and shall be authenticated with the sworn statement of at least two (2) of the principal officers of the international insurer or its attorney-in-fact in the case of a reciprocal international insurer.
(2) The international insurer shall file before the Commissioner a copy of its annual report, together with the notes thereto, before the last day of the fourth month following the international insurer’s preceding fiscal year. The Commissioner may, upon presentation of a just cause, approve the filing of the annual report in a fiscal year other than the one set forth in this chapter or grant a reasonable time extension for filing the annual report.
(3) In the case of the Class 2 Authority international insurer, the annual report shall be accompanied with the opinion of an actuary with respect to the adequacy of the reserves for losses and adjustment expenses at least once every two years, beginning with the first year of operations.
(4) In the case of a Class 3 or Class 4 Authority international insurer, the annual report shall always be accompanied with the opinion of an actuary with respect to the adequacy of the reserves for losses and adjustment expenses.
(5) All Class 5 Authority international insurers shall file in the manner provided by the Commissioner, together with its annual report, its actuary’s certification of its outstanding obligations with respect to the business transacted according to its Class 5 Authority.
(6) The international insurer may keep its books and records in currency other than United States dollars, provided that its annual report is converted to its equivalent in United States dollars.
(7) All international insurers shall also be subject to the provisions set forth in § 333 of this title.
(8) The international insurer may list its reserves in the annual report on a discounted basis, with the approval of the Commissioner.
History —Ins. Code, added as § 61.100 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4311 - Investments

The investments of the international insurer may include, without limitation, assets, credit or preferential debt instruments, capital stock and other securities, tangible personal property subject to lease, mortgage loans and real property loans, loans on securities, repurchase transactions, reverse repurchase transactions, dollar roll transactions and hedging strategy. The Commissioner may prohibit or limit any investment that threatens the solvency or liquidity of an international insurer.
History —Ins. Code, added as § 61.110 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4312 - Dividends

(1) No international insurer shall declare or pay dividends during a given fiscal year if such declaration or disbursement should cause said insurer to fail to comply with its premium or liquidity ratio. Any international insurer that fails to comply with such ratios at the closing of a given fiscal year shall declare or pay dividends during the following fiscal year without the approval of the Commissioner.
(2) No Class 4 Authority international insurer shall pay dividends in any given fiscal year in excess of twenty-five percent (25%) of its capital and surplus, as stated in its annual report for the previous fiscal year, unless the international insurer files a sworn statement, signed by at least two (2) directors of the insurer and by its principal representative in Puerto Rico before the Commissioner at least fifteen (15) days prior to the payment of such dividends. Said sworn statement shall attest that in the opinion of the signers, the declaration of such dividends shall not cause the international insurer to fail to comply with its premium ratio or its liquidity ratio.
(3) No Class 5 Authority international insurer shall declare or pay dividends to any person that is not a policyholder, unless the value of the assets of its business conducted pursuant to its Class 5 Authority, certified as such by its actuary, exceeds the total amount of liabilities of said insurer’s business, and the total amount of said dividend does not exceed the aggregate of:
(a) Said excess amount, and
(b) any other funds that are duly available for the payment of dividends and which result from the business of the insurer that is not the business conducted pursuant to its Class 5 Authority.
History —Ins. Code, added as § 61.120 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4313 - Reinsurance

(1) The international insurer may reinsure its risks, or any part thereof, with any insurer or other person, by contract or transaction transferring or protecting against the risk, and in such a case said contract shall be accounted for as a deduction from liabilities, pursuant to the provisions of Article 5.060(2) of this Code.
(2) Section 413 of this title shall apply to the international insurer.
History —Ins. Code, added as § 61.130 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4314 - Insolvency

The international insurer shall be subject to the provisions set forth in §§ 4001-4054 of this title, except that with respect to a Branch, only the assets in trust shall be considered as the estate of the insurer. Provided, That none of the aforementioned provisions with respect to a Branch shall be construed as a limitation on the power of the Commissioner as liquidator to establish claims against the insurer’s assets.
The protection provided by the insurance guaranty associations under §§ 3801-3819 and 3901-3918 of this title shall not apply to the international insurer, notwithstanding any reference made in §§ 4001–4054 of this title. Provided, further, That in the event of the insolvency of an international insurer, the definition of “assets” that appears in this chapter shall apply.
If a financial institution has granted financing to an international insurer, taking as guarantee or collateral securities or accounts in pledge, the liquidation of such securities or accounts by the financial institution as a set-off mutual credit in accordance with the financing contract to settle the debts of the international insurer, if it meets the requirements of § 4027(2) of this title, shall be subject to the exception provided in § 4005(5)(d) of this title with regard to the stay provided in § 4005(3) of this title.
History —Ins. Code, added as § 61.140 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004; June 20, 2011, No. 98, § 1.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4315 - Intermediaries

No person shall act as an intermediary with respect to an international insurer, and in relation to its risks in Puerto Rico, unless said person receives prior authorization from the Commissioner, pursuant to Chapter 9 of this Code and to the provisions established by the Commissioner by rules or regulations.
History —Ins. Code, added as § 61.150 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4317 - Principal representative

(1) If the principal representative of the international insurer determines or becomes aware of the probability of the insolvency of said insurer or that any of the event described in subsection (2) of this section have occurred, the principal representative shall notify the Commissioner thereof, in writing, within thirty (30) days, as of the date in which the principal representative made such determination or became aware of such probability.
(2) The events referred to in subsection (1) of this section and for which the notification by the principal representative is required are the following:
(a) If the international insurer:
(i) Substantially fails to comply with a condition imposed by the Commissioner with respect to the premium ratio, the liquidity ratio or any other ration of the insurer, or
(ii) fails to comply with any aspect of any other condition that is not related to such ratios.
(b) If the international insurer becomes involved in criminal proceedings in any jurisdiction.
(c) If the international insurer ceases to transact insurance.
(3) Any principal representative who fails to comply with his/her duties pursuant to this section shall incur in a violation of the provisions of this Code.
(4) The international insurer may not terminate the relationship with its principal representative without first having obtained permission to do so in writing from the Commissioner. The principal representative may not resign, unless he/she notifies the international insurer and the Commissioner in writing at least thirty (30) days in advance of the date on which such resignation shall take effect.
History —Ins. Code, added as § 61.170 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4320 - Redomestication

(1) An insurer organized pursuant to the laws of a state of the United States or of any foreign jurisdiction may be converted into an international insurer organized under the laws of Puerto Rico, provided that the international insurer is organized under the provisions of this Code and merges its operations with such insurer, pursuant to the provisions in §§ 2901–2954 of this title.
(2) The international insurer organized under this Code may, upon prior authorization from the Commissioner, transfer its domicile to a state of the United States or any other foreign jurisdiction to transact insurance business; Provided, That upon carrying out such a transfer, it shall cease to be an international insurer organized in Puerto Rico, and may be authorized in Puerto Rico if it meets the requirements of a branch. The Commissioner shall approve the proposed transfer, unless he/she determines that the transfer would be contrary to the interests of the policyholders of the international insurer or the sound administration of the insurer.
(3) The certificate of authority in effect at the time in which an international insurer transfers its corporate domicile to any state of the United States or to any other foreign jurisdiction by means of a merger, consolidation or any other legal method, at the discretion of the Commissioner, shall continue to be in full force and effect while the transfer is carried out if the international insurer is duly authorized to transact insurance in the jurisdiction to which its corporate domicile is transferred. All policies of the insurer being transferred that are in effect shall remain in full force and effect and shall not have to be endorsed with the new name or location of the insurer, unless so ordered by the Commissioner. All international insurers who transfer shall notify the Commissioner in advance of the details of the transfer and shall expedite the filing of all amendments to the corporate documents filed with, or required to be filed by, the Commissioner.
(4) The Commissioner may promulgate the regulations necessary for the implementation of the purposes of this section.
History —Ins. Code, added as § 61.200 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4321 - Prohibited transactions with officers and directors

(1) Subject to the provisions set forth in subsection (2) of this section, an international insurer may not, directly or indirectly:
(a) Grant a loan to an officer of the insurer, or the spouse or child of such director or officer, or
(b) guarantee or provide a guarantee with respect to a loan made by another person to any of the persons referred to in clause (a).
(2) None of the provisions in subsection (1) of this section, shall prohibit a loan from being:
(a) Granted on a policy issued to a person referred to in subsection (1)(a), when the amount of the loan is below the cash surrender value of a life insurance policy issued to such person by the international insurer, or
(b) guaranteed by a first mortgage, when the amount of the loan does not exceed seventy-five percent (75%) of the market value of the mortgaged property.
History —Ins. Code, added as § 61.210 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4322 - Advertising

The international insurer shall be subject to the provisions set forth in § 1004 of this title.
History —Ins. Code, added as § 61.220 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4323 - Fees and charges

The Commissioner shall collect the following fees and charges:
(1) The filing fees of an application for a certificate of authority to act as an international insurer shall be three hundred fifty dollars ($350). Furthermore, the international insurer shall pay the following certificate of authority application fees according to the authority class being applied for:
(a) Class 1 Authority: seven hundred fifty dollars ($750)
(b) Class 2 Authority: one thousand dollars ($1,000)
(c) Class 3 Authority: two thousand five hundred dollars ($2,500)
(d) Class 4 Authority: twenty-five thousand dollars ($25,000)
(e) Class 5 Authority: seven hundred fifty dollars ($750)
(2) Every international insurer shall pay, on the date of its original authorization and of each renewal, an annual charge, as provided by the Commissioner by means of rules or regulations.
History —Ins. Code, added as § 61.230 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4324a - Benefits exempt from seizure

(1) Except as provided by subsection (3), any benefits (including the cash value and proceeds) to be provide to the owner, insured or beneficiary under a life insurance or annuity contract issued by an international insurer shall:
(a) Inure exclusively to the benefit of the person for whose use and benefit the insurance or annuity contract is designated in the contract; and
(b) Be fully exempt from and not subject to:
(i) Attachment, execution, or other seizure;
(ii) appropriation or application by any legal or equitable process or by operation of law to pay a debt or other liability of the owner, insured or beneficiary, either before or after the benefits are provided, and
(iii) a demand in a bankruptcy proceeding of the owner, insured or beneficiary.
(2) The provisions in subsection (1) shall apply regardless of whether:
(a) The power to change the beneficiary is reserved to the owner or insured; or beneficiary.
(b) The owner or insured or his/her estate is a contingent
(3) The exemptions provided in subsection (1) do not apply to:
(a) A premium payment made in fraud of a creditor, subject to the applicable statute of limitations for recovering the payment;
(b) a debt of the owner, insured or beneficiary secured by a pledge of the insurance policy or the proceeds of the policy; or
(c) a child support lien or levy established in accordance with the applicable law, or
(d) a debt of the person for whose use and benefit the insurance or annuity has been designated under the contract, if such debt has been incurred by the person after the date on which the benefit under the contract was made available for his/her use.
(4) This section does not prevent an insured, owner, or annuitant from assigning, in accordance with the terms of the life insurance or annuity contract:
(a) Any benefits to be provided under an insurance policy or annuity contract, or
(b) any other rights under the policy or contract.
(5) If an insurance or annuity contract, issued by an International Insurer prohibits a beneficiary from assigning or commuting benefits to be provided or other rights under the contract, an assignment or commutation or attempted assignment or commutation of the benefits or rights by the beneficiary is void.
History —Ins. Code, added as § 61.241 on June 20, 2011, No. 98, § 3.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4324b - Special Fund for the Development of Services for Export

Ten percent (10%) of the revenues proceeding from the income tax paid by international insurers that hold a decree under this chapter shall be covered into the Special Fund for the Development of Services for Export, as created by the Act to Promote the Export of Services.
History —Ins. Code, added as § 61.242 on Jan. 17, 2012, No. 20, § 18.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4325 - Confidentiality

(1) The information submitted to the Commissioner according to this chapter, and the regulations adopted thereunder by the Commissioner, shall be maintained confidential, except:
(a) When the disclosure of said information is required by law or court order, or
(b) by formal request from a domestic or foreign government agency in the exercise of its supervisory duties, when the Commissioner has grounds to believe that it is in the best public interest. In such cases, the information shall be provided under a binding agreement with the government agency concerned to maintain the confidential nature of said information. Provided, That this exception shall in no case be extended to information regarding the clients of the international insurer.
(c) The Commissioner may, at his/her discretion, disclose said information in all cases in which the disclosure is made for purposes of assisting the Commissioner or any other authority in the exercise of regulatory duties.
History —Ins. Code, added as § 61.250 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4326 - Powers of the Commissioner

(1) The Division of International Insurers and Reinsurers of the Office of the Commissioner of Insurance is hereby created for purposes of the administration of the provisions [of] this chapter, under the supervision of the Commissioner.
(2) The Commissioner may establish regulations and, from time to time, amend them, as well as issue orders pertaining to international insurers as needed so that the Commissioner may properly supervise compliance with the provisions in this chapter.
(3) The Commissioner may exempt, by means of regulation or order, certain international insurers from the provisions in this chapter that the Commissioner determines as inadequate, given the nature of the risk to be insured.
(4) No business transaction shall be null or annullable for the sole reason that at the pertinent time in the transaction one of the parties fails to comply with a provision of this chapter.
(5) The international insurer shall be subject to the provisions set forth in §§ 201–232 and §§ 117 and 321a of this title, as well as all regulations promulgated thereunder.
(6) The Commissioner may establish one or more regulations, categories, or special designations to classify those international insurers that, in accordance with § 4305 of this title, have obtained an authorization to transact insurance as Class 1 Authority, Class 2 Authority, Class 3 Authority, Class 4 Authority, or Class 5 Authority, or a combination thereof, and that also meet, on a voluntary basis, the requirements or rules established under said regulations for such purposes.
History —Ins. Code, added as § 61.260 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004; June 20, 2011, No. 98, § 4.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 43 - International Insurers and Reinsurers (§§ 4301 — 4327) › § 4327 - Summons

International insurers shall be summoned pursuant to §§ 327 and 328 of this title.
History —Ins. Code, added as § 61.270 on Sept. 22, 2004, No. 399, § 1, eff. 180 days after Sept. 22, 2004.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 44 - Insurance Holding Company System Regulatory Act (§§ 4401 — 4414) › § 4407 - Examination

(a) Powers of Commissioner.— In addition to the powers which the Commissioner has under the provisions of Chapter 2 of the Insurance Code, he/she may order any insurer registered under § 4405 of this title to produce such records, books, or other information papers in the possession of the insurer or its affiliates as are reasonably necessary to ascertain the financial condition of the insurer, subject to the limitations of this chapter. If the insurer does not comply with the order issued by the Commissioner, the Commissioner shall have the power to examine any affiliates to obtain said information.
(b) Use of consultants.— The Commissioner may retain at the registered insurer’s expense such attorneys, actuaries, accountants, and other experts not otherwise a part of the Commissioner’s staff as shall be reasonably necessary to assist in the conduct of the aforementioned examination. Any persons so retained shall be under the direction and control of the Commissioner and shall act in a purely advisory capacity.
History —Ins. Code, added as § 44.070 on Mar. 7, 2012, No. 51, § 1, eff. 30 days after Mar. 7, 2012.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 44 - Insurance Holding Company System Regulatory Act (§§ 4401 — 4414) › § 4408 - Confidential treatment

(a) Any documents, materials, or other information in the possession or control of the Office of the Insurance Commissioner that are obtained by or disclosed to the Commissioner or any other person in the course of an examination or investigation made pursuant to § 4407 of this title and all reports filed pursuant to §§ 4405 and 4406 of this title shall be confidential by law and privileged, shall not be subject to public inspection, or admissible in evidence in any civil action. However, the Commissioner is authorized to use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the Commissioner’s official duties. The Commissioner shall not otherwise make the documents, materials, or other information public without the prior written consent of the insurer to which it pertains unless the Commissioner, after giving notice and opportunity to be heard, determines that the interest of policyholders, shareholders or the public will be served by the publication thereof, in which event the Commissioner may publish all or any part of such documents, materials, or other information in such manner as may be deemed appropriate.
(b) Neither the Commissioner nor any person who received documents, materials or other information while acting under the authority of the Commissioner shall be permitted to testify in any civil action concerning any confidential documents, materials, or information subject to subsection (a).
(c) In the performance of his/her duties, the Commissioner:
(1) May share documents, materials, or other information, including the confidential and privileged documents, materials, or information subject to subsection (a), with other federal and international regulatory agencies, with the NAIC and its affiliates and subsidiaries, and with federal and international law enforcement authorities, provided that the recipient agrees to maintain the confidentiality and privileged status of the document, material, or other information.
(2) May receive documents, materials, or information, including otherwise confidential and privileged documents, materials or information from the NAIC and its affiliates and subsidiaries and from regulatory and law enforcement officials of other foreign or domestic jurisdictions, and shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material or information.
(d) No waiver of any applicable privilege or claim of confidentiality in the documents materials, or information shall occur as a result of disclosure to the Commissioner under this section or as a result of sharing as authorized in subsection (c).
History —Ins. Code, added as § 44.080 on Mar. 7, 2012, No. 51, § 1, eff. 30 days after Mar. 7, 2012.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 44 - Insurance Holding Company System Regulatory Act (§§ 4401 — 4414) › § 4409 - Rules and regulations

The Commissioner may, upon notice and opportunity for all interested persons to be heard, issue such rules and orders as shall be necessary to carry out the provisions of this chapter.
History —Ins. Code, added as § 44.090 on Mar. 7, 2012, No. 51, § 1, eff. 30 days after Mar. 7, 2012.
2023 Laws of Puerto Rico › TITLE TWENTY-SIX - Insurance (§§ 101 — 10377) › Subtitle 1 - Insurance Generally (§§ 101 — 4513) › Chapter 44 - Insurance Holding Company System Regulatory Act (§§ 4401 — 4414) › § 4411 - Sanctions

Any person that violates a provision of this chapter shall be subject to the penalties established in Chapters 3, 27, and 29 of the Insurance Code.
History —Ins. Code, added as § 44.110 on Mar. 7, 2012, No. 51, § 1, eff. 30 days after Mar. 7, 2012.