Compilation of Rules and Regulations of the State of Georgia › Department 120 - OFFICE OF COMMISSIONER OF INSURANCE, SAFETY FIRE COMMISSIONER AND INDUSTRIAL LOAN COMMISSIONER › Chapter 120-2 - RULES OF COMMISSIONER OF INSURANCE › Subject 120-2-62 - ASSUMPTION REINSURANCE › Rule 120-2-62-.07 - Severability

Current through Rules and Regulations filed through June 27, 2024
If any provision of this chapter or the application thereof
				  to any person or circumstance is held invalid by a court of competent
				  jurisdiction, the remainder of the chapter or the applicability of such
				  provision to other persons or circumstances shall not be affected.
EXHIBIT A
NOTICE OF TRANSFER
IMPORTANT: THIS NOTICE AFFECTS YOUR CONTRACT
				  RIGHTS.
PLEASE READ IT CAREFULLY.
Transfer of Policy
The ABC insurance Company has agreed to replace us as your
				  insurer under {insert policy/certificate name and number} effective {insert
				  date}.
The ABC Insurance Company's principal place of business is
				  {insert address}. You may obtain financial information concerning ABC Insurance
				  Company by contacting your Commissioner of Insurance at {insert
				  address}.
This transfer is necessary due to {insert detailed statement
				  explaining the reason[s]}.
The ABC Insurance Company is licensed to write this coverage
				  in the following states: {insert states)
If the ABC Company is not licensed in the state in which you
				  reside, this transfer may affect your guaranty fund protection or your
				  Insurance Commissioner's ability to assist you with any matters concerning the
				  company.
Your Rights
You may choose to reject the transfer and novation of your
				  policy to ABC Insurance Company. If you do
not
want your
				  policy transferred, you
must
notify us in writing no later
				  than 60 days after the date this notice was mailed to you by signing and
				  returning the enclosed pre-addressed, postage-paid card or by writing to us at:
{Insert name, address and facsimile number of contact
				  person.}
IF WE DO
NOT
RECEIVE YOUR
				  WRITTEN REJECTION WITHIN THE 60 DAY PERIOD, YOU WILL BE SENT A SECOND NOTICE.
				  IF WE DO
NOT
RECEIVE YOUR WRITTEN REJECTION WITHIN 30
				  DAYS AFTER THE DATE OF THE SECOND MAILING, YOU SHALL BE DEEMED TO HAVE
ACCEPTED
THE TRANSFER.
If you reject the transfer, you may keep your policy with us
				  or exercise any option under your policy.
Effect of Transfer
If you do not reject this transfer and novation, ABC
Insurance Company will be your insurer. It will have direct
				  responsibility to you for the payment of all claims, benefits and for all other
				  policy obligations. We will no longer have any obligations to you.
{Insert a summary of any effect that rejecting the transfer
				  and novation will have on the policyholder's rights including, for
				  participating policyholders, dividend payments or payments under the contract
				  of insurance.}
If you have any further questions about this agreement, you
				  may contact XYZ Insurance Company or ABC Insurance Company.
Sincerely,
______________________
President
XYZ Insurance Company
XYZ Insurance Company
111 No Street
Smithville, USA
555/555-5555
ABC Insurance Company
222 No Street
Jonesvilie, USA
333/333-3333
{Notice Date}
RESPONSE CARD
______ I reject the proposed transfer and novation of my
				  policy from XYZ Insurance Company to ABC insurance company and wish to retain
				  my policy with XYZ insurance company.
{Date} {Signature}
__________________________________________________________
Name:___________________________
Street Address:_________________
City, State, Zip:_______________
Form No.:
EXHIBIT B
SECOND NOTICE OF TRANSFER
IMPORTANT: "THIS NOTICE AFFECTS YOUR CONTRACT
				  RIGHTS.
PLEASE READ IT CAREFULLY.
Transfer of Policy
You were previously sent a Notice of Transfer notifying you
				  that the ABC Insurance Company has agreed to replace us as your insurer under
				  {insert policy/certificate name and number} effective {insert date}.
The ABC Insurance Company's principal place of business is
				  {insert address}. You may obtain financial information concerning ABC Insurance
				  Company by contacting your Commissioner of Insurance at {insert
				  address}.
This transfer is necessary due to {insert detailed statement
				  explaining the reason(s)}.
The ABC Insurance Company is licensed to write this coverage
				  in the following states: {insert states}.
If the ABC Insurance Company is not licensed in the state in
				  which you reside, this transfer may affect your guaranty fund protection or
				  your Insurance Commissioner's ability to assist you with any matters concerning
				  the company.
Your Rights
Since we did not receive the pre-addressed, postage-paid
				  response card or other written notice from you indicating your rejection of the
				  proposed transfer of your policy, this second notice is required to be sent to
				  you. If you do
not
not want your policy transferred
				  and novated, you
must
notify us in writing no later
				  than 30 days after the date this notice was mailed to you by signing and
				  returning the enclosed pre-addressed, postage-paid card or by writing to us
				  at:
{Insert name, address and facsimile number of contact
				  person.}
IF WE DO
NOT
RECEIVE YOUR
				  WRITTEN REJECTION WITHIN THE THIRTY DAY PERIOD FOLLOWING THE DATE WE MAILED
				  THIS NOTICE, YOU SHALL BE DEEMED TO HAVE
ACCEPTED
THE
				  TRANSFER.
If you reject the transfer, you may keep your policy with us
				  or exercise any option under your policy.
Effect of Transfer
If you do not reject this transfer and novation, ABC
				  Insurance Company will be your insurer. It will have direct responsibility to
				  you for the payment of all claims, benefits and for all other policy
				  obligations. We will no longer have any obligations to you.
If you do not reject this transfer and novation, you should
				  make all premium payments and claims submissions to ABC Insurance Company and
				  direct all questions to ABC insurance company.
{Insert a summary of any effect that rejecting the transfer
				  and novation will have on the policyholder's rights including, for
				  participating policyholders, dividend payments or payments under the contract
				  of insurance.}
If you have any further questions about this agreement, you
				  may contact XYZ Insurance Company or ABC Insurance Company.
Sincerely,
______________________
President
XYZ Insurance Company
XYZ Insurance Company
111 No Street
Smithville, USA
555/555-5555
ABC Insurance Company
222 No Street
Jonesville, USA
333/333-3333
{Notice Date}
RESPONSE CARD
_____ I reject the proposed transfer and novation of my
				  policy from XYZ Insurance Company to ABC insurance company and wish to retain
				  my policy with XYZ Insurance Company.
{Date} {Signature}
___________________________________________________________
Name:__________________________
Street Address:________________
City, State, Zip:______________
Form No.:
EXHIBIT C
Application for Approval of Assumption Reinsurance
				  Agreement
Pursuant to O.C.G.A. Section
				  33-52-6, the Commissioner of
				  insurance must approve or disapprove any assumption reinsurance transaction
				  affecting Georgia insureds. This form has been designed to elicit the
				  information required by that section.
Assuming Company Name:
				  ___________________________________
Company NAIC #:
				  __________________________________________
Transferring Company Name:
				  _______________________________
Company NAIC #:
				  __________________________________________
Form Number or Identification of Policy Contracts to be
				  Transferred:
__________________________________________________________
Proposed Date of Transfer/Assumption:
Please provide a detailed statement explaining the reasons
				  for the transfer of the business:
__________________________________________________________
__________________________________________________________
__________________________________________________________
__________________________________________________________
Check the following items as submitted. Enclose additional
				  filings referenced by these numbers as necessary to document compliance with
				  these requirements.
______ 1. Attach a copy of the Assumption Reinsurance
Agreement.
______ 2. Attach a copy of the proposed Certificate of
Assumption.
______ 3. Attach a copy of the proposed Notice of Transfer
				  and proposed Second Notice of Transfer.
______ 4. If either the ceding or assuming company is not
				  domiciled in Georgia, please enclose copies of the approvals of the entire
				  transaction by the insurance supervisory officials of the states of domicile of
				  the companies involved.
______ 5. Attach a statement describing provisions made for
				  servicing those policyholders who reject the transfer.
______ 6. If the block of business to be assumed is
				  participating business by a stock or mutual company, attach a statement
				  describing the disposition of the accumulated surplus connected with the block
				  of business and the level of future dividends.
______ 7. Describe the effect of this assumption reinsurance
				  transaction on any policyholder protection under the Georgia Insurers
				  Insolvency Pool, the Georgia Life and Health Insurance Guaranty Association, or
				  any other state guaranty association or insolvency pool.
__________________________________
Signature
__________________________________
Name and Title (please type)
__________________________________
Street Address
__________________________________
City State Zip Code
__________________________________
Telephone Number
__________________________________
Date
IF YOU ARE AN INDIVIDUAL WITH A DISABILITY AND WISH TO
				  ACQUIRE THIS FORM IN AN ALTERNATIVE FORMAT, PLEASE CONTACT THE ADA COORDINATOR,
				  OFFICE OF COMMISSIONER OF INSURANCE, NO.2 MARTIN LUTHER KING, JR. DRIVE,
				  ATLANTA, GEORGIA 30334 404 656-2056, TDD # 404 656-4031.
O.C.G.A. Secs.
				  33-2-9,
				  33-52-3,
				  33-52-6.