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 120-2-49 - ADMINISTRATOR REGULATION › Rule 120-2-49-.03 - License; Application; Issuance; Net Worth; Probationary License; Exemption

Current through Rules and Regulations filed through June 27, 2024
(1) It is unlawful for any business entity to
				act as or hold itself out to be an administrator in this State without a valid
				license issued by the Commissioner of Insurance. To qualify for and hold a
				license to act as an administrator in this State, an administrator must
				otherwise be in compliance with Article 2 of Chapter 23 of Title 33 of the
				Official Code of Georgia Annotated, this Regulation, and with its
				organizational agreement.
(2) The
				administrator shall file with the Commissioner an application for a license
				upon a form to be furnished by the Commissioner, which application shall
				include or have attached the following information and documents and any other
				materials the Commissioner deems necessary to adequately assess the merits of
				the application:
(a) All basic organizational
				documents of the administrator, the articles of incorporation, articles of
				association, partnership agreement, trade name certificate, trust agreement,
				shareholder agreement, and other applicable documents, and all amendments to
				those documents.
(b) The bylaws,
				rules and regulations or similar documents regulating the conduct or the
				internal affairs of the administrator.
(c) The names, addresses, official positions,
				and professional qualifications of the individuals who are responsible for the
				conduct of the affairs of the administrator, including all members of the board
				of directors, board of trustees, executive committee, or other governing board
				or committee, the principal officers in the case of a corporation, the partners
				or members in the case of a partnership or association, and any other person
				who exercises control or influence over the affairs of the
				administrator.
(d) Financial
				statements certified by the President, Chief Financial Officer or Treasurer or
				audited reports for the two most recent years, or such other information as the
				Commissioner may require in order to review the current financial condition of
				the applicant.
(e) If the applicant
				is not currently acting as an administrator, a statement of the amounts and
				sources of the funds available for organizational expenses and the proposed
				arrangements for reimbursement and compensation of incorporators or other
				principals.
(f) Proof that the
				applicant possesses a minimum net worth of $200,000; however, the Commissioner
				may, in his or her discretion, require a higher net worth if he or she deems
				such higher net worth necessary for the protection of the public. Letters of
				credit, backstop guarantees and special corporate structures will not be taken
				into consideration by the Commissioner in determining the net worth
				requirement.
(g) An application for
				an administrator's license or an application for renewal of such license shall
				be accompanied by fees as provided in O.C.G.A. §
										33-8-1.