reglab/statecodes huggingface dataset:
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18301 - Purpose

Current through Register Vol. 50, No. 6, June 20, 2024
A. The purpose of
				this regulation is to set forth rules and procedural requirements to establish
				uniform, national standards governing reserve financing arrangements pertaining
				to life insurance policies containing guaranteed nonlevel gross premiums,
				guaranteed nonlevel benefits and universal life insurance policies with
				secondary guarantees and to ensure that, with respect to each such financing
				arrangement, funds consisting of primary security and other security, as
				defined in §18305, are held by or on behalf of ceding insurers in the forms and
				amounts required herein. In general, reinsurance ceded for reserve financing
				purposes has one or more of the following characteristics: some or all of the
				assets used to secure the reinsurance treaty or to capitalize the reinsurer
1. are issued by the ceding insurer or its
				affiliates; or
2. are not
				unconditionally available to satisfy the general account obligations of the
				ceding insurer; or
3. create a
				reimbursement, indemnification, or other similar obligation on the part of the
				ceding insurer or any of its affiliates (other than a payment obligation under
				a derivative contract acquired in the normal course and used to support and
				hedge liabilities pertaining to the actual risks in the policies ceded pursuant
				to the reinsurance treaty).
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18303 - Applicability

Current through Register Vol. 50, No. 6, June 20, 2024
A. This regulation
				shall apply to reinsurance treaties that cede liabilities pertaining to covered
				policies, as that term is defined in §18305, issued by any life insurance
				company domiciled in this state. This regulation and Regulation 56 shall both
				apply to such reinsurance treaties, provided that in the event of a direct
				conflict between the provisions of this regulation and Regulation 56, the
				provisions of this regulation shall apply, but only to the extent of the
				conflict.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:651,
				  22:661,
				  22:753,
				  and the Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18305 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
A. Strictly for the
				purposes of Regulation 121, the following terms are defined as follows.
Actuarial Method
-the methodology used to
				  determine the required level of primary security, as described in
				  §18309 A
Commissioner
-the Louisiana Commissioner of
				  Insurance.
Covered Policies
-subject to the exemptions
				  described in §18307, covered policies, other than grandfathered policies, of
				  the following policy types:
a. life
				insurance policies with guaranteed nonlevel gross premiums and/or guaranteed
				nonlevel benefits, except for flexible premium universal life insurance
				policies; or
b. flexible premium
				universal life insurance policies with provisions resulting in the ability of a
				policyholder to keep a policy in force over a secondary guarantee period.
Grandfathered Policies
-policies of the types
				  described in the definition of covered policies that were:
a. issued prior to January 1, 2015;
				and
b. ceded, as of December 31,
				2014, as part of a reinsurance treaty that would not have met one of the
				exemptions set forth in §18307 had that section then been in effect.
Noncovered Policies
-any policy that does not
				  meet the definition of covered policies, including grandfathered
				  policies.
Other Security
-any security acceptable to
				  the commissioner other than security meeting the definition of primary
				  security.
Primary Security
-includes the following
				  forms of security:
a. cash meeting the
				requirements of
				R.S.
				22:652
b. securities listed by the Securities
				Valuation Office meeting the requirements of
				R.S.
				22:652, but excluding any synthetic letter of
				credit, contingent note, credit-linked note, or other similar security that
				operates in a manner similar to a letter of credit, and excluding any
				securities issued by the ceding insurer or any of its affiliates; and
c. for security held in connection with
				funds-withheld and modified coinsurance reinsurance treaties:
i. commercial loans in good standing of CM3
				quality and higher;
ii. policy
				loans; and
iii. derivatives
				acquired in the normal course and used to support and hedge liabilities
				pertaining to the actual risks in the policies ceded pursuant to the
				reinsurance treaty.
Required Level of Primary Security
-the
				  dollar amount determined by applying the actuarial method to the risks ceded
				  with respect to covered policies, but not more than the total reserve
				  ceded.
Valuation Manual
-the valuation manual
				  adopted by the NAIC as described in
				  R.S.
				  22:753(C)(2)(a), with all
				  amendments adopted by the NAIC that are effective for the financial statement
				  date on which credit for reinsurance is claimed.
VM-20
-"Requirements for Principle-Based
				  Reserves for Life Products," including all relevant definitions, from the
				  valuation manual.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18307 - Exemptions

Current through Register Vol. 50, No. 6, June 20, 2024
A. This regulation
				does not apply to the situations described in Paragraphs 1-7.
1. Reinsurance of:
a. policies that satisfy the criteria for
				exemption set forth in
				§10911.F and
				§10911.G of
				Regulation 85 and that are issued before the later of:
i. September 1, 2022; and
ii. the date on which the ceding insurer
				begins to apply the provisions of VM-20 to establish the ceded policies'
				statutory reserves, but in no event later than January 1, 2020;
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18313 - Severability

Current through Register Vol. 50, No. 6, June 20, 2024
A. If any provision
				of this regulation is held invalid, the remainder shall not be
				affected.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:651,
				  22:652,
				  22:661,
				  22:753,
				  and the Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18315 - Prohibition against Avoidance

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				No insurer that has covered policies to which this regulation applies, as set
				forth in §18303, shall take any action or series of actions, or enter into any
				transaction, arrangement, or series of transactions or arrangements if the
				purpose of such action, transaction, arrangement, or series thereof is to avoid
				the requirements of this regulation, or to circumvent its purpose and intent,
				as set forth in §18301
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:651,
				  22:652,
				  22:661,
				  22:753,
				  and the Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 183 - Regulation Number 121-Term and Universal Life Insurance Reserve Financing › Section XIII-18317 - Effective Date

Current through Register Vol. 50, No. 6, June 20, 2024
A. This
				regulation shall become effective September 1, 2022 and shall pertain to all
				covered policies in force as of and after that date.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:651,
				  22:652,
				  22:661,
				  22:753,
				  and the Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18501 - Purpose

Current through Register Vol. 50, No. 6, June 20, 2024
A. The purpose of
				this regulation is to define the roles and responsibilities solely within the
				purview of pharmacy benefit managers and pharmacy services administrative
				organizations as required by
				R.S.
				22:1660.9(C).
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  R.S.
				  22:1641(8),
				  R.S.
				  22:1655,
				  R.S.
				  22:1660.1(B)(1),
				  R.S.
				  22:1660.8,
				  R.S.
				  22:1660.9(C) and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18503 - Applicability and Scope

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Regulation 122 shall apply to all pharmacy benefit managers and pharmacy
				services administrative organizations licensed in Louisiana.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  R.S.
				  22:1641(8),
				  R.S.
				  22:1655,
				  R.S.
				  22:1660.1(B)(1),
				  R.S.
				  22:1660.8,
				  R.S.
				  22:1660.9(C) and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18505 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
Pharmacy Benefit Manager
-a person, business,
				  or other entity and any wholly or partially owned or controlled subsidiary of
				  such entity that either directly or through an intermediary manages or
				  administers the prescription drug and device portion of one or more health
				  benefit plans on behalf of a third party, including insurers, plan sponsors,
				  insurance companies, unions, and health maintenance organizations, in
				  accordance with a pharmacy benefit management plan. The management or
				  administration of a plan may include but is not limited to review, processing
				  of drug prior authorization requests, adjudication of appeals and grievances
				  related to the prescription drug benefit, contracting with network pharmacies,
				  and controlling the cost of covered prescription drugs.
Pharmacy Services Administrative
				  Organization
-an entity that provides a contracted pharmacy with
				  administrative, contracting, or payment services relating to prescription drug
				  benefits.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  R.S.
				  22:1641(8),
				  R.S.
				  22:1655,
				  R.S.
				  22:1660.1(B)(1),
				  R.S.
				  22:1660.8,
				  R.S.
				  22:1660.9(C) and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18507 - Roles and Responsibilities of Pharmacy Benefit Managers

Current through Register Vol. 50, No. 6, June 20, 2024
A. The roles and responsibilities solely
				within the purview of pharmacy benefit managers are as follows:
1. administering prescription drug plans for
				health plan sponsors;
2. formulary
				and benefit design support and management;
3. establishing reimbursement rates and
				making payments on behalf of health plan sponsors;
4. establishing and managing pharmacy
				networks to ensure network adequacy on behalf of health plans;
5. performing drug utilization
				management;
6. administering
				disease management and drug adherence programs; and
7. negotiating rebates and discounts from
				drug manufacturers.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18509 - Roles and Responsibilities of Pharmacy Services Administrative Organizations

Current through Register Vol. 50, No. 6, June 20, 2024
A. The
				roles and responsibilities solely within the purview of pharmacy services
				administrative organizations are as follows:
1. negotiating contracts, drug reimbursement
				rates, payments, and audit terms on behalf of pharmacy clients with pharmacy
				benefit managers;
2. billing and
				collecting payments from payers on behalf of pharmacies;
3. using contractual agreements to develop
				networks of member pharmacies. These agreements generally authorize pharmacy
				services administrative organizations to interact with third-party payers and
				pharmacy benefit managers;
4.
				negotiating access for pharmacies to networks and patients;
5. facilitating the purchase of prescription
				drugs and other medical products from drug manufacturers and providing for
				delivery to pharmacies for dispensing; and
6. assisting pharmacy clients with business
				strategy, pricing appeals, claims reconciliation, and certification and
				credentialing requirements.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 185 - Regulation Number 122-Roles and Responsibilities of Pharmacy Benefit Managers and Pharmacy Services Administrative Organizations › Section XIII-18511 - Effective Date

Current through Register Vol. 50, No. 6, June 20, 2024
A. This
				regulation shall become effective upon final publication in the Louisiana
				Register.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  R.S.
				  22:1641(8),
				  R.S.
				  22:1655,
				  R.S.
				  22:1660.1(B)(1),
				  R.S.
				  22:1660.8,
				  R.S.
				  22:1660.9(C) and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18701 - Authority

Current through Register Vol. 50, No. 6, June 20, 2024
A. This regulation
				is promulgated on behalf of the Department of Insurance by the Commissioner of
				Insurance pursuant to the authority granted under Title 22.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18703 - Purpose

Current through Register Vol. 50, No. 6, June 20, 2024
A. The purpose of
				this regulation is to establish and identify the responsibilities of an
				insurance producer licensed for the line of bail bonds with respect to
				collateral accepted and held by the producer pursuant to a written bail bond
				collateral agreement.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18705 - Scope and Applicability

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Regulation 123 sets forth requirements related to bail bond collateral
				agreements and identifies the responsibilities of a bail bond producer with
				respect to any collateral received as part of a bail bond
				transaction.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18707 - Severability

Current through Register Vol. 50, No. 6, June 20, 2024
A. The provisions
				of this Subpart are severable. If any provision or item of this Subpart, or
				application thereof, is held invalid, such invalidity shall not affect other
				provisions, items, or applications of this Subpart which are to be given effect
				without the invalid provision, item, or application of the Subpart.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S. R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18709 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
A. These terms when
				used in this Chapter shall have the following meanings.
Bail
-the security given by a person to
				  assure a defendant's appearance before the proper criminal court whenever
				  required.
Bail Bond Producer
-any person, corporation,
				  or partnership which holds an insurance license and has a contract and an
				  appointment from an insurer licensed and authorized to provide surety in
				  Louisiana.
Bail Bond Transaction
-a transaction between
				  a bail bond producer or agency and defendant or person on behalf of defendant
				  to secure collateral, premiums, and fees for securing the release of a
				  defendant and guaranteeing a set sum of money to the court if the defendant
				  fails to appear in criminal court when required. Furthermore, a bail bond
				  transaction includes the solicitation and inducement, preliminary negotiation,
				  and effectuation of a contract of surety insurance and matters related thereto,
				  all in connection with the defendant's release.
Collateral
-anything of value, including
				  money, personal property, or real property, which is accepted by a bail bond
				  producer as security against potential losses arising from a contract of surety
				  and is utilized as part of a bail bond transaction.
Commissioner
-the Louisiana Commissioner of
				  Insurance.
Fiduciary
-a person who holds a thing in
				  trust for another, such as a trustee; a person holding the character of a
				  trustee, or a character analogous to that of a trustee, with respect to the
				  trust and confidence involved in it and the scrupulous good faith and candor
				  which it requires; a person having the duty, created by his undertaking, to act
				  primarily for another's benefit in matters connected with such
				  undertaking.
Forfeiture
-the issuance of a judgment of
				  bond forfeiture resulting from a defendant's failure to appear in court when
				  required or to otherwise comply with any court ordered conditions of release as
				  contemplated in the Code of Criminal Procedure.
Insurance Producer
-a person required to be
				  licensed under the laws of this state to sell, solicit, or negotiate insurance,
				  and includes all persons or business entities otherwise referred to in Title 22
				  of the Louisiana Insurance Code as insurance agent or agent, or insurance
				  broker or broker, or insurance solicitor or solicitor, or surplus lines
				  broker.
Surety
-an insurer licensed and authorized to
				  provide surety in Louisiana.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18711 - Necessity of a Written Agreement for Collateral

Current through Register Vol. 50, No. 6, June 20, 2024
A. All agreements concerning collateral must
				be in writing.
B. Written
				collateral agreements shall not contain any provision that is contrary to the
				requirements of this regulation or to those set forth in any law in Louisiana
				regarding bail bonds.
C. Written
				collateral agreements must include the full name of the person pledging the
				collateral, the full name of the defendant to be released, an accurate and
				sufficiently detailed description of the collateral, the bond amount, the power
				of attorney number, and such other information as necessary to specify the bail
				bond related to the collateral agreement.
D. A copy of the written collateral agreement
				and a written receipt for the collateral shall be provided to the person
				offering the collateral at the time of the transaction.
E. Written collateral agreements must also
				contain assurances that the collateral will not be used by the bail bond
				producer or surety for personal benefit or gain and that the collateral will be
				returned in the same condition as pledged.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18713 - Requirements for Collateral

Current through Register Vol. 50, No. 6, June 20, 2024
A. A
				bail bond producer or surety that accepts collateral as security for a bail
				bond shall comply with all of the following requirements:
1. For a bail bond producer or surety to
				accept collateral, the person pledging the collateral must have voluntarily
				pledged it at the time of the bail bond transaction and execution of the
				written collateral agreement. The intent to pledge collateral to secure the
				defendant's release must be clearly stated and verified by the signature of the
				person pledging the collateral.
2.
				The collateral shall be received and held in the surety's name by the bail bond
				producer or surety in a fiduciary capacity.
3. The collateral must be reasonable in
				relation to the face amount of the bond, and the collateral's value must be
				determined before the collateral agreement is executed.
4. The bail bond producer or surety shall
				keep and maintain collateral separate and apart from any other funds or
				assets.
5. It shall be a prohibited
				act pursuant to
				R.S.
				22:1562 for any bail bond producer or surety
				to use any collateral for personal benefit or gain, or to fail to return the
				collateral to the person pledging it in the same condition as received by the
				bail bond producer or surety.
6.
				The bail bond producer or surety shall provide the person pledging the
				collateral a written receipt for the collateral received. The written receipt
				must include a detailed and specific description of the collateral, the full
				name of the person pledging the collateral, the full name of the defendant, the
				date of the bond, the approximate value of any non-cash collateral, and the
				specific amount of cash or other collateral.
7. If the parties to the collateral agreement
				subsequently agree to substitute other things of value as collateral, the
				substitution must be reflected in a new written collateral agreement, and the
				bail bond producer or surety must issue a new written receipt to the person
				pledging the substituted collateral.
8. The bail bond producer or surety shall
				return the collateral to the person who pledged the collateral not more than 30
				days after the bail obligation is discharged in accordance with article 331 of
				the Code of Criminal Procedure.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18715 - Deductions from Collateral

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Only the premium amounts, fees, and expenses authorized pursuant to
				R.S.
				22:1443, or as otherwise permitted in
				accordance with applicable state law, shall be recoverable by any bail bond
				producer or surety. No fee or other charge of any nature shall be deducted from
				the collateral due or charged in association with the storage or keeping of the
				collateral by the bail bond producer or surety.
B. A documented and itemized list of any such
				fees or expenses shall be given to the person who pledged the collateral. A
				copy of such documentation and itemization shall also be available to the
				Commissioner upon his request.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18717 - Violations

Current through Register Vol. 50, No. 6, June 20, 2024
A. Failure to
				comply with the provisions of this regulation may be determined by the
				Commissioner to be a violation of
				R.S.
				22:1562, and the violator shall be subject to
				penalties pursuant to
				R.S.
				22:1554.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 187 - Regulation 123-Producer Responsibility for Bail Bond Collateral › Section XIII-18719 - Effective Date

Current through Register Vol. 50, No. 6, June 20, 2024
A. This
				regulation shall become effective upon final publication in the Louisiana
				Register.
AUTHORITY
				  NOTE: Promulgated in accordance with
				  R.S.
				  22:2,
				  22:11,
				  22:1542,
				  22:1547,
				  22:1554,
				  22:1562, and the Administrative
				  Procedure Act,
				  R.S.
				  49:950, et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18901 - Purpose

Current through Register Vol. 50, No. 6, June 20, 2024
A. The purpose and
				intent of Regulation 125 is to exercise the authority and carry out the duties
				and responsibilities of the commissioner for implementation and regulation of
				the Insure Louisiana Incentive Program, hereinafter referred to as the
				"Incentive Program". Regulation 125 sets forth rules and procedural
				requirements which the commissioner deems necessary for participation in the
				Incentive Program by qualified property insurers.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18903 - Authority

Current through Register Vol. 50, No. 6, June 20, 2024
A. Regulation 125
				is promulgated pursuant to the authority and responsibility delegated to the
				commissioner under
				R.S.
				22:2361 through
				2371, Act No. 1 and Act No. 2 of
				the 2023 Extraordinary Session of the Louisiana Legislature, and pursuant to
				the general powers granted by law to the commissioner and the
				department.
AUTHORITY NOTE:
				  Promulgated in accordance with Act No. 1 of the 2023 Extraordinary Session and
				  Act No. 2 of the 2023 Extraordinary Session,
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18905 - Applicability and Scope

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Regulation 125 shall apply to all authorized insurers as defined in
				R.S.
				22:46(3) operating and
				writing insurance for residential and commercial properties in the state, and
				to any approved unauthorized insurer as defined in
				R.S.
				22:46(2) operating and
				writing insurance for residential and commercial properties in the state,
				eligible unauthorized insurer as defined in
				R.S.
				22:46(10) operating and
				writing insurance for residential and commercial properties in the state, or
				domestic surplus lines insurer as provided for in
				R.S.
				22:436.1 operating and writing insurance for
				residential and commercial properties in the state and collectively referred to
				as a surplus lines insurer as defined in
				R.S.
				22:46(27).
B. Regulation 125 governs all aspects of the
				Incentive Program including, but not limited to, the invitation and application
				process for grants, the qualifications of grantees, the award of grants, the
				use of grant funds, the reporting requirements for grantees, the requirements
				for matching capital funds, the requirements for minimum capital and surplus,
				the requirements for earned capital, the requirements for default, and other
				regulation and administration of the Incentive Program.
AUTHORITY NOTE:
				  Promulgated in accordance with Act No. 1 of the 2023 Extraordinary Session and
				  Act No. 2 of the 2023 Extraordinary Session,
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18907 - Definitions

Current through Register Vol. 50, No. 6, June 20, 2024
A. For the purposes
				of Regulation 125, the following terms are defined as follows:
Authorized Insurer
- an insurer with a
				  certificate of authority in Louisiana.
Commissioner
- the Commissioner of Insurance
				  of the state of Louisiana.
Department
- the Department of Insurance of
				  the state of Louisiana.
Domestic Insurer
- an insurer formed under
				  the laws of the state of Louisiana that has been authorized by the department
				  to sell insurance products in the state of Louisiana.
Earning Period
- the timeframe, including any
				  extension granted by the commissioner, in which the grantee can earn 20 percent
				  or the pro rata share of the grant award.
Grantee
- a property insurer to whom a grant
				  is made from the Incentive Program Fund.
Incentive Program
(where capitalized)-the
				  Insure Louisiana Incentive Program as created, authorized and administered
				  pursuant to
				  R.S.
				  22:2361 et seq., and Regulation 125.
Incentive Program Fund
(where
				  capitalized)-the Insure Louisiana Incentive Fund established and created
				  pursuant to
				  R.S.
				  22:2371 and Regulation 125.
Legal Interest
- interest at the rate fixed
				  in R.S.
				  13:4202.
Net Written Premiums
- the total premiums,
				  exclusive of assessments and other charges, paid by policyholders to an insurer
				  for policies that comply with Regulation 125, minus any return premiums or
				  other premium credits due policyholders, as defined in
				  R.S.
				  22:2369(A). Premium received
				  from participation in the depopulation or take-out program of Louisiana
				  Citizens Property Insurance Corporation shall be included in net premiums
				  written.
Newly Allocated Insurer Capital
- capital
				  committed by an insurer to match any grant funds received from the Incentive
				  Program Fund.
Reporting Period
- the financial statement
				  reporting date of March 31, June 30, September 30, and December 31 of each
				  respective year in the Incentive Program.
Surplus Lines Insurer
- an insurer without a
				  certificate of authority that meets the eligibility criteria of
				  R.S.
				  22:435(A)(2) and (B) and
				  from which a licensed surplus lines broker may procure insurance under the
				  provisions of
				  R.S.
				  22:432.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18909 - Matching Capital Grants

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				From funds appropriated by the legislature for the Incentive Program Fund
				established and created in the state treasury under
				R.S.
				22:2371, the commissioner may grant matching
				capital funds to qualified property insurers in accordance with the
				requirements of
				R.S.
				22:2361 through
				2371 and Regulation 125.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18911 - Public Invitation for Grant Applications

Current through Register Vol. 50, No. 6, June 20, 2024
A. Pursuant to
				R.S.
				22:2361 et seq., and Regulation 125, the
				commissioner shall issue an initial public invitation to property insurers to
				submit applications for grants under the Incentive Program.
B. The invitation shall be published for at
				least a 30-day period on the department's web site and in state and national
				insurance journals and publications as the commissioner deems
				appropriate.
C. The invitation
				shall describe the Incentive Program and provide general information about the
				grant application process.
D. The
				invitation shall set a deadline for receipt of grant applications. All grant
				applications should be submitted to the department either by certified mail,
				return receipt requested, actual delivery by a commercial interstate courier,
				or electronic mail. Failure to timely submit a grant application may render the
				property insurer ineligible to participate in the Incentive Program. However,
				for good cause shown, the commissioner may extend the deadline and consider
				applications received after the deadline or give a property insurer the
				opportunity to cure a non-substantive deficiency in the application.
E. In the event that all monies in the
				Incentive Program Fund are not allocated in response to the first invitation,
				the commissioner may issue a second invitation for grant applications in the
				form and pursuant to the procedures utilized for the first
				invitation.
F. In the event that
				all monies in the Incentive Program Fund are not allocated in response to the
				second invitation, the commissioner may issue a third invitation for grant
				applications in the form and pursuant to the procedures utilized for the first
				and second invitations.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18913 - Applications

Current through Register Vol. 50, No. 6, June 20, 2024
A. The department
				shall provide an application form to be fully completed by grant applicants.
				The application form may be revised by the department as it deems
				appropriate.
B. The grant
				application shall require the property insurer to designate a point of contact
				with a telephone number, email address and physical address to represent the
				property insurer on all matters pertaining to the grant process and the
				Incentive Program.
C. The grant
				application shall be filed contemporaneously with the application for licensure
				with the department by a surplus lines insurer. The application for licensure
				expresses the applicant's intent to become licensed in this state as an
				authorized insurer and, if specifically requested in writing by the grant
				applicant in the application for licensure, will be processed contingent upon
				approval of the allocation of a grant award.
D. Only fully completed grant applications or
				those deemed acceptable by the commissioner shall be considered for a grant
				award.
E. The grant application
				shall be submitted to the department's Office of Financial Solvency, as
				outlined in the invitations issued under
				§18911
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18915 - Qualifications for Applying for Grant Funds

Current through Register Vol. 50, No. 6, June 20, 2024
A. Minimum Solvency Requirements. Grants
				shall be made only to property insurers who initially satisfy and thereafter
				maintain the following minimum solvency requirements:
1. capital and surplus in an amount not less
				than $10,000,000;
2. a property
				insurer with a financial strength rating that meets the following requirements:
a. AM Best Company "B+" or better;
				or
b. Demotech, Inc. "A" or better;
				or
c. AM Best Company "A" or better
				for licensed surplus lines insurers.
NOTE: Property insurers rated by more than one rating company
				  need only meet one of the rating requirements.
3. risk-based capital ratio of 400 percent at
				the initial grant award, which shall be maintained during the property
				insurer's participation in the Incentive Program; and
4. sufficient reinsurance to demonstrate that
				its reinsurance program is sufficient for the amount of business to be written
				pursuant to the Incentive Program.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18917 - Award and Allocation of Grants

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Subject to the requirements of this Section, to carry out the purpose and
				intent of the Incentive Program, the commissioner shall award and allocate
				grants as the commissioner deems appropriate among qualified property insurers
				who have applied for grants. The commissioner has the discretion to create an
				advisory committee to assist in the analysis of grant applications. If created,
				the advisory committee will be composed of up to five members, designated to
				serve thereon by the commissioner.
B. The factors considered in awarding grants
				shall include, but are not limited to, the following:
1. the financial strength and satisfactory
				prior experience of the applicant;
2. the ability of the applicant to invest new
				capital and to comply with the other requirements of the grant;
3. the potential of the applicant for
				providing property insurance as required by the Incentive Program at reasonable
				and competitive rates, particularly for property owners in the following
				Louisiana parishes: Acadia, Allen, Ascension, Assumption, Beauregard,
				Calcasieu, Cameron, East Baton Rouge, East Feliciana, Evangeline, Iberia,
				Iberville, Jefferson, Jefferson Davis, Lafayette, Lafourche, Livingston,
				Orleans, Plaquemines, Pointe Coupee, Sabine, St. Bernard, St. Charles, St.
				Helena, St. James, St. John the Baptist, St. Landry, St. Martin, St. Mary, St.
				Tammany, Tangipahoa, Terrebonne, Vermilion, Vernon, Washington, West Baton
				Rouge, and West Feliciana;
4. the
				marketing and claims handling capability and experience of the applicant, and
				particularly its ability to market property insurance in the parishes listed in
				§18917.B.3 and to
				handle future claims that may arise;
5. the applicant's longevity in the Incentive
				Program, including a statement or plan of operation by the applicant
				demonstrating its intent to remain in this state following the completion of
				the Incentive Program;
6. the
				current licensure of the applicant where preference and priority will be given
				to those admitted property insurers that are currently licensed to do business
				in this state for the line or lines of business that are the subject of the
				grant; and
7. any other factors
				that the commissioner deems applicable, relevant and appropriate in carrying
				out the purpose and intent of the Incentive Program.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18919 - Authorized Insurers

Current through Register Vol. 50, No. 6, June 20, 2024
A. A
				surplus lines insurer may apply for a grant, provided that the surplus lines
				insurer shall, contemporaneously with the grant application, file an
				application for licensure with the department for the line or lines of
				insurance for which it must be authorized and licensed to write for a grant
				award. If specifically requested in writing by the grant applicant in the
				application for licensure, such application will be processed contingent upon
				approval of a grant award.
B. A
				surplus lines insurer must obtain a certificate of authority to do business in
				Louisiana as an authorized insurer before it may actually receive grant
				funding.
C. If the surplus lines
				insurer does not apply timely to be admitted or subsequently is not approved
				for a certificate of authority, the surplus lines insurer shall not be entitled
				to receive a grant.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18921 - Certification of Deposit

Current through Register Vol. 50, No. 6, June 20, 2024
A. Within
				10 days of receipt of any Incentive Program Funds, the grantee shall provide to
				the commissioner written certification signed by two principal officers of the
				grantee that the Incentive Program Funds have been deposited in an account held
				in the name of the grantee and pledged to the department.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18923 - Property Insurance Requirements

Current through Register Vol. 50, No. 6, June 20, 2024
A. The grantee shall write new property
				insurance in Louisiana of the types described in
				R.S.
				22:2369 and this Section of Regulation 125
				with net written premiums of at least a ratio of $2 of premium for each $1 of
				the total of newly allocated property insurer capital combined with the grant
				from the Incentive Program Fund. Thus, if the grantee allocates $2,000,000 in
				capital and receives a matching state grant of $2,000,000, the grantee must
				write property insurance in Louisiana with net premiums of at least
				$8,000,000.
B. To comply with the
				requirements of the grant, new property insurance written by the grantee shall
				be residential, commercial, mono-line, or package property insurance policies
				in this state and shall include coverage for wind and hail with limits equal to
				the limits provided for other perils insured under such policies.
C. The net written premium requirements of
				this Section shall be satisfied only by new property insurance coverages
				reported on the Annual Statement State Page filed with the department under
				lines 1 (Fire), 2.1 (Allied Lines), 3 (Farmowners), 4 (Homeowners), or 5.1
				(Commercial Multiperil Non-liability).
D. Grantees shall also comply with the
				following.
1. In the first 24 months after
				receipt of matching capital fund grants, the grantee shall write at least 50
				percent of the net written premiums for policyholders whose insured property is
				located in the parishes listed in
				§18917.B.3 The
				grantee shall maintain this net written premium ratio over five years to fully
				earn the matching capital fund grant in accordance with
				R.S.
				22:2370 unless an extension has been granted
				by the commissioner under
				R.S.
				22:2370.B or
				§18929.C of
				Regulation 125.
2. The net written
				premium ratio of
				§18923.D.1 applies
				only to the net minimum premium required under
				§18923.A Thus, the
				grantee may write additional Louisiana property coverage without regard to the
				ratio required by
				§18923.D.1
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18925 - Funding Schedule

Current through Register Vol. 50, No. 6, June 20, 2024
A. Unless
				expedited funding is requested by the grantee and authorized by the
				commissioner, a grant that has been fully approved shall be funded on the next
				regular quarterly period thereafter, i.e., January 1, April 1, July 1, or
				October 1.
AUTHORITY NOTE:
				  Promulgated in accordance with
				  R.S.
				  22:11,
				  22:2361 et seq., and the
				  Administrative Procedure Act,
				  R.S.
				  49:950 et
				  seq.
Louisiana Administrative Code › Title 37 - INSURANCE › Part XIII - Regulations › Chapter 189 - Regulation Number 125-Insure Louisiana Incentive Program › Section XIII-18927 - Reporting Requirements

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				Grantee shall segregate and report any grants received on the line titled
				"Aggregate Write-In for Special Surplus Funds" in the NAIC Annual and Quarterly
				Statement Blanks.
B. Grantee shall
				report annually by March 1 and quarterly by May 15, August 15, and November 15
				of each year on a form acceptable to the commissioner the following information
				for the preceding year and quarter ends:
1.
				the amount of premium written by parish under the Incentive Program;
2. the amount of premium by parish associated
				with properties located in the parishes listed in
				§18917.B.3
3. the amount of premium by parish taken-out
				from the Louisiana Citizens Property Insurance Corporation.
4. the amount of premium by parish, including
				and in addition to that written under the Incentive Program.