reglab/statecodes huggingface dataset:
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-11 - Reinsurance Transactions by Licensed Life Insurers › Section 45-04-11-01 - Financial statement prohibitions

Current through Supplement No. 393, July, 2024
1. No
				licensed life insurer shall, for reinsurance ceded, reduce any liability or
				establish any asset in any financial statement filed with this department if,
				by the terms of the reinsurance agreement, in substance or effect, any of the
				following conditions exist:
a. The primary
				effect of the reinsurance agreement is to transfer deficiency reserves or
				excess interest reserves to the books of the reinsurer for a "risk charge" and
				the agreement does not provide for significant participation by the reinsurer
				in one or more of the following risks: mortality, morbidity, investment, or
				surrender benefit;
b. The reserve
				credit taken by the ceding insurer is in excess of the actuarial reserve
				necessary, under the North Dakota insurance law or rules, including actuarial
				interpretations or standards adopted by the department, to support the policy
				obligations transferred under the reinsurance agreement;
c. The reserve credit taken by the ceding
				insurer is greater than the underlying reserve of the ceding company supporting
				the policy obligations transferred under the reinsurance agreement;
d. The ceding insurer is required to
				reimburse the reinsurer for negative experience under the reinsurance
				agreement, except that neither offsetting experience refunds against prior
				years' losses nor payment by the ceding insurer of an amount equal to prior
				years' losses upon voluntary termination of inforce reinsurance by that ceding
				insurer shall be considered such a reimbursement to the insurer for negative
				experience;
e. The ceding insurer
				can be deprived of surplus at the reinsurer's option or automatically upon the
				occurrence of some event, such as the insolvency of the ceding insurer, except
				that termination of the reinsurance agreement by the reinsurer for nonpayment
				of reinsurance premiums shall not be considered to be such a deprivation of
				surplus;
f. The ceding insurer
				must, at specific points in time scheduled in the agreement, terminate or
				automatically recapture all or part of the reinsurance ceded;
g. No cash payment is due from the reinsurer,
				throughout the lifetime of the reinsurance agreement, with all settlements
				prior to the termination date of the agreement made only in a "reinsurance
				account", and no funds in such account are available for the payment of claims;
				or
h. The reinsurance agreement
				involves the possible payment by the ceding insurer to the reinsurer of amounts
				other than from income reasonably expected from the reinsured policies.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-11 - Reinsurance Transactions by Licensed Life Insurers › Section 45-04-11-02 - Financial statement requirements

Current through Supplement No. 393, July, 2024
1. No
				reinsurance agreement or amendment to any reinsurance agreement may be used to
				reduce any liability or to establish any asset in any financial statement filed
				with this department, unless the agreement, amendment, or a letter of intent
				has been duly executed by both parties no later than the "as of date" of the
				financial statement.
2. In the
				case of a letter of intent, a reinsurance agreement or an amendment to a
				reinsurance agreement must be executed within a reasonable period of time, not
				exceeding ninety days from the execution date of the letter of intent, in order
				for credit to be granted for the reinsurance ceded.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-05-04, 26.1-05-19,
					 26.1-05-32
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-11 - Reinsurance Transactions by Licensed Life Insurers › Section 45-04-11-03 - Financial statement exceptions

Current through Supplement No. 393, July, 2024
Notwithstanding section
				  45-04-11-01, licensed life
				  insurers may continue to reduce liabilities or establish assets in financial
				  statements filed with this department for reinsurance ceded under types of
				  reinsurance agreements described in section
				  45-04-11-01, provided:
1. The agreements were executed and in force
				prior to October 1, 1989;
2. No
				new business is ceded under the agreements after October 1, 1989;
3. The reduction of the liability or the
				asset established for the reinsurance ceded is reduced to zero by December 31,
				1992, or such later date approved by the commissioner as a result of an
				application made by the ceding insurer prior to December 31, 1989;
4. The reduction of the liability or the
				establishment of the asset is otherwise permissible under all other applicable
				provisions of the insurance law or rules, including actuarial interpretations
				or standards adopted by the department; and
5. The insurance department is notified,
				within sixty days following October 1, 1989, of the existence of such
				reinsurance agreements and all corresponding credits taken in the ceding
				insurer's 1988 annual statement.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-05-04, 26.1-05-32,
					 26.1-05-19
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-12 - Valuation of Life Insurance Policies › Section 45-04-12-01 - Applicability

Current through Supplement No. 393, July, 2024
This chapter shall apply to all life insurance policies,
				  with or without nonforfeiture values, issued on or after January 1, 2000,
				  subject to the following exceptions and conditions:
1.
Exceptions.
a. This chapter shall not apply to any
				individual life insurance policy issued on or after January 1, 2000, if the
				policy is issued in accordance with and as a result of the exercise of a
				reentry provision contained in the original life insurance policy of the same
				or greater face amount issued before January 1, 2000, which guarantees the
				premium rates of the new policy. This chapter also shall not apply to
				subsequent policies issued as a result of the exercise of such a provision, or
				a derivation of the provision, in the new policy.
b. This chapter shall not apply to any
				universal life policy that meets all the following requirements:
(1) Secondary guarantee period, if any, is
				five years or less;
(2) Specified
				premium for the secondary guarantee period is not less than the net level
				reserve premium for the secondary guarantee period based on the CSO valuation
				tables as defined in subsection 6 of section
				45-04-12-02 and the applicable
				valuation interest rate; and
(3)
				The initial surrender charge is not less than one hundred percent of the first
				year annualized specified premium for the secondary guarantee period.
c. This chapter shall
				not apply to any variable life insurance policy that provides for life
				insurance, the amount or duration of which varies according to the investment
				experience of any separate account or accounts.
d. This chapter shall not apply to any
				variable universal life insurance policy that provides for life insurance, the
				amount or duration of which varies according to the investment experience of
				any separate account or accounts.
e. This chapter shall not apply to a group
				life insurance certificate unless the certificate provides for a stated or
				implied schedule of maximum gross premiums required in order to continue
				coverage in force for a period in excess of one year.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-12 - Valuation of Life Insurance Policies › Section 45-04-12-03 - General calculation requirements for basic reserves and premium deficiency reserves

Current through Supplement No. 393, July, 2024
1. At the election
				of the company for any one or more specified plans of life insurance, the
				minimum mortality standard for basic reserves may be calculated using the 1980
				CSO valuation tables with select mortality factors, or any other valuation
				mortality table adopted by the national association of insurance commissioners
				after January 1, 2000, and promulgated by rule by the commissioner for this
				purpose. If select mortality factors are elected, they may be:
a. The ten-year select mortality factors
				incorporated into the 1980 amendments to the national association of insurance
				commissioners standard valuation law;
b. The select mortality factors in the
				appendix; or
c. Any other table of
				select mortality factors adopted by the national association of insurance
				commissioners after January 1, 2000, and promulgated by rule by the
				commissioner for the purpose of calculating basic reserves.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-12 - Valuation of Life Insurance Policies › Section 45-04-12-04 - Calculation of minimum valuation standard for policies with guaranteed nonlevel gross premiums or guaranteed nonlevel benefits, other than universal life policies

Current through Supplement No. 393, July, 2024
1. Basic reserves.
				Basic reserves shall be calculated as the greater of the segmented reserves and
				the unitary reserves. Both the segmented reserves and the unitary reserves for
				any policy shall use the same valuation mortality table and selection factors.
				At the option of the insurer, in calculating segmented reserves and net
				premiums, either of the adjustments described in subdivision a or b may be
				made:
a. Treat the unitary reserve, if
				greater than zero, applicable at the end of each segment as a pure endowment
				and subtract the unitary reserve, if greater than zero, applicable at the
				beginning of each segment from the present value of guaranteed life insurance
				and endowment benefits for each segment.
b. Treat the guaranteed cash surrender value,
				if greater than zero, applicable at the end of each segment as a pure endowment
				and subtract the guaranteed cash surrender value, if greater than zero,
				applicable at the beginning of each segment from the present value of
				guaranteed life insurance and endowment benefits for each segment.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-12 - Valuation of Life Insurance Policies › Section 45-04-12-05 - Calculation of minimum valuation standard for flexible premium and fixed premium universal life insurance policies that contain provisions resulting in the ability of a policy owner to keep a policy in force over a secondary guarantee period

Current through Supplement No. 393, July, 2024
1. General.
a. Policies with a secondary guarantee
				include:
(1) A policy with a guarantee that
				the policy will remain in force at the original schedule of benefits, subject
				only to the payment of specified premiums;
(2) A policy in which the minimum premium at
				any duration is less than the corresponding one-year valuation premium,
				calculated using the maximum valuation interest rate and the 1980 CSO valuation
				tables with or without ten-year select mortality factors, or any other table
				adopted after January 1, 2000, by the national association of insurance
				commissioners and promulgated by rule by the commissioner for this purpose; or
(3) A policy with any combination
				of paragraphs 1 and 2.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-14 - Military Sales Practices › Section 45-04-14-02 - Scope

Current through Supplement No. 393, July, 2024
1. This chapter applies to the solicitation
				or sale of any life insurance or annuity product by an insurer or insurance
				producer to an active duty service member of the United States armed forces.
				This rule shall not apply to solicitations or sales involving;
a. Credit insurance;
b. Group life insurance or group annuities
				when there is no in-person, face-to-face solicitation of individuals by an
				insurance producer or when the contract or certificate does not include a side
				fund;
c. An application to the
				existing insurer that issued the existing policy or contract when a contractual
				change or a conversion privilege is being exercised or, when the existing
				policy or contract is being replaced by the same insurer pursuant to a program
				filed with and approved by the commissioner or, when a term conversion
				privilege is exercised among corporate affiliates;
d. Individual stand-alone health policies,
				including disability income policies;
e. Contracts offered by SGLI or VGLI, as
				authorized by 38 U.S.C. section 1965 et seq.;
f. Life insurance contracts offered through
				or by a nonprofit military association qualifying under section 501(c)(23) of
				the Internal Revenue Code and which are not underwritten by an insurer; or
g. Contracts used to fund:
(1) An employee pension or welfare benefit
				plan that is covered by the Employee Retirement and Income Security Act
				(ERISA);
(2) A plan described by
				sections 401(a), 401 (k), 403(b), 408(k) or 408(p) of the Internal Revenue
				Code, as amended, if established or maintained by an employer;
(3) A government or church plan defined in
				section 414 of the Internal Revenue Code, a government or church welfare
				benefit plan, or a deferred compensation plan of a state or local government or
				tax-exempt organization under section 457 of the Internal Revenue Code;
(4) A nonqualified deferred
				compensation arrangement established or maintained by an employer or plan
				sponsor;
(5) Settlements of or
				assumptions of liabilities associated with personal injury litigation or any
				dispute or claim resolution process; or
(6) Prearranged funeral contracts.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-04 - Life Insurance › Chapter 45-04-14 - Military Sales Practices › Section 45-04-14-03 - Practices declared false, misleading, deceptive, or unfair on a military installation

Current through Supplement No. 393, July, 2024
1. The
				following acts or practices when committed on a military installation by an
				insurer or insurance producer with respect to the in-person, face-to-face
				solicitation of life insurance are declared to be false, misleading, deceptive,
				or unfair:
a. Knowingly soliciting the
				purchase of any life insurance product door to door or without first
				establishing a specific appointment for each meeting with the prospective
				purchaser;
b. Soliciting service
				members in a group or mass audience or in a captive audience where attendance
				is not voluntary;
c. Knowingly
				making appointments with or soliciting service members during their normally
				scheduled duty hours;
d. Making
				appointments with or soliciting service members in barracks, day rooms, unit
				areas, or transient personnel housing or other areas where the installation
				commander has prohibited solicitation;
e. Soliciting the sale of life insurance
				without first obtaining permission from the installation commander or the
				commander's designee;
f. Posting
				unauthorized bulletins, notices, or advertisements;
g. Failing to present DD form 2885, personal
				commercial solicitation evaluation, to service members solicited or encouraging
				service members solicited not to complete or submit a DD from 2885; or
h. Knowingly accepting an
				application for life insurance or issuing a policy of life insurance on the
				life of an enlisted member of the United States armed forces without first
				obtaining for the insurer's files a completed copy of any required form which
				confirms that the applicant has received counseling or fulfilled any other
				similar requirement for the sale of life insurance established by regulations,
				directives, or rules of the department of defense or any branch of the United
				States armed forces.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in this chapter:
1. "Certificate of self-insurance" means the certificate
				  issued by the commissioner authorizing a person to be a self-insurer.
2. "Commissioner" means the insurance commissioner of North
				  Dakota.
3. "Person" or "persons" means any individual, partnership,
				  corporation, or other legal entity who are owners of one or more motor vehicles
				  operated in North Dakota by them or with their permission.
4. "Security requirement" means the financial ability of a
				  person to make payment of basic no-fault benefits of thirty thousand dollars
				  per person per accident; motor vehicle liability insurance of twenty-five
				  thousand dollars per person, fifty thousand dollars per accident, and
				  twenty-five thousand dollars property damage; and uninsured motorist protection
				  of twenty-five thousand dollars per person and fifty thousand dollars per
				  accident.
5. "Self-insurance" means any person who establishes a
				  self-administered plan to meet the security requirements as required by North
				  Dakota Century Code chapter 26.1-41, the North Dakota Auto Accident Reparations
				  Act.
6. "Self-insurer" means a person who has an approved plan of
				  self-insurance and holds a certificate of self-insurance.
7. "Undertaking" means a continuing agreement by any person,
				  or persons, or their duly authorized officers and agents, to pay basic no-fault
				  benefits and the liabilities covered by motor vehicle liability insurance and
				  to perform all other obligations imposed by North Dakota Century Code chapter
				  26.1-41.
General Authority: NDCC 26.1-41-05(3)
Law Implemented: NDCC
					 26.1-41-01
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-02 - Self-insurers - Restrictions

Current through Supplement No. 393, July, 2024
Only persons in whose name one or more motor vehicles are
				  registered may qualify as self-insurers. Such persons must file satisfactory
				  evidence that they are possessed and will be continued to be possessed of the
				  ability to provide for the prompt and efficient administration of all claims,
				  benefits, and obligations provided by North Dakota Century Code chapter 26.1-41
				  and that reliable financial arrangements, deposits, or commitments exist to
				  meet their security requirement as required by North Dakota Century Code
				  chapter 26.1-41 substantially equivalent to those afforded by a policy of
				  insurance that would comply with that chapter.
General Authority:
NDCC 26.1-41-05(3)
Law Implemented:
NDCC
				  26.1-41-02(2)
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-03 - Evidence to be submitted by persons to obtain a certificate of self-insurance

Current through Supplement No. 393, July, 2024
The commissioner will not issue a certificate of
				  self-insurance until the person attempting to qualify as a self-insurer shall
				  have filed all of the following with the commissioner:
1. A completed application for a certificate
				of self-insurance (Appendix I).
2.
				An executed undertaking signed and sworn to by either the person or its
				president or secretary or other similar officers (Appendix II).
General Authority:
NDCC 26.1-41-05(3)
Law Implemented:
NDCC
				  26.1-41-02(2)
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-04 - Issuance of certificate of self-insurance

Current through Supplement No. 393, July, 2024
If a person files sufficient evidence to satisfy the
				  commissioner that the person is qualified to be a self-insurer under North
				  Dakota Century Code chapter 26.1-41, the commissioner will issue a certificate
				  of self-insurance to that person. The certificate of self-insurance shall
				  authorize any person to be a self-insurer under North Dakota Century Code
				  chapter 26.1-41 until that certificate is canceled by the commissioner, or the
				  commissioner's successors in office.
General Authority:
NDCC 26.1-41-05(3)
Law Implemented:
NDCC
				  26.1-41-02(2)
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-05 - Requirement of deposit

Current through Supplement No. 393, July, 2024
The commissioner may require persons seeking to qualify as
				  self-insurers, or persons qualified as self-insurers in order to maintain their
				  certificate of self-insurance, to make and maintain such deposits or bond as
				  the commissioner may require to assure that those persons will meet their
				  security requirements and all other obligations imposed by North Dakota Century
				  Code chapter 26.1-41.
General Authority:
NDCC 26.1-41-05(3)
Law Implemented:
NDCC
				  26.1-41-02(2)
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-01 - Self-Insurance Used as Security Required by the North Dakota Auto Accident Reparations Act › Section 45-05-01-06 - Filing of annual statement

Current through Supplement No. 393, July, 2024
As a condition to the continuance of a certificate of
				  self-insurance, every self-insurer shall transmit to the commissioner, not
				  later than the first day of March in each year, a copy of its last annual
				  statement showing consolidated report and profit and loss statement as
				  certified by a certified public accountant or a reputable firm of public
				  accountants. Any self-insurer who fails to comply with this provision will have
				  its certificate of self-insurance canceled.
General Authority:
NDCC 26.1-41-05(3)
Law Implemented:
NDCC 26.1-41-02(2)
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North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-02 - Crop Hail Insurance › Section 45-05-02-03 - Dividends

Current through Supplement No. 393, July, 2024
1. "Guaranteed dividends" may not be offered
				or provided with regard to any policy of crop/hail insurance. Dividends may be
				provided through a participating policy based upon the profit of the preceding
				year's experience for that line of insurance.
2. Payment of dividends may not be made at
				the time of or in connection with the solicitation of insurance for the new
				crop year, nor may payment of the dividend be contingent upon obtaining a
				policy through the same insurer or agent.
3. Any requests for assignment of dividends
				by lending institutions must be fully explained to the policy or certificate
				holder.
4. Only insurance
				companies or insurers may pay dividends and they shall be paid directly to the
				policy or certificate holder.
5. A
				dividend may not be used as a credit against the next year's premium.
General Authority: NDCC 28-32-02
Law Implemented: NDCC
					 26.1-25
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-04 - Property and Casualty Insurance Policyholder's Right to Loss and Claim Information › Section 45-05-04-01 - Release of loss and claim information

Current through Supplement No. 393, July, 2024
Upon written and notarized authorization or request of the
				  policyholder, every insurer licensed to sell property and casualty insurance as
				  that is defined in North Dakota Century Code section 26.1-25-02, shall mail or
				  deliver the policyholder's loss information to the policyholder or a
				  designated, authorized agent or broker within twenty days of receipt of request
				  by the insured, provided the request is:
1. Dated;
2. Signed by the individual policyholder; and
3. Noted as to whether information
				should be sent directly to the policyholder or a designated, authorized agent
				or broker.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25-09, 26.1-39-12, 26.1-39-17,
					 26.1-40-11
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-04 - Property and Casualty Insurance Policyholder's Right to Loss and Claim Information › Section 45-05-04-02 - Scope of information required

Current through Supplement No. 393, July, 2024
The policyholder's loss and claim information shall include
				  all data in the insurer's possession pertaining to the following:
1. All closed claims and incurred losses;
2. All open claims and paid
				amounts, excluding therefrom any information regarding established reserves on
				open claims; and
3. Notices of any
				occurrences including dates and descriptions.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25-09, 26.1-39-12, 26.1-39-17,
					 26.1-40-11
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-04 - Property and Casualty Insurance Policyholder's Right to Loss and Claim Information › Section 45-05-04-03 - Fee

Current through Supplement No. 393, July, 2024
The insurer may charge a reasonable fee, not to exceed fifty
				  cents per page of information, incurred in the production of claim and loss
				  information to be paid by the policyholder. An insurer may apply to the
				  insurance commissioner for approval of a higher fee for individual cases where
				  warranted by the facts and circumstances.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25-09, 26.1-39-12, 26.1-39-17,
					 26.1-40-11
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-04 - Property and Casualty Insurance Policyholder's Right to Loss and Claim Information › Section 45-05-04-04 - Record retention

Current through Supplement No. 393, July, 2024
For the three-year period immediately preceding the
				  cancellation or nonrenewal of policyholder coverage, the following loss and
				  claim information must be retained:
1. Date of loss or claim;
2. General nature of loss or claim; and
3. Amount paid.
This information must be retained by the insurer for a
				  period of one year after cancellation or nonrenewal of policyholder coverage.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25-09, 26.1-39-12, 26.1-39-17,
					 26.1-40-11
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in this chapter:
1. "Authorized to transact insurance in this state" and
				  "admitted" means an insurer authorized by a subsisting certificate of authority
				  issued by the commissioner to transact insurance in this state.
2. "Commissioner" means the insurance commissioner of North
				  Dakota.
3. "Federal Liability Risk Retention Act of 1986" means that
				  federal legislation which authorized qualified individuals or organizations to
				  form special association insurance captives or to join together to purchase
				  liability insurance on a group basis enacted as
				  15 U.S.C.
				  3901, et seq.
4. "Liability insurance coverage" means liability insurance
				  policy or endorsement forms under which a liability risk retention group or
				  liability insurer may undertake to indemnify a risk retention group or
				  purchasing group member against liability arising from similar hazards or risk
				  contingencies including, but not limited to, those liability insurance
				  coverages commonly referred to in the industry as products-completed
				  operations' liability, liquor liability, hospital professional liability,
				  physicians', surgeons', and dentists' liability, lawyers' professional
				  liability, elevator liability, storekeepers' liability, governmental entity
				  general liability, public officials' errors and omissions, school board errors
				  and omissions, directors' and officers' errors and omissions, oilfield general
				  liability, day care general liability, outfitters' and guides' general
				  liability, recreational area general liability, long haul truckers' liability,
				  garage liability, pollution liability, etc.
5. "Purchasing group" means any group meeting the
				  requirements of a purchasing group contained in North Dakota Century Code
				  chapter 26.1-46.
6. "Purchasing group representative" means any individual,
				  partnership, or corporation appointed by a purchasing group for the purpose of
				  providing insurance to the members of the purchasing group or for the purpose
				  of soliciting members for the purchasing group.
7. "Risk retention group" means any group meeting the
				  requirements of a risk retention group contained in North Dakota Century Code
				  chapter 26.1-46.
8. "Risk retention group representative" means any
				  individual, partnership, or corporation appointed by a risk retention group for
				  the purpose of providing insurance to the members of the risk retention group.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-02 - Financial statements, reports, examinations

Current through Supplement No. 393, July, 2024
Any risk retention group doing business in this state shall
				  submit to the commissioner all of the following:
1. By March first of each year, a copy of the
				group's financial statement submitted to its state of domicile, which must be
				certified by an independent public accountant and contain a statement of
				opinion on loss and loss adjustment expense reserves made by a member of the
				American academy of actuaries or a qualified loss reserve specialist according
				to criteria established by the national association of insurance commissioners.
2. A copy of each examination of
				the risk retention group as certified by the commissioner or public official
				conducting the examination.
3. A
				copy of any audit performed with respect to the risk retention group.
4. This section does not apply to
				risk retention groups doing business in this state which have fewer than
				twenty-six resident members or insureds.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-03 - Risk retention groups not chartered in this state Registration

Current through Supplement No. 393, July, 2024
1. Any risk retention group chartered in a
				state other than North Dakota and not holding a subsisting certificate of
				authority issued by the commissioner of the state of North Dakota, before
				offering liability insurance as a risk retention group on any risk located,
				resident or to be performed in this state, shall:
a. Register with the commissioner in the form
				and manner prescribed by the commissioner, a statement sworn to by the
				president or chief executive officer and the secretary of the risk retention
				group providing such information and documentation as the commissioner shall
				require pursuant to North Dakota Century Code section 26.1-46-03.
b. File with the commissioner a copy of the
				risk retention group's charter showing that it has been organized primarily for
				the purpose of assuming and spreading all, or any portion, of the liability
				exposure of the group members.
c.
				File with the commissioner a copy of the risk retention group's certificate of
				authority or license issued in its state of domicile authorizing it to transact
				business as an insurance company.
d. File with the commissioner a copy of the
				risk retention group's most recent annual financial statement which must be
				certified by an independent public accountant.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-04 - Liability purchasing group notice of intent

Current through Supplement No. 393, July, 2024
1. Any purchasing group which intends to do
				business in this state, before soliciting any member to insure through the
				group any liability risk located, resident or to be performed in this state,
				shall furnish notice of its intent to do business to the commissioner, in the
				form and manner prescribed by the commissioner, sworn to by the president,
				chief executive officer, secretary, partner, trustee, or such other officer or
				party who, under the organizational plan of the group, has authority to bind
				the group with that person's signature, on forms the commissioner designates
				and furnishes, providing such information and documentation as the commissioner
				shall require pursuant to North Dakota Century Code section 26.1-46-07.
2. Any purchasing group which has
				filed with the commissioner its notice of intent to do business pursuant to
				section 4(d)(1) of the Federal Liability Risk Retention Act of 1986 or North
				Dakota Century Code section 26.1-46-07 prior to October 1, 1989, shall comply
				with subsection 1 by registering in the form prescribed by subsection 1 on or
				before December 1, 1989.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-05 - Updates and amendments

Current through Supplement No. 393, July, 2024
1. Any risk
				retention group or purchasing group authorized to do business in the state of
				North Dakota shall notify the commissioner in writing within thirty days of any
				changes in its operations, which result in the registration or notice then on
				file containing false, inaccurate, or misleading information, including the
				solicitation or writing of any liability insurance coverage in addition to that
				for which it is registered, so as to correct such false, inaccurate, or
				misleading information. The commissioner may request such additional
				information and documentation pertaining to such notice as the commissioner
				deems necessary provided, however, no such request shall delay the effective
				date of the notice.
2. Any risk
				retention group or purchasing group authorized to do business in the state of
				North Dakota, on or before March first of each year, by sworn affidavit, shall
				certify to the commissioner as to the continued accuracy of the information on
				file or as amended by notice filed pursuant to subsection 1, and as to its
				continued intent to be registered and do business in this state.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-06 - Risk retention group representatives and purchasing group representatives

Current through Supplement No. 393, July, 2024
1. License
				requirement. No person, resident or nonresident in this state, may act as or
				hold out in this state to be a risk retention group representative for a risk
				retention group, or a purchasing group representative for a purchasing group
				which solicits members for the purpose of selling liability insurance coverage,
				purchases liability insurance coverage for group members located within this
				state or otherwise does business in this state unless then licensed as such
				under these rules.
2. Any person,
				resident or nonresident in this state, acting as or holding out in this state
				to be a risk retention group representative or a purchasing group
				representative must hold a current North Dakota insurance producer license, in
				the lines of insurance represented, and must be appointed by the risk retention
				group or purchasing group represented in North Dakota.
3. Any person acting as a risk retention
				group representative or purchasing group representative shall otherwise be
				subject to and comply with the provisions of North Dakota Century Code chapter
				26.1-46 as they pertain to insurance producers.
4. Exceptions to license requirement. Risk
				retention group representative and purchasing group representative for the
				purpose of licensing does not include:
a. Any
				officer, director, owner, partner, trustee, or full-time salaried employee of a
				risk retention group or purchasing group; and
b. Any telemarketing or mass mailing
				organization or any radio or television station or network or, newspaper or
				magazine publisher or distributor which makes statements or carries
				advertisements for a risk retention group or purchasing group to the extent
				only general, nonrisk specific information is given concerning the Federal
				Liability Risk Retention Act, North Dakota Century Code chapter 26.1-46, and
				the risk retention group or purchasing group and no application for insurance
				is received, no underwriting information is taken, and no insurance rate or
				premium is quoted or collected.
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-07 - Group location

Current through Supplement No. 393, July, 2024
For the purposes of this chapter, a purchasing group must be
				  deemed located in this state if any member of said group is located or resident
				  in this state.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-08 - Insurance purchase

Current through Supplement No. 393, July, 2024
Any purchasing group duly authorized to do business in the
				  state of North Dakota may purchase insurance only from the following sources:
1. A risk retention group authorized
				to do business in this state.
2.
				An admitted insurance carrier.
3.
				An authorized surplus lines carrier listed on the commissioner's white list,
				only if the purchase is effected through a licensed surplus lines producer who
				has been appointed by the purchasing group.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-09 - Risk retention group representative or purchasing group representative memorandum

Current through Supplement No. 393, July, 2024
Any risk retention group representative or purchasing group
				  representative effecting insurance on any risk located, resident or to be
				  performed within or properly allocated to this state with an unauthorized risk
				  retention group or unauthorized insurer, pursuant to the Federal Liability Risk
				  Retention Act of 1986 and this chapter, shall file with the commissioner a
				  summary memorandum, in a form the commissioner prescribes or accepts, setting
				  forth the facts concerning the placement of such insurance so as to identify
				  the coverage and the tax payable to the state relative thereto pursuant to
				  North Dakota Century Code chapter 26.1 -44. The risk retention group
				  representative or purchasing group representative shall file this memorandum
				  with the commissioner on or before April first of each year in which the
				  premium or consideration is due. Any risk retention group representative or
				  purchasing group representative may contract with the unauthorized risk
				  retention group or unauthorized insurer or with a purchasing group for which it
				  acts to provide for the unauthorized risk retention group, the unauthorized
				  insurer, or the purchasing group filing this memorandum on behalf of the risk
				  retention group representative or purchasing group representative in accordance
				  with this section, provided the risk retention group representative or
				  purchasing group representative notifies the commissioner of such delegation
				  and files with the commissioner a copy of the contract authorizing such
				  alternative method of filing prior to the effective date of such delegation.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-10 - Direct production

Current through Supplement No. 393, July, 2024
1. Any risk
				retention group required to register in this state pursuant to section 3(d) of
				the Federal Liability Risk Retention Act of 1986 or section
				45-05-05-02 which utilizes risk
				retention representatives in soliciting, negotiating, procuring, or providing
				liability insurance for its members located or resident within this state shall
				do so only through risk retention group representatives licensed in this state
				pursuant to North Dakota Century Code chapters 26.1-26, 26.1-44, and 26.1-46
				and this chapter provided, however, nothing herein may be construed to prevent
				such a risk retention group from soliciting, negotiating, procuring, or
				providing liability insurance for its members located or resident within this
				state directly through its officers, directors, owners, partners, trustees, or
				full-time salaried employees not so licensed in this state.
2. Any purchasing group required to file
				notice of its intent to do business in this state pursuant to section 4(d)(1)
				of the Federal Liability Risk Retention Act of 1986, North Dakota Century Code
				section 26.1-46-07, or section
				45-05-05-03 which utilizes
				purchasing group representatives in soliciting, negotiating, procuring, or
				providing liability insurance for its members located or resident within this
				state shall do so only through purchasing group representatives licensed in
				this state pursuant to North Dakota Century Code chapters 26.1-26, 26.1-44, and
				26.1-46, and this chapter.
General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-05 - Risk Retention and Purchasing Groups › Section 45-05-05-12 - Severability

Current through Supplement No. 393, July, 2024
If any section of this chapter or the application thereof to
				  any person or circumstance is for any reason held to be invalid, the
remainder of this chapter and the application of such
				  section to other persons and circumstances shall not be affected thereby.
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General Authority: NDCC 26.1-46-13, 28-32-02
Law Implemented: NDCC
					 26.1-46
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-06 - Risk Modification Plan Regulation › Section 45-05-06-01 - Scope

Current through Supplement No. 393, July, 2024
This chapter applies to all commercial lines of insurance
				  (including farmowners) except those excepted risks described in North Dakota
				  Century Code section 26.1-30.1-01 and for plans such as Automobile Insurance
				  Plan Services Office (AIPSO), Market Assistance Plan (MAP), Joint Underwriting
				  Association (JUA), North Dakota Insurance Reserve Fund (NDIRF), and state
				  property insurance plan (FAIR plans) are exempt from this regulation.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25,
					 26.1-30-19
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-06 - Risk Modification Plan Regulation › Section 45-05-06-02 - Definitions

Current through Supplement No. 393, July, 2024
1. "Experience rating plan" means any rating plan or system
				  whereby a manual rate for insurance is adjusted or modified based on the past
				  loss experience of the insured.
2. "Manual rate" means a rate, designed to apply on a generic
				  basis to similar risks within the same class, filed by an insurer or rating
				  organization with the department of insurance and made part of the rating
				  manual used by an insurer or rating organization.
3. "Rate modification plan" means a rating plan or procedure
				  which provides a listing of various risk characteristics or conditions and a
				  range of modification factors which may be applied for these characteristics or
				  conditions to the manual rate of a particular insurance risk. The effect of the
				  modification factor is to increase (debit) or decrease (credit) the manual
				  rate. Rate modification plans include, but are not limited to, plans commonly
				  called schedule rating plans and individual risk premium modification plans.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25,
					 26.1-30-19
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-06 - Risk Modification Plan Regulation › Section 45-05-06-04 - Experience rating plans

Current through Supplement No. 393, July, 2024
Exposure, premium, and loss figures used in the calculation
				  of experience rating plans must be verifiable and justifiable.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25,
					 26.1-30-19
North Dakota Administrative Code › Title 45 - Insurance, Commissioner of › Article 45-05 - Property and Casualty Insurance › Chapter 45-05-06 - Risk Modification Plan Regulation › Section 45-05-06-05 - Reporting of pertinent information

Current through Supplement No. 393, July, 2024
Upon the request of the commissioner, an insurer authorized
				  to write any insurance in this state to which this chapter applies shall submit
				  to the commissioner the number of policies by line issued with rate
				  modification as defined in subsection 3 of section
				  45-05-07-02 and the proportion of
				  policies so issued to all policies written by line by the company. A rating
				  organization may file the data on behalf of the insurer.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 26.1-25,
					 26.1-30-19