[§431:9B-108]  Duties of reinsurers
utilizing the services of a reinsurance intermediary-manager.  (a)  A
reinsurer shall not engage the services of any person, firm, association, or
corporation to act as a reinsurance intermediary-manager on its behalf unless
the person, firm, association, or corporation is licensed as required by
section 431:9B-102(b).



(b)  The reinsurer shall annually obtain a copy
of statements of the financial condition of each reinsurance
intermediary-manager which the reinsurer has engaged prepared by an independent
certified accountant in a form acceptable to the commissioner.



(c)  If a reinsurance intermediary-manager
establishes loss reserves, the reinsurer shall annually obtain the opinion of
an actuary attesting to the adequacy of loss reserves established for losses
incurred and outstanding on business produced by the reinsurance
intermediary-manager.  This opinion shall be in addition to any other required
loss reserve certification.



(d)  Binding authority for all retrocessional
contracts or participation in reinsurance syndicates shall rest with an officer
of the reinsurer who shall not be affiliated with the reinsurance
intermediary-manager.



(e)  Within thirty days of termination of a
contract with a reinsurance intermediary-manager, the reinsurer shall provide
written notification of the termination to the commissioner.



(f)  A reinsurer shall not appoint to its board
of directors any officer, director, employee, controlling shareholder, or
subagent of its reinsurance intermediary-manager; provided that this subsection
shall not apply to relationships governed by article 11. [L 1992, c 176, pt of
§6]