IC 27-6-1.1-1 Definitions
Sec. 1. As used in this chapter:
"Accepting insurer" means the insurer that is a party to a
reinsurance transaction and that reinsures insurance, annuity, and
endowment risks or liabilities of another insurer.
"Assumption reinsurance" means a transaction in which one (1)
insurer assumes all or a portion of the insurance, annuity, and
endowment risks or liabilities of another insurer and thereby
becomes directly and primarily liable to the insured, beneficiary, or
policyholder under the policies and contracts subject to the
reinsurance transaction.
"Ceding insurer" means the insurer that is a party to a reinsurance
transaction and whose insurance, annuity, and endowment risks or
liabilities are reinsured.
"Indemnity reinsurance" means a transaction in which one (1)
insurer agrees to indemnify another insurer for all or a portion of the
insurance, annuity, and endowment risks or liabilities of the ceding
insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-2 Indemnity reinsurance; ceding agreements
Sec. 2. (a) A domestic insurer may cede indemnity reinsurance to
any insurer authorized to do business in this state, in any other state
of the United States, or in the District of Columbia, or to any alien
insurer.
(b) A domestic ceding insurer must file with the commissioner for
approval any proposed agreement that would cede indemnity
reinsurance of previously retained insurance if the reserves and other
liabilities with respect to previously retained insurance that are
transferred by the insurer under the proposed agreement and under
all other agreements that cede previously retained insurance exceed
twenty-five percent (25%) of the total reserves and other liabilities
of the domestic ceding insurer. As used in this subsection,
"previously retained insurance" means insurance issued before the
date of reinsurance and not previously reinsured.
(c) Any agreement that is filed as provided in subsection (b) shall
be deemed approved unless the commissioner notifies the insurer
within thirty (30) days after submission of an intent to hold a hearing
in accordance with section 4 of this chapter.
(d) A transaction of indemnity reinsurance does not create any
legal right or relation between the insured, beneficiary, or
policyholder and the accepting insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-3
Repealed
(Repealed by P.L.116-1994, SEC.78.)
IC 27-6-1.1-4 Termination of indemnity reinsurance transaction
Sec. 4. The commissioner may require the termination of any
indemnity reinsurance transaction, whether or not the applicable
agreement was required to be filed for approval, if after a hearing
under IC 4-21.5-3, the commissioner finds that the transaction
creates an unsafe condition for the policyholders of a domestic
insurer. As added by P.L.260-1983, SEC.1. Amended by P.L.7-1987,
SEC.152.
IC 27-6-1.1-5 Assumption reinsurance agreement; approval; exemptions; notice
to policyholders
Sec. 5. (a) A domestic insurer must file any proposed agreement
of assumption reinsurance with the commissioner for the
commissioner's approval. The agreement must be executed by each
insurer in a manner consistent with its articles and bylaws and the
applicable law.
(b) The requirement for filing and approval provided in subsection
(a) is not applicable to an agreement if:
(1) the ceding insurer is not a domestic insurer; and
(2) the reserves and liabilities assumed under the agreement are
not greater than twenty percent (20%) of the corresponding
outstanding reserves and liabilities of the domestic accepting
insurer without regard to the agreement.
(c) The commissioner shall approve a reinsurance agreement
within sixty (60) days after it is filed as provided in subsection (a) if
the commissioner determines that:
(1) the agreement was legally executed by both insurers;
(2) in case one (1) of the parties to the agreement is a foreign or
alien insurer, the agreement received the sanction and approval
of the law of the foreign or alien jurisdiction, if necessary; and
(3) the agreement deals equitably and fairly with the contract
and property rights of insurance, annuity, and endowment
policy or contract holders of both insurers.
(d) The commissioner's approval of any agreement of reinsurance
that is required to be filed as provided in subsection (a) shall be a
condition precedent to the validity of the agreement. On the
commissioner's approval, the agreement shall become effective as of
the date of the agreement or as of such other date as may be
specifically provided in the agreement.
(e) Within the period of forty-five (45) days following the
commissioner's approval of an agreement of assumption reinsurance,
or within the period of forty-five (45) days following the effective
date of an agreement of assumption reinsurance for which the
approval of the commissioner is not required, the accepting insurer
shall mail a written notification to each reinsured insurance, annuity,
and endowment policy or contract holder. The notification must:
(1) specify each policy or contract subject to reinsurance and
the effective date of the reinsurance transaction;
(2) offer to provide a copy of the agreement of assumption of
reinsurance upon the written request of the policy or contract
holder;
(3) state that the accepting insurer assumes all of the rights and
obligations of the ceding insurer with respect to the policies and
contracts that are subject to the agreement of assumption
reinsurance; and
(4) state that the rights and benefits of the policy or contract
holder under the policy or contract that is subject to
reinsurance, including the right to surrender the policy or
contract subject to the terms of the policy or contract, are not
affected by the reinsurance.
(f) This section does not apply to an assumption reinsurance
agreement to which a domestic ceding insurer is a party if the insurer
is the subject of a proceeding under IC 27-9-3. As added by P.L.260-1983, SEC.1. Amended by P.L.256-1985,
SEC.1; P.L.248-1989, SEC.1.
IC 27-6-1.1-6 Application of chapter
Sec. 6. This chapter does not apply to any of the parties to a
contract of merger or consolidation under IC 27-5.1-2-21. As added by P.L.260-1983, SEC.1. Amended by P.L.129-2003,
SEC.9.
IC 27-6-1.1-1 Definitions
Sec. 1. As used in this chapter:
"Accepting insurer" means the insurer that is a party to a
reinsurance transaction and that reinsures insurance, annuity, and
endowment risks or liabilities of another insurer.
"Assumption reinsurance" means a transaction in which one (1)
insurer assumes all or a portion of the insurance, annuity, and
endowment risks or liabilities of another insurer and thereby
becomes directly and primarily liable to the insured, beneficiary, or
policyholder under the policies and contracts subject to the
reinsurance transaction.
"Ceding insurer" means the insurer that is a party to a reinsurance
transaction and whose insurance, annuity, and endowment risks or
liabilities are reinsured.
"Indemnity reinsurance" means a transaction in which one (1)
insurer agrees to indemnify another insurer for all or a portion of the
insurance, annuity, and endowment risks or liabilities of the ceding
insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-2 Indemnity reinsurance; ceding agreements
Sec. 2. (a) A domestic insurer may cede indemnity reinsurance to
any insurer authorized to do business in this state, in any other state
of the United States, or in the District of Columbia, or to any alien
insurer.
(b) A domestic ceding insurer must file with the commissioner for
approval any proposed agreement that would cede indemnity
reinsurance of previously retained insurance if the reserves and other
liabilities with respect to previously retained insurance that are
transferred by the insurer under the proposed agreement and under
all other agreements that cede previously retained insurance exceed
twenty-five percent (25%) of the total reserves and other liabilities
of the domestic ceding insurer. As used in this subsection,
"previously retained insurance" means insurance issued before the
date of reinsurance and not previously reinsured.
(c) Any agreement that is filed as provided in subsection (b) shall
be deemed approved unless the commissioner notifies the insurer
within thirty (30) days after submission of an intent to hold a hearing
in accordance with section 4 of this chapter.
(d) A transaction of indemnity reinsurance does not create any
legal right or relation between the insured, beneficiary, or
policyholder and the accepting insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-3
Repealed
(Repealed by P.L.116-1994, SEC.78.)
IC 27-6-1.1-4 Termination of indemnity reinsurance transaction
Sec. 4. The commissioner may require the termination of any
indemnity reinsurance transaction, whether or not the applicable
agreement was required to be filed for approval, if after a hearing
under IC 4-21.5-3, the commissioner finds that the transaction
creates an unsafe condition for the policyholders of a domestic
insurer. As added by P.L.260-1983, SEC.1. Amended by P.L.7-1987,
SEC.152.
IC 27-6-1.1-5 Assumption reinsurance agreement; approval; exemptions; notice
to policyholders
Sec. 5. (a) A domestic insurer must file any proposed agreement
of assumption reinsurance with the commissioner for the
commissioner's approval. The agreement must be executed by each
insurer in a manner consistent with its articles and bylaws and the
applicable law.
(b) The requirement for filing and approval provided in subsection
(a) is not applicable to an agreement if:
(1) the ceding insurer is not a domestic insurer; and
(2) the reserves and liabilities assumed under the agreement are
not greater than twenty percent (20%) of the corresponding
outstanding reserves and liabilities of the domestic accepting
insurer without regard to the agreement.
(c) The commissioner shall approve a reinsurance agreement
within sixty (60) days after it is filed as provided in subsection (a) if
the commissioner determines that:
(1) the agreement was legally executed by both insurers;
(2) in case one (1) of the parties to the agreement is a foreign or
alien insurer, the agreement received the sanction and approval
of the law of the foreign or alien jurisdiction, if necessary; and
(3) the agreement deals equitably and fairly with the contract
and property rights of insurance, annuity, and endowment
policy or contract holders of both insurers.
(d) The commissioner's approval of any agreement of reinsurance
that is required to be filed as provided in subsection (a) shall be a
condition precedent to the validity of the agreement. On the
commissioner's approval, the agreement shall become effective as of
the date of the agreement or as of such other date as may be
specifically provided in the agreement.
(e) Within the period of forty-five (45) days following the
commissioner's approval of an agreement of assumption reinsurance,
or within the period of forty-five (45) days following the effective
date of an agreement of assumption reinsurance for which the
approval of the commissioner is not required, the accepting insurer
shall mail a written notification to each reinsured insurance, annuity,
and endowment policy or contract holder. The notification must:
(1) specify each policy or contract subject to reinsurance and
the effective date of the reinsurance transaction;
(2) offer to provide a copy of the agreement of assumption of
reinsurance upon the written request of the policy or contract
holder;
(3) state that the accepting insurer assumes all of the rights and
obligations of the ceding insurer with respect to the policies and
contracts that are subject to the agreement of assumption
reinsurance; and
(4) state that the rights and benefits of the policy or contract
holder under the policy or contract that is subject to
reinsurance, including the right to surrender the policy or
contract subject to the terms of the policy or contract, are not
affected by the reinsurance.
(f) This section does not apply to an assumption reinsurance
agreement to which a domestic ceding insurer is a party if the insurer
is the subject of a proceeding under IC 27-9-3. As added by P.L.260-1983, SEC.1. Amended by P.L.256-1985,
SEC.1; P.L.248-1989, SEC.1.
IC 27-6-1.1-6 Application of chapter
Sec. 6. This chapter does not apply to any of the parties to a
contract of merger or consolidation under IC 27-5.1-2-21. As added by P.L.260-1983, SEC.1. Amended by P.L.129-2003,
SEC.9.
IC 27-6-1.1-1 Definitions
Sec. 1. As used in this chapter:
"Accepting insurer" means the insurer that is a party to a
reinsurance transaction and that reinsures insurance, annuity, and
endowment risks or liabilities of another insurer.
"Assumption reinsurance" means a transaction in which one (1)
insurer assumes all or a portion of the insurance, annuity, and
endowment risks or liabilities of another insurer and thereby
becomes directly and primarily liable to the insured, beneficiary, or
policyholder under the policies and contracts subject to the
reinsurance transaction.
"Ceding insurer" means the insurer that is a party to a reinsurance
transaction and whose insurance, annuity, and endowment risks or
liabilities are reinsured.
"Indemnity reinsurance" means a transaction in which one (1)
insurer agrees to indemnify another insurer for all or a portion of the
insurance, annuity, and endowment risks or liabilities of the ceding
insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-2 Indemnity reinsurance; ceding agreements
Sec. 2. (a) A domestic insurer may cede indemnity reinsurance to
any insurer authorized to do business in this state, in any other state
of the United States, or in the District of Columbia, or to any alien
insurer.
(b) A domestic ceding insurer must file with the commissioner for
approval any proposed agreement that would cede indemnity
reinsurance of previously retained insurance if the reserves and other
liabilities with respect to previously retained insurance that are
transferred by the insurer under the proposed agreement and under
all other agreements that cede previously retained insurance exceed
twenty-five percent (25%) of the total reserves and other liabilities
of the domestic ceding insurer. As used in this subsection,
"previously retained insurance" means insurance issued before the
date of reinsurance and not previously reinsured.
(c) Any agreement that is filed as provided in subsection (b) shall
be deemed approved unless the commissioner notifies the insurer
within thirty (30) days after submission of an intent to hold a hearing
in accordance with section 4 of this chapter.
(d) A transaction of indemnity reinsurance does not create any
legal right or relation between the insured, beneficiary, or
policyholder and the accepting insurer. As added by P.L.260-1983, SEC.1.
IC 27-6-1.1-3
Repealed
(Repealed by P.L.116-1994, SEC.78.)
IC 27-6-1.1-4 Termination of indemnity reinsurance transaction
Sec. 4. The commissioner may require the termination of any
indemnity reinsurance transaction, whether or not the applicable
agreement was required to be filed for approval, if after a hearing
under IC 4-21.5-3, the commissioner finds that the transaction
creates an unsafe condition for the policyholders of a domestic
insurer. As added by P.L.260-1983, SEC.1. Amended by P.L.7-1987,
SEC.152.
IC 27-6-1.1-5 Assumption reinsurance agreement; approval; exemptions; notice
to policyholders
Sec. 5. (a) A domestic insurer must file any proposed agreement
of assumption reinsurance with the commissioner for the
commissioner's approval. The agreement must be executed by each
insurer in a manner consistent with its articles and bylaws and the
applicable law.
(b) The requirement for filing and approval provided in subsection
(a) is not applicable to an agreement if:
(1) the ceding insurer is not a domestic insurer; and
(2) the reserves and liabilities assumed under the agreement are
not greater than twenty percent (20%) of the corresponding
outstanding reserves and liabilities of the domestic accepting
insurer without regard to the agreement.
(c) The commissioner shall approve a reinsurance agreement
within sixty (60) days after it is filed as provided in subsection (a) if
the commissioner determines that:
(1) the agreement was legally executed by both insurers;
(2) in case one (1) of the parties to the agreement is a foreign or
alien insurer, the agreement received the sanction and approval
of the law of the foreign or alien jurisdiction, if necessary; and
(3) the agreement deals equitably and fairly with the contract
and property rights of insurance, annuity, and endowment
policy or contract holders of both insurers.
(d) The commissioner's approval of any agreement of reinsurance
that is required to be filed as provided in subsection (a) shall be a
condition precedent to the validity of the agreement. On the
commissioner's approval, the agreement shall become effective as of
the date of the agreement or as of such other date as may be
specifically provided in the agreement.
(e) Within the period of forty-five (45) days following the
commissioner's approval of an agreement of assumption reinsurance,
or within the period of forty-five (45) days following the effective
date of an agreement of assumption reinsurance for which the
approval of the commissioner is not required, the accepting insurer
shall mail a written notification to each reinsured insurance, annuity,
and endowment policy or contract holder. The notification must:
(1) specify each policy or contract subject to reinsurance and
the effective date of the reinsurance transaction;
(2) offer to provide a copy of the agreement of assumption of
reinsurance upon the written request of the policy or contract
holder;
(3) state that the accepting insurer assumes all of the rights and
obligations of the ceding insurer with respect to the policies and
contracts that are subject to the agreement of assumption
reinsurance; and
(4) state that the rights and benefits of the policy or contract
holder under the policy or contract that is subject to
reinsurance, including the right to surrender the policy or
contract subject to the terms of the policy or contract, are not
affected by the reinsurance.
(f) This section does not apply to an assumption reinsurance
agreement to which a domestic ceding insurer is a party if the insurer
is the subject of a proceeding under IC 27-9-3. As added by P.L.260-1983, SEC.1. Amended by P.L.256-1985,
SEC.1; P.L.248-1989, SEC.1.
IC 27-6-1.1-6 Application of chapter
Sec. 6. This chapter does not apply to any of the parties to a
contract of merger or consolidation under IC 27-5.1-2-21. As added by P.L.260-1983, SEC.1. Amended by P.L.129-2003,
SEC.9.
