State Codes and Statutes
Statutes > Utah > Title-31a > Chapter-37 > 31a-37-60231A-37-602. Requirements of a captive reinsurance company.
(1) (a) If permitted by its articles of incorporation or charter, a captive reinsurancecompany may apply to the commissioner for a certificate of authority to write reinsurancecovering:
(i) property and casualty insurance; or
(ii) reinsurance contracts.
(b) A captive reinsurance company authorized by the commissioner may writereinsurance contracts covering risks in any state.
(2) To conduct business in this state, a captive reinsurance company shall:
(a) obtain from the commissioner a certificate of authority authorizing the captivereinsurance company to conduct business as a captive reinsurance company in this state;
(b) hold at least one board of directors' meeting each year in this state;
(c) maintain its principal place of business in this state; and
(d) appoint a registered agent to accept service of process and act otherwise on its behalfin this state.
(3) Before receiving a certificate of authority, a captive reinsurance company shall filewith the commissioner:
(a) a certified copy of the captive reinsurance company's:
(i) (A) articles of incorporation; or
(B) charter; and
(ii) bylaws;
(b) a statement under oath of its president and secretary showing its financial condition;and
(c) other documents required by the commissioner.
(4) In addition to the information required by Subsection (3), the applicant captivereinsurance company shall file with the commissioner evidence of:
(a) the amount and liquidity of the captive reinsurance company's assets relative to therisks to be assumed;
(b) the adequacy of the expertise, experience, and character of the person who managesthe captive reinsurance company;
(c) the overall soundness of the captive reinsurance company's plan of operation; and
(d) other overall factors considered relevant by the commissioner in ascertaining if theproposed captive reinsurance company is able to meet its policy obligations.
(5) (a) Notwithstanding Title 63G, Chapter 2, Government Records Access andManagement Act, information submitted pursuant to this section is confidential and may not bemade public by the commissioner or an agent or employee of the commissioner without thewritten consent of the company, except that:
(i) information may be discoverable by a party in a civil action or contested case to whichthe submitting captive reinsurance company is a party, upon a showing by the party seeking todiscover the information that:
(A) the information sought is relevant to and necessary for the furtherance of the actionor case;
(B) the information sought is unavailable from other nonconfidential sources; and
(C) a subpoena issued by a judicial or administrative law officer of competentjurisdiction has been submitted to the commissioner; and
(ii) the commissioner may disclose the information to the public officer havingjurisdiction over the regulation of insurance in another state if:
(A) the public official agrees in writing to maintain the confidentiality of theinformation; and
(B) the laws of the state in which the public official serves require the information to beconfidential.
(b) This Subsection (5) does not apply to an industrial insured captive reinsurancecompany insuring the risks of an industrial insured group.
Amended by Chapter 302, 2008 General Session
Amended by Chapter 382, 2008 General Session
