(a) A risk retention group formed in this state shall
(1) comply with 15 U.S.C. 3901 - 3906 (Liability Risk Retention Act); and
(2) qualify for and hold in good standing a certificate of authority under this chapter, limited to liability insurance only.
(b) A risk retention group shall submit with its application for a certificate of authority
(1) the identity of
(A) the initial members of the risk retention group;
(B) all persons who organized the risk retention group;
(C) all persons who will provide administrative services to the risk retention group;
(D) all persons who will influence or control the activities of the risk retention group;
(2) the amount and nature of initial capitalization;
(3) a plan of operation or a feasibility study that includes the coverage, deductible, coverage limit, rate, and rating classification system for the type or class of liability insurance the group intends to offer; and
(4) the states in which the risk retention group intends to operate.
(c) At least 30 days before a domestic risk retention group implements a material change or revision to an approved plan of operation or feasibility study, the material change or revision shall be filed with the director. A material change or revision may not be implemented unless the domestic risk retention group receives the director's written approval. In this subsection, "material change or revision" includes an offering of an additional type or class of liability insurance.
(d) In this section,
(1) "liability" means legal liability for damages, including costs of defense, legal costs and fees, and other claims expenses, because of injury to another person, damage to property, or other damage or loss to a person resulting from or arising out of a business, whether profit or nonprofit, trade, product, service, including a professional service, or an activity of a state or local government, or an agency or political subdivision of a state or local government; "liability" does not include personal risk liability or employer's liability with respect to its employees other than legal liability under 45 U.S.C. 51 (Federal Employers' Liability Act);
(2) "personal risk liability" means liability for damages because of injury to a person, damage to property, or other loss or damage resulting from a personal, familial, or household responsibility or activity and that is not a responsibility or activity described under (1) of this subsection.Section: Previous 21.09.207 21.09.210 21.09.220 21.09.242 21.09.245 21.09.247 21.09.250 21.09.260 21.09.270 21.09.280 21.09.290 21.09.300 21.09.310 21.09.320 Next
Last modified: November 15, 2016