(a) The commissioner, after notice, comment period, and a hearing if requested by more than 10 affected insurers, may issue a bulletin setting forth reasonable requirements for the allowance of reinsurance as an asset or deduction from liability consistent with Sections 922.4 to 922.6, inclusive, including the following:
(1) Filing requirements for an accredited assuming insurer.
(2) Accreditation requirements for an assuming insurer with less than a twenty million dollar ($20,000,000) surplus as regards policyholders.
(3) The definition of “liabilities” as used in Sections 922.4 and 922.5.
(4) Investment guidelines for trust funds established and maintained pursuant to subdivision (d) of Section 922.4.
(5) Definitions and required or permitted conditions for trust funds established and maintained pursuant to Section 922.5.
(6) Requirements of letters of credit established and maintained pursuant to Section 922.5.
(b) On or before January 1, 1998, the commissioner shall notify the Legislature that the bulletin has been promulgated so that the Legislature is able to ensure the commissioner’s compliance with the requirements of this subdivision.
(c) The bulletin authorized by this section shall have the same force and effect, and may be enforced by the commissioner to the same extent and degree, as regulations issued by the commissioner until the time that the commissioner issues additional or amended regulations pursuant to subdivision (d).
(d) The commissioner shall adopt regulations implementing the provisions of this law, that shall supersede the bulletin authorized by this section, no later than December 31, 2001.
(Amended by Stats. 2012, Ch. 277, Sec. 11. (SB 1216) Effective January 1, 2013.)
Last modified: October 25, 2018