Michigan Compiled Laws 218-1956-46 Chapter 46 Captive Insurance Companies (500.4601...500.4673)

• Section 500.4601 Definitions.
  As used in this chapter: (a) "Affiliated company" means a company in the same corporate system as a parent, an industrial insured, or a...
• Section 500.4603 Limited Certificate Of Authority; Application; Conditions; Organizational Documents; Submission; Contents; Liability Of Director; Submission Of Documents To Attorney General For Examination; Duty Of Commissioner To Require, Consider, And Review Certain Documents And Factors; Issuance Of Certificate; Confidentiality; Fee; Foreign Captive Insurance Company As Captive Insurance Company.
  (1) A captive insurance company, if permitted by its organizational documents, may apply to the commissioner for a limited certificate of authority to do...
• Section 500.4607 Adoption Of Name By Captive Insurance Company.
  A captive insurance company shall not adopt a name that is the same as, deceptively similar to, or likely to be confused with or...
• Section 500.4609 Confidentiality Requirements.
  (1) Information and testimony submitted or furnished to the office pursuant to this chapter, examination reports, preliminary examination reports or results, and the office's...
• Section 500.4611 Issuance Of Limited Certificate Of Authority; Possession And Maintenance Of Unimpaired Paid-in Capital And Retained Earnings; Form Of Minimum Capitalization; Incorporation As Nonprofit; Unencumbered Equity; Assets; Evidence To Be Submitted To Commissioner; Additional Capital; Branch Captive Insurance Company; Security For Payment Of Liabilities; Trust Fund; Payment Of Dividends; Limitation; Distributions.
  (1) The commissioner shall not issue a limited certificate of authority to a captive insurance company unless the company possesses and maintains unimpaired paid...
• Section 500.4619 Pure Captive Insurance Company Or Sponsored Captive Insurance Company; Association Captive Insurance Company Or Industrial Insured Captive Insurance Company; Incorporation As Stock Insurer Or Limited Liability Company; Issuance Of Capital Stock Or Membership Interests; Formation Of Captive Insurance Company As Corporation Or Nonprofit Corporation Or As Limited Liability Company; State Residency; Chapter As Controlling Provision Of Law.
  (1) A pure captive insurance company or a sponsored captive insurance company may be any of the following: (a) Incorporated as a stock insurer...
• Section 500.4621 Reports And Inquiries.
  (1) A captive insurance company shall not be required to make an annual report except as provided in this chapter. (2) Annually, on or...
• Section 500.4623 Sponsored Captive Insurance Company; Discount Of Reserves.
  (1) A sponsored captive insurance company may discount its loss and loss adjustment expense reserves at the lesser of treasury rates or the captive...
• Section 500.4625 Conflict Between Act And Chapter; Exemption; Applicability Of Certain Sections; Expenses And Charges Of Examination; Annual Renewal Fee; Other Fees; Employment Of Legal Counsel; Confidentiality.
  (1) No provisions of this act, other than those specifically referenced in this chapter, apply to a captive insurance company, and those provisions apply...
• Section 500.4637 Limited Certificate Of Authority; Suspension Or Revocation; Findings; Best Interest Of Public And Policyholders.
  (1) The limited certificate of authority of a captive insurance company to conduct an insurance business in this state may be suspended or revoked...
• Section 500.4639 Association Captive Insurance Company And Industrial Insured Captive Insurance Company; Compliance With Investment Requirements; Pure Captive Insurance Company And Special Purpose Captive Insurance Company Not Subject To Restrictions On Allowable Investments; Exception; Loans; Combining Of Assets For Purposes Of Investment; Sponsored Captive Insurance Companies To Be In Compliance With Chapter 9; Waiver Of Investment Requirements.
  (1) An association captive insurance company and an industrial insured captive insurance company insuring the risks of an industrial insured group shall comply with...
• Section 500.4641 Reinsurance On Risks Ceded By Other Insurer.
  (1) A captive insurance company may provide reinsurance, as authorized by this act and with the prior approval of the commissioner, on risks ceded...
• Section 500.4643 Rating Organization; Joining Not Required.
  A captive insurance company shall not be required to join a rating organization. History: Add. 2008, Act 29, Imd. Eff. Mar. 13, 2008 Popular...
• Section 500.4645 Plan, Pool, Association, Or Guaranty Or Insolvency Fund; Joining, Contributing To, Or Receiving Benefit From Prohibited.
  A captive insurance company shall not join or contribute financially to a plan, pool, association, or guaranty or insolvency fund in this state. A...
• Section 500.4651 Rules.
  The commissioner may promulgate pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, rules, and may issue regulations...
• Section 500.4655 Applicability Of Terms And Conditions In Chapter 81 Pertaining To Administrative Supervision, Conservation, Rehabilitation, Receivership, And Liquidation Of Insurers; Payment Of Expenses Or Claims From Assets Of Protected Cell Or From Capital And Surplus Of Sponsored Captive Insurance Company.
  (1) Except as otherwise provided in this section, the terms and conditions under chapter 81 pertaining to administrative supervision, conservation, rehabilitation, receivership, and liquidation...
• Section 500.4659 Exercise Of Control Of Risk Management Function By Parent Or Affiliated Company; Standards.
  The commissioner by rule, regulation, or order may establish standards to ensure that a parent or affiliated company is able to exercise control of...
• Section 500.4663 Sponsored Captive Insurance Company; Formation; Establishment And Maintenance Of Protected Cell To Insure Risks; Conditions.
  (1) One or more sponsors may form a sponsored captive insurance company under this chapter. (2) A sponsored captive insurance company authorized under this...
• Section 500.4665 Sponsor Of Sponsored Captive Insurance Company; Authorized Insurer; Risk Retention Group As Sponsor Or Participant Prohibited; Business Written By Sponsored Captive Insurance Company With Respect To Protected Cell; Requirements.
  A sponsor of a sponsored captive insurance company shall be an insurer authorized pursuant to the laws of a state or the District of...
• Section 500.4667 Sponsored Captive Insurance Companies; Business Entities As Participants.
  (1) An association, a corporation, a limited liability company, a partnership, a trust, or other business entity may be a participant in a sponsored...
• Section 500.4669 Sponsored Captive Insurance Companies; Applicability Of Terms And Conditions In Chapter 48 Pertaining To Protected Cell Insurance Company.
  (1) Except as otherwise provided in this chapter, the terms and conditions provided in chapter 48 relating to a protected cell insurance company apply...
• Section 500.4673 Captive Insurance Regulatory And Supervision Fund; Creation; Deposit Of Certain Money, Assets, Fees, And Assessments; Money Remaining In Fund At Close Of Fiscal Year; Commissioner As Administrator For Auditing Purposes.
  (1) The captive insurance regulatory and supervision fund is created within the state treasury. (2) The state treasurer may receive money or other assets...

Last modified: October 10, 2016