Plan of operation: Submission by Board; approval by Commissioner; temporary plan when plan not suitable or not submitted.
1. Not later than 120 days after the initial appointment of the Board, the Board shall submit to the Commissioner a plan of operation that ensures the fair, reasonable and equitable administration of the Program of Reinsurance. Once a plan of operation has been approved by the Commissioner, the Board may amend the plan of operation as needed, subject to the approval of the Commissioner.
2. The Commissioner shall, after notice and a hearing, approve a plan of operation and any amendment to the plan of operation submitted for his approval if he determines that the plan or amendment is suitable to:
(a) Ensure the fair, reasonable and equitable administration of the Program of Reinsurance; and
(b) Provide for the sharing of the gains and losses of the Program of Reinsurance on an equitable basis in accordance with the provisions of NRS 689C.610 to 689C.980, inclusive.
3. If the Board fails to submit a suitable plan of operation within 120 days after its appointment or if the Commissioner determines in accordance with subsection 2 that the plan of operation as submitted is not suitable, the Commissioner may, after notice and a hearing, adopt and carry out a temporary plan of operation which is effective only until the approval of a plan of operation submitted by the Board.
4. Before approving a plan of operation submitted by the Board, the Commissioner may amend the plan if he determines that such an amendment is necessary to ensure that the plan is suitable pursuant to subsection 2.
5. A plan of operation becomes effective upon the written approval of the Commissioner.
Last modified: February 27, 2006