3.
(a)The commissioner shall, in cooperation
with other state, federal, and international regulatory agencies, do
either of the following to identify a single group wide supervisor for an
internationally active insurance group:
(1)Act as the group wide supervisor if the commissioner
determines that the internationally active insurance group
conducts substantial insurance operations in Indiana.
(2)Acknowledge another regulatory official as the group wide
supervisor if the commissioner determines that the internationally
active insurance group:
(A)does not have substantial insurance operations in the
United States;
(B)has substantial insurance operations in the United States,
but not in Indiana; or
(C)has substantial insurance operations in the United States
and Indiana, but the commis
Free access — add to your briefcase to read the full text and ask questions with AI
3. (a) The commissioner shall, in cooperation
with other state, federal, and international regulatory agencies, do
either of the following to identify a single group wide supervisor for an
internationally active insurance group:
(1) Act as the group wide supervisor if the commissioner
determines that the internationally active insurance group
conducts substantial insurance operations in Indiana.
(2) Acknowledge another regulatory official as the group wide
supervisor if the commissioner determines that the internationally
active insurance group:
(A) does not have substantial insurance operations in the
United States;
(B) has substantial insurance operations in the United States,
but not in Indiana; or
(C) has substantial insurance operations in the United States
and Indiana, but the commissioner has determined according to
subsections (c), (d), and (j) that the other regulatory official is
the appropriate group wide supervisor.
(b) The commissioner may, upon request of an insurance holding
company system that does not qualify as an internationally active
insurance group, make a determination and act as, or acknowledge
another regulatory official as, a group wide supervisor for the insurance
holding company system under subsection (a) as if the insurance
holding company system was an internationally active insurance group.
(c) In making a determination under subsection (a), the
commissioner shall consider all of the following:
(1) The place of domicile of the internationally active insurance
group insurers that hold the largest share of the internationally
active insurance group's written premiums, assets, or liabilities.
(2) The place of domicile of the top tiered insurers in the
internationally active insurance group's insurance company
holding system.
(3) The location of the internationally active insurance group's
executive offices or largest operational offices.
(4) Whether another regulatory official is acting or seeks to act as
the group wide supervisor under a regulatory system that the
commissioner determines to be:
(A) substantially similar to the regulatory system under the law
of this state; or
(B) sufficient to provide for group wide supervision, enterprise
risk analysis, and cooperation with other regulatory officials.
(5) Whether a regulatory official described in subdivision (4)
provides the commissioner with reasonably reciprocal recognition
and cooperation.
(d) If a regulatory official who is identified as the group wide
supervisor under this section considers another regulatory official to be
more appropriate to serve as the group wide supervisor, the
commissioner shall cooperatively do the following with the other
regulatory officials involved with supervision of members of the
internationally active insurance group, and in consultation with the
internationally active insurance group:
(1) Consider the factors described in subsection (c) with respect
to the other regulatory official considered more appropriate to
serve as the group wide supervisor.
(2) If the commissioner considers the other regulatory official to
be appropriate to serve as the group wide supervisor,
acknowledge the other regulatory official, subject to the
acknowledgment of the other regulatory officials.
(e) Notwithstanding any other law, if another regulatory official is
acting as the group wide supervisor of an internationally active
insurance group, the commissioner shall acknowledge the other
regulatory official as the group wide supervisor. However, if there is a
material change in the internationally active insurance group that
results in:
(1) the internationally active insurance group's Indiana domiciled
insurers holding the largest share of the internationally active
insurance group's premiums, assets, or liabilities; or
(2) Indiana being the domicile of the internationally active
insurance group's insurance holding company system's top tiered
insurers;
the commissioner shall make a determination concerning the
appropriate group wide supervisor for the internationally active
insurance group as described in subsections (c) and (d).
(f) The commissioner may, under section 5 of this chapter, obtain
from an insurer that is registered under section 3 of this chapter all
information necessary to make a determination under this section.
(g) Before making a final determination that the commissioner will
act as the group wide supervisor of an internationally active insurance
group:
(1) the commissioner shall notify the:
(A) insurer that is registered under section 3 of this chapter; and
(B) ultimate controlling person;
in the internationally active insurance group; and
(2) the internationally active insurance group has at least thirty
(30) days to provide the commissioner with additional
information relevant to the commissioner's final determination.
(h) Upon making a final determination that the commissioner will
act as the group wide supervisor of an internationally active insurance
group, the commissioner shall publish that information, including the
identity of the internationally active insurance group, in the Indiana
Register and on the department's Internet web site.
(i) The commissioner may do any of the following with respect to
an internationally active insurance group subject to group wide
supervision by the commissioner:
(1) Assess enterprise risk in the internationally active insurance
group to ensure that:
(A) the material financial condition and liquidity risks to
members of the internationally active insurance group that are
engaged in the business of insurance are identified by
management; and
(B) reasonable and effective mitigation measures are in place
to address the risks described in clause (A).
(2) Request from any member of the internationally active
insurance group information necessary and appropriate to assess
enterprise risk, including the following information concerning
the members of the internationally active insurance group:
(A) Governance, risk assessment, and management.
(B) Capital adequacy.
(C) Material intercompany transactions.
(3) Coordinate and, through the regulatory authority of the
jurisdictions where members of the internationally active
insurance group are domiciled, compel development and
implementation of reasonable measures to ensure that the
internationally active insurance group is able to, in a timely
manner, recognize and mitigate enterprise risks to members of the
internationally active insurance group that are engaged in the
business of insurance.
(4) Communicate with other state, federal, and international
regulatory officials for members in the internationally active
insurance group and share relevant information subject to the
confidentiality provisions of section 6 of this chapter, through
supervisory colleges under section 5.1 of this chapter or
otherwise.
(5) Enter into agreements with or obtain documentation from any:
(A) insurer registered under section 3 of this chapter;
(B) member of the internationally active insurance group; and
(C) other state, federal, and international regulatory official for
members of the internationally active insurance group;
to establish the basis for or otherwise clarify the commissioner's
role as group wide supervisor, including provisions to resolve
disputes with other regulatory officials. An agreement or
documentation described in this subdivision may not serve as
evidence in any proceeding that an insurer or a person in an
insurance holding company system that is not domiciled or
incorporated in Indiana is doing business in Indiana or is
otherwise subject to the jurisdiction of this state.
(6) Other group wide supervision activities consistent with this
section, as the commissioner determines necessary.
(j) If the commissioner acknowledges another regulatory official
from a jurisdiction that is not accredited by the NAIC as the group wide
supervisor of an internationally active insurance group, the
commissioner may reasonably cooperate, through supervisory colleges
or otherwise, with the regulatory official's group wide supervision if:
(1) the commissioner's cooperation is in compliance with the law
of this state; and
(2) the regulatory official recognizes and cooperates with the
commissioner's activities as a group wide supervisor for other
internationally active insurance groups, as applicable.
If a regulatory official is not described in subdivision (2), the
commissioner may refuse to recognize and cooperate with the
regulatory official as the group wide supervisor.
(k) The commissioner may enter into agreements with or obtain
documentation from:
(1) an insurer registered under section 3 of this chapter;
(2) an affiliate of an insurer described in subdivision (1); and
(3) other state, federal, and international regulatory agencies for
members of an internationally active insurance group;
that provides a basis for or clarifies a regulatory official's role as group
wide supervisor of the internationally active insurance group.
(l) An insurer that is registered under section 3 of this chapter and
subject to this section is liable for and shall pay the reasonable
expenses of the commissioner's participation in the implementation of
this section, including costs of attorneys, actuaries, other professionals,
and reasonable travel expense.