§691.36. Exemption
A. An insurer shall be exempt from the requirements of this Subpart, if both of the
following apply:
(1)The insurer has annual direct written and unaffiliated assumed premium,
including international direct and assumed premium but excluding premiums reinsured with
the Federal Crop Insurance Corporation and National Flood Insurance Program, less than
five hundred million dollars.
(2)The insurance group of which the insurer is a member has annual direct written
and unaffiliated assumed premium, including international direct and assumed premium but
excluding premiums reinsured with the Federal Crop Insurance Corporation and National
Flood Insurance Program, less than one billion dollars.
B. If an insurer qualifies for exemption pursuant to Paragraph (1) of Subsection A
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§691.36. Exemption
A. An insurer shall be exempt from the requirements of this Subpart, if both of the
following apply:
(1) The insurer has annual direct written and unaffiliated assumed premium,
including international direct and assumed premium but excluding premiums reinsured with
the Federal Crop Insurance Corporation and National Flood Insurance Program, less than
five hundred million dollars.
(2) The insurance group of which the insurer is a member has annual direct written
and unaffiliated assumed premium, including international direct and assumed premium but
excluding premiums reinsured with the Federal Crop Insurance Corporation and National
Flood Insurance Program, less than one billion dollars.
B. If an insurer qualifies for exemption pursuant to Paragraph (1) of Subsection A
of this Section, but the insurance group of which it is a member does not qualify for
exemption pursuant to Paragraph (2) of Subsection A of this Section, the ORSA summary
report that may be required pursuant to R.S. 22:691.35 shall include every insurer within the
insurance group. This requirement may be satisfied by the submission of more than one
ORSA summary report for any combination of insurers provided any combination of reports
includes every insurer within the insurance group.
C. If an insurer does not qualify for exemption pursuant to Paragraph (1) of
Subsection A of this Section, but the insurance group of which it is a member qualifies for
exemption pursuant to Paragraph (2) of Subsection A of this Section, then the only ORSA
summary report that may be required pursuant to R.S. 22:691.35 shall be the report
applicable to that insurer.
D. An insurer that does not qualify for exemption pursuant to Subsection A of this
Section may apply to the commissioner for a waiver from the requirements of this Subpart
based upon unique circumstances. In deciding whether to grant the insurer's request for
waiver, the commissioner may consider the type and volume of business written, ownership,
and organizational structure, and any other factor the commissioner considers relevant to the
insurer or insurance group of which it is a member. If the insurer is part of an insurance
group with insurers domiciled in more than one state, the commissioner shall coordinate with
the lead state commissioner and with the other domiciliary commissioners in considering
whether to grant the insurer's request for a waiver.
E. Notwithstanding the exemptions stated in this Section:
(1) The commissioner may require that an insurer maintain a risk management
framework, conduct an ORSA, and file an ORSA summary report based on unique
circumstances, including but not limited to the type and volume of business written,
ownership, and organizational structure, federal agency requests, and international supervisor
requests.
(2) The commissioner may require that an insurer maintain a risk management
framework, conduct an ORSA, and file an ORSA summary report if the insurer has a
risk-based capital company-action level event as set forth in R.S. 22:611 et seq. or 631 et
seq., meets one or more of the standards of an insurer deemed to be in hazardous financial
condition as defined in regulations promulgated by the commissioner, or otherwise exhibits
qualities of a troubled insurer as determined by the commissioner.
F. If an insurer ceases to qualify for an exemption pursuant to Subsection A of this
Section due to changes in premium as reflected in the insurer's most recent annual statement
or in the most recent annual statements of the insurers within the insurance group of which
it is a member, the insurer shall have one year following the year the premium threshold is
exceeded to comply with the requirements of this Subpart.