§ 44-4417 — Purchasing group; notice; requirements; registration fees

Nebraska § 44-4417

• Jurisdiction: Nebraska
• Ch. 44: Insurance

Text

(1) A purchasing group which intends to do business in this state shall, prior to doing business, furnish notice to the director which shall:
(a) Identify the state in which the purchasing group is domiciled;
(b) Identify all other states in which the purchasing group intends to do business;
(c) Specify the lines and classifications of liability insurance which the purchasing group intends to purchase;
(d) Identify the insurance company from which the group intends to purchase its insurance and the domicile of such company;
(e) Specify the method by which and the person or persons, if any, through whom insurance will be offered to its members whose risks are resident or located in this state;
(f) Identify the principal place of business of the group; and
(g) Provide such other information as may be required by the director to verify that the purchasing group is qualified under subdivision (12) of section 44-4403 .
(2) A purchasing group which intends to do business in this state shall include an initial registration fee of one hundred dollars at the time it furnishes notice to the director pursuant to subsection (1) of this section. A purchasing group shall pay an additional fee of one hundred dollars to the director on October 1 of each year thereafter so long as such registration continues. The fees required by this subsection shall be payable to the department and shall be remitted to the State Treasurer for credit to the Department of Insurance Cash Fund.
(3) A purchasing group shall, within ten days, notify the director of any changes in the items set forth in subsection (1) of this section.
(4) A purchasing group shall register with and designate the director as its agent solely for the purpose of receiving service of legal documents or process, except that such requirement shall not apply in the case of a purchasing group that:
(a) Was domiciled before April 1, 1986, and is domiciled on and after October 27, 1986, in any state of the United States;
(b) Before October 27, 1986, purchased insurance from an insurance carrier licensed in any state;
(c) Since October 27, 1986, purchased its insurance from an insurance carrier licensed in any state;
(d) Was a purchasing group under the requirements of the federal Product Liability Risk Retention Act of 1981 before October 27, 1986; and
(e) Does not purchase insurance that was not authorized for purposes of an exemption under the federal Product Liability Risk Retention Act of 1981 as in effect before October 27, 1986.
(5) Each purchasing group that is required to give notice pursuant to subsection (1) of this section shall also furnish such information as may be required by the director to:
(a) Verify that the entity qualifies as a purchasing group;
(b) Determine where the purchasing group is located; and
(c) Determine appropriate tax treatment.

Legislative History

Source: Laws 1987, LB 514, § 17; Laws 1991, LB 236, § 54; Laws 1994, LB 978, § 30.