§ 415-C:4 — Fiscal Requirements

An obligor shall provide proof of financial responsibility to the insurance department by:
I. Posting a bond in the amount of at least $25,000 or 5 percent of all consumer guarantee contracts sold in New Hampshire, whichever is greater, up to a maximum of $250,000 and maintaining a reserve account in an amount no less than 40 percent of the gross consideration received for all contract fees from consumer guaranty contracts issued to New Hampshire residents less claims paid;
II. Insuring all consumer guaranty contracts under a reimbursement insurance policy issued by an insurer authorized to issue such insurance in this state; or
III. Demonstrating that the obligor, as either a stand alone company or together with the obligor's parent, maintains a net worth or stockholders' equity of $25,000,000 or more as evidenced by the obligor's annual audited financial statement or form 10K or 20F filed with the United States Securities and Exchange Commission. Proof of the above shall be deemed acceptable if not rejected in writing by the insurance commissioner within 60 days of submission.

Legislative History

2004, 224:1, eff. Jan. 1, 2005.