§ 27-1.1-4. Rules and regulations.
(a) The commissioner may adopt reasonable rules and regulations implementing the provisions
of this law.
(b) The commissioner is further authorized to adopt rules and regulations applicable to
reinsurance arrangements described in subsection (b)(1) of this section.
(1) A regulation adopted pursuant to this section may apply only to reinsurance relating
to:
(i) Life insurance policies with guaranteed nonlevel gross premiums or guaranteed nonlevel
benefits;
(ii) Universal life insurance policies with provisions resulting in the ability of a policyholder
to keep a policy in force over a secondary guarantee period;
(iii) Variable annuities with guaranteed death or living benefits;
(iv) Long-term care insurance policies; or
(v) Other life and health insurance and annuity products as to which the NAIC adopts model
regulatory requirements with respect to credit for reinsurance.
(2) A regulation adopted pursuant to subsection (b)(1)(i) or (b)(1)(ii) of this section
may apply to any treaty containing:
(i) Policies issued on or after January 1, 2015; and
(ii) Policies issued prior to January 1, 2015, if risk pertaining to the pre-2015 policies
is ceded in connection with the treaty, in whole or in part, on or after January 1,
2015.
(3) A regulation adopted pursuant to subsection (b) of this section may require the ceding
insurer, in calculating the amounts or forms of security required to be held under
regulations promulgated under this authority, to use the Valuation Manual adopted
by the NAIC under Section 11B(1) of the NAIC Standard Valuation Law, including all
amendments adopted by the NAIC and in effect on the date as of which the calculation
is made, to the extent applicable.
(4) A regulation adopted pursuant to subsection (b) of this section shall not apply to
cessions to an assuming insurer that:
(i) Meets the conditions set forth in § 27-1.1-1(g); or
(ii) Is certified in this state; or
(iii) Maintains at least two hundred fifty million dollars ($250,000,000) in capital and
surplus when determined in accordance with the NAIC Accounting Practices and Procedures
Manual, including all amendments thereto adopted by the NAIC, excluding the impact
of any permitted or prescribed practices; and is:
(A) Licensed in at least twenty-six (26) states; or
(B) Licensed in at least ten (10) states, and licensed or accredited in a total of at
least thirty-five (35) states.
(5) The authority to adopt regulations pursuant to subsection (b) of this section does
not limit the commissioner's general authority to adopt regulations pursuant to subsection
(a) of this section.