§ 27-35-1. Definitions.
As used in this chapter:
(1) "Affiliate.� An "affiliate� of, or person "affiliated� with, a specific person, is
a person that directly, or indirectly through one or more intermediaries, controls,
or is controlled by, or is under common control with, the person specified. An "affiliate�
does not include a protected cell of a protected cell company organized under the
protected cell companies act, chapter 64 of this title.
(2) "Commissionerâ€� The term "commissionerâ€� means the definition prescribed by § 42-14-5.
(3) "Control.� The term "control� (including the terms "controlling,� "controlled by,�
and "under common control with�), means the possession, direct or indirect, of the
power to direct or cause the direction of the management and policies of a person,
whether through the ownership of voting securities, by contract other than a commercial
contract for goods or management services, or otherwise, unless the power is the result
of an official position with or corporate office held by the person. Control shall
be presumed to exist if any person, directly or indirectly, owns, controls, holds
with the power to vote, or holds proxies representing, ten percent (10%) or more of
the voting securities of any other person. This presumption may be rebutted by a showing
made in the manner provided by § 27-35-3(k) that control does not exist in fact. The commissioner may determine, after furnishing
all persons in interest notice and opportunity to be heard and making specific findings
of fact to support the determination, that control exists in fact, notwithstanding
the absence of a presumption to that effect.
(4) "Group capital calculation instructions� means the group capital calculation instructions,
as adopted by the NAIC and as amended by the NAIC from time to time, in accordance
with the procedures adopted by the NAIC.
(5) "Group-wide supervisor� means the regulatory official authorized to engage in conducting
and coordinating group-wide supervision activities who is determined or acknowledged
by the commissioner under § 27-35-5.5(d) to have sufficient significant contacts with the internationally active insurance
group.
(6) "Insurance holding company system.� An "insurance holding company system� consists
of two (2) or more affiliated persons, one or more of which is an insurer.
(7) "Insurer.� The term "insurer� means any person or persons or corporation, partnership,
or company authorized by the laws of this state to transact the business of insurance
in this state, including entities organized or authorized to transact business in
this state pursuant to chapters 19, 20, 20.1, 20.2, 20.3, and 41 of this title, except
that it shall not include agencies, authorities, or instrumentalities of the United
States, its possessions and territories, the Commonwealth of Puerto Rico, the District
of Columbia, or a state or political subdivision of a state.
(8) "Internationally active insurance group� means an insurance holding company system
that:
(i) Includes an insurer registered under § 27-35-3; and
(ii) Meets the following criteria:
(A) Premiums written in at least three (3) countries;
(B) The percentage of gross premiums written outside the United States is at least ten
percent (10%) of the insurance holding company system's total gross written premiums;
and
(C) Based on a three-year (3) rolling average, the total assets of the insurance holding
company system are at least fifty billion dollars ($50,000,000,000) or the total gross
written premiums of the insurance holding company system are at least ten billion
dollars ($10,000,000,000).
(9) "Enterprise risk.� "Enterprise risk� means any activity, circumstance, event or series
of events involving one or more affiliates of an insurer that, if not remedied promptly,
is likely to have a material adverse effect upon the financial condition or liquidity
of the insurer or its insurance holding company system as a whole, including, but
not limited to, anything that would cause the insurer's risk-based capital to fall
into company action level as set forth in chapters 4.6 and 4.7 of this title or would
cause the insurer to be in a hazardous financial condition as set forth in chapter
14.2 of this title.
(10) "NAIC� means the National Association of Insurance Commissioners.
(11) "NAIC liquidity stress test framework.� The "NAIC liquidity stress test framework�
is a separate NAIC publication that includes a history of the NAIC's development of
regulatory liquidity stress testing, the scope criteria applicable for a specific
data year, and the liquidity stress test instructions and reporting templates for
a specific data year, such scope criteria, instructions and reporting template being
as adopted by the NAIC and as amended by the NAIC from time to time, in accordance
with the procedures adopted by the NAIC.
(12) "Person.� A "person� is an individual, a corporation, a limited liability company,
a partnership, an association, a joint stock company, a trust, an unincorporated organization,
or any similar entity or any combination of the foregoing acting in concert, but shall
not include any joint venture partnership exclusively engaged in owning, managing,
leasing or developing real or tangible personal property.
(13) "Scope criteria.� The "scope criteria,� as detailed in the NAIC liquidity stress test
framework, are the designated exposure bases along with minimum magnitudes thereof
for the specified data year, used to establish a preliminary list of insurers considered
scoped into the NAIC liquidity stress test framework for that data year.
(14) "Securityholder.� A "securityholder� of a specified person is one who owns any security
of such person, including common stock, preferred stock, debt obligations, and any
other security convertible into or evidencing the right to acquire any of the foregoing.
(15) "Subsidiary.� A "subsidiary� of a specified person is an affiliate controlled by such
person directly, or indirectly, through one or more intermediaries.
(16) "Voting security.� The term "voting security� shall include any security convertible
into or evidencing a right to acquire a voting security.