§ 27-59-4 — § 27-59-4. Deposits of security — Amounts.

Rhode Island § 27-59-4

• Jurisdiction: Rhode Island
• Title 27: Insurance
• Ch. 27-59: Alien Insurance Companies

Text

§ 27-59-4. Deposits of security — Amounts.

(a) Every alien insurance company authorized to transact business in this state shall at all times maintain a deposit with the general treasurer of the state of Rhode Island in cash or in securities in which insurance companies are authorized to invest, a sum equal to the greater of total United States liabilities or one million dollars ($1,000,000). The securities shall be approved, and the amount of the deposit shall be determined, by the commissioner. The commissioner, in the commissioner's discretion, may permit the withdrawal of interest earnings.

(b) In lieu of the deposits provided in this section, an alien insurance company may file with the commissioner a bond of equal amount executed by a licensed United States surety company so conditioned for the protection of Rhode Island creditors and policyholders.

(c) An alien insurance company shall not be granted a certificate of authority to transact business in this state, or renewal of the certificate, until the deposit is made, and the commissioner may revoke the certificate of authority of an alien insurance company that fails to make the deposit in a reasonable period of time.

Legislative History

P.L. 1997, ch. 67, § 1.