HB 101 Summary

• Adds new Section 41-514 establishing the statutory purpose of reinsurance credit provisions to protect insureds, claimants, ceding insurers, assuming insurers and the public by ensuring adequate regulation and requiring non-U.S. insurers' security assets be maintained in the United States.

• Redesignates existing Section 41-514 as Section 41-515 and revises credit for reinsurance requirements, including detailed criteria for licensed insurers, accredited reinsurers, assuming insurers domiciled in equivalent-standard states, trust fund arrangements, and certified reinsurers.

• Establishes requirements for certified reinsurers including domiciliation in qualified jurisdictions, minimum capital and surplus standards, financial strength ratings from multiple agencies, and director-assigned ratings with tiered security requirements based on rating levels.

• Implements concentration of risk management provisions requiring domestic ceding insurers to notify the director when reinsurance recoverables from a single assuming insurer exceed 50% of surplus or when ceding exceeds 20% of gross written premium.

• Amends Section 41-5204 correcting cross-references to apply reinsurance credit provisions (41-510, 41-511, and 41-5145) to health benefit plans when carriers cede or assume complete insurance obligations.