Louisiana Revised Statutes 22:2370 – A. An insurer who receives a matching capital fund grant under the provisions of this Chapter shall earn the grant at the rate of twenty percent per year for each year in which the i
Terms Used In Louisiana Revised Statutes 22:2370
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
A. An insurer who receives a matching capital fund grant under the provisions of this Chapter shall earn the grant at the rate of twenty percent per year for each year in which the insurer maintains the net written premiums in compliance with the requirements of this Chapter, such that the insurer may earn the entire grant in five years.
B. If an insurer fails to comply with the requirements of this Chapter at the end of any year of the grant, the commissioner shall have the option of granting an extension, if the insurer shows promise of future compliance.
C. If the commissioner finds that an insurer has failed to comply with the statutory or regulatory requirements for the grant, the commissioner may declare the insurer in default. The insurer in default shall repay any matching capital fund grant funds that have not been earned under Subsection A of this Section, plus legal interest from the date of the commissioner’s default declaration.
D. In the event of insolvency of an insurer, the Louisiana Insurance Guaranty Association shall have no obligation to repay matching capital fund grants.
Acts 2007, No. 447, §1, eff. July 11, 2007; Redesignated from La. Rev. Stat. 22:3310 by Acts 2008, No. 415, §1, eff. Jan. 1, 2009; Acts 2022, No. 754, §1.