Arizona Laws 20-3604. Rules
A. The director may adopt rules pursuant to Title 41, Chapter 6 to carry out this article.
Terms Used In Arizona Laws 20-3604
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- department: means the department of insurance and financial institutions. See Arizona Laws 20-101
- including: means not limited to and is not a term of exclusion. See Arizona Laws 1-215
B. The rules may include regulation of reinsurance arrangements relating to any of the following:
1. Life insurance policies with guaranteed nonlevel gross premiums or guaranteed nonlevel benefits.
2. Universal life insurance policies with provisions resulting in the ability of a policyholder to keep a policy in force over a secondary guarantee period.
3. Variable annuities with guaranteed death or living benefits.
4. Long-term care insurance policies.
5. Any other life and health insurance and annuity products for which the national association of insurance commissioners adopts model regulatory requirements with respect to credit for reinsurance.
C. Any rule adopted pursuant to subsection B, paragraph 1 or 2 of this section may apply to any treaty that contains either or both:
1. Policies issued on or after January 1, 2015.
2. Policies issued before January 1, 2015, if risk pertaining to such pre-2015 policies is ceded in connection with the treaty, in whole or in part, on or after January 1, 2015.
D. Any rule adopted pursuant to subsection B of this section:
1. May require the ceding insurer, in calculating the amounts or forms of security required to be held pursuant to rules adopted by the department, to use the valuation manual adopted by the national association of insurance commissioners under section 11B(1) of the national association of insurance commissioners standard valuation law, including all amendments adopted by the national association of insurance commissioners and in effect on the date as of which the calculation is made, to the extent applicable.
2. Does not apply to cessions to an assuming insurer that is licensed in at least twenty-six states or that is licensed in at least ten states and licensed or accredited in a total of at least thirty-five states and that either:
(a) Meets the conditions prescribed in section 20-3602, subsection H in this state.
(b) Is certified in this state.
(c) Maintains at least $250,000,000 in capital and surplus as determined in accordance with the accounting practices and procedures manual and amendments adopted by the national association of insurance commissioners, excluding the impact of any allowed or prescribed practices.
E. The authority to adopt rules pursuant to subsection B of this section does not limit the department’s general authority to adopt rules pursuant to subsection A of this section.