Indiana Code 27-1-23.5-11. Exemptions
(1) the insurer has annual direct written and unaffiliated assumed premium, including international direct and assumed premium but excluding premiums reinsured with the Federal Crop Insurance Corporation and Federal Flood Program, of less than five hundred million dollars ($500,000,000); and
Terms Used In Indiana Code 27-1-23.5-11
- Commissioner: means the "insurance commissioner" of this state. See Indiana Code 27-1-2-3
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- corporation: means an insurance company and includes all persons, partnerships, corporations, associations, orders or societies engaged in or proposing to engage in making any kind of insurance authorized by the laws of this state. See Indiana Code 27-1-2-3
- Department: means "the department of insurance" of this state. See Indiana Code 27-1-2-3
- Insurance: means a contract of insurance or an agreement by which one (1) party, for a consideration, promises to pay money or its equivalent or to do an act valuable to the insured upon the destruction, loss or injury of something in which the other party has a pecuniary interest, or in consideration of a price paid, adequate to the risk, becomes security to the other against loss by certain specified risks; to grant indemnity or security against loss for a consideration. See Indiana Code 27-1-2-3
- insurer: means a company, firm, partnership, association, order, society or system making any kind or kinds of insurance and shall include associations operating as Lloyds, reciprocal or inter-insurers, or individual underwriters. See Indiana Code 27-1-2-3
- member: means one who holds a contract of insurance or is insured in an insurance company other than a stock corporation. See Indiana Code 27-1-2-3
- ORSA summary report: means a confidential, high level summary of an insurer or insurance group's ORSA. See Indiana Code 27-1-23.5-7
- premium: means money or any other thing of value paid or given in consideration to an insurer, insurance producer, or solicitor on account of or in connection with a contract of insurance and shall include as a part but not in limitation of the above, policy fees, admission fees, membership fees and regular or special assessments and payments made on account of annuities. See Indiana Code 27-1-2-3
- Year: means a calendar year, unless otherwise expressed. See Indiana Code 1-1-4-5
(b) If:
(1) an insurer qualifies under subsection (a)(1) for exemption from the requirements of this chapter; and
(2) the insurance group of which the insurer is a member does not qualify for exemption under subsection (a)(2);
an ORSA summary report required by section 10 of this chapter must include every insurer that is a member of the insurance group.
(c) If:
(1) an insurance group described in subsection (b) submits more than one (1) ORSA summary report for a combination of insurers; and
(2) the combination of ORSA summary reports submitted as described in subdivision (1) includes every insurer that is a member of the insurance group;
the insurance group is considered to be in compliance with subsection (b).
(d) If:
(1) an insurer does not qualify under subsection (a)(1) for exemption from the requirements of this chapter; and
(2) the insurance group of which the insurer is a member qualifies for exemption under subsection (a)(2);
the only ORSA summary report that is required under section 10 of this chapter is the report that applies to the insurer.
(e) An insurer that does not qualify under subsection (a) for exemption from the requirements of this chapter may apply to the commissioner for a waiver from the requirements of this chapter based on unique circumstances. In deciding whether to grant an insurer’s request for a waiver, the commissioner:
(1) may consider the type and volume of business written, ownership and organizational structure, and any other factor the commissioner considers relevant to the insurer or insurance group of which the insurer is a member; and
(2) shall, if the insurer is part of an insurance group with insurers domiciled in more than one (1) state, coordinate with the:
(A) lead state commissioner of the insurance group (as determined by the procedures in the Financial Analysis Handbook); and
(B) other domiciliary commissioners;
in considering whether to grant the insurer’s request for a waiver.
(f) The commissioner may, regardless of an insurer’s qualification under this section for exemption from the requirements of this chapter, require that an insurer maintain a risk management framework, conduct an ORSA, and file an ORSA summary report if one (1) of the following applies:
(1) If unique circumstances exist, as determined by the commissioner, including the following:
(A) The type and volume of business written by the insurer.
(B) The insurer’s ownership and organizational structure.
(C) The request of a federal agency.
(D) The request of an international supervisor.
(2) If the insurer:
(A) has authorized control level RBC for a company action level event under IC 27-1-36;
(B) meets at least one (1) of the standards of an insurer considered to be in hazardous financial condition according to rules adopted by the department under IC 27-1-3-7; or
(C) exhibits other qualities of a troubled insurer, as determined by the commissioner.
(g) If an insurer ceases to qualify for an exemption under this section due to changes in premium, as reflected in:
(1) the insurer’s most recent annual statement; or
(2) the most recent annual statements of the insurers that are members of the insurance group of which the insurer is a member;
the insurer must meet the requirements of this chapter not later than one (1) year after the date on which the premium change occurs.
As added by P.L.129-2014, SEC.8. Amended by P.L.124-2018, SEC.45.