Terms Used In Montana Code > Title 33 > Chapter 28 > Part 2 - Operations

• Affiliated company: means any company in the same corporate system as a parent, an industrial insured, or a member by virtue of common ownership, control, operation, or management. See Montana Code 33-28-101
• Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
• Association: means any legal association of sole proprietorships or business entities that has been in continuous existence for at least 1 year unless the 1-year requirement is waived by the commissioner and the members of which collectively, or the association itself:

  (a)owns, controls, or holds with power to vote all of the outstanding voting securities of an association captive insurance company incorporated as a stock insurer;

  (b)has complete voting control over an association captive insurance company incorporated as a mutual insurer;

  (c)constitutes all of the subscribers of an association captive insurance company formed as a reciprocal insurer; or

  (d)owns, controls, or holds with power to vote all of the outstanding ownership interests of an association captive insurance company organized as a limited liability company. See Montana Code 33-28-101

• Branch business: means any insurance business transacted by a branch captive insurance company in this state. See Montana Code 33-28-101
• Branch captive insurance company: means any foreign captive insurance company authorized by the commissioner to transact the business of insurance in this state through a business unit with a principal place of business in this state. See Montana Code 33-28-101
• Captive insurance company: means any pure captive insurance company, association captive insurance company, protected cell captive insurance company, special purpose captive insurance company, or industrial insured captive insurance company formed or authorized under the provisions of this chapter. See Montana Code 33-28-101
• Captive risk retention group: means a captive insurance risk retention group formed under the laws of this chapter and pursuant to Title 33, chapter 11. See Montana Code 33-28-101
• Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
• Industrial insured: means an insured:

  (a)who procures the insurance of any risk or risks by use of the services of a full-time employee acting as an insurance manager or buyer;

  (b)whose aggregate annual premiums for insurance on all risks total at least $25,000; and

  (c)who has at least 25 full-time employees. See Montana Code 33-28-101

• Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
• Member: means a sole proprietorship or business entity that belongs to an association. See Montana Code 33-28-101
• Parent: means a sole proprietorship, business entity, or individual that directly or indirectly owns, controls, or holds with power to vote more than 50% of the outstanding voting securities of a captive insurance company. See Montana Code 33-28-101
• Property: means real and personal property. See Montana Code 1-1-205
• Protected cell: means a separate account established by a protected cell captive insurance company formed or authorized under the provisions of this chapter, in which an identified pool of assets and liabilities are segregated and insulated, as provided in this chapter, from the remainder of the protected cell captive insurance company's assets and liabilities in accordance with the terms of one or more participant contracts to fund the liability of the protected cell captive insurance company with respect to the participants as set forth in the participant contracts. See Montana Code 33-28-101
• Protected cell captive insurance company: means any captive insurance company:

  (a)in which the minimum capital and surplus required by applicable law are provided by one or more sponsors;

  (b)that is formed or authorized under the provisions of this chapter;

  (c)that insures the risks of separate participants through participant contracts;

  (d)that funds its liability to each participant through one or more protected cells and segregates the assets of each protected cell from the assets of other protected cells and from the assets of the protected cell captive insurance company's general account; and

  (e)that is incorporated or formed as a limited liability company. See Montana Code 33-28-101

• Pure captive insurance company: means any company that insures risks of its parent and affiliated companies and controlled unaffiliated business entities. See Montana Code 33-28-101
• Special purpose captive insurance company: means a captive insurance company that is formed or authorized under this chapter that does not meet the definition of any other type of captive insurance company defined in this section or is formed by, on behalf of, or for the benefit of a political subdivision of this state. See Montana Code 33-28-101
• State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201