Vermont Statutes Title 8 Sec. 6071
Terms Used In Vermont Statutes Title 8 Sec. 6071
- Attorney-in-fact: A person who, acting as an agent, is given written authorization by another person to transact business for him (her) out of court.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- following: when used by way of reference to a section of the law shall mean the next preceding or following section. See
- Managing general agent: means any person who:
- Person: shall include any natural person, corporation, municipality, the State of Vermont or any department, agency, or subdivision of the State, and any partnership, unincorporated association, or other legal entity. See
- Risk retention group: means a company referred to in section 6070 of this title domiciled in this State. See
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- State: when applied to the different parts of the United States may apply to the District of Columbia and any territory and the Commonwealth of Puerto Rico. See
§ 6071. Definitions
As used in this chapter:
(1)(A) “Managing general agent” means any person who:
(i) manages all or part of the insurance business of a risk retention group and acts as an agent for such risk retention group, and, who, either separately or together with affiliates, underwrites gross written premium in any one-quarter or year that exceeds the greater of:
(I) 25 percent of the risk retention group’s policyholder surplus or capital; or
(II) $250,000.00; and
(ii) adjusts or pays, on behalf of the risk retention group, with settlement authority, claims in excess of $25,000.00 per occurrence or $250,000.00 in the aggregate.
(B) “Managing general agent” shall also mean a person who otherwise would be deemed as such, but for the fact that it underwrites gross written premium of less than the amounts specified above, but during the risk retention group’s preceding fiscal year underwrote in excess of 10 percent of the risk retention group’s gross written premium.
(C) Notwithstanding the provisions of subdivisions (1)(A) and (B) of this section, the following persons shall not be considered as managing general agents of a risk retention group:
(i) an officer, director, or employee of the risk retention group or of any person described in subdivisions (ii) and (iii) of this subdivision (C), provided the officer or director is not individually licensed as a managing general agent hereunder;
(ii) a person affiliated with or under common control with the risk retention group;
(iii) an association, society, or other entity, or any person under common ownership or control therewith, that has, directly or indirectly, as its owners or members, persons who are policyholders or are eligible to become policyholders of the risk retention group; and
(iv) an attorney-in-fact of a risk retention group organized as a reciprocal, or any person affiliated with or under common control with the attorney-in-fact.
(2) “Reinsurance intermediary” has the same meaning as set forth in subdivision 4815(9) of this title.
(3) “Risk retention group” means a company referred to in section 6070 of this title domiciled in this State.
(4) “Underwrite” means the authority to accept or reject risk on behalf of the risk retention group. (Added 1993, No. 235 (Adj. Sess.), § 9j, eff. Oct. 1, 1994; amended 2003, No. 55, § 10.)