379.1320. Reinsurance may be provided, when. - Missouri Statutes

Reinsurance may be provided, when.

379.1320. 1. Any captive insurance company may provide reinsurance,comprised in section 376.010, RSMo, and subsection 1 of section 379.010, onrisks ceded by any other insurer.

2. Any captive insurance company may take credit for the reinsuranceof risks or portions of risks ceded to reinsurers complying with theprovisions of section 375.246, RSMo. Prior approval of the director shallbe required for ceding or taking credit for the reinsurance of risks orportions of risks ceded to reinsurers or under reinsurance agreements notcomplying with section 375.246, RSMo, except for business written by analien captive insurance company outside the United States.

3. For all purposes of sections 379.1300 to 379.1350, insurance by acaptive insurance company of any workers' compensation qualifiedself-insured plan of its parent and affiliates shall be deemed to bereinsurance.

4. In addition to reinsurers authorized under the provisions ofsection 375.246, RSMo, a captive insurance company may take credit for thereinsurance of risks or portions of risks ceded to a pool, exchange, orassociation acting as a reinsurer which has been authorized by thedirector. The director may require any other documents, financialinformation, or other evidence that such a pool, exchange, or associationwill be able to provide adequate security for its financial obligations.The director may deny authorization or impose any limitations on theactivities of a reinsurance pool, exchange, or association that, in thedirector's judgment, are necessary and proper to provide adequate securityfor the ceding captive insurance company and for the protection andconsequent benefit of the public at large.

(L. 2007 S.B. 215)