§ 27-14.4-2 - Definitions. - Rhode Island Statutes

SECTION 27-14.4-2

   § 27-14.4-2  Definitions. – For the purposes of this chapter:

   (1) "Ancillary state" means any state other than adomiciliary state;

   (2) "Delinquency proceeding" means any proceeding commencedagainst an insurer for the purpose of liquidating, rehabilitating,reorganizing, or conserving that insurer;

   (3) "Domiciliary state" means the state in which an insureris incorporated or organized, or, in the case of an insurer incorporated ororganized in a foreign country, the state in which that insurer, having becomeauthorized to do business in that state, has, at the commencement ofdelinquency proceedings, the largest amount of its assets held in trust andassets held on deposit for the benefit of its policyholders or policyholdersand creditors in the United States; and any foreign insurer is deemed to bedomiciled in that state;

   (4) "Foreign country" means territory not in any state;

   (5) "General assets" means all property, real, personal, orotherwise, not specifically mortgaged, pledged, deposited, or otherwiseencumbered for the security or benefit of specified persons or a limited classor classes of persons, and as to specifically encumbered property the termincludes all property or its proceeds in excess of the amount necessary todischarge the sum or sums secured by that property. Assets held in trust andassets held on deposit for the security or benefit of all policyholders, or allpolicyholders and creditors in the United States, shall be deemed generalassets; provided that general assets shall not mean unearned premiums due orowed the insurer by the policyholder, agent or broker at the time an insolvencyor liquidation is declared by a court of competent jurisdiction, nor shallgeneral assets mean unearned premiums held in trust or held on deposit by theagent, broker, or insurer;

   (6) "Insurer" means any person, firm, corporation,association, or aggregation of persons doing an insurance business and subjectto the insurance supervisory authority of, or to liquidation, rehabilitation,reorganization, or conservation by, the department of business regulation ofthis state, or the equivalent insurance supervisory official of another state,including a protected cell company organized under the Protected Cell CompaniesAct, chapter 64 of this title, and any of its protected cells established tothat chapter, to the extent not inconsistent with the provisions of chapter 64of this title;

   (7) "Preferred claim" means any claim with respect to whichthe law of a state or of the United States accords priority of payment from thegeneral assets of the insurer;

   (8) "Receiver" means receiver, liquidator, rehabilitator, orconservator as the context may require;

   (9) "Reciprocal state" means any state other than this statein which in substance and effect the provisions of this chapter are in force,including the provisions requiring that the director of business regulation isthe receiver of a delinquent insurer;

   (10) "Secured claim" means any claim secured by mortgage,trust, deed, pledge, deposit as security, escrow, or otherwise, but notincluding special deposit claims or claims against general assets. The termalso includes claims which more than four (4) months prior to the commencementof delinquency proceedings in the state of the insurer's domicile have becomeliens upon specific assets by reason of judicial process;

   (11) "Special deposit claim" means any claim secured by adeposit made pursuant to statute for the security or benefit of a limited classor classes of persons, but not including any general assets; and

   (12) "State" means any state of the United States, and alsothe District of Columbia and Puerto Rico.