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§ 5-915. Duties of ceding insurers relating to reinsurance recoverables

West's Annotated Code of MarylandInsuranceEffective: June 1, 2013

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 5. Assets, Liabilities, Reserves, and Investments of Insurers
Subtitle 9. Reinsurance (Refs & Annos)
Effective: June 1, 2013
MD Code, Insurance, § 5-915
§ 5-915. Duties of ceding insurers relating to reinsurance recoverables
Management of reinsurance recoverables
(a)(1) A ceding insurer shall take steps to manage its reinsurance recoverables proportionate to its own book of business.
(2)(i) A domestic ceding insurer shall notify the Commissioner within 30 days after reinsurance recoverables from any single assuming insurer, or group of affiliated assuming insurers, exceeds or is likely to exceed 50% of the domestic ceding insurer's last reported surplus to policyholders.
(ii) The notification required by subparagraph (i) of this paragraph shall demonstrate that the domestic ceding insurer is safely managing the exposure.
Diversification of reinsurance program
(b)(1) A ceding insurer shall take steps to diversify its reinsurance program.
(2)(i) A domestic ceding insurer shall notify the Commissioner within 30 days after ceding or being likely to cede to any single assuming insurer, or group of affiliated assuming insurers, more than 20% of the ceding insurer's gross written premium in the prior calendar year.
(ii) The notification required by subparagraph (i) of this paragraph shall demonstrate that the domestic ceding insurer is safely managing the exposure.

Credits

Added by Acts 2013, c. 321, § 1, eff. June 1, 2013.
MD Code, Insurance, § 5-915, MD INSURANCE § 5-915
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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