11 CRR-NY 301.1NY-CRR
11 CRR-NY 301.1
11 CRR-NY 301.1
In this Part, the following definitions shall apply:
(a) Doing an insurance business has the meaning ascribed to it by section 1101 of the Insurance Law.
(b) Doing business in this State includes, with respect to a purchasing group, where there is:
(1) a member which has a risk resident or located in this State;
(2) any solicitation, negotiation, issuance or delivery in this State of a policy by, to or on behalf of such group or any of its members; or
(3) an office of such group in this State.
(c) Liability means legal liability for damages (including costs of defense, legal costs and fees, and other claims expenses) because of injuries to other persons, damage to their property, or other damage or loss to such other persons resulting from or arising out of:
(1) any business (whether profit or nonprofit), trade, product, services (including professional services), premises or operations; or
(2) any activity of any state or local government, or any agency or political subdivision thereof; and
does not include personal risk liability and an employer's liability with respect to its employees other than legal liability under the Federal Employers' Liability Act (45 USC 51 et seq.).
(d) Personal risk liability means liability for damages because of injury to any person, damage to property, or other loss or damage resulting from any personal, familial or household responsibilities or activities, rather than from responsibilities or activities described in paragraphs (c)(1)-(2) of this section.
(e) Policy means any policy, contract, certificate or evidence of insurance, or rider or endorsement thereto.
(f) Purchasing group means any group, formed pursuant to the LRRA, which:
(1) has as one of its purposes the purchase of liability insurance on a group basis;
(2) purchases such insurance only for its group members and only to cover their similar or related liability exposure, as described in paragraph (3) of this subdivision;
(3) is composed of members whose businesses or activities are similar or related with respect to the liability to which members are exposed by virtue of any related, similar or common business, trade, product, services, premises or operations; and
(4) is domiciled in any state.
(g) Risk retention group means any corporation or other limited liability association, formed pursuant to the LRRA:
(1) whose primary activity consists of assuming and spreading all, or any portion, of the liability exposure of its group members;
(2) which is organized for the primary purpose of conducting the activity described under paragraph (1) of this subdivision;
(3) which is:
(i) chartered and licensed as a liability insurance company and authorized to engage in the business of insurance under the laws of any state; or
(ii) before January 1, 1985, was chartered or licensed and authorized to engage in the business of insurance under the laws of Bermuda or the Cayman Islands and, before such date, had certified to the insurance commissioner of at least one state that it satisfied the capitalization requirements of such, state, except that any such group shall be considered to be a risk retention group only if it has been engaged in business continuously since such date and only for the purpose of continuing to provide insurance to cover product liability or completed operations liability;
(4) which does not exclude any person from membership in the group solely to provide for members of such a group a competitive advantage over such a person;
(i) has as its owners only persons who comprise the membership of the risk retention group and who are provided insurance by such group; or
(ii) has as its sole owner an organization which has as its members only persons who comprise the membership of the risk retention group, and which organization has as its owners only persons who comprise the membership of the risk retention group and who are provided insurance by such group;
(6) whose members are engaged in businesses or activities similar or related with respect to the liability of which such members are exposed by virtue of any related, similar or common business, trade, product, services, premises or operations;
(7) whose activities do not include the provision of insurance other than:
(i) liability insurance for assuming and spreading all or any portion of the liability of its group members; and
(ii) reinsurance with respect to the liability of any other risk retention group (or any member of such other group) which is engaged in businesses or activities which meet the requirement described in paragraph (6) of this subdivision for membership in the risk retention group which provides such reinsurance; and
(8) the name of which includes the phrase “Risk Retention Group.”
(h) State means any state of the United States or the District of Columbia.
(i) Unauthorized insurer means, for purposes of this Part, any insurer which is not:
(1) an authorized insurer, as that term is defined in section 107 of the Insurance Law; or
(2) a risk retention group chartered and licensed in a state.
(j) All other terms used herein shall have the same meanings ascribed to them in section 107 of the Insurance Law. On and after December 10, 1988, all other terms used herein shall have the same meanings ascribed to them in section 107 of the Insurance Law and section 5902 of the Insurance Law. Where section 107 of the Insurance Law and section 5902 of the Insurance Law provide for different meanings, section 5902 of the Insurance Law shall govern.
11 CRR-NY 301.1
Current through November 30, 2020
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