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Idaho Code § 41-347

Nonrenewals, cancellations or revisions of ceded reinsurance agreements

(b) Insurers are required to report all material nonrenewals, cancellations or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer is part of…

(1) Materiality and scope. No nonrenewals, cancellations or revisions of ceded reinsurance agreements need be reported pursuant to section 41-345, Idaho Code, if the nonrenewals, cancellations or revisions are not material. For purposes of sections 41-345 through 41-347, Idaho Code, a material nonrenewal, cancellation or revision is one that affects: As respects property-casualty business, including accident and health business written by a property-casualty insurer: More than fifty percent (50%) of the insurer’s total ceded written premium; or

(2) More than fifty percent (50%) of the insurer’s total ceded indemnity and loss adjustment reserves.

(3) As respects life, annuity and accident and health business more than fifty percent (50%) of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer’s most recent annual statement.

(4) As respects either property-casualty or life, annuity and accident and health business, either of the following events shall constitute a material revision which must be reported: An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or

(5) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession.

(6) No filing shall be required, however, if: As respects property-casualty business, including accident and health business written by a property-casualty insurer, the insurer’s total ceded written premium represents, on an annualized basis, less than ten percent (10%) of it [its] total written premium for direct and assumed business; or

(7) As respects life, annuity and accident and health business, the total reserve credit taken for business ceded represents, on an annualized basis, less than ten percent (10%) of the statutory reserve requirement prior to any cession.

(8) Information to be reported. The following information is required to be disclosed in any report of a material nonrenewal, cancellation or revision of ceded reinsurance agreements: Effective date of the nonrenewal, cancellation or revision;

(9) The description of the transaction with an identification of the initiator thereof;

(10) Purpose of, or reason for, the transaction; and

(11) If applicable, the identity of the replacement reinsurers.

Current official text: Idaho Statutes (Idaho Legislature). Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Idaho statutes; confirm against the official source for the current text. Not legal advice.