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KRS 304.9-715

Records of transactions of reinsurance intermediary brokers

Known as the Reinsurance Intermediary Act

The act spans §§ 304.9-010 to 304.9-784 (110 sections).

Effective: July 14, 1992 History: Created 1992 Ky

(1) For at least ten (10) years after expiration of each contract of reinsurance transacted by the reinsurance intermediary broker, the reinsurance intermediary broker shall keep a complete record for each transaction showing:

(a) The type of contract, limits, underwriting restrictions, classes or risks, and territory;

(b) Period of coverage, including effective and expiration dates, cancellation provisions, and notice required for cancellation;

(c) Reporting and settlement requirements of balances;

(d) Rate used to compute the reinsurance premium;

(e) Names and addresses of assuming reinsurers;

(f) Rates of all reinsurance commissions, including the commissions on any retrocessions handled by the reinsurance intermediary broker;

(g) Related correspondence and memoranda;

(h) Proof of placement;

(i) Details regarding retrocessions handled by the reinsurance intermediary broker, including the identity of retrocessionaires and percentage of each contract assumed or ceded;

(j) Financial records, including, but not limited to, premium and loss accounts; and (k) When the reinsurance intermediary broker procures a reinsurance contract on behalf of an authorized ceding insurer:

1. Directly from any assuming reinsurer written evidence that the assuming reinsurer has agreed to assume the risk; or 2. If placed through a representative of the assuming reinsurer, other than an employee, written evidence that the reinsurer has delegated binding authority to the representative;

(2) The insurer shall have access to and the right to copy and audit all accounts and records maintained by the reinsurance intermediary broker related to its business in a form usable by the insurer.

Official source: Kentucky General Assembly. Reproduced from public-domain Kentucky statutes; confirm against the official source for the current text. Not legal advice.