Compilation of Rules and Regulations of the State of Georgia
Department 120 - OFFICE OF COMMISSIONER OF INSURANCE, SAFETY FIRE COMMISSIONER AND INDUSTRIAL LOAN COMMISSIONER
Chapter 120-2 - RULES OF COMMISSIONER OF INSURANCE
Subject 120-2-23 - INSURANCE HOLDING COMPANY REGULATIONS
Rule 120-2-23-.17 - Transactions Subject to Prior Notice - Notice Filing
Universal Citation: GA Rules and Regs r 120-2-23-.17
Current through Rules and Regulations filed through March 20, 2024
(1) An insurer required to give notice of a proposed transaction pursuant to O.C.G.A. Section 33-13-5shall furnish the required information on Form D, hereby made a part of this Regulation.
(2) Agreements for cost sharing services and management services shall at a minimum and as applicable:
(a) Identify the person providing services
and the nature of such services;
(b) Set forth the methods to allocate
costs;
(c) Require timely
settlement, not less frequently than on a quarterly basis, and compliance with
the requirements in the Accounting Practices and Procedures Manual;
(d) Prohibit advancement of funds by the
insurer to the affiliate except to pay for services defined in the
agreement;
(e) State that the
insurer will maintain oversight for functions provided to the insurer by the
affiliate and that the insurer will monitor services annually for quality
assurance;
(f) Define books and
records of the insurer to include all books and records developed or maintained
under or related to the agreement;
(g) Specify that all books and records of the
insurer are and remain the property of the insurer and are subject to control
of the insurer;
(h) State that all
funds and invested assets of the insurer are the exclusive property of the
insurer, held for the benefit of the insurer and are subject to the control of
the insurer;
(i) Include standards
for termination of the agreement with and without cause;
(j) Include provisions for indemnification of
the insurer in the event of gross negligence or willful misconduct on the part
of the affiliate providing the services;
(k) Specify that, if the insurer is placed in
receivership or seized by the commissioner under Chapter 37 of Title 33:
1. All of the rights of the insurer under the
agreement extend to the receiver or commissioner; and,
2. All books and records will immediately be
made available to the receiver or the commissioner, and shall be turned over to
the receiver or commissioner immediately upon the receiver or the
commissioner's request;
(l) Specify that the affiliate has no
automatic right to terminate the agreement if the insurer is placed in
receivership pursuant to the State Receivership Act; and
(m) Specify that the affiliate will continue
to maintain any systems, programs, or other infrastructure notwithstanding a
seizure by the commissioner under the Insurers Rehabilitation and Liquidation
Act, and will make them available to the receiver, for so long as the affiliate
continues to receive timely payment for services rendered.
O.C.G.A. Secs. 33-2-9, 33-13-9.
Disclaimer: These regulations may not be the most recent version. Georgia may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.