Hawaii Administrative Rules
Title 16 - DEPARTMENT OF COMMERCE AND CONSUMER AFFAIRS
Chapter 168 - CREDIT FOR REINSURANCE
Section 16-168-13 - Reinsurance contract
Current through February, 2024
Credit will not be granted to a ceding insurer for reinsurance effected with assuming insurers meeting the requirements of section 16-168-3, 16-168-4, 16-168-5, 16-168-6, 16-168-7, 16-168-7.1, or 16-168-9, or otherwise in compliance with section 431:4A-101, HRS, after the adoption of this chapter unless the reinsurance agreement:
(1) Includes a proper insolvency clause, which stipulates that reinsurance is payable directly to the liquidator or successor without diminution regardless of the status of the ceding company;
(2) Includes a provision pursuant to section 431:4A-101(g), HRS, whereby the assuming insurer, if an unauthorized assuming insurer, has submitted to the jurisdiction of an alternative dispute resolution panel or court of competent jurisdiction within the United States, has agreed to comply with all requirements necessary to give such court or panel jurisdiction, has designated an agent upon whom service of process may be effected, and has agreed to abide by the final decision of the court or panel; and
(3) Includes a proper reinsurance intermediary clause, if applicable, which stipulates that the credit risk for the intermediary is carried by the assuming insurer.
