§ 8-516
251 words·~1 min read·
/md/insurance/8-516A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§8–516.
(a)A reinsurance manager shall keep a record of each transaction that relates to a contract of reinsurance transacted by the reinsurance manager for at least 10 years after the contract expires.
(b)For each contract of reinsurance, the record required by this section shall include:
(1)the type of contract, limits, underwriting restrictions, classes or risks, and territory;
(2)the period of coverage, including effective and expiration dates, cancellation provisions, required notice of cancellation, and disposition of outstanding reserves on covered risks;
(3)the requirements for reporting and settling balances;
(4)the rate used to compute the reinsurance premium;
(5)the names and addresses of assuming reinsurers;
(6)the rates of all reinsurance commissions, including commissions on any retrocessions handled by the reinsurance manager;
(7)proof of placement;
(8)details of retrocessions handled by the reinsurance manager, including the identity of retrocessionaires and the percentage of each contract assumed or ceded;
(9)financial records, including premium and loss accounts; and
(10)any related correspondence and memoranda.
(c)In addition to the records required by this section, a reinsurance manager shall keep written evidence that the assuming reinsurer:
(1)has agreed to accept the risk, if the reinsurance manager, while acting for a ceding authorized insurer, procured a reinsurance contract directly from an assuming reinsurer; and
(2)has delegated binding authority to its representative, if the reinsurance manager, while acting for a ceding authorized insurer, procures a reinsurance contract from a representative, other than an employee, of an assuming reinsurer.