20-486.06. Books and records; reinsurance intermediary managers

A. For at least ten years after a contract of reinsurance transacted by the reinsurance intermediary manager expires, the reinsurance intermediary manager shall maintain a complete record for each transaction that shows:

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, notice required of cancellation and disposition of outstanding reserves on covered risks.

3. The reporting and settlement requirements of balances.

4. The rate used to compute the reinsurance premium.

5. The names and addresses of reinsurers.

6. The rates of all reinsurance commissions, including the commissions on any retrocessions that are handled by the reinsurance intermediary manager.

7. Related correspondence and memoranda.

8. Proof of placement.

9. Details regarding retrocessions that are handled by the reinsurance intermediary manager pursuant to section 20-486.08, subsection D including the identity of persons who receive retrocessions and the percentage of each contract that is assumed or ceded.

10. The financial records, including premium and loss accounts.

11. If the reinsurance intermediary manager procures directly from any assuming reinsurer a reinsurance contract on behalf of a licensed ceding insurer, written evidence that the assuming reinsurer has agreed to assume the risk.

12. If the reinsurance intermediary broker procures through a representative of the assuming reinsurer, other than an employee, a reinsurance contract on behalf of a licensed ceding insurer, written evidence that the reinsurer has delegated binding authority to the representative.

B. The reinsurer shall have access to and the right to copy all accounts and records related to its business that are maintained by the reinsurance intermediary manager in a form usable by the reinsurer.