Bill > H1071

This bill updates the reinsurance model law in Massachusetts. The key provisions are: 1. It allows credit for reinsurance when the reinsurer meets certain requirements, including being domiciled in a "Reciprocal Jurisdiction" that has an in-force covered agreement with the U.S. or is accredited by the NAIC, maintaining minimum capital and solvency ratios, and providing adequate assurances to the state commissioner. 2. It requires the commissioner to create and publish lists of Reciprocal Jurisdictions and eligible reinsurers, and allows the commissioner to suspend or revoke a reinsurer's eligibility if they no longer meet the requirements. 3. It retains the existing provision allowing credit for reinsurance ceded to an assuming insurer not meeting the other requirements, but only for risks located in jurisdictions where such reinsurance is required by law. 4. It modifies the trust agreement requirements for assuming insurers that do not meet the new Reciprocal Jurisdiction requirements. 5. It provides alternative requirements for an assuming insurer to qualify for credit, including being certified in Massachusetts or maintaining certain levels of capital and surplus.

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https://malegislature.gov/Bills/192/H1071