N.M. Admin. Code § 13.19.2.12

Current through Register Vol. 35, No. 21, November 5, 2024

Section 13.19.2.12 - APPLICATION PROCESS FOR SURPLUS LINES INSURER

A. An alien insurer listed on the national association of insurance commissioners' international insurer's department quarterly listing of alien insurers will be deemed to have met the requirements of this section.

B. To apply for qualification as an eligible surplus lines insurer, an unauthorized foreign insurer shall file with the superintendent the information required in Section 59A-14-4 NMSA 1978. In support of the application, the insurer shall file the following items, using forms prescribed and provided by the superintendent where available:

(1) a letter requesting approval as an eligible surplus lines insurer;

(2) a certified copy of the insurer's articles of incorporation, bearing the seal of the state official having custody of the original;

(3) a copy of the insurer's bylaws, certified by its corporate secretary, with its corporate seal affixed to the document;

(4) a properly executed power of attorney authorizing the superintendent to accept service of process on behalf of the insurer;

(5) a copy of the latest annual statement of the insurer, certified by the state of domicile;

(6) a document indicating compliance by the insurer with the laws of its home state as to the kind or kinds of insurance which the insurer is authorized to transact in its state of domicile, certified by the state of domicile;

(7) a document indicating the amount and description of the securities deposited with the insurer's home state or any other state for the benefit of all its policyholders and/or creditors, certified by the state of domicile;

(8) a report of examination from the insurer's home state;

(9) a copy of the insurer's last quarterly statement;

(10) conflict of interest forms;

(11) a list of the insurer's officers, directors and key personnel and a biographical affidavit for each;

(12) a list and description of the insurer's reinsurance contracts;

(13) a statement of the insurer's plan of operation in this state;

(14) an A.M. Best's gallery report of the insurer;

(15) an IRIS report of the insurer;

(16) a copy of the latest audit report of the insurer, in no case older than one year, certified by the individual or company undertaking the audit;

(17) an actuarial certification of the insurer;

(18) a statement as to whether the insurer has written any business in the past or present for any risks located in New Mexico, with complete details if the answer is affirmative;

(19) a copy of the declaration page of the fidelity bond;

(20) a surplus lines insurer contact processing form prescribed by the superintendent; and

(21) any other information the superintendent may require.

C. In all submissions to the superintendent, all information requested shall be provided and all questions shall be answered. Failure to answer all of the questions, to provide all of the information, or to respond to an inquiry by the superintendent shall result in an automatic disqualification of the applicant until such time as this requirement is satisfied fully. The superintendent may require information to be furnished under oath in accordance with Section 59A-4-3 NMSA 1978.

D. Upon approval of an application for surplus lines insurer eligibility, the superintendent may require the insurer to make a special deposit in accordance with Section 59A-5-19 NMSA 1978.

N.M. Admin. Code § 13.19.2.12

1/1/99; Recompiled 11/30/01