On Mar. 18, ND LEG passed bill on standards, management of IHCs.
ND LEG passed HB 1124 relating to the management of an insurer as part of an insurance holding company, and the confidentiality of relevant investigation findings.
The top company in the group must file an annual group capital calculation with State regulation, following National Association of Insurance Commissioners (NAIC) rules.
Certain groups are exempt, including those with only one insurer, those already reporting to the Federal Reserve, and those under qualified foreign supervision.
State commissioner can override exemptions, allow simplified filings as needed.
Insurance groups that meet NAIC risk criteria must file annual liquidity stress test results with state regulator, regulators adjust which companies are included, excluded.
If an insurer is found in poor financial health, facing regulatory action, commissioner may require a deposit to protect the insurer based on value of affected contracts.
Records held by affiliates remain the insurer’s property, must be accessible at no cost and must provide system access to ensure records can be recovered in case of default.
It is prohibited to publicly share misleading information—through any medium—about group capital calculations, capital ratios, liquidity stress test results, or related data.
Legislative History
On Jan. 7, 2025, bill delivered to House, on Jan. 14, 2025, bill passed in House.
On Jan. 15, 2025, bill introduced in Senate, on Mar. 7, 2025, bill passed in Senate.
On Mar. 14, 2025, bill sent to governor; on Mar. 18, 2025, bill signed by the governor.
Effectiveness
Per ND Constitution, upon approval by Governor, bill will be effective Aug. 1, 2025.
Regulators
ND LEG
Entity Types
IHC; Ins
Reference
Bill HB 1124, 3/18/2025; Citation: *ND INS* 26.1-10-01, 26.1-10-04, 26.1-10-05;
