On Oct. 13, AZ INS proposed changes to holding company regulations
AZ INS published proposal on insurance holding company rules at AZ INS 20-6-14.
Proposed Amendments
Changes to Sections R20-6-1407, R20-6-1408 on continuation of essential services.
Services through affiliated intercompany agreements in the event of a conservatorship, supervision, or receivership of insurer that is a member of insurance holding company.
This rulemaking is required in order to retain AZ INS's accreditation with the NAIC.
Adds requirements to proposed transactions which must be filed with the AZ INS.
Including defining data, specifying that it remains the property of the insurer.
Also data is identifiable, segregated, and subject to the control of the insurer.
Provides that an insurance company is indemnified for certain actions of an affiliate.
In case of a supervision, conservatorship, or receivership of insurer that is a member of insurance holding company, all rights of insurer extend to receiver or ARG INS.
Additionally, all records and data are identifiable, segregated, and made available.
Essential services maintained; affiliates’ commitments extend to guarantee association
Authorizes lead State Commissioner to exempt from Group capital calculation report (part of annual enterprise risk report) certain insurance holding company systems.
Those that meet certain criteria; accept limited group capital filing if criteria is met.
Require previously exempted holding companies to file an annual group calculation.
Define conditions a non-US jurisdiction is considered to recognize and accept a group capital calculation; and identify NAIC list of non-US jurisdictions which are developed.
Change extraordinary dividends and other distributions provisions in order to correct a calculation, as well as the appendices to conform to rule writing standards.
Consultation
Comments will be accepted for 30 days from publication, i.e., Nov. 12, 2023..
Mar. 2024 AZ INS Final Rule
On Mar. 22, 2024, AZ INS published notice of final rulemaking in the State register.
Revisions to insurance holding company rules AZ INS 20-6-14 effective May 7, 2024.
Regulators
AZ INS
Entity Types
Corp; IHC; Ins
Reference
AZ SR Vol. 30 Is. 12 p. 482, 3/22/2024; AZ SR Vol 29 Is. 41, p. 2374, 2492, 10/13/2023; Citation: AZ INS 20-6;
Functions
Compliance; C-Suite; Financial; Legal; Record Retention; Registration/Licensing; Resolution; Trade Reporting
