Ga. Comp. R. & Regs. R. 120-2-100-.08 - Plan of Operation

(1) A limited purpose subsidiary shall have a plan of operation approved by its board of directors. The plan of operation shall include all of the following:

(a) A complete description of all reinsurance transactions, reinsurance security arrangements, securitizations, and any other Material Transactions or arrangements.

(b) The source and form of the limited purpose subsidiary's capital and surplus.

(c) The investment policy of the limited purpose subsidiary.

(d) Pro forma financial statements and risk-based capital projections illustrating one or more adverse case scenarios, as determined under criteria required by the Commissioner, for the performance of the limited purpose subsidiary under all reinsurance contracts. Pro forma financial statements and risk-based capital projections shall be in the format prescribed by the NAIC's Uniform Certificate of Authority Application.

(e) Copies of all contracts between the limited purpose subsidiary and affiliated companies.

(2) Any change in the limited purpose subsidiary's plan of operation shall require prior approval of the Commissioner.

Notes

Ga. Comp. R. & Regs. R. 120-2-100-.08

O.C.G.A. §§ 33-2-9, 33-14-100et seq.

Original Rule entitled "Plan of Operations" adopted. F. Nov. 8, 2011; eff. Nov. 28, 2011.