ARTICLE 19
CAPTIVE INSURANCE COMPANIES
§431:19-101 Definitions. As used in this article:
"Affiliated company" means any company in the same corporate system as a parent or a member organization by virtue of common ownership, control, operation, or management, or, in the case of a pure captive insurance company, that maintains a working relationship with, and whose business risks insured by the pure captive insurance company are similar or related to the business risks of, the parent insured by the pure captive insurance company.
"Association" means any legal association of individuals, corporations, partnerships, or associations, except labor organizations, the member organizations of which collectively:
(1) Own, control, or hold with power to vote all of the outstanding voting securities of an association captive insurance company incorporated as a stock insurer; or
(2) Have complete voting control over an association captive insurance company incorporated as a mutual insurer.
"Association captive insurance company" means any company that insures risks of the member organizations of the association, and their affiliated companies.
"Captive insurance company" means any pure captive insurance company, risk retention captive insurance company, association captive insurance company, or leased capital facility formed or licensed under this article.
"Leased capital facility" means a limited membership insurance company formed as a class 4 company under this article that insures the risks of its members, but whose owner or owners may, subject to approval of the commissioner, be persons or entities other than the members.
"Member organization" means any individual, corporation, partnership, or association that belongs to an association.
"Parent" means a corporation, partnership or individual that directly or indirectly owns, controls or holds with power to vote more than fifty per cent of the outstanding voting securities of a pure captive insurance company.
"Pure captive insurance company" means any company that insures risks of its parent and affiliated companies.
"Pure nonprofit captive insurance company" means a pure captive insurance company formed without capital stock as a nonprofit corporation under chapter 415B, whose voting of membership interest is held by a parent organization formed under a nonprofit law or by such nonprofit parent and its affiliated companies.
"Risk retention captive insurance company" means a captive insurance company which is formed as a "risk retention group" as defined in chapter 431K. [L 1987, c 347, pt of §2; am L 1988, c 187, §8; am L 1989, c 207, §15; am L 1992, c 108, §2; am L 1996, c 248, §1; am L 1998, c 150, §2; am L 1999, 302, §2]