Reinsurance credit is permitted under the provisions of N.D.C.C. § 26.1-31.2-01 when the assuming insurer is accredited as a reinsurer in North Dakota. N.D. Admin. Code § 45-03-07.1-02 also contains requirements for accreditation. An insurer seeking to be registered in North Dakota as an accredited reinsurer must submit a complete application consisting of a request letter and the following information:
- A Certificate of Assuming Insurer (AR-1) (SFN 53913) completed and signed by the applicant.
- A certified copy of a certificate of authority or other evidence showing that the applicant is licensed to transact insurance or reinsurance in at least one state. In the case of a U.S. branch of an alien assuming insurer, the applicant must submit evidence that it is entered through and licensed to transact insurance or reinsurance in at least one state.
- The most recent annual statement and audited financial statement filed with the applicant's state of domicile. In the case of an alien assuming insurer, the annual statement and audited financial statement filed with the state through which the applicant is entered and in which it is licensed.
Reinsurance credit is allowed only for the cessions of a kind or class of business that the accredited reinsurer is licensed or otherwise allowed to write or assume in its state of domicile, or in the case of a U.S. branch of an alien assuming insurer, in the state through which it is entered and licensed.
The North Dakota Insurance Department will issue an approval letter if the application is approved. An application may be filed with the Department at any time throughout the year.
The registration of an accredited reinsurer must be renewed by March 1 of each year via the North Dakota Insurance Department Online Renewal System.
The accredited reinsurer's annual statement must be filed with the National Association of Insurance Commissioners (NAIC) by March 1 of each year and its audited financial statement must be filed with the NAIC by June 1.
A written notification of any corporate changes, such as a name change, address change, merger or redomestication, must be sent to the North Dakota Insurance Department in a timely manner. The notification should include updated documents (a Certificate of Assuming Insurer (AR-1) (SFN 53913) and a copy of the certificate of authority) to reflect the change, as applicable.