RS 22:550.7

§550.7. Application requirements; confidential information A. After incorporation, a captive insurance company shall apply to the commissioner for a certificate of authority. The application shall be certified by the initial board of directors of the captive insurance company and be accompanied by the fee as set forth in R.S. 22:821. Before receiving a certificate of authority, a captive insurance company shall file an application including all of the following: (1) A copy of its bylaws, organizational documents, and any other statements or documents required by the commissioner. (2) A financial statement that has been certified by two principal officers. (3) Biographical background information, on a form prescribed by the commissioner, for each person who controls, directly or indirectly, ten percent or more of the captive insurance company and for each director and officer in accordance with the requirements set forth in R.S. 22:41.3. (4) A plan of operation which clearly indicates the method of operation including all of the following items: (a) The types and limits of insurance that will be provided. (b) Pro forma financial statements for a period covering three years, including a balance sheet, income statement, and cash flow statement. (c) The amount and liquidity of assets relative to the risks to be assumed. (d) The expertise, experience, and character of the persons who will manage the company. (e) A description of the reinsurance program. (f) A description of the underwriting policy, including who will perform such functions. (g) A description of the claims handling procedures, including who will perform such functions. (h) A description of the investment policy. (i) A description of its ratemaking policies and procedures. (j) The adequacy of its programs providing for loss prevention by its parent or member organizations. (k) The overall soundness of the plan of operation. (5) A feasibility study or other analysis prepared by a qualified actuary. (6)(a) A description of the coverages, deductibles, coverage limits, and rates, together with such additional information as the commissioner may reasonably require. (b) If there is a subsequent material change in any item in the description, the company shall submit an appropriate revision for approval and shall not offer any additional kinds of insurance until a revision of the description is approved by the commissioner. The company shall inform the adoption of such change. (7) Evidence of its beneficial ownership, sponsorship, or membership. (8) Such other factors deemed relevant by the commissioner in ascertaining whether the proposed captive insurance company will be able to meet its policy obligations. B. Each applicant shall pay to the commissioner nonrefundable fees in application for an initial certificate of authority and for actuarial review pursuant to R.S. 22:821. The commissioner may retain legal, financial, and examination services from outside the department and may charge the reasonable cost of services to the applicant. The provisions of Chapter 8 of this Title, R.S. 22:1981 et seq., apply to examinations, investigations, and processing conducted pursuant to this Subsection. C.(1) In accordance with confidentiality provisions provided for in this Title, information submitted pursuant to this Subsection, including any subsequent updates, amendments, or revisions of or to such information, is confidential and shall not be made public by the commissioner or an employee or agent of the commissioner without the written consent of the company, except that the commissioner may disclose, publish, or authorize the disclosure or publication of certain information for the following purposes: (a) In furtherance of legal or regulatory proceedings brought as a part of the commissioner's official duties. (b) To provide information to criminal law enforcement authorities for use in the exercise of the commissioner's duties and authorities. (c) To provide information to a public officer having jurisdiction over the regulation of insurance with other state, federal, or international agencies, under the following circumstances: (i) The receiving public official shall agree in writing to maintain the confidentiality of the information. (ii) The laws of the state or foreign government in which the public official serves require the information to be and to remain confidential. (2)(a) Information submitted pursuant to this Section remains confidential and shall not be made public by the commissioner or an employee or agent of the commissioner without the written consent of the captive insurance company, except as otherwise provided in this Subsection. (b) The information may be discoverable by a party in a civil action or contested case to which the captive insurance company that submitted the information is a party, and the party seeking to discover the information shows all of the following: (i) The information sought is relevant to and necessary for the furtherance of the action or case. (ii) The information sought is unavailable from other nonconfidential sources. (iii) A subpoena issued by a judicial or administrative officer of competent jurisdiction has been submitted to the commissioner. D. Neither the commissioner nor any person who receives documents, material, or information pursuant to this Section while acting under the authority of the commissioner is required or permitted to testify in any private civil action concerning confidential documents, material, or information. E. Nothing in this Section shall be construed to excuse the applicant from making any required disclosure pursuant to this Subpart. Acts 2008, No. 403, §1, eff. Jan. 1, 2009; Redesignated by Acts 2009, No. 503, §3; Acts 2025, No. 313, §2.