Form FIN188 "Application Checklist for Certified Reinsurers (Initial and Renewal Applications)" - Texas

What Is Form FIN188?

This is a legal form that was released by the Texas Department of Insurance - a government authority operating within Texas. As of today, no separate filing guidelines for the form are provided by the issuing department.

Form Details:

  • Released on October 1, 2018;
  • The latest edition provided by the Texas Department of Insurance;
  • Easy to use and ready to print;
  • Quick to customize;
  • Compatible with most PDF-viewing applications;
  • Fill out the form in our online filing application.

Download a fillable version of Form FIN188 by clicking the link below or browse more documents and templates provided by the Texas Department of Insurance.

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Download Form FIN188 "Application Checklist for Certified Reinsurers (Initial and Renewal Applications)" - Texas

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FIN188 | 10/18
Application Checklist for Certified Reinsurers
(Initial and Renewal Applications)
Applicant Information
Company Name:
Address:
Primary Contact:
Domiciliary Jurisdiction / Supervisory Authority:
Applicable Lines of Business:
I.
Filing Requirements for a Reinsurer Currently Certified by Another NAIC Accredited Jurisdiction
If an applicant for certification has been certified as a reinsurer in an NAIC accredited jurisdiction, the
Commissioner has the discretion to defer to that jurisdiction’s certification and assigned rating, i.e.
“passporting.” To assist the Commissioner in making this determination answer the following:
a. Has the applicant been certified by an NAIC accredited jurisdiction? (Yes or No)
;
If “Yes,” this state (the “Lead” state) will confirm that the initial or renewal certification has been
reviewed by the NAIC Reinsurance Financial Analysis (E) Working Group (“ReFAWG”) for
passporting purposes.
b. If the answer to question I.(a.) (above) is “No,” proceed to Section II – Filing Requirements for a
Full Application.
c. If the answer to question I.(a.) (above) is “Yes,” the applicant must provide the information
specified in the table below for consideration by the Commissioner. In the alternative, the
Commissioner may permit the applicant to provide written certification that some or all the
required information was previously filed with the lead state and the ReFAWG.
Note: The ReFAWG and the lead state may have already collected, reviewed and approved
relevant documentation such as, Biographical Affidavits, Certificates of Good Standing, Licenses,
Rating Agency Reports, Reports of Auditors and other certification documents.
Citation to
Reference and Supporting
State Law /
Requirements
Y or N
Documents
Regulation
Status of Domiciliary Jurisdiction:
The applicant must be domiciled and
TIC Chap 493
licensed in a Qualified Jurisdiction, as
and TAC 7.601
determined by this state.
7.627
Texas Department of Insurance | www.tdi.texas.gov
1/13
FIN188 | 10/18
Application Checklist for Certified Reinsurers
(Initial and Renewal Applications)
Applicant Information
Company Name:
Address:
Primary Contact:
Domiciliary Jurisdiction / Supervisory Authority:
Applicable Lines of Business:
I.
Filing Requirements for a Reinsurer Currently Certified by Another NAIC Accredited Jurisdiction
If an applicant for certification has been certified as a reinsurer in an NAIC accredited jurisdiction, the
Commissioner has the discretion to defer to that jurisdiction’s certification and assigned rating, i.e.
“passporting.” To assist the Commissioner in making this determination answer the following:
a. Has the applicant been certified by an NAIC accredited jurisdiction? (Yes or No)
;
If “Yes,” this state (the “Lead” state) will confirm that the initial or renewal certification has been
reviewed by the NAIC Reinsurance Financial Analysis (E) Working Group (“ReFAWG”) for
passporting purposes.
b. If the answer to question I.(a.) (above) is “No,” proceed to Section II – Filing Requirements for a
Full Application.
c. If the answer to question I.(a.) (above) is “Yes,” the applicant must provide the information
specified in the table below for consideration by the Commissioner. In the alternative, the
Commissioner may permit the applicant to provide written certification that some or all the
required information was previously filed with the lead state and the ReFAWG.
Note: The ReFAWG and the lead state may have already collected, reviewed and approved
relevant documentation such as, Biographical Affidavits, Certificates of Good Standing, Licenses,
Rating Agency Reports, Reports of Auditors and other certification documents.
Citation to
Reference and Supporting
State Law /
Requirements
Y or N
Documents
Regulation
Status of Domiciliary Jurisdiction:
The applicant must be domiciled and
TIC Chap 493
licensed in a Qualified Jurisdiction, as
and TAC 7.601
determined by this state.
7.627
Texas Department of Insurance | www.tdi.texas.gov
1/13
Application Checklist for Certified Reinsurers
FIN188 | 10/18
Citation to
Reference and Supporting
State Law /
Requirements
Y or N
Documents
Regulation
Verification of Certification Issued by
an NAIC Accredited Jurisdiction:
If the applicant is requesting that the
Commissioner recognize the
certification issued by another NAIC
accredited jurisdiction (i.e., passporting),
the applicant must provide a copy of the
approval letter or other documentation
provided to the applicant by such NAIC
accredited jurisdiction. At a minimum,
this letter must confirm the following
information:
a. Name of state(s) in which applicant
is currently certified.
b. The rating and collateral percentage
assigned by the accredited
jurisdiction with respect to the
applicant.
c. The effective and expiration dates
with respect to the certification.
d. The lines of business to which the
certification is applicable.
e. The applicant’s commitment to
comply with all requirements
necessary to maintain certification.
Mechanisms Used to Secure
Obligations Incurred as a Certified
Reinsurer:
The applicant must specify the
mechanisms it will use to secure
obligations incurred as a Certified
Reinsurer. If the applicant intends to
utilize a multi-beneficiary trust (MBT)
for this purpose, the applicant must
submit; (1) a copy of the approval
from the domiciliary regulator with
regulatory
Texas Department of Insurance | www.tdi.texas.gov
2/13
Application Checklist for Certified Reinsurers
FIN188 | 10/18
Citation to
State Law /
Reference and Supporting
Regulation
Requirements
Y or N
Documents
oversight of the 100% collateral and
reduced collateral MBT or its intention
to secure the approval of the domiciliary
regulator of the trust before either trust
can be used; (2) the form of the trust
that will be used to secure obligations
incurred as a certified reinsurer; and (3)
the form of the trust that will be used to
secure obligations incurred outside of
the applicant’s certified reinsurer status,
i.e., the applicant’s 100% collateralized
trust (if applicable). The form of each
trust is required to be submitted
pursuant to state law in order to ensure
that security for these obligations will be
kept separate and to ensure that each
trust meets the requirements of the
state’s Credit for Reinsurance statute
and/or regulation.
NOTE:
The MBT includes a provision that:
The certified reinsurer must bind itself by
the language of the MBT and agreement
with the Commissioner with principal
regulatory oversight of each such trust
account, to fund, upon termination of any
such trust account, out of the remaining
surplus of such trust any deficiency of any
other such trust account.
Form CR-1 (For Initial and Renewal
Applications):
The applicant must provide Texas Form
FIN190, CR-1, which must be properly
executed by an officer authorized to
bind the applicant to the commitments
set forth in the form.
http://www.tdi.texas.gov/forms/fincolicens
e/fin190cr1.pdf
Texas Department of Insurance | www.tdi.texas.gov
3/13
Application Checklist for Certified Reinsurers
FIN188 | 10/18
Citation to
State Law /
Reference and Supporting
Regulation
Requirements
Y or N
Documents
Fee:
No fee for application or renewal
Other Requirements:
The applicant must:
a. Commit to comply with other
reasonable requirements deemed
necessary for certification by the
certifying state. Failure to comply
with such other requirement could
disqualify the reinsurer from
certification.
b. Provide a statement that the
applicant agrees to post 100%
security upon the entry of an order
of rehabilitation or conservation
against the ceding insurer or its
estate.
Public Notice Requirement:
The Commissioner is required to post
notice on the insurance department’s
website promptly upon receipt of any
application for certification, including
instructions on how members of the
public may respond to the application.
The Commissioner may not take final
action on the application until at least
30 days after posting such notice. The
Commissioner will consider any
comments received during the public
notice period with respect to this
application.
Texas Department of Insurance | www.tdi.texas.gov
4/13
Application Checklist for Certified Reinsurers
FIN188 | 10/18
II.
Filing Requirements for Full Application
a. A full application is required if:
• The applicant has not been certified by an NAIC accredited jurisdiction; or
• The Commissioner makes a determination not to recognize or defer to the certification issued
by another NAIC accredited jurisdiction; or
• The applicant is renewing its certification with the lead state or a state is not relying on the
certification by another NAIC accredited jurisdiction.
b. Check appropriate box:
Initial Application
Renewal Application
Citation to
State Law /
Reference and Supporting
Regulation
Requirements
Y or N
Documents
TIC Chap 493
Status of Domiciliary Jurisdiction /
Proof of Licensure and Good
and TAC 7.601
7.627
Standing: The applicant must be
domiciled and licensed in a Qualified
Jurisdiction, as determined by this
state. The applicant must be in good
standing (or the jurisdiction’s
equivalent classification) and maintain
capital and surplus in excess of its
domiciliary jurisdiction’s highest
regulatory action level.
The Commissioner will consider the
following information with respect to
the applicant’s domiciliary jurisdiction:
a. Whether the domestic supervisory
authority has been approved as a
Qualified Jurisdiction in this state.
b. Confirmation as to whether the
domestic supervisory authority is
included on the NAIC List of
Qualified Jurisdictions.
The applicant must provide the
following information:
a. A copy of the certificate of
authority or license to transact
insurance and/or reinsurance from
the applicant’s domiciliary
Texas Department of Insurance | www.tdi.texas.gov
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