38.2-1350 - Books and records; reinsurance intermediary brokers.
§ 38.2-1350. Books and records; reinsurance intermediary brokers.
A. For at least ten years after expiration of each contract of reinsurancetransacted by the reinsurance intermediary broker, the reinsuranceintermediary broker will keep a complete record for each transaction showing:
1. The type of contract, limits, underwriting restrictions, classes or risksand territory;
2. Period of coverage, including effective and expiration dates, cancellationprovisions and notice required of cancellation;
3. Reporting and settlement requirements of balances;
4. Rate used to compute the reinsurance premium;
5. Names and addresses of assuming reinsurers;
6. Rates of all reinsurance commissions, including the commissions on anyretrocessions handled by the reinsurance intermediary broker;
7. Related correspondence and memoranda;
8. Proof of placement;
9. Details regarding retrocessions handled by the reinsurance intermediarybroker including the identity of retrocessionaires and percentage of eachcontract assumed or ceded;
10. Financial records, including but not limited to, premium and lossaccounts; and
11. When the reinsurance intermediary broker procures a reinsurance contracton behalf of a licensed ceding insurer:
a. Directly from any assuming reinsurer, written evidence that the assumingreinsurer has agreed to assume the risk; or
b. If placed through a representative of the assuming reinsurer, other thanan employee, written evidence that such reinsurer has delegated bindingauthority to the representative.
B. The insurer will have reasonable access to and the right to copy and auditall accounts and records maintained by the reinsurance intermediary brokerrelated to its business in a form usable by the Commission.
(2001, c. 706.)