                                 CODE OF VIRGINIA

DEFINITIONS (§ 38.2-1347)

As used in this article:
		&#8220;Actuary&#8221; means a person who is a member in good standing of the
American Academy of Actuaries.
		&#8220;Business entity&#8221; means a partnership, limited partnership,
limited liability company, corporation, or other legal entity that is entitled
to hold property in its own name and which is not a sole proprietorship.
		&#8220;Controlling&#8221; shall have the same meaning as set forth in §
38.2-1322.
		&#8220;Insurer&#8221; means any person duly licensed in this Commonwealth
pursuant to Chapters 10 (§ 38.2-1000 et seq.), 11 (§ 38.2-1100 et seq.), 12
(§ 38.2-1200 et seq.), 25 (§ 38.2-2500 et seq.), 26 (§ 38.2-2600 et seq.), 38
(§ 38.2-3800 et seq.) through 46 (§ 38.2-4600 et seq.), or 51 (§ 38.2-5100 et
seq.) of this title.
		&#8220;Licensed reinsurance intermediary&#8221; means an agent, broker or
reinsurance intermediary licensed to act as a reinsurance intermediary pursuant
to the applicable provision of this article.
		&#8220;Qualified United States financial institution&#8221; means an
institution that:

1. Is organized or (in the case of a United States office of a foreign banking
organization) licensed under the laws of the United States or any state thereof;

2. Is regulated, supervised and examined by federal or state authorities having
regulatory authority over banks and trust companies; and

3. Has been determined by either the Commission, or the Securities Valuation
Office of the National Association of Insurance Commissioners, to meet such
standards of financial condition and standing as are considered necessary and
appropriate to regulate the quality of financial institutions whose letters of
credit will be acceptable to the Commission.
			&#8220;Reinsurance intermediary&#8221; means a reinsurance intermediary
broker or a reinsurance intermediary manager as these terms are defined in this
article.
			&#8220;Reinsurance intermediary broker&#8221; means any person, other than an
officer or employee of the ceding insurer, who, without the power to bind the
ceding insurer, solicits, negotiates or places reinsurance cessions or
retrocessions on behalf of a ceding insurer or otherwise negotiates with a
ceding insurer concerning reinsurance cessions or retrocessions.
			&#8220;Reinsurance intermediary manager&#8221; means any person who (i) has
authority to bind reinsurance risks or (ii) manages all or part of the assumed
reinsurance business of a reinsurer, including the management of a separate
division, department or underwriting office, and acts as an agent for such
reinsurer whether known as a reinsurance intermediary manager or other similar
term. Notwithstanding the foregoing, the following persons shall not be
considered a reinsurance intermediary manager for the purposes of this article,
provided such person is acting in the capacity of employee or agent, as
described herein, and properly discharging the duties of such employment or
agency:

1. An employee of the reinsurer;

2. A United States manager of the United States branch of an alien reinsurer;

3. An underwriting manager who, pursuant to contract, manages all or part of the
reinsurance operations of the reinsurer, is under common control with the
reinsurer, subject to Article 5 (&#xA7; 38.2-1322 et seq.) of this chapter or
Article 2 (&#xA7; 38.2-4230 et seq.) of Chapter 42 of this title, and whose
compensation is not based on the volume of premiums written;

4. The manager of a group, association, pool or organization of insurers that
engages in joint underwriting or joint reinsurance and that is subject to
examination by the supervising insurance official of the state, as defined in
&#xA7; 38.2-100, in which the manager&#8217;s principal business office is
located; or

5. A licensed managing general agent who binds facultative reinsurance contracts
by placing individual risks pursuant to obligatory facultative agreements and
subdivision 10 of &#xA7; 38.2-1360.
			&#8220;Reinsurer&#8221; means any insurer licensed in this Commonwealth with
the authority to cede or accept from any insurer reinsurance pursuant to &#xA7;
38.2-136.

HISTORY: 2001, c. 706.