S.D. Admin. R. 20:06:31:07

Current through Register Vol. 51, page 57, November 12, 2024

Section 20:06:31:07 - Trust agreements qualified under SDCL 58-14-16 - Definitions

The terms used in this chapter as they apply to trust agreements qualified under SDCL 58-14-16 mean:

(1) "Beneficiary," the entity for whose sole benefit the trust has been established and any successor of the beneficiary by operation of law. If a court of law appoints a successor in interest to the named beneficiary, the named beneficiary is limited to the court-appointed domiciliary receiver, including the conservator, rehabilitator, or liquidator;

(2) "Grantor," the entity that has established a trust for the sole benefit of the beneficiary. When established in conjunction with a reinsurance agreement, the grantor is the unlicensed, unaccredited assuming insurer;

(3) "Obligations," as used in § 20:06:31:09 include:

(a) Reinsured losses and allocated loss expenses paid by the ceding company, but not recovered from the assuming insurer;

(b) Reserves for reinsured losses reported and outstanding;

(c) Reserves for reinsured losses incurred but not reported; and

(d) Reserves for allocated reinsured loss expenses and unearned premiums.

S.D. Admin. R. 20:06:31:07

22 SDR 52, effective 10/25/1995; 44 SDR 71, effective 10/23/2017

General Authority: SDCL 58-14-17.

Law Implemented: SDCL 58-14-17.