Puerto Rico Commissioner of Insurance Proposes Amendments to Rule 80
An McV Insurance Practice Team Alert
On August 27, 2020, the Office of the Puerto Rico Commissioner of Insurance (“OCI”) published a notice of intention to amend Rule 80 of the Regulations of the Insurance Code of Puerto Rico - Standards for the Regulation of the Operations of International Reinsurers and Reinsurers (“Rule 80”).
The main purpose of the proposed amendment is to provide that an insurer, reinsurer or surplus lines insurer does not file an application to be authorized as a Class 3, 4 or 5 authority insurer or reinsurer (as defined under Chapter 61 of the Insurance Code of Puerto Rico, the “Code”) to operate as a multi-state insurer or reinsurer in a state or territory of the United States other than its state of domicile.
Rule 80 presently allows international insurers or reinsurers to operate as a multi-state insurer or reinsurer, as an authorized or accredited insurer, if they obtain a special authorization under Rule 80 and comply with certain solvency and reporting requirements under the rule. The amendment would eliminate the special authorization category for multi-state international reinsurers.
Any person interested in submitting comments to the proposed amendment must do so in writing by September 28, 2020. Additionally, any request for an administrative public hearing must also be submitted in writing by that date.
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