(215 ILCS 100/5) (from Ch. 73, par. 1605)
Sec. 5.
Definitions.
"Actuary" means a person who is a member in good standing of the American
Academy of Actuaries.
"Controlling person" means any person, firm, association, or corporation
that directly or indirectly has the power to direct or cause to be
directed the management, control, or activities of the reinsurance intermediary.
"Director" means the Director of the Department of Insurance.
"Insurer" means any person, firm, association, or corporation duly
licensed in this State under the applicable provisions of law as an insurer.
"Licensed producer" means an agent, broker, or reinsurance intermediary
licensed under the applicable provision of the insurance law.
"Reinsurance intermediary" means an intermediary broker or a manager.
"Intermediary broker" means any person, other than an officer or employee
of the ceding insurer, firm, association, or corporation, who solicits,
negotiates, or places reinsurance cessions or retrocessions on behalf of a
ceding insurer without the authority or power to bind reinsurance on behalf
of the insurer.
"Intermediary manager" means any person, firm, association, or
corporation that has authority to bind or 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 the reinsurer. However, the following persons shall not be considered
an intermediary manager, with respect to the reinsurer, for the purposes of this Act:
(1) An employee of the reinsurer.
(2) A U.S. Manager of the United States branch of an |
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(3) An underwriting manager that, under a contract,
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| manages all the reinsurance operations of the reinsurer, is under common control with the reinsurer, subject to Article VIII 1/2 of the Illinois Insurance Code, and whose compensation is not based on the volume of premiums written.
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(4) The manager of a group, association, pool, or
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| organization of insurers that engage in joint underwriting or joint reinsurance and who are subject to examinations by the insurance regulatory authority of the state in which the manager's principal business office is located.
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"Reinsurer" means any person, firm, association, or corporation duly
licensed in this State under the applicable provisions of law as an
insurer with the authority to assume reinsurance.
"To be in violation" means that the reinsurance intermediary, insurer, or
reinsurer for whom the reinsurance intermediary was acting failed to
substantially comply with the provisions of this Act.
"Qualified United States financial institution" means an institution that:
(1) is organized or (in the case of a U.S. office of
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| a foreign banking organization) licensed under the laws of the United States or any state thereof;
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(2) is regulated, supervised, and examined by federal
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| or state authorities having regulatory authority over banks and trust companies; and
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(3) has been determined by either the Director or the
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| Securities Valuation Office of the National Association of Insurance Commissioners to meet the 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 Director.
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(Source: P.A. 87-108.)
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