2019 New York Laws
ISC - Insurance
Article 70 - Captive Insurance Companies
7002 - Definitions.

§ 7002. Definitions. In this article: (a) "Affiliated companies" means
companies  in  the  same  corporate  system  as an industrial insured by
virtue of common ownership, control, operation, or management. Such term
shall also include  any  statutory  subsidiary,  affiliate,  contractor,
subcontractor  and consultant of any tier of a city with a population of
one million  or  more  for  liability  related  to  or  arising  out  of
activities  in  or  near  the World Trade Center site in response to the
attacks of September eleventh, two thousand one.
  (b)  "Captive  insurance  business"  means  the  business   authorized
pursuant  to  subsection  (a)  of  section  seven thousand three of this
article.
  (c) "Captive insurance  company"  means  any  pure  captive  insurance
company  or any group captive insurance company licensed to do a captive
insurance business under the provisions of this article.
  (d) "Captive manager" means any person or firm contracted by a captive
insurance company to manage its affairs.
  (e) "Industrial insured" means an insured:
  (1) whose net worth exceeds one hundred million dollars;
  (2) who is a member of  a  holding  company  system  whose  net  worth
exceeds one hundred million dollars;
  (3) who is the metropolitan transportation authority and its statutory
subsidiaries.  When  filing  an  application  to  form  a  pure  captive
insurance company the metropolitan transportation authority shall submit
written notice of such filing to the governor, the  temporary  president
of the senate and the speaker of the assembly; or
  (4)  who  is  a  city  with  a population of one million or more. When
filing an application to form a pure captive insurance company,  a  city
with  a population of one million or more shall submit written notice of
such filing to the governor, the temporary president of the  senate  and
the speaker of the assembly.
  (f)  "Group  captive  insurance  company" means any domestic insurance
company licensed under the provisions of this article  for  the  primary
purpose  of providing insurance or reinsurance covering the risks of the
industrial insureds that comprise the industrial insured group.
  (g)  "Industrial  insured  group"  means  any  group  of  unaffiliated
industrial insureds that are engaged in similar or related businesses or
activities,  however,  the  metropolitan  transportation  authority  and
cities with a population of one million or more shall not be a member of
an industrial insured group, and that collectively:
  (1) own, control or hold with power to vote  all  of  the  outstanding
voting shares of stock of a group captive insurance company incorporated
as a stock insurer; or
  (2)  represent  one  hundred  percent of the voting members of a group
captive insurance company organized as a mutual insurer.
  (h) "Pure captive insurance company" means any company that:
  (1) is a subsidiary of an industrial  insured  which  is  one  hundred
percent owned by or is a statutory subsidiary of the industrial insured;
and
  (2)  is  licensed under the provisions of this article for the primary
purpose of providing insurance or reinsurance covering the risks of  its
parent and affiliated companies.