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60A.705 DEFINITIONS.
    Subdivision 1. Terms. For purposes of sections 60A.70 to 60A.756, the terms defined in
this section have the meanings given them.
    Subd. 2. Actuary. "Actuary" means a person who is a member in good standing of the
American Academy of Actuaries.
    Subd. 3. Controlling person. "Controlling person" means a person, firm, association,
or corporation who directly or indirectly has the power to direct or cause to be directed, the
management, control, or activities of the reinsurance intermediary.
    Subd. 4. Insurer. "Insurer" means any person, firm, association, or corporation duly licensed
in this state pursuant to the applicable provisions of the insurance law as an insurer.
    Subd. 5. Licensed producer. "Licensed producer" means an agent, broker, or reinsurance
intermediary licensed pursuant to the applicable provision of the insurance law.
    Subd. 6. Reinsurance intermediary. "Reinsurance intermediary" means a reinsurance
intermediary-broker or a reinsurance intermediary-manager.
    Subd. 7. Reinsurance intermediary-broker. "Reinsurance intermediary-broker" or "RB"
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 this insurer.
    Subd. 8. Reinsurance intermediary-manager; RM. "Reinsurance intermediary-manager"
or "RM" means any person, firm, association, or corporation who 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 that reinsurer
whether known as an RM, manager, or other similar term. However, the following persons are not
considered an RM, with respect to that reinsurer, for the purposes of sections 60A.70 to 60A.756:
(1) an employee of the reinsurer;
(2) a United States manager of the United States branch of an alien reinsurer;
(3) an underwriting manager which, pursuant to contract, manages all or part of the
reinsurance operations of the reinsurer, is under common control with the reinsurer, subject to
the Holding Company Act, and whose compensation is not based on the volume of premiums
written; or
(4) the manager of a group, association, pool, or organization of insurers which engage in
joint underwriting or joint reinsurance and who are subject to examination by the insurance
commissioner of the state in which the manager's principal business office is located.
    Subd. 9. Reinsurer. "Reinsurer" means a person, firm, association, or corporation licensed in
this state as an insurer with the authority to assume reinsurance.
    Subd. 10. To be in violation. "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 sections 60A.70 to 60A.756.
    Subd. 11. Qualified United States financial institution. "Qualified United States financial
institution" means an institution that:
(1) is organized, or in the case of a United States office of a foreign banking organization,
is licensed, under the laws of the United States or any state;
(2) is regulated, supervised, and examined by United States federal or state authorities
having regulatory authority over banks and trust companies; and
(3) has been determined by either the commissioner, or the securities valuation office of the
National Association of Insurance Commissioners, to meet the standards of financial condition
and standing considered necessary and appropriate to regulate the quality of financial institutions
whose letters of credit will be acceptable to the commissioner.
History: 1991 c 325 art 11 s 2; 1995 c 214 s 10

Official Publication of the State of Minnesota
Revisor of Statutes