N.Y. Insurance Law § 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;

(4) who is the power authority of the state of New York and any

statutory subsidiary thereof. When filing an application to form a pure

captive insurance company the power authority shall submit written

notice of such filing to the governor, the temporary president of the

senate and the speaker of the assembly;

(5) who is the New York convention center operating corporation, or

any statutory subsidiary thereof formed pursuant to section twenty-five

hundred sixty-four of the public authorities law. When filing an

application to form a pure captive insurance company, the corporation

shall submit written notice of such filing to the governor, the

temporary president of the senate and the speaker of the assembly; or

(6) 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, the

power authority of the state of New York, the New York convention center

operating corporation and any statutory subsidiary thereof 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.