375.1285. Definitions.
Definitions.
375.1285. As used in sections 375.1280 to 375.1295, thefollowing terms mean:
(1) "Assuming insurer", the insurer which acquires aninsurance obligation or risk from the transferring insurerpursuant to an assumption reinsurance agreement;
(2) "Assumption reinsurance agreement", any contract whichboth:
(a) Transfers insurance obligations or risks of existing orin-force contracts of insurance from a transferring insurer to anassuming insurer; and
(b) Is intended to effect a novation of the transferredcontract of insurance with the result that the assuming insurerbecomes directly liable to the policyholders of the transferringinsurer and the transferring insurer's insurance obligations orrisks under such contracts are extinguished;
(3) "Contract of insurance", any written agreement betweenan insurer and policyholder pursuant to which the insurer, inexchange for premium or other consideration, agrees to assume anobligation or risk of the policyholder, or to make payments onbehalf of or to the policyholder or its beneficiaries; it shallinclude but not be limited to all property, casualty, life,health, accident, surety, title, and annuity business authorizedto be written pursuant to the insurance laws of this state;
(4) "Notice of transfer", the written notice topolicyholders required by section 375.1287;
(5) "Policyholder", any individual or entity which has theright to terminate or otherwise alter the terms of a contract ofinsurance. It includes any certificate holder whose certificateis in force on the proposed effective date of the assumption, ifthe certificate holder has the right to keep the certificate inforce without change in benefit following termination of thegroup policy. The rights to keep the certificate in forcereferred to in this section shall not include the right to electindividual coverage under the Consolidated Omnibus BudgetReconciliation Act, ("COBRA") section 601, et seq., or theEmployee Retirement Income Security Act of 1974, as amended, 29U.S.C. 1161 et seq.;
(6) "Transferring insurer", the insurer which transfers aninsurance obligation or risk to an assuming insurer pursuant toan assumption reinsurance agreement.
(L. 1993 H.B. 709 § 15)