Department of Insurance and Financial Services  
Insurance  
Administrative Rules for Credit for Reinsurance  
Rule Set 2020-132 IF  
NOTICE OF PUBLIC HEARING  
Tuesday, March 23, 2021  
10:00 AM  
This public hearing will be held virtually via Microsoft Teams to receive public comments while complying  
with measures designed to help prevent the spread of Coronavirus Disease 2019 (COVID-19).  
http://bit.ly/CreditForReinsuranceDraftRulesPublicHearing  
The Department of Insurance and Financial Services will hold a public hearing to receive public  
comments on proposed changes to the Credit for Reinsurance rule set.  
These rules are promulgated under Chapter 11 of the Insurance Code of 1956 to regulate reinsurance,  
which occurs when an insurer cedes a portion of its risk to another insurer that assumes the risk. These  
rules are based on the model law and regulation promulgated by the National Association of Insurance  
Commissioners (NAIC). The NAIC has made changes to its model law and regulation to facilitate the  
consistency of state law with the “covered agreements” entered by the United States, authorized under  
31 USC 313-314. The changes to the NAIC models necessitate corresponding legislative amendments  
and amendments to these rules to provide credit for a cession to a reinsurer in a “reciprocal jurisdiction.”  
The legislative amendments are contained within Senate Bill 1015’20 (PA 328 of 2020). The proposed  
rules would implement those legislative amendments.  
By authority conferred on the Director of the Department of Insurance and Financial Services by sections  
210, 1103, and 1106 of the insurance code of 1956, 1956 PA 218, MCL 500.210, 500.1103, and  
500.1106, and Executive Reorganization Order No. 2013-1, MCL 550.991. These rules will take effect  
Immediately after filing with the Secretary of State. The rules are published on the Michigan Government  
web site at http://www.michigan.gov/moahr and in the Michigan Register in the 3/15/2021 issue. Copies  
of the draft rules may also be obtained by mail or electronic transmission at the following address:  
Department of Insurance and Financial Services  
Insurance  
Michele Estrada, Office of Research, Rules, and Appeals  
Department of Insurance and Financial Services, Office of Research, Rules, and Appeals P.O. Box  
30220, Lansing, MI 48909-7720  
Email: EstradaM1@michigan.gov  
Comments on the rules may be made in person at the hearing or by mail or electronic mail until  
3/23/2021 at 05:00PM.  
The public hearing will be conducted in compliance with the 1990 Americans with Disabilities Act, in  
accessible buildings with handicap parking available. Anyone needing assistance to take part in the  
hearings due to disability may call 517-284-8735 to make arrangements.  
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