1-3 1. The state industrial insurance system [;] for the limited purpose of

1-4 providing industrial insurance pursuant to the provisions of chapters

1-5 616A to 617, inclusive, of NRS;

1-6 2. A self-insured employer;

1-7 3. An association of self-insured public employers;

1-8 4. An association of self-insured private employers; and

1-11 new section to read as follows:

1-12 All premiums, contributions, penalties, bonds, securities and other

1-13 property of the system that are attributable to policies of life insurance,

1-14 motor vehicle insurance and property insurance that provides coverage

1-15 against loss or damage to a home that are issued by the system pursuant

1-16 to the provisions of Title 57 of NRS must be:

2-7 established as an independent actuarially funded system to [insure] :

2-8 (a) Insure employers against liability for injuries and occupational

2-9 diseases for which their employees may be entitled to receive compensation

2-10 pursuant to chapters 616A to 616D, inclusive, of NRS or chapter 617 of

2-11 NRS, and the federal [Longshoremen’s] Longshore and Harbor Workers’

2-12 Compensation Act.

2-13 (b) Transact in this state life insurance, motor vehicle insurance or

2-14 property insurance that provides coverage against loss or damage to a

2-15 home, or any combination thereof authorized by the provisions of Title

2-16 57 of NRS.

2-17 2. The system may create one or more entities to carry out the business

2-18 of the system, which may be operated under any legal name in addition to

2-19 the state industrial insurance system on behalf of the system.

2-20 [2.] 3. The system is a public agency which administers and is

2-21 supported by the state insurance fund [.] and the fund for the transaction

2-22 of insurance. The executive and legislative departments of the state

2-23 government shall regularly review the system.

2-24 [3.] 4. The system is entitled but not required to use any services

2-25 provided to state agencies. Except as otherwise provided for specified

2-29 include:

2-30 (a) All premiums and other money paid to the system [;] pursuant to

2-31 chapters 616A to 617, inclusive, of NRS;

2-32 (b) All property and securities acquired through the use of money in the

2-33 state insurance fund; and

2-34 (c) All interest and dividends earned upon money in the state insurance

2-35 fund and deposited or invested as provided in chapters 616A to 616D,

2-36 inclusive, of NRS.

2-37 2. [The] Except as otherwise provided in Title 57 of NRS, the system

2-38 shall:

2-39 (a) Report to the commissioner only its financial statement and results of

2-40 operations for the account for current claims in accordance with those

2-41 accounting principles that are prescribed by the commissioner and applied

3-8 compensation or any salaries or expenses [in] :

3-9 1. In the administration of chapters 616A to 616D, inclusive, of NRS

3-10 [,] ; or

3-11 2. Required to be paid by the system pursuant to the provisions of

3-12 Title 57 of NRS,

3-13 but is responsible for the safety and preservation of the state insurance

3-17 1. Pursuant to the provisions of chapters 616A to 617, inclusive, of

3-18 NRS:

3-19 (a) Insure an employer against liability for workers’ compensation and

3-20 other liability that the employer may have because of bodily injury or

3-21 occupational disease to his employee arising out of and in the course of

3-22 employment, to the same degree as any other insurer;

3-23 [2.] (b) Insure employers against their liability for compensation or

3-24 damages under the [Longshoremen’s] Longshore and Harbor Workers’ Act

3-25 or any extension of that Act, to the same degree as any other insurer;

3-26 [3.] (c) Furnish advice, services and excess insurance for workers’

3-27 compensation; and

3-28 [4.] (d) Reinsure any risk or any part thereof.

3-29 2. Pursuant to the provisions of Title 57 of NRS, transact in this state

3-30 life insurance, motor vehicle insurance or property insurance that

3-31 provides coverage against loss or damage to a home, or any combination

3-35 1. Every person engaged as principal and as indemnitor, surety or

3-36 contractor in the business of entering into contracts of insurance [.] ; and

3-37 2. The state industrial insurance system for the limited purpose of

3-38 transacting in this state life insurance, motor vehicle insurance, or

3-39 property insurance that provides coverage against loss or damage to a

3-40 home, or any combination thereof authorized by the provisions of this

4-3 state, an insurer must be otherwise in compliance with this code and with

4-4 its charter powers, and must be an incorporated stock or mutual insurer, or

4-5 a reciprocal insurer, of the same general type as may be formed as a

4-6 domestic insurer under this code, except that:

4-7 1. No foreign insurer may be authorized to transact insurance in this

4-8 state which does not maintain reserves as required by chapter 681B of NRS

4-9 , [(assets and liabilities),] as applicable to the kind or kinds of insurance

4-10 transacted by such insurer, wherever transacted in the United States of

4-11 America, or which transacts business anywhere in the United States of

4-12 America on the assessment plan, or stipulated premium plan, or any similar

4-13 plan.

4-14 2. No insurer may be authorized to transact a kind of insurance in this

4-15 state unless [duly] authorized or qualified to transact such insurance in the

4-16 state or country of its domicile.

4-17 3. No insurer may be authorized to transact in this state any kind of

4-18 insurance which is not within the definitions as set forth in NRS 681A.010

4-19 to 681A.080, inclusive . [(kinds of insurance).]

4-20 4. No such authority may be granted or continued to any insurer while

4-21 in arrears to the state for fees, licenses, taxes, assessments, fines or

4-22 penalties accrued on business previously transacted in this state.

4-23 5. The state industrial insurance system may be authorized to

4-24 transact in this state life insurance, motor vehicle insurance or property

4-25 insurance that provides coverage against loss or damage to a home, or

4-26 any combination thereof authorized by the provisions of this Title, if the

4-27 system is otherwise in compliance with this code.

4-28 In addition to the other requirements set forth in this section, an insurer

4-29 who proposes to transact in this state insurance that protects a policyholder

4-30 from liability arising out of the ownership, maintenance or use of a motor

4-31 vehicle must demonstrate to the satisfaction of the department of motor

4-32 vehicles and public safety that the insurer is able to comply with the

4-36 5 and 6, to qualify for authority to transact any one kind of insurance as

4-37 defined in NRS 681A.010 to 681A.080, inclusive, or combinations of kinds

4-38 of insurance as shown below, an insurer [shall] must possess and thereafter

4-39 maintain unimpaired paid-in capital stock, if a stock insurer, or unimpaired

4-40 basic surplus, if a mutual or a reciprocal insurer, and free surplus not less

4-41 than 100 percent of the minimum required capital stock or minimum

6-17 the commissioner shall not authorize an insurer to transact insurance in this

6-18 state, other than an alien insurer or a title insurer, unless it makes and

6-19 thereafter continuously maintains on deposit in this state, through the

6-20 commissioner, cash or securities eligible for such deposit under the laws of

6-21 this state of a fair market value not less than its minimum required capital

6-22 stock , [(] if a stock insurer , [)] or minimum required basic surplus , [(] if a

6-23 mutual or reciprocal insurer , [),] for the protection of the insurer’s

6-24 policyholders or of its policyholders and creditors in the United States of

6-25 America. The commissioner may adopt regulations which allow the use of

6-26 securities as a deposit without delivery of the securities to the

6-27 commissioner.

6-28 2. The commissioner shall not authorize the state industrial

6-29 insurance system to transact in this state life insurance, motor vehicle

6-30 insurance or property insurance that provides coverage against loss or

6-31 damage to a home, or any combination thereof authorized by the

6-32 provisions of this Title, unless it makes and thereafter continuously

6-33 maintains on deposit in this state, through the commissioner, securities

6-34 or other assets eligible for such deposit under the laws of this state in an

6-35 amount required by the commissioner, for the protection of the system’s

6-36 policyholders or of its policyholders and creditors in the United States.

6-37 The amount so required must be based on the assets of the system

6-38 attributable to the transaction in this state of such kinds of insurance. As

6-39 used in this subsection, the term "policyholders" does not include a

6-40 policyholder to whom the system issues a policy of industrial insurance

6-41 pursuant to the provisions of chapters 616A to 617, inclusive, of NRS.

6-42 3. The commissioner shall not so authorize a title insurer unless it so

7-23 NRS 681B.010, the following expressly [shall] may not be allowed as

7-24 assets in any determination of the financial condition of an insurer:

7-25 1. Goodwill, trade names and other like intangible assets.

7-26 2. Advances to officers , [(] other than policy loans , [)] whether

7-27 secured or not, and advances to employees, agents and other persons on

7-28 personal security only.

7-29 3. Stock of such insurer, owned by it, or any equity therein or loans

7-30 secured thereby, or any proportionate interest in such stock acquired or

7-31 held through the ownership by such insurer of an interest in another firm,

7-32 corporation or business unit.

7-33 4. Furniture, fixtures, furnishings, safes, vehicles, libraries, stationery,

7-34 literature and supplies , [(] other than data processing, recordkeeping and

7-35 accounting systems authorized under subsection 13 of NRS 681B.010 , [),]

7-36 except:

7-37 (a) In the case of title insurers , such materials and plants as the insurer

7-38 is expressly authorized to invest in under NRS 682A.220; and

7-39 (b) In the case of any insurer, such personal property as the insurer is

7-40 permitted to hold pursuant to chapter 682A of NRS , [(investments),] or

7-41 which is reasonably necessary for the maintenance and operation of real

7-42 property lawfully acquired and held by the insurer other than real property

8-8 only to [domestic] :

8-9 1. Domestic insurers.

8-10 2. The assets of the state industrial insurance system that are

8-11 attributable to the transaction in this state of life insurance, motor

8-12 vehicle insurance or property insurance that provides coverage against

8-13 loss or damage to a home, or any combination thereof authorized by the

8-14 provisions of this Title.