e subject to loss or damage from the same fire or the same occurrence of any other hazard insured against. 3. Reinsurance ceded as authorized by NRS 681A.110 must be deducted in determining the risk retained, except that as to surety risks, reinsurance must be allowed as a deduction only if the reinsurance is with an insurer authorized to transact that insurance in this state, and is in such form as to enable the obligee or beneficiary to maintain an action thereon against the reinsured jointly with the reinsurer, and upon recovering judgment against the reinsured, to have recovery against the reinsurer for payment to the extent to which it may be liable under the reinsurance and in discharge thereof. As to surety risks, deduction must also be made of the amount assumed by any authorized cosurety and the value of any security deposited, pledged or held subject to the surety’s consent and for the surety’s protection. 4. As to alien insurers, this section relates only to risks and surplus to policyholders of the insurer’s branch in the United States. 5. “Surplus to policyholders” for the purposes of this section, in addition to the insurer’s capital and surplus, includes any voluntary reserves which are not required pursuant to law, and must be determined from the last sworn statement of the insurer on file with the Commissioner, or by the last report of examination of the insurer, whichever is the more recent at time of assumption of risk. 6. This section does not apply to life or health insurance, annuities, title insurance, insurance of wet marine and transportation risks, workmen’s compensation insurance, financial guaranty insurance, or to any policy or type of coverage as to which the maximum possible loss to the insurer is not readily ascertainable on issuance of the policy. (Added to NRS by 1971, 1605; A 1977, 620; 1993, 2385; 1995, 1767) REINSURANCE Miscellaneous Provisions NRS 681A.110 Reinsurance authorized for all or part of risk; requirements for reinsurance with unauthorized insurer. An insurer may reinsure all or any part of an individual risk or of a particular class of risks in any other insurer or, with the approval of the Commissioner, all its risks in an authorized insurer, or may accept such reinsurance from any other insurer. No domestic insurer may reinsure with an insurer which is not authorized to transact insurance or reinsurance unless: 1. The domestic insurer has the Commissioner’s written approval; or 2. The insurer accepting the reinsurance meets the requirements for credit provided in NRS 681A.150 to 681A.190, inclusive. (Added to NRS by 1971, 1606; A 1983, 432; 1987, 648; 1991, 254; 1993, 2386; 1995, 1767) NRS 681A.120 Cancellation or material changes in treaties or arrangements for reinsurance. An insurer shall promptly inform the Commissioner in writing of the cancellation or any other material change in any of its treaties or arrangements for reinsurance. (Added to NRS by 1995, 1759) NRS 681A.130 Regulations. The Commissioner may adopt regulations to carry out the provisions of NRS 681A.110 to 681A.560, inclusive. (Added to NRS by 1995, 1759) Credit as Asset or Deduction From Liability NRS 681A.140 “Qualified financial institution in the United States” defined. As used in NRS 681A.140 to 681A.240, inclusive, “qualified financial institution in the United States” means an institution that: 1. Is organized, or in the case of a branch or agency of a foreign banking organization in the United States licensed, under the laws of the United States or any state thereof and has been granted authority to operate with fiduciary powers; and 2. Is regulated, supervised and examined by federal or state authorities having regulatory authority over banks and trust companies. (Added to NRS by 1995, 1756) NRS 681A.150 Requirements for taking credit. No credit may be taken as an asset or as a deduction from liability on account of reinsurance unless the reinsurer is authorized to transact insurance or reinsurance in this state or the requirements of NRS 681A.160, 681A.170, 681A.180 or 681A.190, and in any of these cases the requirements of NRS 681A.200 and 681A.210 also are met. (Added to NRS by 1995, 1756) NRS 681A.160 Reinsurance ceded to assuming accredited reinsurer in Nevada. 1. Except as otherwise provided in subsection 2, credit must be allowed if reinsurance is ceded to an assuming insurer which is accredited as a reinsurer in this state. An accredited reinsurer is one which: (a) Files with the Commissioner an executed form approved by the Commissioner as evidence of its submission to this state’s jurisdiction; (b) Submits to this state’s authority to examine its books and records; (c) Files with the Commissioner a certified copy of a certificate of authority or other evidence approved by the Commissioner indicating that it is licensed to transact insurance or reinsurance in at least one state, or in the case of a branch in the United States of an alien assuming insurer is entered through and licensed to transact insurance or reinsurance in at least one state; (d) Files annually with the Commissioner a copy of its annual statement filed with the Division of its state of domicile or entry and a copy of its most recent audited financial statement; and (e) Maintains a surplus as regards policyholders in an amount which is not less than $20,000,000 and whose accreditation: (1) Has not been denied by the Commissioner within 90 days after its submission; or (2) Has been approved by the Commissioner. 2. No credit may be allowed for a domestic ceding insurer if the assuming insurer’s accreditation has been revoked by the Commissioner after notice and a hearing. (Added to NRS by 1995, 1756; A 2003, 3283) NRS 681A.170 Reinsurance ceded to assuming alien insurer. 1. Except as otherwise provided in subsection 2, credit must be allowed if reinsurance is ceded to an assuming insurer which is domiciled and licensed in, or in the case of a branch in the United States of an alien assuming insurer is entered through, a state which employs standards regarding credit for reinsurance substantially similar to those applicable under this chapter and the assuming insurer or branch in the United States of an alien assuming insurer: (a) Maintains a surplus as regards policyholders in an amount not less than $20,000,000; and (b) Submits to the authority of this state to examine its books and records. 2. The requirement of paragraph (a) of subsection 1 does not apply to reinsurance ceded and assumed pursuant to pooling among insurers affiliated with the same holding company. (Added to NRS by 1995, 1757) NRS 681A.180 Reinsurance ceded to assuming insurer which maintains trust fund for payment of valid claims; exceptions. 1. Except as otherwise provided in subsection 4, credit must be allowed if reinsurance is ceded to an assuming insurer which maintains a trust fund in a qualified financial institution in the United States for the payment of the valid claims of its policyholders and ceding insurers in the United States, their assigns and successors in interest. The assuming insurer shall report annually to the Commissioner information substantially the same as that required to be reported on the National Association of Insurance Commissioners’ form of annual statement by licensed insurers to enable the Commissioner to determine the sufficiency of the trust fund. 2. In the case of a single assuming insurer, the trust must consist of an account in trust equal to the assuming insurer’s liabilities attributable to business written in the United States and the assuming insurer shall maintain a surplus in trust of not less than $20,000,000. 3. In the case of a group of incorporated and individual unincorporated underwriters, the trust must consis

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