Prior approval required for material change in nature of business; circumstances constituting material change; filing of certain other changes in application information with Commissioner.

1. A captive insurer shall not, without the prior approval of the Commissioner, make any material change in the nature of its business from that stated in its plan of operation filed with the Commissioner. 2. For a captive insurer, other than a state-chartered risk retention group, a material change is any change in the nature of its business that increases the actuarially determined premium by 15 percent or more. 3. For a state-chartered risk retention group, a material change includes, without limitation: (a) The entry into any agreement to cede reinsurance; (b) The entry into any agreement to assume reinsurance; (c) The termination of an existing reinsurance treaty, except at its natural expiration as stated within the contract of reinsurance; (d) The writing of a new line of business; (e) The exit from an existing line of business; (f) Any change to limits of coverage written; or (g) The expansion into a new state of a state-chartered risk retention group. 4. Any change in any other information filed with the application must be filed with the Commissioner within 60 days after the change, but does not require the prior approval of the Commissioner to make the change.