[§431:19-307]  Delinquency of sponsored captive insurance companies.  In the case of a sponsored captive insurance company, article 15 shall apply; provided that:

     (1)  The assets of a protected cell may not be used to pay any expenses or claims other than those attributable to the protected cells; and

     (2)  Its capital and surplus shall at all times be available to pay any expenses of or claims against the sponsored captive insurance company.

Terms Used In Hawaii Revised Statutes 431:19-307

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Protected cell: means a separate account established by a sponsored captive insurance company formed or licensed under this article in which assets are maintained for one or more participants in accordance with the terms of one or more participant contracts to fund the liability of the sponsored captive insurance company assumed on behalf of the participants as set forth in the participant contracts. See Hawaii Revised Statutes 431:19-101
  • Sponsored captive insurance company: means a captive insurance company:

         (1)  In which the minimum required capital and surplus is provided by one or more sponsors;

         (2)  That is formed or licensed under this article;

         (3)  That insures the risks only of its participants through separate participant contracts; and

         (4)  That may fund its liability to each participant through one or more protected cells. See Hawaii Revised Statutes 431:19-101