33-10-102. Definitions. As used in this part, the following definitions apply:

Terms Used In Montana Code 33-10-102

  • Association: means the Montana insurance guaranty association created under 33-10-103. See Montana Code 33-10-102
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
  • Indemnification: In general, a collateral contract or assurance under which one person agrees to secure another person against either anticipated financial losses or potential adverse legal consequences. Source: FDIC
  • Insolvent insurer: means an insurer:

    (a)authorized to transact insurance in this state either at the time the policy was issued or when the insured event occurred; and

    (b)against whom an order of liquidation has been entered with a finding of insolvency by a court of competent jurisdiction in the insurer's state of domicile. See Montana Code 33-10-102

  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • Person: means any individual, corporation, partnership, association, or voluntary organization. See Montana Code 33-10-102
  • Property: means real and personal property. See Montana Code 1-1-205
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201

(1)”Association” means the Montana insurance guaranty association created under 33-10-103.

(2)(a) “Covered claim” means an unpaid claim, including one for unearned premiums, that arises out of and is within the coverage and not in excess of the applicable limits of an insurance policy to which this part applies issued by an insurer, if the insurer becomes an insolvent insurer after July 1, 1971, and:

(i)the claimant or insured is a resident of this state at the time of the insured event; or

(ii)the property from which the claim arises is permanently located in this state.

(b)Covered claim does not include any amount:

(i)awarded as punitive or exemplary damages;

(ii)sought as a return of premium under a retrospective rating plan; or

(iii)due a reinsurer, insurer, insurance pool, or underwriting association as subrogation recoveries, reinsurance recoveries, contribution, or indemnification. A reinsurer, insurer, insurance pool, or underwriting association may not assert a claim for any amount against the insured of the insolvent insurer other than to the extent that the claim exceeds the policy limits of the insolvent insurer’s policy.

(3)”Insolvent insurer” means an insurer:

(a)authorized to transact insurance in this state either at the time the policy was issued or when the insured event occurred; and

(b)against whom an order of liquidation has been entered with a finding of insolvency by a court of competent jurisdiction in the insurer’s state of domicile.

(4)”Member insurer” means a person who:

(a)writes any kind of insurance to which this part applies under 33-10-101(3), including the exchange of reciprocal or interinsurance contracts; and

(b)is licensed to transact insurance in this state.

(5)(a) “Net direct written premiums” means direct gross premiums written in this state on insurance policies to which this part applies, less return premiums on the policies and dividends paid or credited to policyholders of policies to which this part applies.

(b)Net direct written premiums does not include premiums on contracts between insurers or reinsurers.

(6)”Person” means any individual, corporation, partnership, association, or voluntary organization.