SB386, s. 32
17Section
32. 646.31 (11) of the statutes is renumbered 646.31 (11) (b) and
18amended to read:
SB386,13,219
646.31
(11) (b)
The An insurance entity may not assert a claim against the fund
20is not required to pay for any amount due from the insurer to
any reinsurer, insurer,
21insurance pool or underwriting association the insurance entity as subrogation,
22contribution, or indemnification recoveries or otherwise, except as provided in sub.
23(2) (a).
A reinsurer, insurer, insurance pool or underwriting association An
24insurance entity that has paid a claim and thereby has become subrogated or
25otherwise entitled to the amount of that claim may assert that claim against the
1liquidator of the insurer in liquidation but not against the insured of the insurer in
2liquidation.
SB386, s. 33
3Section
33. 646.31 (11) (a) of the statutes is created to read:
SB386,13,44
646.31
(11) (a) In this subsection:
SB386,13,55
1. "Health care costs" has the meaning given in s. 609.01 (1j).
SB386,13,76
2. "Insurance entity" means a reinsurer, an insurer, an insurance pool, or an
7underwriting association.
SB386, s. 34
8Section
34. 646.31 (11) (c) of the statutes is created to read:
SB386,13,109
646.31
(11) (c) Notwithstanding par. (b), an insurance entity may assert a claim
10against the fund for health care costs if all of the following conditions are met:
SB386,13,1211
1. The insurance entity paid the claim for health care costs under a disability
12insurance policy issued by the insurance entity.
SB386,13,1513
2. The insurance entity is not obligated to pay the health care costs under the
14express terms of the disability insurance policy because the claim arose out of, or in
15the course of, the claimant's employment.
SB386,13,1716
3. The claim is covered by a worker's compensation insurance policy and would
17otherwise be an eligible claim under this section.
SB386, s. 35
18Section
35. 646.33 (3) of the statutes is renumbered 646.33 (3) (a).
SB386, s. 36
19Section
36. 646.35 (4) (a) of the statutes is renumbered 646.35 (4).
SB386, s. 37
20Section
37. 646.35 (4) (b) of the statutes is renumbered 646.33 (3) (b).
SB386, s. 38
21Section
38. 646.35 (6) (c) 1. (intro.) and b. of the statutes are consolidated,
22renumbered 646.35 (6) (c) 1. and amended to read:
SB386,14,523
646.35
(6) (c) 1. Any benefit payment liability, arising on or after the date of
24entry of the order of liquidation, to the extent that the rate of interest on which it is
25based or the interest rate, crediting rate, or similar factor determined by use of an
1index or other external reference stated in the policy or contract and employed in
2calculating returns or changes in value exceeds the
smaller of the following: b. The 3rate of interest, which may not be less than zero, determined by subtracting 3
4percentage points from the monthly corporate bond yield average, as most recently
5published by Moody's investors service or its successor.
SB386, s. 39
6Section
39. 646.35 (6) (c) 1. a. of the statutes is repealed.
SB386, s. 40
7Section
40. 646.35 (6) (c) 2. (intro.) and b. of the statutes are consolidated,
8renumbered 646.35 (6) (c) 2. and amended to read:
SB386,14,159
646.35
(6) (c) 2. Any benefit payment liability, arising before the date of entry
10of the order of liquidation, to the extent that the payment exceeds the
smaller of the
11following: b. The rate of interest, which may not be less than zero, determined by
12subtracting 2 percentage points from the monthly corporate bond yield average, as
13published by Moody's investors service or its successor, when averaged over the
144-year period ending on the date of entry of the order of liquidation or averaged over
15such lesser period if the contract was issued less than 4 years before that date.
SB386, s. 41
16Section
41. 646.35 (6) (c) 2. a. of the statutes is repealed.
SB386, s. 42
17Section
42. 646.51 (3) (am) (intro.) of the statutes is amended to read:
SB386,14,1918
646.51
(3) (am)
General. (intro.) Except as provided in
par. pars. (b) and (c),
19assessments shall be calculated as follows:
SB386, s. 43
20Section
43. 646.51 (3) (b) of the statutes is created to read:
SB386,15,221
646.51
(3) (b)
Life and health. Except as provided in par. (c), with respect to
22annuity contracts or life or disability insurance policies, including policies issued by
23health maintenance organizations, assessments shall be calculated as a percentage
24of average annual premium received in this state by each insurer in the classes
1protected by the accounts for the 3 most recent years preceding the year of the entry
2of the order of liquidation.
SB386, s. 44
3Section
44. 646.51 (4) (a) of the statutes is amended to read:
SB386,15,94
646.51
(4) (a) Subject to pars. (b) and (d), the total of all assessments for an
5amount authorized by the board under this section with respect to an insurer may
6not, in one calendar year, exceed
2% 2 percent of the insurer's
average annual 7assessable premiums
received in this state, during the 3 calendar years preceding
8the year of entry of the order of liquidation, under sub. (3) (am) or (b) on the types
9of policies and contracts that are covered by the account.
SB386,15,1111[
2003 Wisconsin Act 261] Section 162 (1)
Insurance security fund.
SB386,16,4
12(a) The treatment of sections 609.98 (1) and (4) (a) and (b), 645.58 (1) (intro.),
13646.01 (1) (a) 2. k. and L. and (b) 1., 9. (intro.), a., b., c., and d., 11., 11m., 15., 16.,
and 1417.,
and 18., 646.03 (1m), (2n), (2p), (4), and (5), 646.12 (2) (d) and (f) 2. and 3. and
15(4), 646.13 (title), (1) (intro.) and (b), (2) (intro.), (b), (c), (d), and (g), (3) (intro.), (a),
16(b), and (c) (intro.) and 2., and (4), 646.15 (title) and (1) (a) (intro.), 1., 2., and 4.,
17646.16, 646.21 (2), 646.31 (1) (d) 10. and 11., (2) (a) 1. and 2., (b) 1., 2. (intro.), a., and
18b., and 3., (f) (title) and 2., and (g), (3), (5), (6) (a) and (b), (7), (8), (9) (a), (b), (c), (cm),
19and (d), and (11), 646.32 (1), 646.325 (1) and (2) (intro.), (a) (intro.), and (b), 646.33
20(2), (2m) (b), and (3), 646.35 (2), (3) (title), (intro.) (except 646.35 (3) (title)), (a), (b),
21and (c), (5), (6) (a), (b), (bm), and (c) (intro.), 1. (intro.) and b., and 2. (intro.) and b.,
22(7), (8), (9), and (10), 646.51 (1), (1c), (2), (3) (a) (title), 1., and 2., (am) 2., (b), and (c),
23(5), (6), (7) (a), (8), and (9) (b) 1. and 2., 646.60 (1) (a), 646.61 (2), and 646.73 of the
24statutes, the renumbering and amendment of sections 646.11 (1), 646.31 (10) and
25(13), 646.33 (1), 646.35 (4), and 646.51 (4) of the statutes, and the creation of sections
1646.11 (1) (d) and (e), 646.31 (10) (b) and (13) (b), (c), and (d), 646.33 (1) (b), (c), and
2(d), 646.35 (4) (b), and 646.51 (4) (a), (b), and (d) of the statutes first apply to
3insurance company liquidations commenced or pending on the effective date of this
4paragraph.
SB386,16,7
5(b) The treatment of section 646.01 (1) (b) 18. of the statutes first applies to
6liquidation proceedings in which a liquidation order is issued on the effective date
7of this
subsection paragraph.
SB386,16,139
(1)
Board of directors of insurance security fund. Notwithstanding section
10646.12 (1) (a) of the statutes, as affected by this act, each insurer representative
11member of the board of directors of the insurance security fund who is serving on the
12effective date of this subsection shall continue in that capacity until he or she resigns
13or his or her term expires, whichever occurs first.
SB386,16,1614
(2)
Coverage of employers and plan sponsors. The treatment of section 600.03
15(25) (a) 4. of the statutes, as created by this act, applies to coverage of employers and
16plan sponsors issued prior to, on, or after the effective date of this subsection.
SB386,16,2318
(1)
Insurance security fund. The treatment of sections 646.13 (3) (d), 646.33
19(3), 646.35 (4) (a) and (b) and (6) (c) 1. (intro.), a., and b. and 2. (intro.), a., and b., and
20646.51 (3) (am) (intro.) and (b) and (4) (a) of the statutes, the renumbering and
21amendment of section 646.31 (11) of the statutes, and the creation of section 646.31
22(11) (a) and (c) of the statutes first apply to insurance company liquidations
23commenced or pending on the effective date of this subsection.
SB386,17,3
1(2)
Restriction on property insurance. The treatment of section 632.07 of the
2statutes first applies to property insurance coverage required by a lender on the
3effective date of this subsection.
SB386,17,64
(3)
Action to recover fees, taxes, and assessments. The treatment of section
576.68 (2) and (4) of the statutes first applies to fees, taxes, and assessments that are
6due and payable on the effective date of this subsection.