West Virginia Code § 33-4-16

Limit of risk
Open in Lexace · Ask the AI about this section
(a) No insurer shall retain any risk on any one subject of insurance, whether located or to be
performed in West Virginia or elsewhere, in an amount exceeding ten percent of its surplus
to policyholders.
(b) A "subject of insurance" for the purpose of this section, as to insurance against fire and
hazards other than windstorm or earthquake, includes all properties insured by the same
insurer which are customarily considered by insurers to be subject to loss or damage from
the same fire or other such hazard insured against.
(c) Reinsurance in licensed or approved insurers as authorized by section fifteen of this
article shall be deducted in determining risk retained. As to surety risk, deduction shall also
be made of the amount assumed by any established incorporated cosurety and the value and
security deposited, pledged or held subject to the surety's consent and for the surety's
protection.
(d) "Surplus to policyholders" for the purpose sof this section shall be deemed to include any
voluntary reserves which are not required pursuant to law, and shall be determined from the
last sworn statement of the insurer on file iwith the commissioner or by the last report of
examination by the commissioner, wghichever is the more recent at time of assumption of
such risk.
(e) As to alien insurers this section shall apply only to risks and surplus to policyholders of
the insurer's United States branch.
(f) This section shall not apply to life or accident and sickness insurance, title insurance, nor
to any policy or type of coverage as to which the maximum possible loss to the insurer is not
reasonably asVcertainable on issuance of the policy.

‹ Prev All West Virginia sections Next ›


Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.