SCASB341 2810 2510 SENATE COMMITTEE AMENDMENTS Regular Session ENROLLEDAmendments SENATEproposed BILLby NO.Senate Committee on Commerce, Consumer Protection and International Affairs to Original Senate Bill No.

341 BYby SENATORSSenator EDMONDSEdmonds ANDAMENDMENT HODGESNO. AND REPRESENTATIVES BAMBURG, BAYHAM, GALLE, GLORIOSO, HEBERT, ILLG, MELERINE, MURRAY AND WILDER AN ACT To amend and reenact R.S.

12:1853,1 theOn introductorypage paragraph1, ofline 1854,2, 1854(3)after and"R.S. (7), the introductory paragraph of 1855(B)(1), 1855(B)(2)(b)(xiii), 1856(A)(3) and (4), and 1870 and to enact R.S.

12:1855(A)(5)(c)12:1853" delete "and 1854(3) and 1856(H)(7)," and insert ", the introductory paragraph of 1854, 1854(3) and (7), the introductory paragraph of 1855(B)(1),1855(B)(2)(b)(xiii), 1856(A)(3) and (4), and 1870 and to repealenact R.S.

12:1855(A)(5)(b)12:1856(H)," andAMENDMENT 1856(E),NO. relative to the Louisiana Churches and Nonprofit ReligiousOrganizationsSelf-InsuredFund;toprovidefordefinitions;toprovidefor initial financial requirements;

to2 provideOn forpage records1, andline recordkeeping;8, after "R.S.

to12:1853" providedelete fortechnicalchangesbytheLouisianaStateLawInstitute;toprovideforaneffectivethe date;remainder of the line and insert ", the introductoryparagraph of 1854, 1854(3) and (7), the introductoryparagraph of 1855(B)(1), 1855(B)(2)(b)(xiii), 1856(A)(3) and (4), and 1870 are hereby amended and reenacted and R.S.

and12:1856(H) tois providehereby forenacted relatedto" matters.AMENDMENT NO.

Be3 itOn enactedpage by2, thedelete Legislaturelines of6 Louisiana:through 24 and insert:

Section"Wherever 1.used in this Chapter, unless a different meaning clearly appears in thecontext,thefollowingterms,whetherusedin thesingularorplural,shallhave the following meanings For the purposes of this Chapter the following terms shall have the following meanings:

R.S.

12:1853, the introductory paragraph of 1854, 1854(3) and (7), the introductoryparagraphof1855(B)(1),1855(B)(2)(b)(xiii),1856(A)(3)and(4),and1870are herebyamended and reenactedand R.S.

12:1855(A)(5)(c)and 1856(H) areherebyenacted:

§1853.

Authorization;

requirements;

regulation A.Twoormorechurchesornonprofitreligiousorganizationsoroneormore religious denominations may agree to pool their liabilities for the purposes of providing property commercial coverage for their buildings and other properties, so long as theyhave a positive net worth, are financiallysolvent, and are capable of assuming the obligations set forth in this Chapter.

B.

Pools may also be created for commercial coverages that are analogoustocommercialpropertyinsuranceintheprivatemarketasapproved by the commissioner.

B.C.Thedepartmentshallpromulgatenecessaryrulesinaccordancewiththe AdministrativeProcedureActtoimplementandregulatetheactivitiesauthorizedin this Chapter.

§1854.

Definitions Page 1 of 5 Coding:

Words which are struck through are deletions from existing law;

words in boldface type and underscored are additions.

SB NO.

341 ENROLLED Whereverused in this Chapter,unless a differentmeaningclearlyappearsin the context, the following terms, whether used in the singular or plural, shall have the following meanings For the purposes of this Chapter the following terms have the following meanings:

initial financial requirements A.* * * B.(1) The fund shall submit to the department an application, on an application form prescribed and furnished by the department, for authority to act as a group self-insurance fund for property commercial coverage.

*Each *application * (5) * * * (c)ExceptasotherwiseprovidedinSubparagraph(a)ofthisParagraph, original books, records, documents, accounts, and vouchers, or reproductions thereof,shallbepreservedandkeptinthisstateforthepurposeofexamination and until theauthoritytodestroyorotherwisedisposeoftherecordsis secured fromthedepartment.Alloriginalrecordsorcertifiedreproductionsorrecords originally received in a digital or electronic format shall beinclude maintainedevidence forof the periodfund's commencinginception, onwhich theestablishes firstfinancial daystrength followingandliquidityofthememberstopayclaimspromptlyandsupportthefinancialability theofthefundto lastsatisfyitsobligationsupontheestablishmentofthefund,includingall periodof examined by the departmentfollowing: through the subsequent examination period, or five years, Page 2 of 5 Coding:

Words which are struck through are deletions from existing law;

words in boldface type and underscored are additions.

SB NO.

341 ENROLLED whichever is longer.

* * * B.(1) The fund shall submit to the department an application, on an application form prescribed and furnished bythe department, for authority to act as a group self-insurance fund for property commercial coverage.

Each application shall include evidence of the fund's inception, which establishes financial strength andliquidityofthememberstopayclaimspromptlyandsupportthefinancialability ofthefundto satisfyits obligations upontheestablishmentofthefund,includingall of the following:

* * * (xiii) Proof of advance A pledge to make an advance payment to the fund by each initial member of the fund of not less than twenty-five percent of that Page 1 of 2 SCASB341 2810 2510 member's first year estimated annually earned normal premiums prior to the fund providingcoverage.Ifthefundprovidescoveragepriortoeveryinitialmember of the fund making the advance payment pledged pursuant to this Item, the commissionershallsuspendthefund'scertificateorauthorityuntileveryinitial member of the fund has made histheir pledged advance payment, and the commissioner may take additional regulatory action as authorized in this Chapter.

refunds A.TheA. fund established pursuant to this Chapter shall complywith all ofthe following items:

*The *fund *established Pagepursuant 3to thisChaptershallcomplywith all of 5the Coding:following items:

Words* which* are* struck(3) throughProvide areproperty deletionscommercial fromcoverage existingas law;required bythis Chapter.

words in boldface type and underscored are additions.

SB NO.