Foreign and alien insurers bonds or deposits required

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  • (a) All foreign and alien insurers shall file with the Commissioner as a condition of doing business in the Virgin Islands, and for the protection of policyholders in the Virgin Islands, the sum of not less than five hundred thousand dollars ($500,000) which may be in the form of a financial guarantee bond, certificate of deposit, letter of credit or U.S. Treasury Notes.

  • (b) The Commissioner of Insurance shall deposit with the Commissioner of Finance in a special account within the Department of Finance the amount required pursuant to subsection (a) of this section for the investment of domestic insurance companies.

  • (c) The amounts required to be deposited pursuant to subsection (a) of this section shall not be subject to withdrawal until all liabilities secured by the deposit have been fully paid or have been fully reinsured with insurers authorized to transact the same kind of business in the states or foreign countries where the liabilities exist.

  • (d) The requirements of this section shall take effect 180 days after enactment of this act.

  • (e) All domestic insurers shall file with the Commissioner for the protection of policyholders in the Virgin Islands a good and sufficient bond signed by the proper official of the insurer as principal with one or more sureties as required and to be approved by the Commissioner and running to the Commissioner and his successors in office, in a sum not less than $500,000 in the form of a U.S. treasury bond, certificate of deposit or a letter of credit.


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