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November 23, 2024 Clouds | 43°F
The 193rd General Court of the Commonwealth of Massachusetts
  1. General Laws
  2. Part I ADMINISTRATION OF THE GOVERNMENT
  3. Title XXII CORPORATIONS
  4. Chapter 175G THE POLLUTION LIABILITY REINSURANCE CORPORATION
  5. Section 3 Powers of corporation

Section 3

Section 3: Powers of corporation

Section 3. The Corporation shall have the following powers to:

establish and amend a plan of operation subject to the approval of the commissioner;

make, amend, and repeal by-laws, subject to the approval of the commissioner, for the management of its affairs;

adopt an official seal;

assume, or cede to another approved reinsurer, one hundred per cent reinsurance or a lesser percentage on any pollution liability insurance policies acceptable for reinsurance under the provisions of this chapter;

provide separate accounts for categories and subcategories of insureds reinsured by the Corporation;

maintain relevant loss, expense and premium data relative to all risks reinsured by the Corporation and to require each entity obtaining reinsurance to furnish statistics in connection with insurance ceded to the association at such times and in such form and detail as may be deemed necessary;

receive and distribute all sums required by the operation of the Corporation;

establish procedures for reviewing underwriting and claims procedures and practices of entities obtaining reinsurance and in the event that such underwriting or claims procedures or practices of any such entity are considered inadequate to properly service the risks ceded by it to the Corporation, the Corporation may establish an underwriting or claims program that will undertake to assist the entity in underwriting or claims adjustment procedures or practices, and in such event shall charge such entity a reasonable fee for establishing and operating such claim program;

audit the operations of entities obtaining reinsurance to such extent as the board of directors determines to be necessary to assure compliance with this act, in a reasonable manner and at such reasonable time or times prescribed by the board of directors;

sue and be sued, in its own name;

make contracts and execute all instruments necessary or convenient for the carrying on of its business;

acquire, own, hold, dispose of and encumber personal property of any nature or any interest therein;

enter into agreements or transactions with any federal, state or municipal agency or other institutions;

appear in its own behalf before boards, commissions, departments or other agencies of federal, state or municipal government;

appoint employees, consultants, agents and advisors and prescribe their duties and fix their compensation;

procure insurance against any losses in connection with its property and its directors and officers in such amounts, and from such insurers, as may be necessary or desirable;

accept any and all donations, grants, appropriations, bequests, and devises, conditional or otherwise, of money, property, service, or other things of value which may be received from the commonwealth, the United States or any agency thereof, any other governmental agency, any institution, person, firm or corporation, public and private, to be held, used or applied for any or all the purposes specified in this act, in accordance with the terms and conditions of any such grant. Receipt of each such donation or grant shall be detailed in the annual report of the Corporation. Such report shall include the identity of the donor, the nature of the transaction and any conditions attaching thereto;

impose and collect surcharges on reinsurance premiums as provided in this chapter;

borrow funds necessary to carry out the purposes of this chapter in accordance with the plan of operation, including the loan of funds by the state treasurer as provided in section six;

invest all funds held by the Corporation in accordance with the investment policies established by the board of directors, in a manner consistent with the laws specifying legal investments for insurance companies, and to exercise all of the rights of an owner with respect to such investment, including the right to vote upon all securities;

exercise powers of a Corporation organized under chapter one hundred and fifty-six B that are necessary for operation of the reinsurance facility herein created, insofar as the possession and exercise of said powers remain consistent with this chapter.