§ 1114. Reinsurance business. (a) Any domestic stock or mutual
insurance corporation or reciprocal insurer may reinsure only the kinds
of insurance business which it is licensed to do in this state or which
it is otherwise authorized to reinsure by the terms of its license. Any
such corporation may confine its business to reinsurance.

(b) Any foreign or alien stock or mutual insurance corporation or
reciprocal insurer may engage in this state in reinsurance of the kinds
of insurance which it is licensed to do in this state. Any such
corporation may confine its business to reinsurance.

(c) An insurer authorized by any provision of this chapter to engage
in fidelity and surety insurance or reinsurance business may also
guarantee performance of a contract insuring against physical damage to
property in favor of mortgagees or other loss payees named in such
contract, provided:

(1) It is authorized to engage in the kinds of insurance included in
such contract;

(2) It has assumed reinsurance on the guaranteed contract in whole or
in part;

(3) It is charged with such amount as part of its unearned premium
reserve as may be prescribed by regulation of the superintendent not
exceeding the amount it would be required to maintain in accordance with
the provisions of this chapter if it were the direct insurer of the
guaranteed risks; and

(4) If the property is located in this state, the ceding insurer is
licensed to engage in the kinds of insurance included in such contracts.

(d) An insurer authorized by any provision of this chapter to do
business of the kinds referred to in paragraph one, two or three of
subsection (a) of section one thousand one hundred thirteen of this
article may also reinsure, by itself, or together with other insurance
companies subject to any regulations of the superintendent, any risk
referred to in such subsection arising from, related to, or incident to
the manufacture, ownership or operation of aircraft.

(e) Any health service corporation organized under article forty-three
of this chapter is authorized to engage in reinsurance of policies of:

(1) any other corporation organized under article forty-three of this
chapter;

(2) any health maintenance organization organized under article
forty-four of the public health law; and

(3) long term care insurance issued by accident and health insurers
organized under article forty-two of this chapter.