§ 6303. Limitations. (a) The exemption that may be granted pursuant to
this article shall apply only if the business is underwritten and
transacted from an office within this state; and:

(1) the risk, as defined in regulations of the superintendent,
produces a minimum annual premium in excess of one hundred thousand
dollars or such higher amount as the superintendent may prescribe by
regulation;

(2) the coverage is for a risk or class of risks which is of an
unusual nature, a high loss hazard, or difficult to place, pursuant to a
list promulgated or amended by the superintendent; or

(3) until June thirtieth, two thousand twenty-seven, the policy, other
than a medical malpractice insurance policy, is issued to a large
commercial insured that employs or retains a special risk manager to
assist in the negotiation and purchase of a policy exempted under this
article, provided, however, that:

(A)(i) the special risk manager is not employed by the insurer issuing
the policy or any person in the insurer's holding company system; and

(ii) the special risk manager is licensed as an insurance producer in
this state pursuant to article twenty-one of this chapter, unless
exempted from licensing therein; and

(B) a policy form that has not been previously filed with the
superintendent shall be filed with the superintendent for informational
purposes within three business days after first delivery of a policy
using such form, but no later than sixty calendar days after the
inception date of such policy.

(b) For the purposes of this section:

(1) "Large commercial insured" means an entity that generates annual
commercial risk insurance premium, other than for medical malpractice
insurance, in excess of twenty-five thousand dollars with respect to the
kinds of insurance specified in paragraphs four through fourteen,
sixteen, seventeen, nineteen through twenty-two, twenty-seven and
twenty-nine of subsection (a) of section one thousand one hundred
thirteen of this chapter and such insurance as the superintendent deems
to be substantially similar to one of the foregoing kinds and:

(A) has a net worth of at least seven million five hundred thousand
dollars as of the insured's fiscal year end immediately preceding the
policy's effective date;

(B) has gross assets exceeding ten million dollars and a net worth of
at least one million five hundred thousand dollars as of the insured's
fiscal year end immediately preceding the policy's effective date;

(C) is a for-profit business entity that generates annual gross
revenues exceeding fifteen million dollars, and has a net worth of at
least one million five hundred thousand dollars as of the insured's
fiscal year end immediately preceding the policy's effective date;

(D) is a for-profit business entity that has gross assets exceeding
ten million dollars and generates annual gross revenues exceeding
fifteen million dollars as of the insured's fiscal year end immediately
preceding the policy's effective date;

(E) is a not-for-profit organization or public entity with an annual
budget exceeding twenty million dollars for each of its three fiscal
years immediately preceding the policy's effective date;

(F) has fifty employees or, together with its parent, subsidiaries and
affiliates, one hundred employees, as of the insured's fiscal year end
immediately preceding the policy's effective date; or

(G) is a municipality with a population of fifty thousand or more
persons.

(2) "Special risk manager" means a person who meets all of the
following requirements:

(A) the person is an employee of, or third-party consultant retained
by, the large commercial insured;

(B) the person provides skilled services in loss prevention, loss
reduction, or risk and insurance coverage analysis and assessment, and
purchase of insurance; and

(C) the person:

(i)(I) has a bachelor's degree or higher from an accredited college or
university in risk management, business administration, finance,
economics, or any other field determined by the superintendent to
demonstrate minimum competence in risk management; and

(II)(aa) has five years of experience in risk financing, loss
prevention, risk and insurance coverage analysis and assessment, or
purchasing commercial risk insurance; and

(bb) has:

(aaa) a designation as a chartered property and casualty underwriter
(in this clause referred to as a "CPCU") issued by the American
Institute for CPCU/Insurance Institute of America;

(bbb) a designation as an associate in risk management (ARM) issued by
the American Institute for CPCU/Insurance Institute of America;

(ccc) a designation as certified risk manager (CRM) issued by the
National Alliance for Insurance Education & Research;

(ddd) a designation as a Risk and Insurance Management Society (RIMS)
fellow (RF) issued by the Global Risk Management Institute; or

(eee) any other designation, certification, or license determined by
the superintendent to demonstrate minimum competency in risk management;

(ii)(I) has at least seven years of experience in risk financing, loss
prevention, risk and insurance coverage analysis and assessment, or
purchasing commercial risk insurance; and

(II) has any one of the designations specified in subclauses (aaa)
through (eee) of subitem (bb) of clause (II) of item (i) of this
subparagraph;

(iii) has at least ten years of experience in risk financing, loss
prevention, risk and insurance coverage analysis and assessment, or
purchasing commercial risk insurance; or

(iv) (I) has a graduate degree from an accredited college or
university in risk management, business administration, finance,
economics, or any other field determined by the superintendent to
demonstrate minimum competence in risk management; and

(II)(aa) has at least three years of experience in risk financing,
loss prevention, risk and insurance coverage analysis and assessment, or
purchasing commercial risk insurance; or

(bb) has any one of the designations specified in subclauses (aaa)
through (eee) of subitem (bb) of clause (II) of item (i) of this
subparagraph.

(3) "Municipality" shall mean any county, city, town or village.

(c) Effective on the fifth January first occurring after the date of
the enactment of this subsection and each fifth January first occurring
thereafter, the amounts specified in paragraph one of subsection (b) of
this section may be adjusted to reflect the percentage change for such
five-year period in the consumer price index for all urban consumers
published by the Bureau of Labor Statistics of the United States
Department of Labor. The superintendent may conduct a public hearing to
determine whether such increase is necessary.

(d) (1) Except as provided in paragraph two of this subsection, every
policy issued pursuant to the provisions of this article shall contain a
notice to the policyholder that the rate and policy form are not subject
to the filing requirements of this state and such other notices required
by the superintendent pursuant to regulation.

(2) Every policy issued pursuant to paragraph three of subsection (a)
of section six thousand three hundred three of this article shall
contain a notice to the policyholder that the rates are not subject to
the filing requirements of this state and the policy forms are not
subject to the approval requirements of this state, and such other
notices required by the superintendent pursuant to regulation.

(e) The superintendent may by regulation prescribe limitations on the
total amount of business that an insurer may transact pursuant to this
article or reimpose filing or approval requirements where and to the
extent that the superintendent deems it in the interest of the
policyholders.