§ 6905. Policy forms and rates. (a) Policy forms and any amendments
thereto shall be filed with the superintendent within thirty days of
their use by the insurer if not otherwise filed prior to the effective
date of this article. Every such policy shall provide that, in the event
of a payment default by or insolvency of the obligor, there shall be no
acceleration of the payment required to be made under such policy unless
such acceleration is at the sole option of the corporation; provided
that (1) policies may insure amounts payable under a credit default swap
or interest rate, currency or other swap upon a credit event or
termination event if the expected amount payable on an accelerated basis
in respect of any individual obligation referenced by a credit default
swap or in the aggregate under an interest rate, currency or other swap
does not exceed the single risk limits prescribed in paragraph five of
subsection (d) of section six thousand nine hundred four of this article
and (2) policies insuring credit default swaps referencing an obligation
shall be treated as if the insurer had directly insured the referenced
obligation for all other purposes of this article, except that the
currency of amounts owed under the credit default swap, rather than the
currency of the obligations referenced by the credit default swap, shall
apply for purposes of determining whether the obligation is a
permissible guaranty under subsection (b) of section six thousand nine
hundred four of this article. The superintendent may prescribe minimum
policy provisions determined by the superintendent to be necessary or
appropriate to protect policyholders, claimants, obligees or
indemnitees.

(b) Rates shall not be excessive, inadequate, unfairly discriminatory,
destructive of competition, detrimental to the solvency of the insurer,
or otherwise unreasonable. In determining whether rates comply with the
foregoing standards, the superintendent shall include all income earned
by such insurer. Criteria and guidelines utilized by insurers in
establishing rating categories and ranges of rates to be utilized shall
be filed with the superintendent for information prior to their use by
the insurer if not otherwise filed prior to the effective date of this
article.

(c) All such filings shall be available for public inspection at the
department of financial services.