§ 7010. Reinsurance. (a) Any captive insurance company may assume
reinsurance on risks ceded by any other insurer when the risks ceded
under the reinsurance agreement are solely those of the industrial
insured or members of industrial insured group owning the captive
insurance company.

(b) With the approval of the superintendent, any captive insurance
company may assume risks of any other insurer, provided the reinsurance
premiums assumed do not exceed fifty percent of the assuming captive
insurance company's gross premiums written in any calendar year.

(c) Any captive insurance company may take credit for reserves on
risks or portions of risks ceded to reinsurers complying with the
provisions of paragraph nine of subsection (a) of section one thousand
three hundred one and section one thousand three hundred eight of this
chapter. Prior approval of the superintendent shall be required for
ceding or taking credit for reserves on risks or portions of risks ceded
to reinsurers not complying with these sections.