§ 7602. Definitions. In this article, unless the context or subject
matter otherwise requires:

(a) "Fund" means either the property/casualty insurance security fund
or the public motor vehicle liability security fund.

(b) "Fund year" means the calendar year.

(c) "Insurer" means any insurer (other than an insolvent insurer, or a
municipal reciprocal insurer which issues policies not covered by the
property/casualty insurance security fund, or a risk retention group as
defined in article fifty-nine of this chapter, or a provider of service
contracts pursuant to article seventy-nine of this chapter) authorized
to transact the kinds of business specified in paragraphs four through
fourteen, sixteen, seventeen, nineteen through twenty-one of subsection
(a) of section one thousand one hundred thirteen of this chapter.

(d) "Policy" means a policy issued by an insurer authorized to do
business in this state, including a policy or surety bond filed pursuant
to article six or seven of the vehicle and traffic law, insuring against
legal liability arising out of the ownership, operation or maintenance
of motor vehicles, including surety bonds or insurance policies issued
to meet the requirements of section three hundred seventy of the vehicle
and traffic law.

(e) "Net direct written premiums" means direct gross premiums written
on policies subject to this article, insuring:

(1) property or risks located or resident in this state,

(2) legal liability arising out of the ownership, operation or
maintenance of motor vehicles which are principally garaged in this
state, less return premiums thereon and dividends paid to policyholders
on such direct business.
For the purposes of this article premiums written by any authorized
insurer on policies issued to self insurers, whether or not designated
as reinsurance contracts, shall be deemed "net direct written premiums".

(f) "Motor vehicle accident" means either an accident occurring within
or without this state arising out of the ownership, operation or
maintenance of a motor vehicle which is principally garaged in this
state or an accident occurring within this state arising out of the
ownership, operation or maintenance of a motor vehicle which is not
principally garaged in this state.

(g) "Allowed claim" means a claim that has been allowed by the
superintendent in a proceeding under article seventy-four of this
chapter or, if such claim exceeds twenty-five thousand dollars, has been
allowed by the court in a proceeding under article seventy-four of this
chapter, and which is based upon:

(1) a policy insuring property or risks located or resident in this
state, or

(2) a policy issued in this state to a resident of this state insuring
property or risks, located or resident outside this state but within the
United States, its possessions and territories, and Canada, provided
that, with respect to policies covered under this paragraph:

(A) irrespective of the amount of claim that has been allowed, no
person shall recover any amount from this fund until such person has
exhausted all rights of recovery from any security fund, guaranty
association, or the equivalent in the jurisdiction where such property
or risks are located or resident; and, thereafter, such person's
recovery from this fund, when combined with amounts recovered or
recoverable from any other security fund, guaranty association, or the
equivalent in such jurisdiction, shall not exceed the maximum limit
available to a qualified claimant for a recovery solely from such other
security fund, guaranty association, or the equivalent; and

(B) the aggregate limit for all claims arising out of any one policy,
excluding claims with respect to property or risks located or resident
in this state, shall not exceed the lesser of the aggregate limit of the
policy or five million dollars.

(h) "Injured party claim" means a claim of a person, other than a
policyholder or assured, who suffered an injury to his person or
property arising out of an insured incident within the coverage of the
policy.

(i) "Policyholder claim" means a claim of a policyholder or assured
within the coverage of the policy, wherein such person suffered loss or
damage under the coverage of the policy or where such person has paid an
injured party claim, subject to allowance of such policyholder claim in
a proceeding under article seventy-four of this chapter.

(j) "Commissioner" means the commissioner of taxation and finance of
this state.