S.F. _____ H.F. _____ Section 1. Section 518.17, subsection 1, Code 2024, is 1 amended to read as follows: 2 1. A county mutual insurance association may reinsure a 3 part or all of its coverages written pursuant to this chapter 4 with an association operating under this chapter , or with any 5 other association or company licensed in this state that is in 6 compliance with chapter 521B and authorized to write the kinds 7 of insurance enumerated in section 518.11 . 8 Sec. 2. Section 518A.44, subsection 1, Code 2024, is amended 9 to read as follows: 10 1. A state mutual insurance association may reinsure a 11 part or all of its coverages written pursuant to this chapter 12 with an association operating under this chapter , or with any 13 other association or company licensed in this state that is in 14 compliance with chapter 521B and authorized to write the kinds 15 of insurance enumerated in section 518A.1 . 16 EXPLANATION 17 The inclusion of this explanation does not constitute agreement with 18 the explanation’s substance by the members of the general assembly. 19 This bill relates to reinsurance requirements for county and 20 state mutual insurers. 21 Under current law, a county mutual insurance association 22 (county association) may reinsure its coverages written under 23 Code chapter 518 with any association or company (company) 24 licensed in the state and authorized to write insurance 25 enumerated in Code section 518.11. A state mutual insurance 26 association (state association) may insure its coverages 27 written under Code chapter 518A with any company licensed in 28 the state and authorized to write insurance enumerated in Code 29 section 518A.1. 30 Under the bill, a county association and a state association 31 may reinsure coverages with a company that is in compliance 32 with Code chapter 521B, rather than one licensed in the state. 33 -1- LSB 5288XD (2) 90 nls/ko 1/ 1