33-28-104. Minimum capital surplus -- letter of credit. (1) A captive insurance company may not be issued a license unless it possesses and maintains unimpaired paid-in capital and surplus of:
     (a) in the case of a pure captive insurance company, not less than $250,000;
     (b) in the case of an industrial insured captive insurance company, not less than $500,000; and
     (c) in the case of an association captive insurance company, not less than $750,000.
     (2) The commissioner may require additional capital and surplus based upon the type, volume, and nature of insurance business transacted.
     (3) Capital and surplus may be in the form of cash or an irrevocable letter of credit issued by a bank chartered by the state of Montana or a member bank of the federal reserve system and approved by the commissioner.

     History: En. Sec. 4, Ch. 298, L. 2001.