| (a) Annual recalculation. An approved PEO must recalculate
its deposit required every year, not later than 60 days after negotiating
the plan's stop-loss insurance agreement for the current plan year,
using the formula stated in §13.562(b) of this title (relating
to Deposit or Letter of Credit Required).
(b) Changes to deposit.
(1) An approved PEO may request to change its deposit
by submitting both the Statutory Deposit Transaction Form, Form No.
FIN407 (rev.1115), and the Declaration of Trust Form, Form No. FIN453
(rev.1115), and must submit a safekeeping receipt showing that the
securities are pledged to TDI.
(2) If the commissioner approves the release of any
portion of a deposit, TDI's bond and securities officer will execute
a release of any pledge, and the funds will be returned to the approved
PEO.
(3) An approved PEO that requests a release of any
part of its deposit because the deposit amount exceeds the amount
calculated under §13.562(b) of this title must provide supporting
documentation that justifies the release, including:
(A) the reasons for the release; and
(B) evidence satisfactory to the commissioner that
its deposit exceeds the amount required in §13.562(b) of this
title.
(4) All interest income due on its deposit funds may
be paid directly to the approved PEO by the bank.
|
