
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 107-42 Section 201(c)]
[CITE: 49USC44304]

 
                        TITLE 49--TRANSPORTATION
 
                     SUBTITLE VII--AVIATION PROGRAMS
 
                     PART A--AIR COMMERCE AND SAFETY
 
                           subpart iii--safety
 
                         CHAPTER 443--INSURANCE
 
Sec. 44304. Reinsurance

    (a) General Authority.--To the extent the Secretary of 
Transportation is authorized to provide insurance under this chapter, 
the Secretary may reinsure any part of the insurance provided by an 
insurance carrier. The Secretary may reinsure with, transfer to, or 
transfer back to, the carrier any insurance or reinsurance provided by 
the Secretary under this chapter.
    (b) Premium Levels.--The Secretary may provide reinsurance at 
premiums not less than, or obtain reinsurance at premiums not higher 
than, the premiums the Secretary establishes on similar risks or the 
premiums the insurance carrier charges for the insurance to be reinsured 
by the Secretary, whichever is most advantageous to the Secretary. 
However, the Secretary may make allowances to the insurance carrier for 
expenses incurred in providing services and facilities that the 
Secretary considers good business practice, except for payments by the 
carrier for the stimulation or solicitation of insurance business.

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1169.)

                                          Historical and Revision Notes
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           Revised  Section                    Source (U.S. Code)              
 Source (Statutes at Large)
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44304(a)..............................  49 App.:1535(a).                 Aug. 2
3, 1958, Pub. L. 85-726, Sec.
                                                                          1305,
 72 Stat. 802; Nov. 9, 1977, Pub.
                                                                          L. 95
-163, Sec.  4(a), 91 Stat. 1279.
44304(b)..............................  49 App.:1535(b).
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    In subsection (a), the words ``may reinsure any part of the 
insurance provided by an insurance carrier'' are substituted for ``may 
reinsure, in whole or in part, any company authorized to do an insurance 
business'' for clarity and consistency with source provisions restated 
in this subchapter and the definition of ``insurance carrier'' in 
section 44301 of the revised title. The words ``transfer to, or transfer 
back to'' are substituted for ``cede or retrocede to'' for clarity.
    In subsection (b), the word ``same'' is omitted as being included in 
``similar''. The words ``on account of the cost of'' are omitted as 
surplus. The word ``providing'' is substituted for ``rendered'' and 
``furnished'' because it is inclusive. The words ``except for'' are 
substituted for ``but such allowance to the carrier shall not provide 
for'' to eliminate unnecessary words.
