Section 375.1158

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 375

Effective - 28 Aug 1992   

  375.1158.  Provisions apply prospectively, exceptions — restrictions on insurer in delinquency proceeding. — 1.  Unless otherwise provided, the portions of sections 375.1150 to 375.1246 which substantively affect the rights of any person shall be only applicable prospectively.  The provisions of sections 375.650 to 375.700, sections 375.740 and 375.750, and sections 375.950 to 375.990 shall be effective and apply only to proceedings instituted pursuant to those sections prior to August 28, 1991.  The provisions of sections 375.1150 to 375.1246 which are procedural in nature and which do not conflict with any provision of sections 375.570 to 375.750 and sections 375.950 to 375.990 applicable to any proceeding instituted prior to August 28, 1991, shall be applicable to proceedings instituted prior to August 28, 1991; provided that the provisions of this subsection shall not affect any final order entered by a court of competent jurisdiction prior to August 28, 1991.

  2.  No insurer that is subject to any delinquency proceedings, whether formal or informal, administrative or judicial, shall:

  (1)  Be released from such proceeding, unless such proceeding is converted into a judicial rehabilitation or liquidation proceeding;

  (2)  Be permitted to solicit or accept new business or request or accept the restoration of any suspended or revoked license or certificate of authority;

  (3)  Be returned to the control of its shareholders or private management; or

  (4)  Have any of its assets returned to the control of its shareholders or private management.  

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Until all payments of or on account of the insurer's contractual obligations by all guaranty associations and all expenses on account of such delinquency proceedings, along with all expenses thereof and interest on all such payments and expenses, shall have been repaid to the department of commerce and insurance and guaranty associations or a plan of repayment by the insurer shall have been approved by the director.  Moneys collected by the director pursuant to this section shall be transferred to the state treasurer and deposited to the general revenue fund.

  3.  In any delinquency proceeding under sections 375.1150 to 375.1246, certified copies of the statement made by the company proceeded against, or of reports of examinations of the company made by the director or persons appointed by him, shall be received, if offered by the director, as prima facie evidence of the facts therein contained pertaining to the condition and affairs of the insurer.

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(L. 1991 H.B. 385, et al. § 55, A.L. 1992 H.B. 1574)