508B.2 - MUTUAL COMPANY BECOMING STOCK COMPANY -- AUTHORIZATION.

        508B.2  MUTUAL COMPANY BECOMING STOCK COMPANY --      AUTHORIZATION.         A mutual life insurance company may become a stock life insurance      company pursuant to a plan of conversion established and approved in      the manner provided by this chapter.         A plan of conversion may provide that a mutual company may convert      into a domestic stock company, convert and merge, or convert and      consolidate with a domestic stock company, as provided in chapter 490      or 491, whichever is applicable.  However, the mutual company is not      required to comply with sections 491.102 through 491.105 or sections      490.1102 and 490.1104 relating to approval of merger or consolidation      plans by boards of directors and shareholders, if at the time of      approval of the plan of conversion the board of directors approves      the merger or consolidation and if at the time of approval of the      plan by policyholders as provided in section 508B.6, the      policyholders approve the merger or consolidation.  This chapter      supersedes any conflicting provisions of chapters 521 and 521A.  A      mutual company may convert, merge, or consolidate as part of a plan      of conversion in which a majority or all of the common shares of the      stock company are acquired by another corporation, which may be a      corporation organized for that purpose, or in which the new stock      company consolidates with a stock company to form another stock      company.         In lieu of selecting a plan of conversion provided for in this      chapter, a mutual company may convert to a stock company pursuant to      a plan approved by the commissioner.  The commissioner or the mutual      company may use any provisions or combination of provisions provided      for a plan in this chapter and may adopt any other provisions which      are not unfair or inequitable to the policyholders of the mutual      company.  If a mutual company selects this procedure for conversion      purposes, the mutual company shall reimburse the state for expenses      incurred by the division in connection with the conversion plan      except for expenses that are normal operating expenses of the      division.  
         Section History: Recent Form
         85 Acts, ch 127, § 2; 86 Acts, ch 1237, § 31; 90 Acts, ch 1205,      §35; 90 Acts, ch 1234, § 8; 2002 Acts, ch 1154, §108, 125