31A-5-418 - Dividends and other distributions.
31A-5-418. Dividends and other distributions.
(1) Subject to the requirements of Section 16-10a-842 and Subsection 31A-16-106(2), astock corporation may make distributions under Section 16-10a-640 if all the followingconditions are satisfied:
(a) A dividend may not be paid that would reduce the insurer's total adjusted capitalbelow the insurer's company action level RBC as defined in Subsection 31A-17-601(8)(b).
(b) Except as to excess surplus, or unless the commissioner issues an order allowingotherwise, a dividend may not be paid that exceeds the insurer's net gain from operations or netincome for the period ending December 31 of the preceding year.
(2) Title 67, Chapter 4a, Unclaimed Property Act, applies to unclaimed dividends anddistributions in insurance corporations.
Amended by Chapter 116, 2001 General Session