31A-37a-204 - Prior approval of a change in plan of operation and other transactions.
31A-37a-204. Prior approval of a change in plan of operation and othertransactions.
(1) A special purpose financial captive insurance company may not change its plan ofoperation without the prior approval of the commissioner.
(2) (a) Subject to Subsection (2)(b), a special purpose financial captive insurancecompany may not engage in a transaction or series of transactions without the prior approval ofthe commissioner if the transaction or series of transactions:
(i) is undertaken to dissolve the special purpose financial captive insurance company; or
(ii) results in the termination of all or a part of a special purpose financial captiveinsurance company's business.
(b) A special purpose financial captive insurance company is not required to obtain theprior approval of the commissioner for a transaction or series of transactions described inSubsection (2)(a)(ii) if:
(i) the transaction or series of transactions is done in accordance with a document oragreement described in the special purpose financial captive insurance company's plan ofoperation; and
(ii) the special purpose financial captive insurance company notifies the commissionerprior to the transaction or series of transactions.
(3) A special purpose financial captive insurance company shall notify the commissionerbefore a change in the legal ownership of a security issued by the special purpose financialcaptive insurance company.
Enacted by Chapter 302, 2008 General Session