§ 38.2-1503. Grounds for delinquency proceedings commenced by Commissionagainst domestic insurer.
Delinquency proceedings may be commenced by the Commission against anydomestic insurer whenever the insurer:
1. Has been determined to be insolvent by the Commission;
2. Has refused to submit its books, papers, accounts, records, or affairs tothe reasonable inspection of the Commission or its representative;
3. Has refused or failed to comply with any order of the Commission to makegood within the time prescribed by law (i) any impairment of its minimumcapital and surplus if the insurer is a stock insurer, (ii) any impairment ofits minimum surplus if the insurer is other than a stock insurer, or (iii)membership requirements as set forth in § 38.2-2515 if the insurer is amutual assessment property and casualty insurer and has had its licenserevoked;
4. Has transferred or attempted to transfer substantially its entireproperty, or has entered into any transaction which merges substantially itsentire property or business, into the property or business of any othercompany without prior written approval of the Commission;
5. Has removed, attempted to remove, or is about to remove from thisCommonwealth any material part of its property or business necessary for thecontinued conduct of its business if it endangers the interests of itspolicyholders, stockholders or members;
6. Has reinsured all or substantially all of its risks without prior writtenapproval of the Commission;
7. Is found, after an examination, to be in a condition where any furthertransaction of business will be hazardous to its policyholders, creditors,members, subscribers, stockholders, or to the public;
8. Has willfully violated its charter or any law of this Commonwealth;
9. Has an officer, director or manager who has refused to be examined underoath concerning its affairs;
10. Has had any material part of its entire property sequestered in any otherstate or country;
11. Has not organized or completed its organization and obtained a license totransact the business of insurance in this Commonwealth within the period oftime set by law; or
12. Has failed to pay a final judgment rendered against it in any state uponany insurance contract issued or assumed by it (i) within sixty days afterthe judgment has become final, (ii) within sixty days after time for takingan appeal has expired, or (iii) within sixty days after dismissal of anappeal before final determination, whichever date is the latest.
(Code 1950, § 38-138; 1952, c. 317, § 38.1-129; 1986, c. 562.)
§ 38.2-1503. Grounds for delinquency proceedings commenced by Commissionagainst domestic insurer.
Delinquency proceedings may be commenced by the Commission against anydomestic insurer whenever the insurer:
1. Has been determined to be insolvent by the Commission;
2. Has refused to submit its books, papers, accounts, records, or affairs tothe reasonable inspection of the Commission or its representative;
3. Has refused or failed to comply with any order of the Commission to makegood within the time prescribed by law (i) any impairment of its minimumcapital and surplus if the insurer is a stock insurer, (ii) any impairment ofits minimum surplus if the insurer is other than a stock insurer, or (iii)membership requirements as set forth in § 38.2-2515 if the insurer is amutual assessment property and casualty insurer and has had its licenserevoked;
4. Has transferred or attempted to transfer substantially its entireproperty, or has entered into any transaction which merges substantially itsentire property or business, into the property or business of any othercompany without prior written approval of the Commission;
5. Has removed, attempted to remove, or is about to remove from thisCommonwealth any material part of its property or business necessary for thecontinued conduct of its business if it endangers the interests of itspolicyholders, stockholders or members;
6. Has reinsured all or substantially all of its risks without prior writtenapproval of the Commission;
7. Is found, after an examination, to be in a condition where any furthertransaction of business will be hazardous to its policyholders, creditors,members, subscribers, stockholders, or to the public;
8. Has willfully violated its charter or any law of this Commonwealth;
9. Has an officer, director or manager who has refused to be examined underoath concerning its affairs;
10. Has had any material part of its entire property sequestered in any otherstate or country;
11. Has not organized or completed its organization and obtained a license totransact the business of insurance in this Commonwealth within the period oftime set by law; or
12. Has failed to pay a final judgment rendered against it in any state uponany insurance contract issued or assumed by it (i) within sixty days afterthe judgment has become final, (ii) within sixty days after time for takingan appeal has expired, or (iii) within sixty days after dismissal of anappeal before final determination, whichever date is the latest.
(Code 1950, § 38-138; 1952, c. 317, § 38.1-129; 1986, c. 562.)
§ 38.2-1503. Grounds for delinquency proceedings commenced by Commissionagainst domestic insurer.
Delinquency proceedings may be commenced by the Commission against anydomestic insurer whenever the insurer:
1. Has been determined to be insolvent by the Commission;
2. Has refused to submit its books, papers, accounts, records, or affairs tothe reasonable inspection of the Commission or its representative;
3. Has refused or failed to comply with any order of the Commission to makegood within the time prescribed by law (i) any impairment of its minimumcapital and surplus if the insurer is a stock insurer, (ii) any impairment ofits minimum surplus if the insurer is other than a stock insurer, or (iii)membership requirements as set forth in § 38.2-2515 if the insurer is amutual assessment property and casualty insurer and has had its licenserevoked;
4. Has transferred or attempted to transfer substantially its entireproperty, or has entered into any transaction which merges substantially itsentire property or business, into the property or business of any othercompany without prior written approval of the Commission;
5. Has removed, attempted to remove, or is about to remove from thisCommonwealth any material part of its property or business necessary for thecontinued conduct of its business if it endangers the interests of itspolicyholders, stockholders or members;
6. Has reinsured all or substantially all of its risks without prior writtenapproval of the Commission;
7. Is found, after an examination, to be in a condition where any furthertransaction of business will be hazardous to its policyholders, creditors,members, subscribers, stockholders, or to the public;
8. Has willfully violated its charter or any law of this Commonwealth;
9. Has an officer, director or manager who has refused to be examined underoath concerning its affairs;
10. Has had any material part of its entire property sequestered in any otherstate or country;
11. Has not organized or completed its organization and obtained a license totransact the business of insurance in this Commonwealth within the period oftime set by law; or
12. Has failed to pay a final judgment rendered against it in any state uponany insurance contract issued or assumed by it (i) within sixty days afterthe judgment has become final, (ii) within sixty days after time for takingan appeal has expired, or (iii) within sixty days after dismissal of anappeal before final determination, whichever date is the latest.
(Code 1950, § 38-138; 1952, c. 317, § 38.1-129; 1986, c. 562.)
