40-3612. Same; restrictions upon insurers subject to delinquency proceedings. - Kansas Statutes

40-3612

Chapter 40.--INSURANCE Article 36.--IMPAIRED OR INSOLVENT INSURERS

      40-3612.   Same; restrictions upon insurers subject to delinquencyproceedings.No insurer that is subject to any delinquency proceedings, whetherformal or informal shall:

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

      (b)   be permitted to solicit or accept new business or request or accept therestoration of any suspended or revoked license or certificate of authority;

      (c)   be returned to the control of its shareholders or private management; or

      (d)   have any of its assets returned to the control of the shareholders orprivate management;

until all payments of or on account of the insurer's contractual obligations byall guaranty associations, along with all expenses thereof and interest on allsuch payments and expenses, shall have been repaid to the guaranty associationsor a plan of repayment by the insurer shall have been approved by the guarantyassociation.

      History:   L. 1991, ch. 125, § 8; July 1.