379.988. Mutual holding company subject to supervision of director, dissolution or liquidation--demutualization. - Missouri Statutes

Mutual holding company subject to supervision of director, dissolutionor liquidation--demutualization.

379.988. 1. A mutual holding company is subject to supervision of thedirector in the same manner as an insurer subject to the provisions of thischapter and shall automatically be a party to any proceeding pursuant tosections 375.1150 to 375.1246, RSMo, involving an insurance company which, asa result of a reorganization pursuant to sections 375.1150 to 375.1246, RSMo,is a subsidiary of the mutual holding company or a stock holding companycreated pursuant to section 379.982. In a proceeding pursuant to sections375.1150 to 375.1246, RSMo, involving the reorganized insurance company, theassets of the mutual holding company are deemed to be assets of the estate ofthe reorganized insurance company for purposes of satisfying the claims of thereorganized company's policyholders. A mutual holding company shall notdissolve or liquidate without the approval of the director or as ordered bythe court pursuant to sections 375.1150 to 375.1246, RSMo.

2. Sections 375.201, 375.206, 375.216, 375.221 and 375.226, RSMo, areapplicable to a demutualization of a mutual holding company as if it were amutual insurance company. This section does not apply to those companiesorganized under chapter 354, RSMo, or chapter 355, RSMo, and does apply onlyto for-profit mutual property and casualty insurance companies.

(L. 1996 S.B. 759)