§ 521J.19 — Delinquency

Iowa § 521J.19

• Jurisdiction: Iowa
• Title XIII: COMMERCE
• Ch. 521J: CAPTIVE COMPANIES

Text

1. Except as otherwise provided in this section, chapter 507C shall apply to a protected
cell captive company.
2. Upon any order of supervision, rehabilitation, or liquidation of a protected cell captive
company, the receiver shall manage the assets and liabilities of the protected cell captive
company pursuant to this section.
3. Notwithstanding chapter 507C or any other provision of law to the contrary, in the
conservation, rehabilitation, or liquidation of a protected cell captive company, all of the
following requirements shall be met:
a. The assets and liabilities of a protected cell shall at all times be kept separate from, and
shall not be commingled with, those of other protected cells and the protected cell captive
company.
b. The assets of a protected cell shall not be used to pay any expenses or claims other than
the expenses or claims attributable to the protected cell.
c. If the sponsor consents and the commissioner has granted prior written approval,
the assets of the protected cell captive company’s general account may be used to pay any
expenses or claims attributable solely to a protected cell or protected cells of the protected
cell captive company. Notwithstanding section 521J.4, if the assets of the protected cell
captive company’s general account are used to pay expenses or claims attributed solely to
a protected cell or protected cells of the protected cell captive company, the sponsor shall
not be required to contribute additional capital and surplus to the protected cell captive
company’s general account.
d. A protected cell captive company’s capital and surplus shall be available at all times to
pay any expenses of, or claims against, the protected cell captive company.
4. Notwithstandingchapter507Coranyotherprovisionoflawtothecontrary, intheevent
of an insolvency of a protected cell captive company where the commissioner determines
that one or more protected cells remain solvent, the commissioner may separate such cells
from the protected cell captive company and, on application of the sponsor, may allow for
the conversion of such protected cells into one or more new or existing protected cell captive
companies, oroneormoreothercaptivecompanies, pursuanttoaplanofoperationapproved
by the commissioner.