§ 27-1-23-1.5 — Dividend payments; notice; content

Indiana § 27-1-23-1.5

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 1: DEPARTMENT OF INSURANCE
• Ch. 23: Regulation of Insurance Holding Company Systems

Text

5. (a) A domestic insurer that is a member of
an insurance holding company system may not pay a dividend unless
the insurer notifies the department of the dividend and the department
receives the notice from the insurer:
(1) not more than five (5) business days after the declaration of
the dividend or distribution; and
(2) at least ten (10) days before the payment of the dividend or
distribution.
(b) A notice provided by an insurer under subsection (a) must
contain information indicating that the surplus of the insurer as regards
policyholders will be:
(1) reasonable in relation to the outstanding liabilities of the
insurer; and
(2) adequate to the financial needs of the insurer;
following the payment of the dividend.
(c) After receiving a notice from an insurer under this section, the
department shall promptly consider the information set forth in the
notice under subsection (b). In the department's consideration of the
information, the department shall apply the factors set forth in section
4(f) of this chapter.

Legislative History

As added by P.L.130-1994, SEC.29 and P.L.116-1994, SEC.39.