Indiana § 27-1-3-25 Review of ordinary shareholder dividends to determine reasonableness

Indiana Statutes

§ 27-1-3-25 — Review of ordinary shareholder dividends to determine reasonableness

Indiana § 27-1-3-25

Title 27INSURANCE

Art. 1DEPARTMENT OF INSURANCE

Ch. 3General Powers and Duties of the Department

This text of Indiana § 27-1-3-25 (Review of ordinary shareholder dividends to determine reasonableness) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 27-1-3-25 (2026).

Text

The department shall establish and maintain a procedure under which the department, at least one (1) time each year, reviews the ordinary shareholder dividends paid by each domestic insurer to determine whether dividends paid by the insurer are reasonable in relation to the following:

(1)The adequacy of the level of surplus as regards policyholders of the insurer remaining after the payment of dividends.

(2)The quality of the earnings of the insurer and the extent to which the reported earnings of the insurer include extraordinary items, such as surplus relief, reinsurance transactions, and reserve destrengthening.

Free access — add to your briefcase to read the full text and ask questions with AI

The department shall establish and maintain
a procedure under which the department, at least one (1) time each
year, reviews the ordinary shareholder dividends paid by each domestic
insurer to determine whether dividends paid by the insurer are
reasonable in relation to the following:
(1) The adequacy of the level of surplus as regards policyholders
of the insurer remaining after the payment of dividends.
(2) The quality of the earnings of the insurer and the extent to
which the reported earnings of the insurer include extraordinary
items, such as surplus relief, reinsurance transactions, and reserve
destrengthening.