§ 27-5.1-2-22 — Merger files; commissioner review; notice and hearing; approval; modification; experts; costs

Indiana § 27-5.1-2-22

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 5.1: FARM MUTUAL INSURANCE COMPANIES

Text

(a) Each farm mutual insurance company
that decides to merge under section 21 of this chapter shall file the
following documents with the commissioner:
(1) A petition for merger.
(2) The farm mutual insurance company's merger plan.
(3) Articles of merger.
(4) A copy of the minutes of a meeting at which the merger plan
was approved.
(5) Proof of compliance with section 21 of this chapter.
(b) The commissioner shall:
(1) review a filing submitted under subsection (a); and
(2) schedule a hearing under IC 4-21.5 if the commissioner
considers a hearing necessary.
The commissioner may waive a hearing under this subsection if the
commissioner determines that a proposed merger does not prejudice
the interests of policyholders of the farm mutual insurance company.
(c) If the commissioner determines under subsection (b) that a
hearing is necessary, the commissioner shall provide written notice of
the hearing to the farm mutual insurance company that filed the
petition for merger. The commissioner may require the farm mutual
insurance company to provide the farm mutual insurance company's
policyholders with written notice of the hearing, including the date,
time, and place of the hearing.
(d) If the commissioner requires a farm mutual insurance company
to provide the farm mutual insurance company's policyholders with
notice of a hearing under subsection (c), the notice must meet the
following requirements:
(1) Be published in at least two (2) daily newspapers that the
commissioner may designate.
(2) Be published in the newspapers designated under subdivision
(1):
(A) not less than one (1) time per week;
(B) for two (2) successive weeks; and
(C) on the same day of the week.
(3) The last publication of notice must appear not more than five
(5) calendar days before the date of the hearing.
(e) The commissioner may require a farm mutual insurance
company to provide more notice than is required by subsection (d) if
the commissioner determines that more notice is required under the
circumstances concerning the farm mutual insurance company.
(f) In a hearing conducted under this section, the commissioner may
examine a farm mutual insurance company's business affairs by:
(1) requiring and compelling the production of documents,
records, books, papers, contracts, or other evidence; and
(2) compelling the attendance of, and examining under oath, a
director, an officer, an agent, an employee, a solicitor, or an
attorney of the farm mutual insurance company, or another
person.
(g) A person who has an interest in a hearing conducted under this
section may appear and testify at the hearing.
(h) The commissioner shall approve and authorize a proposed
merger if the commissioner determines the following:
(1) That the interests of policyholders of the merging farm mutual
insurance companies are properly protected.
(2) That a reasonable objection to the proposed merger does not
exist.
(i) The commissioner may order a modification of the merger plan
or articles of merger for a proposed merger if the commissioner
determines that the modification is in the best interest of policyholders.
(j) The commissioner may hire experts the commissioner considers
necessary to review a merger plan filed under this section.
(k) A farm mutual insurance company that files a petition for merger
shall pay the costs of a hearing under this section.

Legislative History

As added by P.L.129-2003, SEC.8.