§ 27-8-31-16 — Default of compacting state; reinstatement

Indiana § 27-8-31-16

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 8: LIFE, ACCIDENT, AND HEALTH
• Ch. 31: Interstate Insurance Product Regulation Compact

Text

(a) If the commission determines that any
compacting state has at any time defaulted in the performance of any
of the compacting state's obligations or responsibilities under this
compact, the bylaws, or adopted rules or operating procedures, after
notice and hearing as set forth in the bylaws, all rights, privileges, and
benefits conferred by this compact on the defaulting state shall be
suspended from the effective date of default as fixed by the
commission. The grounds for default include:
(1) failure of a compacting state to perform its obligations or
responsibilities; or
(2) any other grounds designated in commission rules.
The commission shall immediately notify the defaulting state in writing
of the defaulting state's suspension pending a cure of the default. The
commission shall stipulate the conditions and the period within which
the defaulting state must cure the defaulting state's default. If the
defaulting state fails to cure the default within the period specified by
the commission, the defaulting state shall be terminated and the
compact and all rights, privileges, and benefits conferred by this
compact shall be terminated on the effective date of termination.
(b) Product approvals by the commission, product self-certifications,
or any advertisement in connection with the product that is in force on
the effective date of termination shall remain in force in the defaulting
state in the same manner as if the defaulting state had withdrawn
voluntarily under section 15 of this chapter.
(c) Reinstatement following termination of any compacting state
requires a reenactment of the compact.

Legislative History

As added by P.L.138-2005, SEC.3.