§ 27-9-4-2 — Liquidation of assets of foreign or alien insurer; grounds; procedure; order; domiciliary proceedings; federal court proceedings; payment of claims

Indiana § 27-9-4-2

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 9: SUPERVISION; REHABILITATION
• Ch. 4: Interstate Relations

Text

(a) If no domiciliary receiver has been
appointed, the commissioner may apply to the Marion County circuit
court by verified petition for an order directing him to liquidate the
assets found in Indiana of a foreign insurer or an alien insurer not
domiciled in Indiana, on any of the grounds:
(1) specified in IC 27-9-3-1 or IC 27-9-3-6; or
(2) specified in section 1(a)(2) through 1(a)(4).
(b) When an order is sought under subsection (a), the Marion
County circuit court shall cause the insurer to be given a notice and a
time to respond to the request as is reasonable under the circumstances.
(c) If it appears to the court that the best interests of creditors,
policyholders, and the public require, the Marion County circuit court
may issue an order to liquidate in whatever terms the court considers
appropriate. The filing or recording of the order with the clerk of the
Marion County circuit court or the recorder of deeds of the county in
which the principal business of the company is located or the county in
which its principal office or place of business is located, shall impart
the same notice as a deed, bill of sale, or other evidence of title duly
filed or recorded with that recorder of deeds would have imparted.
(d) If a domiciliary liquidator is appointed in a reciprocal state while
a liquidation is proceeding under this section, the liquidator under this
section shall act as ancillary receiver under section 4 of this chapter. If
a domiciliary liquidator is appointed in a nonreciprocal state while a
liquidation is proceeding under this section, the liquidator under this
section may petition the Marion County circuit court for permission to
act as ancillary receiver under section 4 of this chapter.
(e) On the same grounds as are specified in subsection (a), the
commissioner may petition any appropriate federal district court to be
appointed receiver to liquidate that part of the insurer's assets and
business over which the court will exercise jurisdiction, or any lesser
part of the assets that the commissioner considers desirable for the
protection of the policyholders and creditors in Indiana.
(f) The district court may order the commissioner, when he has
liquidated the assets of a foreign or alien insurer under this section, to
pay claims of residents of Indiana against the insurer under such rules
as to the liquidation of insurers under IC 27-9 as are otherwise
compatible with this section.
As added by Acts 1979, P.L.255, SEC.1.