Maine § 24-A §1160 Prohibited transactions and investment underwriting

Maine Statutes

§ 24-A §1160 — Prohibited transactions and investment underwriting

Maine·Title 24-A MAINE INSURANCE CODE·Ch. 13-A INVESTMENTS OF LIFE INSURERS AND LIFE AND HEALTH INSURERS

1.Purchase of own common stock. A stock insurer may not purchase its own common stock, except for the purpose of mutualization under chapter 47; for retirement; or pursuant to a plan for investment or loan submitted in writing by the insurer to the superintendent in advance, and which the superintendent has not disapproved within 20 days after the submission or within any additional reasonable period as the superintendent may request, as being unfair or inequitable to the insurer's policyholders or stockholders.

2.Underwriting. No insurer may underwrite or participate in the underwriting of an offering of securities or property of any person. This provision may not be considered to prohibit:

3.Investments in affiliates. No insurer may purchase the stock of or otherwise invest in or lend

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

1.
Purchase of own common stock.
A stock insurer may not purchase its own common stock, except for the purpose of mutualization under chapter 47; for retirement; or pursuant to a plan for investment or loan submitted in writing by the insurer to the superintendent in advance, and which the superintendent has not disapproved within 20 days after the submission or within any additional reasonable period as the superintendent may request, as being unfair or inequitable to the insurer's policyholders or stockholders.
2.
Underwriting.
No insurer may underwrite or participate in the underwriting of an offering of securities or property of any person. This provision may not be considered to prohibit:
3.
Investments in affiliates.
No insurer may purchase the stock of or otherwise invest in or lend its funds upon the security of any note or other evidence of indebtedness of any affiliate in the insurer's holding company system, except as authorized by section 222 or 1157, or lend its funds to any director or officer of the insurer or the spouse or child of any director or officer. This provision does not prohibit:
4.
Encumbrance of securities.
5.
Disposition of property.
An insurer may enter into any agreement to sell or withhold from sale any of its property, as long as the insurer is not participating in a prohibited underwriting. The disposition of an insurer's property shall be the responsibility of its board of directors, in accordance with its charter and bylaws.
6.
Encumbrance of securities.
An insurer may enter into securities lending transactions that are conducted directly, through a custodian bank that is a qualified bank, or through an agent, and may enter into repurchase transactions, reverse repurchase transactions and dollar roll transactions, subject to the following requirements.

Maine § 24-A §1160 (Prohibited transactions and investment underwriting) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.