§ 26.1-11-04 — Foreign life company required to maintain funds or stop writing business - Penalty

Penalty.
When the actual funds of any foreign life insurance company authorized to do business in
this state are not of a net value equal to the net value of its policies according to the combined
experience or actuaries' rate of mortality, with interest at four percent per annum, or by such
higher standard as the company may have adopted, the commissioner shall give notice to the

company and its agents to discontinue the issuance of new policies in this state until its funds
have become equal to its liabilities when its policies are valued as provided in this section. Any
officer or agent who, after notice has been given, issues or delivers a new policy from and in
behalf of the company before its funds have become equal to its liabilities as provided by this
section is guilty of a class A misdemeanor. This section does not apply to a cooperative or
assessment life association licensed to transact business in this state.