§ 26.1-12.2-05 — Alternative plan of conversion

North Dakota § 26.1-12.2-05

• Jurisdiction: North Dakota
• Title 26.1: Insurance
• Ch. 26.1-12.2: Mutual Property and Casualty Insurance Company Conversion

Text

The governing body of the converting mutual company may adopt a plan of conversion that
does not rely in whole or in part upon issuing nontransferable subscription rights to members to
purchase stock of the converting stock company if the commissioner finds the plan of
conversion does not prejudice the interests of the members, is fair and equitable, and is not
inconsistent with the purpose and intent of this chapter. Subject to a finding of the commissioner
that an alternative plan of conversion is fair and equitable and is not inconsistent with the
purpose and intent of this chapter, an alternative plan of conversion may:
1. Include the merger of a domestic mutual insurance company into a domestic or foreign
stock insurance company.
2. Provide for the issuance of transferable or redeemable subscription rights.
3. Provide for issuing stock, cash, policyholder credits, or other consideration, or any
combination of the foregoing, to policyholders instead of subscription rights.
4. Set forth another plan of conversion containing any other provisions approved by the
commissioner.