Nebraska § 44-6118 Insolvent mutual insurers

Nebraska Statutes

§ 44-6118 — Insolvent mutual insurers

Nebraska § 44-6118

Ch. 44Insurance

This text of Nebraska § 44-6118 (Insolvent mutual insurers) is published on Counsel Stack Legal Research, covering Nebraska primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Neb. Rev. Stat. § 44-6118 (2026).

Text

Notwithstanding the requirements of section 44-6105 , in the event of insolvency of the mutual insurer, its board of directors by a vote of not less than two-thirds of its members may, in its application, request that the director waive the requirements imposing notice to policyholders and policyowner approval for the plan of conversion. The application shall specify both of the following:

(1)The method and basis for the issuance of the new stock insurer's shares of its capital stock to an independent party in connection with an investment by such independent party in an amount sufficient to restore the insurer to a sound financial condition; and

(2)That the conversion shall be accomplished without distribution to the past, present, or future policyholders, if the director finds that th

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Notwithstanding the requirements of section 44-6105 , in the event of insolvency of the mutual insurer, its board of directors by a vote of not less than two-thirds of its members may, in its application, request that the director waive the requirements imposing notice to policyholders and policyowner approval for the plan of conversion. The application shall specify both of the following:
(1) The method and basis for the issuance of the new stock insurer's shares of its capital stock to an independent party in connection with an investment by such independent party in an amount sufficient to restore the insurer to a sound financial condition; and
(2) That the conversion shall be accomplished without distribution to the past, present, or future policyholders, if the director finds that the value of the insurer, due to insolvency, is insufficient to warrant any such distribution.
If the director determines that the mutual insurer is insolvent as defined in section 44-4803 , he or she shall grant the request to waive the requirements imposing notice to policyholders and policyowner approval for the plan of conversion.