§ 7408 — Uniform insurers liquidation act; title; definitions

New York § 7408

• Jurisdiction: New York
• Law ISC: Insurance
• Art. 74: Rehabilitation, Liquidation, Conservation and Dissolution of Insurers

Text

§ 7408. Uniform insurers liquidation act; title; definitions. (a) This\nsection and sections seven thousand four hundred nine through seven\nthousand four hundred fifteen of this article may be cited as the\nuniform insurers liquidation act.\n (b) In this act:\n (1) "Insurer" means any person, firm, corporation, association, or\naggregation of persons doing an insurance business and subject to the\ninsurance supervisory authority of, or to liquidation, rehabilitation,\nreorganization, or conservation by, the superintendent of financial\nservices of this state, or the equivalent insurance supervisory official\nof another state.\n (2) "Delinquency proceeding" means any proceeding commenced against an\ninsurer for the purpose of liquidating, rehabilitating, reorganizing, or\nconserving such insurer.\n (3) "Foreign country" means territory not in any state.\n (4) "Domiciliary state" means the state in which an insurer is\nincorporated or organized, or, as to an insurer incorporated or\norganized in a foreign country, the state in which such insurer, having\nbecome authorized to do business in such state, has, at the commencement\nof delinquency proceedings, the largest amount of its assets held in\ntrust and assets held on deposit for the benefit of its policyholders or\npolicyholders and creditors in the United States; and any such insurer\nis deemed to be domiciled in such state.\n (5) "Ancillary state" means any state except a domiciliary state.\n (6) "Reciprocal state" means any state other than this state in which\nin substance and effect the provisions of this act are in force,\nincluding the provisions requiring that the insurance commissioner or\nequivalent insurance supervisory official be the receiver of a\ndelinquent insurer.\n (7) "General assets" means all property, real, personal, or otherwise,\nnot specifically mortgaged, pledged, deposited, or otherwise encumbered\nfor the security or benefit of specified persons or a limited class of\npersons, and as to such specifically encumbered property the term\nincludes all such property or its proceeds in excess of the amount\nnecessary to discharge all sums secured thereby. Assets held in trust\nand assets held on deposit for the security or benefit of all\npolicyholders, or all policyholders and creditors in the United States,\nare general assets.\n (8) "Preferred claim" means any claim with respect to which the law of\na state or of the United States accords priority of payment from the\ngeneral assets of the insurer.\n (9) "Special deposit claim" means any claim secured by a deposit made\npursuant to statute for the security or benefit of a limited class of\npersons, but not including any general assets.\n (10) "Secured claim" means any claim secured by mortgage, trust, deed,\npledge, deposit as security, escrow, other security interest, or\notherwise, but not including special deposit claims or claims against\ngeneral assets. The term also includes claims which more than four\nmonths prior to the commencement of delinquency proceedings in the state\nof the insurer's domicile have become liens upon specific assets by\nreason of judicial process.\n (11) "Receiver" means receiver, liquidator, rehabilitator, or\nconservator as the context may require.\n