§ 8008 — Approval of plan by policyholders

§ 8008. Approval of plan by policyholders. (a) A proposal to approve\nthe plan of reorganization shall be submitted to policyholders for\napproval. The policyholders entitled to notice of and to vote upon the\nproposal shall be the holders of policies or contracts which are in\nforce on the adoption date. The reorganizing insurer shall give written\nnotice stating the date, time and place for voting on such proposal to\npolicyholders entitled to notice of and to vote on the proposal in\naccordance with this section, sent by mail or electronic transmission to\nthe last known mailing or electronic addresses of such policyholders as\nshown on the records of the reorganizing insurer. Such notice shall be\nsent at least thirty days before the date of the proposed vote to\napprove the plan of reorganization. Such notice may be combined with the\nsummary notice of the hearing required by section eight thousand seven\nof this article. Such notice shall be subject to the approval of the\nsuperintendent and shall include both a website address and a toll-free\ntelephone number through which members may obtain either a true and\ncorrect copy of the plan, or a summary thereof approved by the\nsuperintendent, and such other explanatory information as the\nsuperintendent shall approve or require.\n (b) Each policyholder entitled to vote on the proposal shall be\nentitled to cast one vote, unless otherwise provided in the charter or\nby-laws of the reorganizing insurer, on the proposal, either in person\nor by mail or by proxy, irrespective of the number or amount of the\npolicies or contracts he or she holds. Each proxy shall be revocable at\nany time, except to the extent that, at the time of attempted\nrevocation, the power conferred thereby has already been properly\nexercised. All votes shall be by written ballot cast in person or by\nmail or by electronic means by policyholders entitled to vote or by\nproxy agents duly appointed by policyholders entitled to vote. The\nvoting on the proposal shall be held at the home office of the\nreorganizing insurer. The polls shall be opened at ten o'clock in the\nforenoon and remain open until four o'clock in the afternoon of the day\nfixed for such voting, at which time they shall be closed.\n (c) The proposal to approve the plan of reorganization shall be\nadopted by the affirmative vote of at least two-thirds of all votes cast\nby policyholders entitled to vote.\n (d) The superintendent shall have power to prescribe rules governing\nthe procedures for conduct of the voting on the proposal.\n (e) The provisions of section four thousand two hundred ten of this\nchapter shall not apply to the action by policyholders pursuant to this\nsection.\n (f) Upon the conclusion of the vote, the reorganizing insurer shall\nsubmit to the superintendent:\n (1) a certified copy of the plan of reorganization, subscribed by the\nchairman of the board, the president or any vice president and attested\nby the secretary or an assistant secretary of the reorganizing insurer;\n (2) a certificate, subscribed by the chairman of the board, the\npresident or any vice president and attested by the secretary or\nassistant secretary of the reorganizing insurer, or subscribed by the\nperson or persons, if any, designated by the superintendent to supervise\nthe giving of notice of the date for action on the proposal, to the\neffect that such notice was given in accordance with this section to all\npolicyholders entitled to such notice; and\n (3) a certificate subscribed by an officer of the reorganizing insurer\nof the results of the vote, as evidenced by valid ballots received\nbefore the polls were closed.\n Each such certificate shall be affirmed as true under the penalties of\nperjury by the person or persons subscribing the same and, in the case\nof a certificate signed by officers of the reorganizing insurer, shall\nbe affirmed under the corporate seal of the reorganizing insurer.\n