§ 27-1-37. Minimum capital and surplus requirement — Charters.
(a) No domestic insurance corporation shall commence business and write, issue, or effect
any policy of insurance unless the capital stock of the company is at least equal
to one million dollars ($1,000,000) and the gross paid in and contributed surplus
of the company is at least equal to two million dollars ($2,000,000), or, if a mutual
company, its net assets over all liabilities amount to not less than three million
dollars ($3,000,000), or, if a mono line business company, has a combined capital
and surplus of two million dollars ($2,000,000), and until it has secured from the
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§ 27-1-37. Minimum capital and surplus requirement — Charters.
(a) No domestic insurance corporation shall commence business and write, issue, or effect
any policy of insurance unless the capital stock of the company is at least equal
to one million dollars ($1,000,000) and the gross paid in and contributed surplus
of the company is at least equal to two million dollars ($2,000,000), or, if a mutual
company, its net assets over all liabilities amount to not less than three million
dollars ($3,000,000), or, if a mono line business company, has a combined capital
and surplus of two million dollars ($2,000,000), and until it has secured from the
commissioner of insurance a certificate in compliance with the provisions of its charter
and this section. "Commence business� as used in this section means the date of issuance
of a certificate in compliance by the insurance commissioner.
(b) The provisions of this section relating to capital and surplus requirements shall
also apply to all charters for domestic insurance companies that have not commenced
business prior to June 18, 1991. The provisions of this section relating to capital
and surplus requirements shall also apply to domestic insurance companies that have
undergone a change in control subsequent to August 1, 1995, except that the commissioner
of insurance may require lesser capital and surplus, but in no event less than one
million dollars ($1,000,000) as the commissioner deems appropriate for the protection
of all policyholders and the general public, based upon the commissioner's review
of the transaction resulting in the change in control of the insurer. "Control� as
used in this section shall be defined in accordance with § 27-35-1.