§ 56-2-407 — Revocation of authority of foreign companies

The authority of a foreign insurance company may be revoked: (1) If it violates or neglects to comply with any law obligatory upon it; (2) Whenever, in the opinion of the commissioner, its condition is unsound, or its assets above its liabilities exclusive of capital and inclusive of unearned premiums, as provided in §§ 56-1-402 - 56-1-405 [see the Compiler's Notes], are less than the amount of its original capital or required unimpaired funds; or (3) If any foreign company licensed to transact business in this state reinsures or accepts reinsurance on property located in this state for any company not authorized to transact the business of insurance in this state; provided, that § 56-1-102 does not apply to foreign marine policies.

Legislative History

Acts 1895, ch. 160, § 12; Shan., § 3295; Acts 1919, ch. 170, § 1; Code 1932, § 6111; T.C.A. (orig. ed.), §§ 56-312, 56-234.