§ 611.61 — Transactions of insurers with affiliates.

Wisconsin § 611.61

• Jurisdiction: Wisconsin
• Ch. 611: Domestic stock and mutual insurance corporations
• Subch.: subch. IV of ch. 611 SUBCHAPTER IV

Text

611.61
611.61(1) (1) Restricted transactions. No transaction may be entered into between an insurer authorized to do business in this state and any affiliate unless:
611.61(1)(a) (a) The transaction at the time it is entered into is reasonable and fair to the interests of the insurer;
611.61(1)(b) (b) The books, accounts and records of each party to the transaction are kept in a manner that clearly and accurately discloses the nature and details of the transaction and in accordance with generally accepted accounting principles permits ascertainment of charges relating to the transaction; and
611.61(1)(c) (c) If the transaction is a reinsurance transaction, it is reported to the commissioner immediately if the insurer is a domestic corporation.
611.61(2) (2) Voidability. Transactions entered into by domestic corporations in violation of sub. (1) are voidable by the corporation.

Legislative History

611.61 History History: 1971 c. 260 ; 1979 c. 102 .