§ 26-24-110 — Bond or deposit required of domestic mutual insurers

Wyoming § 26-24-110

• Jurisdiction: Wyoming
• Title 26: Insurance Code
• Ch. 24: ORGANIZATION AND CORPORATE PROCEDURES OF LEGAL

Text

(a) Before soliciting any applications for insurance
required under W.S. 26-24-109 as qualifications for the
certificate of authority, the incorporators of the proposed
insurer shall file with the commissioner a corporate surety bond
in the penalty of fifteen thousand dollars ($15,000.00), in
favor of the state and for the use and benefit of the state of
the applicant members and creditors of the corporation. The bond
shall be conditioned for:
(i) The prompt return to applicant members of all
premiums collected in advance;
(ii) Payment of all indebtedness of the corporation;
and
(iii) Payment of costs incurred by the state in case
of any legal proceedings for liquidation or dissolution of the
corporation, if the corporation fails to complete its
organization and secure a certificate of authority within one
(1) year from the date of its certificate of incorporation.
(b) Instead of the bond specified in subsection (a) of
this section, the incorporators may deposit with the
commissioner fifteen thousand dollars ($15,000.00) in cash or
United States government bonds, negotiable and payable to the
bearer, with a market value at all times of not less than
fifteen thousand dollars ($15,000.00), to be held in trust upon
the same conditions as required for the bond.
(c) Any bond filed or deposit or remaining portion thereof
held under this section shall be released and discharged upon
settlement and termination of all liabilities against it.