§ 26-24-141 — Impairment of capital or assets; generally

Wyoming § 26-24-141

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

Text

(a) If a domestic stock insurer's paid-in capital stock,
as represented by the aggregate par value of its outstanding
capital stock, or the amount of its surplus, or if the amount of
a domestic mutual insurer's surplus, is less than the minimum
amounts the insurer is required to maintain under this code for
authority to transact the kinds of insurance being transacted,
the commissioner shall at once determine the amount of
deficiency and notify the insurer to cure the deficiency and
file proof thereof with him within the period specified in the
notice. The period shall be not less than thirty (30) nor more
than ninety (90) days from the date of the notice. The notice
may be served by delivery to the insurer or by mailing to the
insurer addressed to its principal place of business in this
state.
(b) The deficiency shall be made good:
(i) In cash or in assets eligible for investment of
the insurer's funds;
(ii) By amendment of the insurer's certificate of
authority to cover only the kinds of insurance thereafter for
which the insurer has sufficient paid-in capital stock and
surplus, if a stock insurer, or surplus, if a mutual insurer,
under this code; or
(iii) If a stock insurer, by reduction of the
insurer's stated capital or any other lawful means, so that the
insurer's resulting paid-in capital stock and surplus are not
below the minimums required for the kinds of insurance it
transacts.
(c) After any reduction of stated capital, if the
reduction results in a decrease in the number of par values of
its outstanding capital stock, the insurer's stockholders shall
surrender to the insurer their affected stock certificates in
exchange for new certificates to be issued for such number or
par value of shares, or both, as the stockholders are then
entitled to receive.
(d) If the deficiency is not cured and proof thereof filed
with the commissioner within the period required by the notice
as specified in subsection (a) of this section, the commissioner
shall:
(i) Immediately and without further notice or hearing
suspend or revoke the insurer's certificate of authority; and
(ii) Take any further action authorized under chapter
28 of this code.