Title 18, Insurance Code

§ 5904A. Proceedings against bank insurance division. (a) The Commissioner may in the Commissioner’s discretion forthwith take possession of the business and property, including the books and records, of any division of a bank or trust company acting as an insurer whenever it sha…

§ 5905. Grounds for rehabilitation; domestic insurers. The Commissioner may apply to the court for an order appointing the Commissioner as receiver of and directing the Commissioner to rehabilitate a domestic insurer upon one or more of the following grounds, if the insurer: (1) …

§ 5906. Grounds for liquidation. The Commissioner may apply to the court for an order appointing the Commissioner as receiver (if the Commissioner appointment as receiver shall not be then in effect) and directing the Commissioner to liquidate the business of a domestic insurer o…

§ 5907. Grounds for conservation; foreign insurers. The Commissioner may apply to the court for an order appointing the Commissioner as receiver or ancillary receiver and directing him or her to conserve the assets within this State, of a foreign insurer upon any of the following…

§ 5908. Grounds for conservation — Alien insurers. The Commissioner may apply to the court for an order appointing the Commissioner as receiver or ancillary receiver and directing the Commissioner to conserve the assets within this State of any alien insurer upon any of the follo…

§ 5909. Grounds for ancillary liquidation; foreign insurers. The Commissioner may apply to the court for an order appointing the Commissioner as ancillary receiver of and directing the Commissioner to liquidate the business of a foreign insurer having assets, business or claims i…

§ 5910. Order of rehabilitation; termination. (a) An order to rehabilitate a domestic insurer shall direct the Commissioner forthwith to take possession of the property of the insurer and to conduct the business thereof and to take such steps toward removal of the causes and cond…

§ 5911. Order of liquidation; domestic insurers; insolvent insurer’s assets. (a) An order to liquidate the business of a domestic insurer shall direct the Commissioner forthwith to take possession of the property of the insurer, to liquidate its business, to deal with the insurer…

§ 5912. Order of conservation or ancillary liquidation of foreign or alien insurers. (a) An order to conserve the assets of a foreign or alien insurer shall require the Commissioner forthwith to take possession of the property of the insurer within this State and to conserve it, …

§ 5913. Conduct of delinquent proceedings against domestic and alien insurers. (a) Whenever under this chapter a receiver is to be appointed in delinquency proceedings for an insurer, the court shall appoint the Commissioner as such receiver. The court shall order the Commissione…

§ 5914. Conduct of delinquency proceedings against foreign insurers. (a) Whenever under this chapter an ancillary receiver is to be appointed in delinquency proceedings for an insurer not domiciled in this State, the court shall appoint the Commissioner as ancillary receiver. The…

§ 5915. Claims of nonresidents against domestic insurers. (a) In a delinquency proceeding begun in this State against a domestic insurer, claimants residing in reciprocal states may file claims either with the ancillary receivers, if any, in their respective states, or with the d…

§ 5916. Claims against foreign insurers. (a) In a delinquency proceeding in a reciprocal state against an insurer domiciled in that state, claimants against such insurer who reside within this State may file claims either with the ancillary receiver, if any, appointed in this Sta…

§ 5917. Form of claim; notice; hearing. (a) All claims against an insurer against which delinquency proceedings have been begun shall set forth in reasonable detail the amount of the claim or the basis upon which such amount can be ascertained, the facts upon which the claim is b…

§ 5918. Priority of certain claims. (a) In a delinquency proceeding against an insurer domiciled in this State, claims owing to residents of ancillary states shall be preferred claims if like claims are preferred under the laws of this State. All such claims owing to residents or…

§ 5919. Attachment and garnishment of assets. During the pendency of delinquency proceedings in this or any reciprocal state, no action or proceeding in the nature of an attachment, garnishment or execution shall be commenced or maintained in the courts of this State against the …

§ 5920. Uniform Insurers Liquidation Act. (a) Section 5901(2), (5), (6), (9), (12), (14), (17), (19), (20), (22), (24), and (25) of this title inclusive, together with § § 5902, 5903 and 5913-5920 of this title, constitute and may be referred to as the “Uniform Insurers Liquidati…

§ 5921. Deposit of moneys collected. The moneys collected by the Commissioner in a proceeding under this chapter shall be from time to time deposited in 1 or more state or national banks, savings banks or trust companies, and in the case of the insolvency or voluntary or involunt…

§ 5922. Exemption from fees. The Commissioner shall not be required to pay any fee to any public officer in this State for filing, recording, issuing a transcript or certificate authenticating any paper or instrument pertaining to the exercise by the Commissioner of any of the po…

§ 5923. Borrowing on pledge of assets. For the purpose of facilitating the rehabilitation, liquidation, conservation or dissolution of an insurer pursuant to this chapter, the Commissioner may, subject to the approval of the court, borrow money and execute, acknowledge and delive…

§ 5924. Date rights fixed on liquidation. The rights and liabilities of the insurer and of its creditors, policyholders, stockholders, members, subscribers and all other persons interested in its estate shall, unless otherwise directed by the court, be fixed as of the date on whi…

§ 5925. Voidable transfers [For application of this section, see 79 Del. Laws, c. 207, § 3]. (a) Any transfer of or lien upon the property of an insurer which is made or created within 4 months prior to the granting of an order to show cause, under this chapter, with the intent o…

§ 5926. Priority of claims for compensation. Repealed by 72 Del. Laws, c. 400, § 2, effective July 6, 2000. For present law, see §§ 4211(b) and 5918(e) of this title.

§ 5927. Offsets. (a) In all cases of mutual debts or mutual credits between the insurer and another person in connection with any action or proceeding under this chapter, such credits and debts shall be set off and the balance only shall be allowed or paid, except as provided in …

§ 5928. Allowance of certain claims. (a) No contingent and unliquidated claim shall share in a distribution of the assets of an insurer which has been adjudicated to be insolvent by an order made pursuant to this chapter, except that such claim shall be considered, if properly pr…

§ 5929. Order of insolvency; time to file claims. (a) If, upon the entry of an order of liquidation under this chapter or at any time thereafter during liquidation proceedings the insurer is not clearly solvent, the court shall, upon hearing after such notice it deems proper, mak…

§ 5930. Report and petition for assessment. Within 3 years after the date of the entry of an order of rehabilitation or liquidation of a domestic mutual insurer or a domestic reciprocal insurer, the Commissioner may make and file a report and petition to the court setting forth: …

§ 5931. Order and levy of assessments. (a) Upon the filing and reading of the report and petition provided for in § 5930 of this title, the court, ex parte, may order the Commissioner to assess all members or subscribers of the insurer who may be subject to such an assessment, in…

§ 5932. Assessment prima facie correct; notice; payment; proceedings to collect. (a) Any assessment of a subscriber or member of an insurer made by the Commissioner, pursuant to the order of court fixing the aggregate amount of the assessment against all members or subscribers an…

§ 5933. Qualified financial contracts. (a) Notwithstanding any other provision of this chapter to the contrary, including any other provision of this chapter permitting the modification of contracts, or other law of a state, no person shall be stayed, enjoined or prohibited from …

§ 5941. Commissioner’s summary orders. (a) Whenever the Commissioner has reasonable cause to believe, and determines, after a hearing, held as prescribed in subsection (c) of this section, that any insurer has committed or engaged in any act, practice or transaction that would su…

§ 5942. Commissioner’s supervision. (a) If upon examination or at any other time the Commissioner has reasonable cause to believe, and determines, that an insurer has committed, engaged in or is about to engage in any act, practice or transaction that would subject it to formal d…

§ 5943. Seizure order. (a) Upon the filing by the Commissioner in the Chancery Court of a petition alleging: (1) Any ground that would justify a court order for a formal delinquency proceeding against an insurer under this chapter, and (2) That the interests of policyholders, cre…

§ 5944. Conduct of hearings. (a) The Chancery Court may hold all hearings in summary proceedings and judicial review thereof privately in chambers, and shall do so on request of the insurer proceeded against. (b) In all summary proceedings and judicial reviews thereof, all record…