Title 24, Insurance

§432C-1 Definitions. As used in this chapter: "Commissioner" means the insurance commissioner. "Conversion" means the transfer or sale of a significant amount of a nonprofit entity's assets to a for-profit entity or through any other means as determined by the commissioner. The d…

[§432C-2] Application for conversion. (a) A nonprofit entity shall file an application with the commissioner at least six months prior to a proposed conversion. The application shall include a report of the activities of the nonprofit entity and a plan for the conversion includin…

[§432C-3] Approval process. (a) No nonprofit entity may engage in a conversion without prior approval of the application for conversion by the commissioner. Any conversion without the commissioner's approval shall be voidable by the commissioner. (b) Prior to approval of the conv…

[§432C-4] Directors, officers of nonprofit entity; prohibition. (a) Directors or officers of a nonprofit entity are prohibited from directly benefiting from the conversion. (b) No officer of the nonprofit entity who is employed by the nonprofit entity at the time the conversion a…

[§432C-5] Transfer of assets to other nonprofit entities. The commissioner shall determine prior to any conversion, the nonprofit entities, if any, that are eligible to receive assets from the converting nonprofit entity. The charitable mission and grant-making functions of each …

[§432C-6] For-profit entity; after conversion. After conversion, the for-profit entity shall not be subject to this chapter, but if a stock insurance company, shall be in conformance with title 24. [L 1998, c 260, pt of §2]

[§432C-7] Judicial review. Any final order or action by the commissioner may be subject to judicial review by the circuit court. [L 1998, c 260, pt of §2]