Title 83, Insurance

(1) After a petition for rehabilitation or liquidation has been filed, a transfer of any of the real property of the insurer made to a person acting in good faith shall be valid against the receiver if made for a present fair equivalent value; or, if not made for a present fair e…

(1) (a) A preference is a transfer of any of the property of an insurer to or for the benefit of a creditor, for or on account of an antecedent debt, made or suffered by the insurer within one (1) year before the filing of a successful petition for liquidation under this chapter,…

(1) No claims of a creditor who has received or acquired a preference, lien, conveyance, transfer, assignment or encumbrance voidable under this chapter shall be allowed unless he surrenders the preference, lien, conveyance, transfer, assignment or encumbrance. If the avoidance i…

(1) Mutual debts or mutual credits, whether arising out of one or more contracts between the insurer and another person in connection with any action or proceeding under this chapter, shall be set off and the balance only shall be allowed or paid, except as provided in Section 83…

(1) As soon as practicable but not more than two (2) years from the date of an order of liquidation under Section 83-24-35 of an insurer issuing assessable policies, the liquidator shall make a report to the court setting forth:(a) The reasonable value of the assets of the insure…

The amount recoverable by the liquidator from reinsurers shall not be reduced as a result of the delinquency proceedings, regardless of any provision in the reinsurance contract or other agreement. Payment made directly to an insured or other creditor shall not diminish the reins…

(1) (a) An agent, broker, premium finance company, or any other person, other than the insured, responsible for the payment of a premium shall be obligated to pay any unpaid premium for the full policy term due the insurer at the time of the declaration of insolvency, whether ear…

(1) Within one hundred twenty (120) days of a final determination of insolvency of an insurer by a court of competent jurisdiction of this state, the liquidator shall apply to the court for approval of a proposal to disburse assets out of marshalled assets, from time to time as s…

(1) Proof of all claims shall be filed with the liquidator in the form required by Section 83-24-71 on or before the last day for filing specified in the notice required under Section 83-24-43, except that proof of claims for cash surrender values or other investment values in li…

(a) For the purposes of this chapter:(a) “Ancillary state” means any state other than a domiciliary state.(b) “Commissioner” means the Commissioner of Insurance.(c) “Creditor” is a person having any claim, whether matured or unmatured, liquidated or unliquidated, secured or unsec…

(1) Proof of claim shall consist of a statement signed by the claimant that includes all of the following that are applicable:(a) The particulars of the claim including the consideration given for it;(b) The identity and amount of the security on the claim;(c) The payments made o…

(1) The claim of a third party which is contingent only on his first obtaining a judgment against the insured shall be considered and allowed as if there were no such contingency. (2) A claim may be allowed even if contingent, if it is filed in accordance with Section 83-24-69. I…

(1) Whenever any third party asserts a cause of action against an insured of an insurer in liquidation, the third party may file a claim with the liquidator. (2) Whether or not the third party files a claim, the insured may file a claim on his own behalf in the liquidation. If th…

(1) When a claim is denied in whole or in part by the liquidator, written notice of the determination shall be given to the claimant or his attorney by first class mail at the address shown in the proof of claim. Within sixty (60) days from the mailing of the notice, the claimant…

Whenever a creditor whose claim against an insurer is secured, in whole or in part, by the undertaking of another person, fails to prove and file that claim, the other person may do so in the creditor’s name, and shall be subrogated to the rights of the creditor, whether the clai…

(1) The value of any security held by a secured creditor shall be determined in one of the following ways, as the court may direct:(a) By converting the same into money according to the terms of the agreement pursuant to which the security was delivered to such creditors; or(b) B…

(1) Class 1. The priority of distribution of claims from the insurer’s estate shall be in accordance with the order in which each class of claims is herein set forth. Every claim in each class shall be paid in full or adequate funds retained for such payment before the members of…

(1) The liquidator shall review all claims duly filed in the liquidation and shall make such further investigation as he shall deem necessary. He may compound, compromise or in any other manner negotiate the amount for which claims will be recommended to the court except when the…

Under the direction of the court, the liquidator shall pay distributions in a manner that will assure the proper recognition of priorities and a reasonable balance between the expeditious completion of the liquidation and the protection of unliquidated and undetermined claims, in…

(1) All unclaimed funds subject to distribution remaining in the liquidator’s hands when he is ready to apply to the court for discharge, including the amount distributable to any creditor, shareholder, member or other person who is unknown or cannot be found, shall be deposited …

(1) No delinquency proceeding shall be commenced under this chapter by anyone other than the commissioner and no court shall have jurisdiction to entertain, hear or determine any proceeding commenced by any other person. (2) No court shall have jurisdiction to entertain, hear or …

(1) When all assets justifying the expense of collection and distribution have been collected and distributed under this chapter, the liquidator shall apply to the court for discharge. The court may grant the discharge and make any other orders, including an order to transfer any…

After the liquidation proceeding has been terminated and the liquidator discharged, the commissioner or other interested party may at any time petition the court to reopen the proceedings for good cause, including the discovery of additional assets. If the court is satisfied that…

Whenever it shall appear to the commissioner that the records of any insurer in process of liquidation or completely liquidated are no longer useful, he may recommend to the court and the court shall direct what records should be retained for future reference and what should be d…

The court may, as it deems desirable, cause audits to be made of the books of the commissioner relating to any receivership established under this chapter, and a report of each audit shall be filed with the commissioner and with the court. The books, records and other documents o…

(1) If a domiciliary liquidator has not been appointed, the commissioner may apply to the court by verified petition for an order directing him to act as conservator to conserve the property of an alien insurer not domiciled in this state or a foreign insurer on any one or more o…

Every corporation, company, society, organization, or association of this or of any other state or country transacting the business of life insurance upon the co-operative or assessment plan shall file with the commissioner of insurance, before commencing to do business in this s…

Every policy or certificate or renewal receipt issued to a resident of the State of Mississippi by any corporation, association, or order therein transacting the business of life insurance upon the assessment plan shall be in accord with the provisions of the charter and bylaws o…

Every corporation, company, society, organization, or association of this or any other state or country transacting the business of life insurance on the co-operative or assessment plan shall, on or before the first day of March of each year, make and file with the commissioner o…

Any company incorporated and organized under the laws of any state of the United States for the purpose of transacting business as surety on obligations of persons or corporations, which has complied with all the requirements of this chapter may be accepted as surety in part, or …

Any company who shall execute any bond as surety shall, in any proceeding to enforce the liability which it shall have assumed to incur, be estopped to deny its corporate power to execute such instrument or assume such liability. Nor shall any failure to comply with any or all of…

Before such company shall be accepted as surety, it shall produce to the judge, head of department, or other officer authorized to approve such bond satisfactory evidence of its compliance with and fulfillment of all the requirements of this chapter.

No such company shall be accepted as surety unless the amount of at least One Hundred Thousand Dollars ($100,000.00) of its said paid-up capital is invested in solvent securities created by the laws of the United States or of the State of Mississippi or by or under the laws of th…

Every person who shall so represent any such company as to receive or transmit applications for suretyship, or to receive for delivery bonds founded on applications from this state, or otherwise to procure suretyship to be effected by said company upon the bonds of persons or cor…

No company shall be accepted as surety on any bond for an amount larger than one tenth (⅒) of the company’s paid-up capital and surplus as reflected in its last annual statement, unless it shall be secured from loss beyond such amount by reinsurance in an authorized company or by…

Any corporation, society, order, or voluntary association without capital stock, organized and carried on solely for the mutual benefit of its members and their beneficiaries and not for profit, and having less than Thirty Thousand Dollars ($30,000.00) in total annual written pre…

Any person may be admitted to beneficial, or general, or social membership in any society in such manner and upon such showing of eligibility as the laws of the society may provide, and any beneficial member may direct any benefit to be paid to such person or persons, entity, or …

The certificate, the charter or articles of incorporation or, if a voluntary association, the articles of association, constitution and laws of the society, and the application for membership signed by the applicant, and all amendments to each thereof shall constitute the agreeme…

(1) Any society may create, maintain, invest, disburse, and apply an emergency, surplus, or other fund consistent with the purposes for which such society is organized, including hospital and health, home, thrift, pension for its employees, patriotic, educational, and relief fund…

Every society shall invest its funds only in securities permitted by the laws of this state for the investment of the assets of life insurance companies, and such securities shall be valued according to the methods used in valuing similar securities held by life insurance compani…

(1) Every society which is one hundred percent (100%) solvent according to the requirements of Section 83-29-43 in respect of the whole society, or of a class or section thereof, shall collect sufficient periodical or other contributions from the members of the society, or of suc…

(a) Seven (7) or more persons, citizens of the United States and a majority of whom are citizens of this state, who desire to form a fraternal benefit society, as defined by this chapter, may make, sign, giving their addresses, and acknowledge, before some officer competent to ta…

Any society now engaged in transacting business in this state may exercise all of the rights conferred hereby and all of the rights, powers, and privileges now exercised or possessed by it under its charter or articles of incorporation not inconsistent with this chapter, if incor…

No domestic society shall merge with or accept the transfer of the membership or funds of any other society unless such merger or transfer is evidenced by a contract in writing, setting out in full the terms and conditions of such merger or transfer and filed with the commissione…

Societies which are now authorized to transact business in this state may continue such business until the first day of January next succeeding the adoption of this chapter, and the authority of such societies may hereafter be renewed annually, but in all cases to terminate on th…

No foreign society not now authorized to transact business in this state shall transact any business herein without a license from the commissioner of insurance. Any such society shall be entitled to transact business within this state upon filing with the commissioner a duly cer…