611.61 Transactions of insurers with affiliates. (1) (a) Measure the compensation or other benefits in whole or in RESTRICTED TRANSACTIONS. No transaction may be entered into part by any criteria that would create a financial inducement for between an insurer authorized to do business in this state and any him or her to act contrary to the best interests of the corporation; affiliate unless: or (a) The transaction at the time it is entered into is reasonable (b) Have a tendency to make the corporation depend for conand fair to the interests of the insurer; tinuance or soundness of operation upon continuation in his or (b) The books, accounts and records of each party to the her position of any director, officer or employee. transaction are kept in a manner that clearly and accurately dis(6) EFFECT OF REHABILITATION AND LIQUIDATION PROCEEDcloses the nature and details of the transaction and in accordance INGS. If an order of rehabilitation or liquidation is issued under s. with generally accepted accounting principles permits ascertain645.32 or 645.42, the contractual obligations of the insurer for ment of charges relating to the transaction; and unperformed services of any director, principal officer or person (c) If the transaction is a reinsurance transaction, it is reported in fact performing similar functions or having similar powers is to the commissioner immediately if the insurer is a domestic thereupon terminated. corporation. History: 1971 c. 260; 1973 c. 128; 1979 c. 102 s. 236 (13), (20); 1989 a. 303; (2) VOIDABILITY. Transactions entered into by domestic cor- 1997 a. 79; 2015 a. 90. porations in violation of sub. (1) are voidable by the corporation. 611.66 Exclusive agency contracts. (1) GENERAL. Ex611.60
History: 1971 c. 260; 1979 c. 102.