Minnesota Session Laws - 1990, Regular Session

  

                         Laws of Minnesota 1990 

                        CHAPTER 424-H.F.No. 2645 
           An act relating to insurance; regulating domestic 
          insurers; providing for domestications and conversions 
          to foreign insurers; proposing coding for new law in 
          Minnesota Statutes, chapter 60A. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  [60A.161] [INSURER DOMESTICATION AND 
CONVERSION.] 
    Subdivision 1.  [APPROVAL AS A DOMESTIC INSURER.] Any 
insurer that is organized under the laws of any other state and 
is admitted to do business in this state for the purpose of 
writing insurance may become a domestic insurer of this state by 
complying with all of the requirements of law relative to the 
organization and licensing of a domestic insurer of the same 
type and by designating its principal place of business at a 
place in this state.  The domestic insurer will be entitled to 
like certificates and licenses to transact business in this 
state and is subject to the authority and jurisdiction of this 
state. 
    Subd. 2.  [CONVERSION TO FOREIGN INSURER.] A domestic 
insurer of this state may, upon the approval of the 
commissioner, transfer its domicile to any other state in which 
it is admitted to transact the business of insurance, and upon 
the transfer shall cease to be a domestic insurer and shall be 
admitted to this state if qualified as a foreign insurer.  The 
commissioner shall approve any proposed transfer unless the 
commissioner determines that the transfer is not in the interest 
of the policyholders of this state. 
    Subd. 3.  [EFFECTS.] The certificate of authority, agents 
appointments and licenses, rates, policy forms, and other items 
which the commissioner of commerce allows, in the commissioner's 
discretion, which are in existence at the time any insurer 
licensed to transact the business of insurance in this state 
transfers its corporate domicile to this or any other state by 
redomestication, merger, consolidation, or any other lawful 
method shall continue in full force and effect upon such 
transfer if such insurer remains duly qualified to transact the 
business of insurance in this state.  All outstanding policies 
of any transferring insurer remain in full force and effect and 
need not be endorsed as to the new name of the company or its 
new location unless so ordered by the commissioner.  However, 
every transferring insurer shall notify the commissioner of the 
details of the proposed transfer and shall file promptly 
resulting amendments to corporate documents filed or required to 
be filed with the commissioner. 
    Subd. 4.  [AUTHORITY TO ADOPT RULES.] The commissioner of 
commerce may adopt rules to carry out the purposes of this 
section. 
    Presented to the governor April 9, 1990 
    Signed by the governor April 12, 1990, 10:47 a.m.