Current through December 12, 2024
Section 760 IAC 1-3-2 - Incorporation and promotion of new insurance companies; permitsAuthority: IC 27-1-3-7
Affected: IC 27-1-6-11; IC 27-1-6-19
Sec. 2.
INCORPORATION AND PROMOTION OF NEW INSURANCE COMPANIES.
(1) In addition to the requirements and conditions expressly prescribed in the Indiana Insurance Law, relative to the organization and promotion of new stock insurance companies, the Commissioner will require that the incorporators of a new company submit to him in duplicate, authenticated copies of the following items, to the extent they are involved or used in the incorporation or promotion procedures, namely: (a) Any and all contracts, letters, memoranda, plans, resolutions, or other documents (exclusive of those expressly required to be filed under any section of the Indiana Insurance Law) pertaining in any way to the organization or promotion of the subject company, or to the rights and duties of the organizers inter se or in relation to the company, or pertaining to the gain or profits the organizers contemplate receiving from the corporate venture.(b) Stock subscription agreement.(c) Note or other promissory instrument or instruments for use incident to the subscription or payment for stock in the subject company.(d) Prospectus and any other promotional literature for use in selling stock of the subject company.(e) Registration certificate or certificates issued by the Securities Commission of Indiana, relative to the stock of the subject company and its sale through dealers.(f) The names and addresses of all individuals, partnerships, and corporations which by contract have been authorized to solicit stock subscription and the agreement or agreements under which such person or persons or organizations will operate and be compensated.(g) The number of shares of stock to be offered in the first issue and the price at which such stock will be offered and sold.(h) An estimate of the maximum expense of issuing and selling capital stock of the first issue and in accomplishing all other organizational procedures.(i) An agreement, on a form to be prepared by the Commissioner, executed by all the incorporators, obligating the incorporators to submit promptly any items of information specifically or generally described in the foregoing enumeration which come into existence during the period of organization or during the period of one year subsequent to the organization meeting provided for under Section 78 [IC 27-1-6-19]of the Indiana Insurance Law.(2) The Commissioner, on the basis of the items of information enumerated above, together with other information available to him in the files of the Department of Insurance and the Indiana Securities Commission, will issue or decline to issue to the Company a permit under Section 71 [IC 27-1-6-11]of the Indiana Insurance Law, relating to the completion of the Company's incorporation.(3) The Commissioner may, in the manner provided by law, revoke the permit considered in the preceding paragraph, or any other permit or certificate provided for in the Indiana Insurance Law having to do with the organization or operation of a new insurance company, if he finds that the organizers are not fulfilling the standards or requirements prescribed in the Sections of law referred to in Article I [ 760 IAC 1-3-1 ]above, or if the agreement referred to in II 1 (i) [subsection (1)(i) of this section]is not fulfilled. Department of Insurance; Reg 1956-1,II; filed Jan 4, 1957: Rules and Regs. 1958, p. 124; readopted filed Sep 14, 2001, 12:22 p.m.: 25 IR 530; readopted filed Nov 27, 2007, 4:01 p.m.: 20071226-IR-760070717RFA; readopted filed November 26, 2013, 3:43 p.m.: 20131225-IR-760130479RFAReadopted filed 11/19/2019, 9:18 a.m.: 20191218-IR-760190497RFA