Iowa Admin. Code r. 191-46.11

Current through Register Vol. 47, No. 11, December 11, 2024

Rule 191-46.11 - Regulation of holding company system

(1) A mutual insurance holding company, and its subsidiaries and affiliates, shall be subject to all provisions of Iowa Code chapter 521A, "Insurance Holding Company Systems." In addition to the provisions of that chapter, all material transactions, as that term is defined in Iowa Code chapters 52IA and 521D, between subsidiaries and affiliates of the mutual insurance holding company must be approved by a majority of the directors of the mutual insurance holding company as being both(a) fair and reasonable and(b) made on terms and conditions not less favorable than those available from unaffiliated third parties.

(2) If the commissioner finds, after notice and hearing, that activities within a mutual insurance holding company system have violated provisions of the Iowa Code, have violated administrative rules, or act to circumvent requirements or prohibitions contained in the Iowa Code or administrative rules, the commissioner may prohibit or order rescission of any transaction relating to those activities.