La. Admin. Code tit. 37 § XIII-1127
Current through Register Vol. 50, No. 6, June 20, 2024
Section XIII-1127 - Deficits and InsolvenciesA. In the event that a fund is insolvent, the fund shall file a written plan within 60 days, signed by the board of trustees, detailing the means by which the fund intends to eliminate the insolvency. The means of eliminating the insolvency may include an assessment of the members of the fund. The fund shall also include the timetable for implementation and requirements for reporting to the department. Within 30 days of receiving the plan, the department shall review the plan and notify the fund of the approval or disapproval of the plan.B. If the department disapproves a plan submitted by the fund or determines that a fund is not implementing a plan in accordance with the plan terms, the department shall notify the fund in writing of such decision or determination.C. If the fund fails to file a plan to eliminate an insolvency, or should the department notify a fund that a plan has been disapproved or that the fund is not implementing the plan according to the plan, the department shall have the following powers and authority in addition to any other powers and authority granted under law: 1. The department may order the fund to immediately levy an assessment upon its members that will eliminate the insolvency.2. If the fund fails or refuses to assess its members, the department may levy an assessment upon fund members in the name of the fund.La. Admin. Code tit. 37, § XIII-1127
Promulgated by the Department of Insurance, Office of the Commissioner, LR 18:1403 (December 1992), Amended LR 49269 (2/1/2023).AUTHORITY NOTE: Promulgated in accordance with R.S. 23:1200.1.