P.R. Laws tit. 26, § 2920
(1) No person shall make any offer to acquire or to sell voting stock of a stock insurer issued or outstanding which constitutes ten percent (10%) or more of the total of said stock insurer’s stock issued and outstanding or of the total stock issued or outstanding of a corporation which has control of an insured, without having the prior approval of the Commissioner.
(2) It will be the duty of the proposed buyer or seller to fully disclose any plans he has regarding changes in the insurer’s administration to the Commissioner.
(3) The Commissioner may require all the information he deems necessary from the proposed buyer or seller to determine if the purchase or sale complies with the provisions of this title.
(4) The Commissioner shall make his determination regarding the approval or disapproval of the transaction within a term of thirty (30) days from the date on which the petition is received in his office, unless during said term the Commissioner should request any additional information from the proposed buyer or seller, in which case the latter shall have a term of thirty (30) days to make his determination after receiving the papers.
The Commissioner shall adopt the rules and regulations which shall contain the criteria to be used to approve or disapprove the transactions referred to in this section.
(5) When the Commissioner makes his determination as to whether said transaction may affect the public interest adversely, he shall evaluate the following among other things:
(a) The buyer’s experience and his moral and financial responsibility;
(b) whether said experience and moral and financial responsibility guarantee or affect the effective functioning of the insurer, and
(c) whether the transfer of the insurer’s control may jeopardize the interests of the insured, claimants, or of the other insurer’s stockholders.
(6) The Commissioner, through regulations to that effect, shall oversee the relationship between an insurer, producer or general agent and its holding company, pursuant to the model legislation for insurance holding companies recommended by the National Association of Insurance Commissioners.
History —Ins. Code, added as § 29.200 on Feb. 16, 1979, No. 15, p. 28, § 14; Sept. 6, 2000, No. 382, § 11; Jan. 19, 2006, No. 10, § 9, eff. 120 days after Jan. 19, 2006.