P.R. Laws tit. 26, § 2945
2019-02-20 00:00:00+00
(1) A domestic mutual insurer may be wholly reinsured in and its assets transferred to and its liabilities assumed by another mutual or stock insurer under such terms and conditions as are approved by the Commissioner in advance of such reinsurance.
(2) The Commissioner shall not approve any such reinsurance agreement which does not determine the amount of and make adequate provision for paying to the insurer’s policyholders reasonable compensation for their equities as owners of such insurer, such compensation to be apportioned to policyholders as identified and in the manner prescribed in § 2954 of this title. The formula for determination of such equity shall be as provided in § 2944(2)(b) of this title.
History —Ins. Code § 29.450.