Section 1070.6 - Withdrawal not required of nonsurviving admitted constituent to merger or consolidationThe withdrawal procedure and fees prescribed by this article shall not be required of a nonsurviving admitted constituent to a merger or consolidation into another admitted insurer in accordance with the applicable statutes and the commissioner's prior written consent given pursuant to subdivision (c) of Section 1011, provided the commissioner is satisfied by documents, authenticated so as to be admissible in evidence over objection, filed with him or her, that:
(a) The constituent has discharged all of its liabilities to residents of this state in the manner provided by Section 1071.5;(b) There will be an admitted insurer directly available to the constituent's policyholders: (1) to obtain policy changes and endorsements,(2) to receive payment of premiums and refund unearned premiums,(3) to serve notice of claim, proof of loss, summons, process, and other papers, and(4) for purposes of suit;(c) The constituent shall timely file with the commissioner appropriate financial statements reporting its insurance business done in this state during the calendar year of the merger or consolidation and all appropriate tax returns required by law for the period, and shall timely pay all taxes found to be due on account of the business; and(d) The constituent has surrendered its current California certificate of authority to the commissioner for cancellation as of the effective date of the merger.The withdrawal procedure and fees prescribed by this article shall not be required of an insurer that has been liquidated by a final order of a court of record of this or any sister state provided a certified copy of the order reciting the fact of liquidation and discharge of all obligations has been filed with the commissioner.
Amended by Stats 2013 ch 321 (AB 1391),s 11, eff. 1/1/2014.Amended by Stats 2012 ch 786 (AB 2303),s 17, eff. 1/1/2013.