« AnteriorContinuar »
1 Commissioner designates. The cost of such examination shall
: 2 be paid by the Association and the examination report shall
3 be treated as are other examination reports. In no event 4 shall such examination report be released to the Board prior 5 to its release to the public, but this shall not preclude the 6 Commissioner from complying with subsection (c) of this 7 section. The Commissioner shall notify the Board when the
8 examination is completed. The request for an examination 9 shall be kept on file by the Commissioner but it shall not be
10 open to public inspection prior to the release of the examina
11 tion report to the public. 12 (c) It shall be the duty of the Commissioner to report 13 to the Board when he has reasonable cause to believe that
14 any member insurer examined or being examined at the re15 quest of the Board may be insolvent or in a financial condi16 tion hazardous to the policyholders or the public. 17 (d) The Board may, upon majority vote, make reports 18 and recommendations to the Commissioner upon any matter 19 germane to the solvency, liquidation, rehabilitation, or con20 servation of any member insurer. Such reports and recom21 mendations shall not be considered public documents. 22 (e) The Board may, upon majority vote, make recom23 mendations to the Commissioner for the detection and pre
24 vention of insurer insolvencies.
(f) The Board shall, at the conclusion of any insurer
1 insolvency in which the Association was obligated to pay 2 covered claims, prepare a report on the history and causes of 3 such insolvency, based on the information available to the 4 Association, and submit such report to the Commissioner. 5 SEC. 113. The Association shall be subject to examina6 tion and regulation by the Commissioner. The Board shall
7 submit, not later than March 30 of each year, a financial
8 report for the preceding calendar year on a form approved 9 by the Commissioner.
Sec. 114. The Association shall be exempt from pay
11 ment of all fees and taxes levied or collected by the District 12 of Columbia, except taxes levied on real or personal property. 13 SEC. 115. The rates and premiums charged for insur14 ance policies to which this title applies shall include amounts 15 sufficient to recoup a sum equal to the amounts paid to the 16 Association by the member insurer less any amounts returned
17 to the member insurer by the Association and such rates 18 shall not be deemed excessive because they contain an
19 amount reasonably calculated to recoup assessments paid by
20 the member insurer.
SEC. 116. There shall be no liability on the part of
22 and no cause of action of any nature shall rise against,
23 any member insurer, the Association or its agents or em24 ployees, the Board, or the Commissioner or his representa
1 tives for any action taken by them in the performance of their
2 powers and duties under this title.
SEC. 117. All proceedings in which the insolvent insurer
4 is a party or is obligated to defend a party in any court in 5 the District of Columbia shall be stayed for sixty days from 6 the date the insolvency is determined to permit proper de7 fense by the Association of all pending causes of action. As to 8 any covered claims arising from a judgment under any de9 cision, verdict, or finding based on the default of the insolvent
10 insurer or its failure to defend an insured, the Association
11 either on its own behalf or on behalf of such insured may
12 apply to have such judgment, order, decision, verdict, or find13 ing set aside by the same court or administrator that made
14 such judgment, order, decision, verdict, or finding and shall 15 be permitted to defend against such claim on the merits. 16
Sec. 118. (a) The Commissioner shall by order termi17 nate the operation of the District of Columbia Insurance 18 Guaranty Association as to any kind of insurance afforded 19 by property or casualty insurance policies with respect to 20 which he has found, after hearing, that there is in effect a 21 statutory or voluntary plan which
(1) is a permanent plan which is adequately 23 funded or for which adequate funding is provided; and
(2) extends or will extend to District of Colum
bia policyholders and residents protection and benefits with respect to insolvent insurers not substantially less favorable and effective to such policyholders and residents and the protection and benefits provided with re
spect to such kind of insurance under this title.
(b) The Commissioner shall by the same such order
7 authorize discontinuance of future payments by insurers to 8 the District of Columbia Insurance Guaranty Association
with respect to the same kinds of insurance, except assess
10 ments and payments shall continue, as necessary, to liquidate 11
covered claims of insurers adjudged insolvent prior to said 12 order and the related expenses not covered by such other
14 (c) In the event the operation of any account of the 15 District of Columbia Insurance Guaranty Association shall
be so terminated as to all kinds of insurance otherwise within
17 its scope, the Association as soon as possible thereafter shall
distribute the balance of moneys and assets remaining in said
19 account (after discharge of the functions of the Association
20 with respect to prior insurer insolvencies not covered by such 21 other plan, together with related expenses) to the insurers 22 which are then writing in the District of Columbia policies
of the kinds of insurance covered by such account, and which
24 had made payments into such account, pro rata upon the
basis of the aggregate of such payments made by the respec
1 tive insurers to such account during the period of five years
2 next preceding the date of such order. Upon completion of
3 such distribution with respect to all of the accounts speci
4 fied in section 105, this title shall be deemed to have expired.
9 SEC. 201. Chapter 3 of the Life Insurance Act (D.C. 10 Code, secs. 35-501-35-541) is amended as follows:
(1) Section 8 (a) of such chapter (D.C. Code, sec.
35–508 (a)) is amended (A) by striking out in the first sentence "$200,000” and inserting in lieu thereof
“$1,000,000”, and (B) by striking out in the last sen
tence “$150,000” and inserting in lieu thereof “$1,500,
(2) Section 8 (b) of such chapter (D.C. Code, sec. 35–508 (b)) is amended (A) by inserting “or subsequent amendment" immediately after "subsection", and (B) by inserting “or the minimum surplus required of a mutual company” immediately after “stock company”.
(3) Paragraph (10) (b) (ii) of section 35 of such chapter (D.C. Code, sec. 35–535 (10) (b) (ii)) is amended by striking out “$300,000” and “$150,000”