Sec. 146. Withdrawal of deposits.

248 words·~1 min read·/il/chapter-215/act-5/146

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)The Director shall at any time upon request release to a company any portion of its deposit which is not required as a compliance with the conditions of this Code.

(2)When all of the business of a company has been reinsured in accordance with this Code and the assets thereof by contract assigned to another company, the Director may deliver to the reinsured company or to its assigns under the contract of reinsurance after one year from the effective date of such reinsurance contract, all the securities deposited by the reinsured company upon compliance with the following conditions:

(a)The reinsuring company under the reinsurance contract has assumed all liabilities of every kind due and to become due which the deposit of the reinsured company was made to secure or adequate provision has been made therefor;

(b)The said reinsuring company shall have and maintain a deposit in this State or with the department or official charged with the duty of supervising the business of insurance in the state where it is incorporated or, if an alien company, where it is entered, in securities authorized by this Code as lawful investments of the company and in an amount and value not less than the deposit formerly required of the reinsured company by this Code; and

(c)The deposit of the said reinsuring company shall be such that it will subsist for the security of all the obligations of the reinsuring company.