44-220. Domestic company; power to borrow; purposes; conditions; issuance of surplus notes.
136 words·~1 min read·
/ne/chapter-44/44-220A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In addition to the general power and authority to borrow money for its regular business purposes, any domestic insurance company may borrow money:
(1)To defray the reasonable expenses of its organization;
(2)to provide special contingency loss funds;
(3)to provide additional surplus funds;
(4)to make good any deficiency; and
(5)to provide the amount of minimum surplus required by Chapter 44 and may issue its notes therefor, to be known as surplus notes, which shall fully recite the purpose for which the money was borrowed, if application has been made to the Department of Insurance and approval in writing is obtained from the Director of Insurance for the issuance of such surplus notes in a stated maximum amount. The amount thereof outstanding with the unpaid interest shall be stated in each annual report.