Code of Virginia § 38.2-1005. Certain mutual companies and societies not to become stock companies without approval of Commission.
143 words·~1 min read·
/va/title-38-2/chapter-10/38-2-1005·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
No mutual insurance company, mutual assessment property and casualty insurer, cooperative nonprofit life benefit company, mutual assessment life, accident and sickness company, burial society, or fraternal benefit society shall be converted into a stock corporation unless such conversion and the plan for conversion are approved by the Commission. The insurer shall comply with § 38.2-1028 before approval for conversion is granted by the Commission unless the Commission finds that the insurer will have the required capital and surplus within a reasonable time after conversion.
A society or other nonstock company licensed under any chapter of this title except Chapter 10 (§ 38.2-1000 et seq.) shall be licensed as a mutual insurer subject to § 38.2-1029 prior to seeking approval for conversion under § 38.2-1005.1 or § 38.2-1005.1:9 .
1952, c. 317, § 38.1-79; 1970, c. 636; 1986, c. 562; 2001, c. 726 .