375.1236. Ancillary receiver, director may be appointed as--powers and duties.
Ancillary receiver, director may be appointed as--powers and duties.
375.1236. 1. If a domiciliary liquidator has beenappointed for an insurer not domiciled in this state, thedirector may file a petition with the circuit court of ColeCounty requesting appointment as ancillary receiver in thisstate:
(1) If he finds that there are sufficient assets of theinsurer located in this state to justify the appointment of anancillary receiver;
(2) If the protection of creditors or policyholders in thisstate so requires.
2. The court may issue an order appointing an ancillaryreceiver in whatever terms it shall deem appropriate. The filingor recording of the order with the recorder of deeds in thisstate imparts the same notice as a deed, bill of sale or otherevidence of title duly filed or recorded with that recorder ofdeeds.
3. When a domiciliary liquidator has been appointed in areciprocal state, then the ancillary receiver appointed in thisstate may, whenever necessary, aid and assist the domiciliaryliquidator in recovering assets of the insurer located in thisstate. The ancillary receiver shall, as soon as practicable,liquidate from their respective securities those special depositclaims and secured claims which are proved and allowed in theancillary proceedings in this state, and shall pay the necessaryexpenses of the proceedings. He shall promptly transfer allremaining assets, books, accounts and records to the domiciliaryliquidator. Subject to this section, the ancillary receiver andhis deputies shall have the same powers and be subject to thesame duties with respect to the administration of assets as aliquidator of an insurer domiciled in this state.
4. When a domiciliary liquidator has been appointed in thisstate, ancillary receivers appointed in reciprocal states shallhave, as to assets and books, accounts, and other records intheir respective states, corresponding rights, duties and powersto those provided in subsection 3 of this section for ancillaryreceivers appointed in this state.
5. Any ancillary receivership either in this state oranother state may not recover its administrative costs from thedomiciliary liquidator unless the domiciliary liquidator hasrequested in writing to the commissioner or other appropriateinsurance official of the domiciliary state of the insurer, thatthe ancillary receivership be opened, or such commissioner orofficial requests the opening of an ancillary receivership. Ifan ancillary receivership is opened other than at the request ofthe domiciliary liquidator or domiciliary insurance official,then all assets recovered by the ancillary receiver shall bevalued at their maximum potential value by the liquidator, ratherthan the value actually realized by the ancillary receiver. Suchassets shall be offset at full value against any claims of theancillary state or the guaranty association or foreign guarantyassociation of the ancillary state. This subsection shall notapply to proceedings described in subsection 2 of section375.1235.
(L. 1991 H.B. 385, et al. § 102, A.L. 1992 H.B. 1574)