§ 27-14.3-1 - Short title – Construction – Purpose.
SECTION 27-14.3-1
§ 27-14.3-1 Short title –Construction – Purpose. – (a) This chapter shall be cited as the "Insurers' Rehabilitation andLiquidation Act."
(b) This chapter shall not be interpreted to limit the powersgranted the commissioner by other provisions of the law.
(c) This chapter shall be liberally construed to effect thepurpose stated in subsection (d) of this section.
(d) The purpose of this chapter is the protection of theinterests of insured, claimants, creditors, and the public generally withminimum interference with the normal prerogatives of the owners and managers ofinsurers, through:
(1) Early detection of any potentially dangerous condition inan insurer, and prompt application of appropriate corrective measures;
(2) Improved methods for rehabilitating insurers, involvingthe cooperation and management expertise of the insurance industry;
(3) Enhanced efficiency and economy of liquidation, throughclarification of the law, to minimize legal uncertainty and litigation;
(4) Equitable apportionment of any unavoidable loss;
(5) Lessening the problems of interstate rehabilitation andliquidation by facilitating cooperation between states in the liquidationprocess, and by extending the scope of personal jurisdiction over debtors ofthe insurer outside of this state;
(6) Regulation of the insurance business by the impact of thelaw relating to delinquency procedures and substantive rules on the entireinsurance business; and
(7) Providing for a comprehensive scheme for therehabilitation and liquidation of insurance companies and those subject to thischapter as part of the regulation of the business of insurance, insuranceindustry, and insurers in this state. Proceedings in cases of insurerinsolvency and delinquency are deemed an integral aspect of the business ofinsurance and are of vital public interest and concern.