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Can you summarize DCCO Title 31, Chapter 7?
Regulation of Insurance Industry Generally. > Holding Companies.
Short Summary
The provided legal document content covers various aspects related to mutual holding companies in the District of Columbia. They govern the formation of mutual holding companies by domestic mutual insurance companies, the reorganization and merger of policyholder membership interests, the incorporation and amendment of articles of incorporation for mutual insurance holding companies, the rehabilitation and liquidation of mutual insurance holding companies, the regulation of mutual insurance holding companies and their activities, the limitations of actions related to acts taken under the subchapter on Holding Companies, and mergers and acquisitions involving mutual insurance holding companies. The documents specify that a domestic mutual insurance company can reorganize by forming an insurance holding company based on a mutual plan, subject to approval by the Commissioner. The reorganized insurance company can continue as a stock insurance company subsidiary or an intermediate holding company subsidiary to the mutual insurance holding company. The Commissioner must approve the proposed plan of reorganization after a public hearing, ensuring the interests of policyholders are protected. The documents also outline the process for the merger of policyholder membership interests into a mutual insurance holding company, with approval required from the Commissioner. The mutual insurance holding company retains jurisdiction over the reorganized insurance company to safeguard policyholder interests. The documents further establish the legal framework for the incorporation and amendment of articles of incorporation for mutual insurance holding companies resulting from the reorganization of domestic mutual insurance companies. They specify the requirements for approval by the Commissioner and Corporation Counsel, as well as the process for examination, endorsement, and filing of the articles of incorporation and amendments. The documents also address the rehabilitation and liquidation of mutual insurance holding companies, stating that they are considered insurers and their assets are treated as assets of the reorganized insurance company’s estate. The Commissioner’s approval or an order from the District Court is required for dissolution or liquidation. The documents provide regulations for mutual insurance holding companies, including exemptions from certain requirements applicable to stock companies and restrictions on dividends and distributions. They also clarify that a mutual insurance holding company has the same powers and activities as a mutual insurance company organized under District laws. The documents mention the limitations of actions related to acts taken under the subchapter on Holding Companies, specifying the timeframe for commencing an action challenging the validity of such acts. Finally, the documents govern mergers and acquisitions involving mutual insurance holding companies, subject to approval by the Commissioner and a vote of the members. The Commissioner may retain external experts for review, and the plan and agreement must not be inequitable to policyholders or substantially reduce security and service. No specific exemptions or penalties are mentioned in these documents.
Whom does it apply to?
Domestic reciprocal insurance companies, policyholders of reciprocal or mutual insurance companies, mutual insurance holding companies
What does it govern?
Formation of a mutual insurance holding company from a reciprocal insurance company, merger of policyholders' membership interests in insurance companies, incorporation of a mutual insurance holding company resulting from the conversion of a reciprocal insurance company, treatment of a mutual insurance holding company as an insurer under the Insurers Rehabilitation and Liquidation Act
What are exemptions?
No specific exemptions are mentioned in these documents.
What are the Penalties?
No specific penalties are mentioned in these documents.
Jurisdiction
Washington, D.C.