SENATE DOCKET, NO. 1728        FILED ON: 1/18/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 461

The Commonwealth of Massachusetts

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PRESENTED BY:

Mark C. Montigny

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act relative to executive compensation for mutual companies.

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PETITION OF:

SENATE DOCKET, NO. 1728        FILED ON: 1/18/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 461

The Commonwealth of Massachusetts

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In the Year Two Thousand Thirteen

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An Act relative to executive compensation for mutual companies.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1.  Chapter 175 of the General Laws is amended by inserting, after Section 19I, the following new section:-

19I ½.   The commissioner of insurance shall further promulgate regulations with the express purpose of increasing transparency.  Such regulations shall include, but not be limited to,

(i) requiring a mutual or mutual holding company to provide full and accurate disclosure of all compensation to the named executive officers or directors, whether paid or accrued and of all conflicts of interest, whether direct or indirect; and

(ii) requiring that, at least once every 3 years, a proxy or consent or authorization or solicitation or notice of an annual meeting, in a form of which the commissioner shall determine, of a mutual or mutual holding company shall include a separate resolution subject to a non-binding vote to approve or disapprove the compensation of the named executive officers or directors