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November 21, 2024 Clouds | 45°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 49A: Domestic insurers; requirements; transfer of domicile

Section 49A. Any insurer which is organized under the laws of any other state and is admitted to do business in the commonwealth for the purpose of writing insurance may become a domestic insurer by complying with all of the requirements of law relative to the organization and licensing of a domestic insurer of the same type and by designating its principal place of business at a place in the commonwealth. Said domestic insurer will be entitled to like certificates and licenses to transact business in this state, and shall be subject to the authority and jurisdiction of the commonwealth.

Any domestic insurer may, upon the approval of the commissioner, transfer its domicile to any other state in which it is admitted to transact the business of insurance, and upon such a transfer shall cease to be a domestic insurer, and shall be admitted to the commonwealth, if qualified, as a foreign insurer. Said commissioner shall approve any such proposed transfer unless he shall determine such transfer is not in the interest of the policyholders of the commonwealth.

The certificate of authority, agents' appointments and licenses, rates and other items which the commissioner of insurance allows, in his discretion, which are in existence at the time an insurer licensed to transact the business of insurance in the commonwealth transfers its corporate domicile to this or any other state by merger, consolidation or any other lawful method shall continue in full force and effect upon such transfer if such insurer remains duly qualified to transact the business of insurance in the commonwealth. All outstanding policies of a transferring insurer shall remain in full force and effect and need not be endorsed as to the new name of the company or its new location unless so ordered by said commissioner. Every transferring insurer shall file new policy forms with said commissioner on or before the effective date of the transfer, but may use existing policy forms with appropriate endorsements if allowed by, and under such conditions as approved by, said commissioner. Every such transferring insurer shall notify said commissioner of the details of the proposed transfer, and shall file promptly any resulting amendments to corporate documents filed or required to be filed with the commissioner.

Said commissioner may promulgate rules and regulations necessary to carry out the purposes of this section.