1.Insolvency; assets disbursed. Within 120 days of a final determination of insolvency of a company by a court of competent jurisdiction of this State, the
receiver shall make application to the court for approval of a proposal to disburse assets out of the company's marshaled
assets, from time to time as those assets become available, to the Maine Insurance Guaranty Association and to any similar
organization in another state. The Maine Insurance Guaranty Association and any similar organizations in other states shall
be referred to, collectively, as the associations.
[
1981, c. 347, (NEW)
.]
2.Proposals. The proposals shall at least include provisions for:
A. Reserving amounts for the payment of the expenses of administration and the claims falling within the priorities established
in section 4379, subsections 1 and 2; [1981, c. 347, (NEW).]
B. Disbursement of the assets marshaled to date and subsequent disbursements of assets as they become available; [1981, c. 347, (NEW).]
C. Equitable allocation of disbursements to each of the associations entitled thereto; and [1981, c. 347, (NEW).]
D. The securing by the receiver from each of the associations entitled to disbursements pursuant to this section of an agreement
to return to the receiver the assets, and interest earned thereon, previously disbursed as may be required to pay claims as
secured creditors and claims falling within the priorities established in section 4379, subsections 1 to 6, in accordance
with those priorities. [1981, c. 347, (NEW).]
3.Disbursements to associations. The receiver's proposal shall provide for disbursements to the associations in amounts at least equal to the payments made
or to be made thereby for which the association could assert claims against the receiver and shall further provide that if
the assets available for disbursement, from time to time, do not equal or exceed the amounts of the payments made or to be
made by the associations, then disbursements shall be in the amount of available assets.
[
1981, c. 347, (NEW)
.]
4.Notice. Notice of the application shall be given to the associations in, and to the commissioners of insurance of, each of the states.
Any such notice shall be deemed to have been given when deposited in the United States certified mails, first class postage
prepaid, at least 30 days prior to submission of the application to the court. Action on the application may be taken by the
court provided the notice has been given and provided further that the receiver's proposal complies with subsection 2, paragraphs
A and D.
[
1981, c. 347, (NEW)
.]
SECTION HISTORY
1981, c. 347, (NEW).
Data for this page extracted on 11/09/2009 11:20:25.