(a) If a domiciliary liquidator has not been appointed, the commissioner may apply to the Superior Court by verified petition for an order directing the commissioner to act as conservator to conserve the property found in this state of an alien insurer not domiciled in this state or property found in this state of a foreign insurer on any one or more of the following grounds: (1) Any of the grounds pursuant to section 38a-914; (2) that any of its property has been sequestered by official action in its domiciliary state or in any other state; (3) that enough of its property has been sequestered in a foreign country to give reasonable cause to fear that the insurer is or may become insolvent; (4) that its certificate of authority to do business in this state has been revoked or that none was ever issued; and (5) that there are residents of this state with outstanding claims or outstanding policies.
(b) When an order is sought pursuant to subsection (a) of this section, the court shall cause the insurer to be given such notice and time to respond as is reasonable under the circumstances.
(c) The court may issue the order in whatever terms it shall deem appropriate. The filing or recording of the order with the clerk of the superior court of the judicial district or the recorder of deeds of the town in which the principal business of the company is located or the country in which its principal office or place of business is located shall impart the same notice as a deed, bill of sale or other evidence of title duly filed or recorded with that recorder of deeds would have imparted.
(d) The conservator may at any time petition for and the court may grant an order pursuant to section 38a-953 to liquidate assets of a foreign or alien insurer under conservation, or, if appropriate, for an order pursuant to section 38a-955, to be appointed ancillary receiver. The commissioner shall be entitled to request the administrative judge of the superior court for the judicial district of Hartford to appoint a single judge to supervise the ancillary proceeding and hear any cases or controversies arising out of or related to the ancillary proceeding. Ancillary proceedings shall be exempt from any dormancy or similar program maintained by the court for the early closure of civil actions.
(e) The conservator may at any time petition the court for an order terminating conservation of the property of an insurer. If the court finds that the conservation is no longer necessary, it shall order that the insurer be restored to possession of its property and the control of its business. The court may also make a finding and issue an order at any time upon motion of any interested party, but if the motion is denied all costs shall be assessed against such party.
(P.A. 79-382, S. 50; P.A. 88-230, S. 1, 12; P.A. 90-98, S. 1, 2; P.A. 92-93, S. 28; P.A. 93-142, S. 4, 7, 8; P.A. 95-220, S. 4–6; P.A. 98-214, S. 26.)
History: Sec. 38-470 transferred to Sec. 38a-952 in 1991; P.A. 92-93 added new Subsec. (e) re petition of court to terminate conservation of insurer and made technical corrections for statutory consistency; P.A. 98-214 amended Subsec. (a) to substitute “the commissioner” for “him”, insert two references to “property found in this state”, and to insert Subdiv. designator (5) prior to final existing provision, deleted “thereto” in Subsec. (b), amended Subsec. (d) to allow the commissioner to request appointment of a single judge to supervise ancillary proceedings, and amended Subsec. (e) by inserting “the property of” re insurer and replacing “such” with other references (Revisor's note: P.A. 88-230, 90-98, 93-142 and 95-220 authorized substitution of “judicial district of Hartford” for “judicial district of Hartford-New Britain” in public and special acts of the 1998 regular and special sessions of the General Assembly, effective September 1, 1998).
Structure Connecticut General Statutes
Section 38a-904. (Formerly Sec. 38-422). - Application of provisions.
Section 38a-905. (Formerly Sec. 38-423). - Definitions.
Section 38a-906. (Formerly Sec. 38-424). - Jurisdiction and venue.
Section 38a-907. (Formerly Sec. 38-425). - Injunctions, orders and stays.
Section 38a-908. (Formerly Sec. 38-426). - Cooperation of officers, owners and employees. Penalties.
Section 38a-910. (Formerly Sec. 38-428). - Continuation of delinquency proceedings.
Section 38a-911. (Formerly Sec. 38-429). - Delinquency proceeding: Limitations and conditions.
Section 38a-912. (Formerly Sec. 38-430). - Seizure order by court.
Section 38a-913. (Formerly Sec. 38-431). - Confidentiality of proceedings.
Section 38a-914. (Formerly Sec. 38-432). - Grounds for rehabilitation.
Section 38a-917. (Formerly Sec. 38-435). - Actions by and against rehabilitator.
Section 38a-918. (Formerly Sec. 38-436). - Order of liquidation. Termination of rehabilitation.
Section 38a-919. (Formerly Sec. 38-437). - Grounds for liquidation.
Section 38a-922. (Formerly Sec. 38-440). - Dissolution of insurer.
Section 38a-923. (Formerly Sec. 38-441). - Powers of liquidator.
Section 38a-924. (Formerly Sec. 38-442). - Notice to creditors and others. Requirements. Exceptions.
Section 38a-925. (Formerly Sec. 38-443). - Duties of agents. Penalty.
Section 38a-926. (Formerly Sec. 38-444). - Actions by and against liquidator.
Section 38a-927. (Formerly Sec. 38-445). - List of assets.
Section 38a-928. (Formerly Sec. 38-446). - Fraudulent transfers prior to petition.
Section 38a-929. (Formerly Sec. 38-447). - Fraudulent transfer after petition.
Section 38a-930. (Formerly Sec. 38-448). - Voidable preferences and liens. Exceptions.
Section 38a-931. (Formerly Sec. 38-449). - Claims of holders of void or voidable rights.
Section 38a-932. (Formerly Sec. 38-450). - Set-offs and counterclaims. Accounting statements.
Section 38a-933. (Formerly Sec. 38-451). - Assessments.
Section 38a-933a. - Amounts recoverable. Affiliate liability. Timing of proceedings.
Section 38a-934. (Formerly Sec. 38-452.) - Reinsurer's liability.
Section 38a-935. (Formerly Sec. 38-453). - Recovery of premiums owed. Penalty. Appeals.
Section 38a-936. (Formerly Sec. 38-454). - Liquidator's proposal to distribute assets.
Section 38a-937. (Formerly Sec. 38-455). - Filing of claims.
Section 38a-938. (Formerly Sec. 38-456). - Proof of claim.
Section 38a-939. (Formerly Sec. 38-457). - Special claims.
Section 38a-941. (Formerly Sec. 38-459). - Disputed claims. Hearings. Procedure.
Section 38a-942. (Formerly Sec. 38-460). - Claims of surety.
Section 38a-943. (Formerly Sec. 38-461). - Secured creditor's claims.
Section 38a-944. (Formerly Sec. 38-462). - Priority of distribution of claims.
Section 38a-945. (Formerly Sec. 38-463). - Liquidator's recommendations to the court.
Section 38a-946. (Formerly Sec. 38-464). - Distribution of assets.
Section 38a-947. (Formerly Sec. 38-465). - Unclaimed and withheld funds.
Section 38a-948. (Formerly Sec. 38-466). - Termination of proceedings.
Section 38a-949. (Formerly Sec. 38-467). - Reopening liquidation.
Section 38a-951. (Formerly Sec. 38-469). - External audit of the receiver's books.
Section 38a-954. (Formerly Sec. 38-472). - Domiciliary liquidators in other states.
Section 38a-955. (Formerly Sec. 38-473). - Ancillary formal proceedings.
Section 38a-956. (Formerly Sec. 38-474). - Ancillary summary proceedings.
Section 38a-960. (Formerly Sec. 38-478). - Interstate priorities.
Section 38a-961. (Formerly Sec. 38-479). - Subordination of claims for noncooperation.
Section 38a-962. - Definitions.
Section 38a-962a. - Applicability.
Section 38a-962b. - Administrative supervision by the commissioner.
Section 38a-962d. - Prohibited activities during supervision. Prior approval.
Section 38a-962e. - Contested action. Appeal.
Section 38a-962f. - Judicial or other delinquency proceedings.
Section 38a-962g. - Regulations.
Section 38a-962h. - Supervision proceeding: Contact with commissioner allowed.
Section 38a-962i. - Immunity from liability.