Sec. 12. A company may amend its articles by providing for a decrease of its capital stock to an amount not less than the minimum capital required for the kind or kinds of insurance transacted by the company before the amendment of the company's articles of incorporation. The department shall not approve or issue its certified copy of such amendment to the company if it shall be of the opinion that the interests of policyholders or creditors may be prejudiced thereby. No distribution of the assets of the company shall be made to shareholders upon any such decrease of capital which shall reduce the surplus of its assets over its liabilities, including capital, to less than the minimum surplus required by this article. Upon any such amendment so decreasing the capital, such company may require each shareholder to return the shareholder's certificate of stock and accept a new certificate for such proportion of the amount of its original stock as the reduced capital shall bear to the original capital.
Formerly: Acts 1935, c.162, s.113. As amended by P.L.252-1985, SEC.38; P.L.136-2018, SEC.154.
Structure Indiana Code
Article 1. Department of Insurance
Chapter 8. Procedures for Amending Articles of Incorporation
27-1-8-2. Proposal of Amendment
27-1-8-4. Form and Content of Articles of Amendment
27-1-8-5. Execution and Presentation of Articles of Amendment to Department
27-1-8-6. Approval or Disapproval of Articles of Amendment by Department
27-1-8-7. Submission of Articles of Amendment to Attorney General
27-1-8-8. Presentation of Articles of Amendment to Secretary of State; Duties of Secretary of State
27-1-8-9. Amended Certificate of Authority
27-1-8-10. Effect of Amendment
27-1-8-11. Prerequisites to Corporate Acts Under Amendment
27-1-8-12. Restrictions on Amendments; Decreasing Capital Stock