A plan of conversion may be adopted that does not rely in whole or in part upon issuing nontransferable subscription rights to subscribers to purchase stock of the stock company if the commissioner finds that the plan does not prejudice the interests of the subscribers, is fair and equitable and is not inconsistent with the purpose and intent of this chapter. An alternative plan may:
(1) Include the acquisition or merger of the stock company or a corporation participating in the conversion plan under section 3503(a)(3)(ii) (relating to contents of plan of conversion) by or into a domestic or foreign stock company.
(2) Provide for issuing stock, cash or other consideration to subscribers instead of subscription rights.
(3) Set forth another plan containing any other provisions approved by the commissioner.
Structure Pennsylvania Consolidated & Unconsolidated Statutes
Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 35 - Medical Professional Liability Reciprocal Exchange-to-Stock Conversion
Section 3502 - Adoption of plan of conversion
Section 3503 - Contents of plan of conversion
Section 3504 - Optional provisions of plan of conversion
Section 3505 - Alternative plan of conversion
Section 3506 - Effective date of plan
Section 3508 - Corporate existence
Section 3509 - Conflict of interest
Section 3510 - Failure to give notice
Section 3511 - Limitation on actions
Section 3512 - Reciprocal insurer insolvent or in hazardous financial condition
Section 3513 - Rules and regulations
Section 3514 - Laws applicable to stock company
Section 3515 - Licensing of stock company and commencement of business as an insurance company