2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 512B - FRATERNAL BENEFIT SOCIETIES
512B.14 - REINSURANCE.

        512B.14  REINSURANCE.
         1.  A domestic society may, by a reinsurance agreement, cede any
      individual risk or risks in whole or in part to an insurer, other
      than another fraternal benefit society, having the power to make such
      reinsurance agreements and authorized to do business in this state,
      or if not so authorized, one which is approved by the commissioner;
      but a society shall not reinsure substantially all of its insurance
      in force without the written permission of the commissioner.  It may
      take credit for the reserves on ceded risks to the extent reinsured,
      but credit shall not be allowed as an admitted asset or as a
      deduction from liability, to a ceding society for reinsurance made,
      ceded, renewed, or otherwise becoming effective after January 1,
      1991, unless the reinsurance is payable by the assuming insurer on
      the basis of the liability of the ceding society under the contract
      or contracts reinsured without diminution because of the insolvency
      of the ceding society.
         2.  Notwithstanding the limitation in subsection 1, a society may
      reinsure the risks of another society in a consolidation or merger
      approved by the commissioner under section 512B.15.  

         90 Acts, ch 1148, §14