2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 521G - PROTECTED CELL COMPANIES
521G.7 - CREDITORS AND OTHER CLAIMANTS OF PROTECTED CELL COMPANIES.

        521G.7  CREDITORS AND OTHER CLAIMANTS OF PROTECTED
      CELL COMPANIES.
         1. a.  Protected cell assets shall only be available to a
      creditor of the protected cell company that is a creditor with
      respect to that protected cell.  Such a creditor shall have recourse
      to the protected cell assets attributable to that protected cell, to
      the exclusion of other creditors of the protected cell company that
      are not creditors with respect to that protected cell.  Such other
      creditors shall have no recourse to the protected cell assets
      attributable to that protected cell.  A creditor with respect to a
      protected cell does not have recourse against the protected cell
      assets of other protected cells or the assets of the protected cell
      company's general account.
         b.  Protected cell assets shall only be available to creditors
      of a protected cell company after all protected cell liabilities have
      been extinguished or otherwise provided for pursuant to the plan of
      operation relating to that protected cell.
         2.  An obligation of a protected cell company to a person which
      arises from a transaction, or is otherwise imposed, with respect to a
      protected cell, is subject to both of the following:
         a.  The obligation to a person shall extend only to the
      protected cell assets attributable to that protected cell, and with
      respect to that obligation, such person is entitled to recourse only
      against the protected cell assets attributable to that protected
      cell.
         b.  The obligation to a person shall not extend to the
      protected cell assets of another protected cell or the assets of the
      protected cell company's general account, and with respect to that
      obligation, such person is not entitled to recourse against the
      protected cell assets of any other protected cell or the assets of
      the protected cell company's general account.
         3.  An obligation of a protected cell company that relates solely
      to the general account shall extend only to the assets of the
      protected cell company's general account, and the creditor, with
      respect to that obligation, is entitled to recourse against only the
      assets of the protected cell company's general account.
         4.  A protected cell is not subject to any requirements relating
      to a guaranty fund or guaranty association, and shall not be assessed
      by or otherwise be required to contribute to any guaranty fund or
      guaranty association in this state with respect to the activities,
      assets, or obligations of a protected cell.  This section does not
      affect the activities or obligations of a protected cell company's
      general account.
         5.  The establishment of one or more protected cells, by itself,
      does not constitute any of the following:
         a.  A fraudulent conveyance.
         b.  An intent by the protected cell company to defraud
      creditors.
         c.  The transaction of business by the protected cell company
      for a fraudulent purpose.  

         2000 Acts, ch 1046, §7