US Laws, Codes, Statutes & Cases

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 28
                    ORGANIZATION AND CORPORATE PROCEDURES
                         OF STOCK AND MUTUAL INSURERS
    41-2839.  HOME OFFICE -- RECORDS -- ASSETS -- PENALTY FOR UNLAWFUL
REMOVAL. (1) Every domestic insurer shall have and maintain its principal
place of business and home office in this state, and shall keep therein
accurate and complete accounts and records of its assets, transactions, and
affairs in accordance with the usual and accepted principles and practices of
insurance accounting and record keeping as applicable to the kinds of
insurance transacted by the insurer.
    (2)  Every domestic insurer shall have and maintain its assets in this
state, except as to:
    (a)  Real property and personal property appurtenant thereto lawfully
    owned by the insurer and located outside this state, and
    (b)  Such property of the insurer as may be customary, necessary, and
    convenient to enable and facilitate the operation of its branch offices
    and "regional home offices" located outside this state as referred to in
    subsection (4) below.
    (3)  Removal of all or a material part of the records or assets of a
domestic insurer from this state except pursuant to a plan of merger or
consolidation approved by the director under this code, or for such reasonable
purposes and periods of time as may be approved by the director in writing in
advance of such removal, or concealment of such records or assets or such
material part thereof from the director, is prohibited. Any person who removes
or attempts to remove such records or assets or such material part thereof
from the home office or other place of business or of safekeeping of the
insurer in this state with the intent to remove the same from this state, or
who conceals or attempts to conceal the same from the director, in violation
of this section, shall upon conviction thereof be guilty of a felony,
punishable by a fine of not more than ten thousand dollars ($10,000), or by
imprisonment in the penitentiary for not more than five (5) years, or by both
such fine and imprisonment in the discretion of the court. Upon any removal or
attempted removal of such records or assets or upon retention of such records
or assets or material part thereof outside this state, beyond the period
therefor specified in the director's consent under which the records were so
removed thereat, or upon concealment of or attempt to conceal records or
assets in violation of this section, the director may institute delinquency
proceedings against the insurer pursuant to the provisions of chapter 33 of
this code.
    (4)  This section shall not be deemed to prohibit or prevent an insurer
from:
    (a)  Establishing and maintaining branch offices or "regional home
    offices" in other states where necessary or convenient to the transaction
    of its business and keeping therein the detailed records and assets
    customary and necessary for the servicing of its insurance in force and
    affairs in the territory served by such an office, as long as such records
    and assets are made readily available at such office for examination by
    the director at his request.
    (b)  Having, depositing or transmitting funds and assets of the insurer in
    or to jurisdictions outside of this state required by the law of such
    jurisdiction or as reasonably and customarily required in the regular
    course of its business.
    (c)  Using custodial arrangements for the holding of book-entry securities
    owned by the insurer, either in or outside of this state, and either
    segregated from or commingled with securities owned by others, if the
    arrangements conform to rules adopted by the director for safeguarding the
    assets and facilitating the director's examination of insurers using such
    custodial arrangements.