Oregon Statutes - Chapter 734 - Rehabilitation, Liquidation and Conservation of Insurers

734.010 [1967 c.359 §258; repealed by 1993 c.447 §122]
734.014 Definitions.
As used in this chapter: (1) �Delinquency proceeding� means any proceeding commenced against an insurer pursuant to this chapter for the purpose of liquidating, rehabilitating...
734.018 [Formerly 751.010; and then 734.030 in 1989; repealed by 1993 c.447 §122]
734.020 [1967 c.359 §257; renumbered 734.014 in 1989]
734.022 [Formerly 734.040; repealed by 1993 c.447 §122]
734.026 �Domiciliary,� �ancillary� and �reciprocal state� defined.
As used in this chapter: (1) �Domiciliary state� means the state in which an insurer is incorporated or organized or, in the case of an...
734.030 [Formerly 751.010; renumbered 734.018 in 1989]
734.031 [Formerly 734.060; repealed by 1993 c.447 §122]
734.035 [Formerly 734.070; repealed by 1993 c.447 §122]
734.039 [Formerly 734.080; repealed by 1993 c.447 §122]
734.040 [1967 c.359 §260; renumbered 734.022 in 1989]
734.043 Supervision of insurer; order; consequences; insurer remedies.
(1) For any reason stated in subsection (2) of this section, the Director of the Department of Consumer and Business Services by order may place...
734.047 Time for correction of condition leading to order of supervision.
(1) An insurer placed under supervision must correct, eliminate or remedy the acts, transactions or practices that are the basis for the order of supervision...
734.050 [1967 c.359 §261; renumbered 734.026 in 1989]
734.051 Actions by director during period of supervision.
During the period of supervision of an insurer, the Director of the Department of Consumer and Business Services may institute rehabilitation or liquidation proceedings, extend...
734.055 Action against person violating order of supervision.
The Director of the Department of Consumer and Business Services or supervisor on behalf of an insurer under supervision may bring an action for damages...
734.059 Request for court order.
(1) The Director of the Department of Consumer and Business Services may file a petition with the circuit court requesting an order that: (a) Authorizes...
734.060 [1967 c.359 §262; renumbered 734.031 in 1989]
734.063 Court order; hearings; notice.
(1) Upon petition by the Director of the Department of Consumer and Business Services under ORS 734.059, the court may issue the requested order immediately,...
734.067 Review of court order.
(1) An insurer against whom an order under ORS 734.059 is directed may petition the court for a hearing and review of the order. (2)...
734.070 [1967 c.359 §263; renumbered 734.035 in 1989]
734.080 [1967 c.359 §264; renumbered 734.039 in 1989]
734.110 Jurisdiction of delinquency proceedings; venue.
(1) The circuit court shall have original jurisdiction of delinquency proceedings under this chapter, and any court with jurisdiction is authorized to make all necessary...
734.120 Exclusive remedy; appeal.
(1) Delinquency proceedings pursuant to this chapter shall constitute the sole and exclusive method of rehabilitating, liquidating or conserving an insurer, and no court shall...
734.130 Commencement of delinquency proceeding.
(1) The Director of the Department of Consumer and Business Services shall commence a delinquency proceeding by an application to the court for an order...
734.140 Injunctions.
(1) Upon application by the Director of the Department of Consumer and Business Services for an order to show cause under ORS 734.130, or at...
734.142 Cooperation with director in delinquency proceedings.
(1) Each officer, manager, director, trustee, owner, employee or agent of an insurer, and any other person with authority over or in charge of any...
734.144 Immunity of certain persons from civil liability.
(1) The following persons are entitled to protection under this section: (a) All receivers responsible for the conduct of a delinquency proceeding, including present and...
734.150 Grounds for rehabilitation of domestic insurers.
The Director of the Department of Consumer and Business Services may apply for an order directing the director to rehabilitate a domestic insurer on one...
734.160 Order of rehabilitation for domestic insurers.
(1) An order to rehabilitate a domestic insurer shall direct the Director of the Department of Consumer and Business Services forthwith to take possession of...
734.170 Grounds for liquidation of domestic insurers.
The Director of the Department of Consumer and Business Services may apply for an order directing the director to liquidate the business of a domestic...
734.180 Order of liquidation of domestic insurers.
(1) An order to liquidate the business of a domestic insurer shall direct the Director of the Department of Consumer and Business Services forthwith to...
734.190 Grounds for conservation of foreign and alien insurers.
The Director of the Department of Consumer and Business Services may apply for an order directing the director to conserve the assets within this state...
734.200 Conservation or ancillary receivership of foreign and alien insurers.
(1) An order to conserve the assets of a foreign or alien insurer shall direct the Director of the Department of Consumer and Business Services...
734.210 Conduct of delinquency proceedings for domestic insurers.
(1) Whenever under this chapter a receiver is to be appointed in delinquency proceedings for an insurer domiciled in this state, the court shall appoint...
734.220 Powers of director as receiver.
(1) Upon taking possession of the property and business of any person in any proceeding under this chapter, the Director of the Department of Consumer...
734.230 Deputies and assistants.
In connection with delinquency proceedings, the Director of the Department of Consumer and Business Services may appoint one or more special deputy directors to act...
734.240 Conduct of delinquency proceedings for foreign insurers.
(1) Whenever under this chapter an ancillary receiver is to be appointed in delinquency proceedings for an insurer not domiciled in this state, the court...
734.250 Right of domiciliary receiver to sue in this state.
The domiciliary receiver of an insurer domiciled in a reciprocal state may sue in this state to recover any assets of such insurer to which...
734.260 Claims of nonresidents against domestic insurers.
(1) In a delinquency proceeding begun in this state against an insurer domiciled in this state, claimants residing in reciprocal states may file claims either...
734.270 Claims of residents against foreign insurers.
(1) In a delinquency proceeding in a reciprocal state against an insurer domiciled in that state, claimants against such insurer who reside within this state...
734.280 Form of claim; notice; hearing.
(1) All claims against an insurer, against which delinquency proceedings have been begun, shall set forth in reasonable detail the amount of the claim, or...
734.290 Priority of preferred claims.
(1) In a delinquency proceeding against an insurer domiciled in this state, claims owing to residents of ancillary states shall be preferred claims if like...
734.300 Priority of special deposit claims.
The owners of special deposit claims against an insurer for which a receiver is appointed in this or any other state shall be given priority...
734.310 Priority of secured claims.
The owner of a secured claim against an insurer for which a receiver has been appointed in this or any other state may surrender the...
734.320 Attachment and garnishment of assets.
During the pendency of delinquency proceedings in this or any reciprocal state no action or proceeding in the nature of an attachment, garnishment or execution...
734.330 [Formerly 751.110; repealed by 1993 c.447 §122]
734.340 Date rights fixed on liquidation.
The rights and liabilities of the insurer and of its creditors, policyholders, stockholders, members, subscribers, and all other persons interested in its estate, shall, unless...
734.350 Voidable transfers.
(1) Any transfer of, or lien upon, the property of an insurer, other than as provided in ORS 734.320 which is made or created within...
734.360 Preference of claims.
Except as provided in ORS 734.310 for secured claims, the claims to be paid in full in delinquency proceedings prior to the payment of any...
734.370 Offsets.
No offsets shall be allowed in cases of mutual debts or mutual credits between the insurer and another person in connection with any domestic delinquency...
734.380 Allowance of certain claims.
(1) A contingent claim against an insurer or a claim based upon a cause of action or suit against an insured of an insurer shall...
734.390 Time to file claims.
(1) If upon the granting of an order of liquidation under this chapter, or at any time thereafter during the liquidation proceeding, the insurer shall...
734.400 Report for assessment; domestic mutual and reciprocal insurers.
Within three years from the date an order of rehabilitation or liquidation of a domestic mutual insurer or a domestic reciprocal insurer was filed in...
734.410 Levy of assessment; domestic mutual and reciprocal insurers.
(1) Upon the basis of the report provided for in ORS 734.400, including any amendments thereof, the court, ex parte, may levy one or more...
734.420 Order to pay assessment.
After levy of assessment as provided in ORS 734.410 and upon the filing of a further detailed report by the Director of the Department of...
734.430 Publication and transmittal of assessment order.
The Director of the Department of Consumer and Business Services shall cause a notice of the assessment order issued under ORS 734.420, which shall set...
734.440 Judgment upon assessment.
(1) On the return day of the order to show cause specified in the assessment order issued under ORS 734.420, if the member or subscriber...
734.510 Definitions for ORS 734.510 to 734.710.
As used in ORS 734.510 to 734.710, unless the context requires otherwise: (1) �Association� means the Oregon Insurance Guaranty Association created by ORS 734.550. (2)...
734.520 Purpose.
The purpose of ORS 734.510 to 734.710 is to provide for the payment of covered claims under certain insurance policies to avoid excessive delay in...
734.530 Construction.
ORS 734.510 to 734.710 shall be liberally construed to effect the purposes provided in ORS 734.520. [1971 c.616 §3]
734.540 Application.
ORS 734.510 to 734.710 apply to all kinds of direct insurance except life, health, title, surety, credit, mortgage guaranty, home protection insurance, wet marine and...
734.550 Oregon Insurance Guaranty Association; all insurers required to be members; formation of operating plan.
There is created the Oregon Insurance Guaranty Association. Each insurer that is a member insurer shall become and remain a member of the association as...
734.555 Application to association of certain laws governing corporations; exception.
The provisions, procedures and requirements of ORS chapter 60 relating to a registered office, registered agent and to service of process, notice and demand shall...
734.560 Association board of directors; terms; vacancies; compensation and expenses; quorum.
(1) The board of directors of the Oregon Insurance Guaranty Association shall consist of nine members selected by the member insurers, subject to the approval...
734.570 Required functions of association.
The Oregon Insurance Guaranty Association shall: (1) Be obligated to pay covered claims existing at the time of determination of insolvency of an insurer or...
734.575 Refunds from association deposited in General Fund.
Any sums acquired by refund from the Oregon Insurance Guaranty Association that have previously been written off by contributing insurers and offset against corporate excise...
734.577 [1987 c.582 §1; 1991 c.67 §196; 2003 c.14 §448; repealed by 2005 c.755 §59]
734.579 Recoupment assessments; rules.
(1) Each member insurer subject to an Oregon Insurance Guaranty Association assessment pursuant to ORS 734.570 (3) shall recoup the amount of the assessment through...
734.580 Discretionary functions of association.
The Oregon Insurance Guaranty Association may: (1) With the approval of the Director of the Department of Consumer and Business Services, employ or retain such...
734.590 Plan of operation; submission to director; rules.
(1) The Oregon Insurance Guaranty Association shall submit to the Director of the Department of Consumer and Business Services not later than 90 days after...
734.600 Contents of plan of operation.
A plan of operation shall: (1) Establish procedures for the submission, processing and payment of claims against the Oregon Insurance Guaranty Association. (2) Establish procedures...
734.610 Notification to association of insurer insolvency; furnishing association with premium information.
The Director of the Department of Consumer and Business Services shall: (1) Notify the Oregon Insurance Guaranty Association of the insolvency of an insurer not...
734.620 Notification of insolvency to insured persons; revocation of designation of servicing facility.
The Director of the Department of Consumer and Business Services may: (1) Require the Oregon Insurance Guaranty Association to notify the insureds of an insolvent...
734.630 Assignment of claim rights; filing statements of paid claims; effect of claim settlements.
(1) Any person who recovers on a covered claim under ORS 734.510 to 734.710 thereby assigns the rights of the person under the insurance policy...
734.635 Disbursing assets of insolvent insurer to association; court approval; notice to other states.
(1) Not later than 120 days from the date the order of liquidation of a member insurer is filed in the office of the clerk...
734.640 Claim priority.
(1) Any person who has a claim under an insurance policy against an insurer other than an insolvent insurer which would also be a covered...
734.650 Notifying director of impaired insurers; examination; reports on impaired insurers.
(1) Whenever the board obtains any information indicating that any member insurer is impaired or in a financial condition hazardous to the policyholders or the...
734.660 Regulation of association as insurer.
The Oregon Insurance Guaranty Association is subject to regulation by the Director of the Department of Consumer and Business Services in the same manner as...
734.670 Exemption of association from payment of fees and taxes.
Except for taxes levied on real or personal property, the Oregon Insurance Guaranty Association shall be exempt from the payment of all fees and taxes...
734.680 [1971 c.616 §20; repealed by 1977 c.793 §11]
734.690 Immunity from legal action.
No person shall have a cause of action against any member insurer, the Oregon Insurance Guaranty Association or its employees or servicing facilities, any member...
734.695 Liability of insured of insolvent insurer.
(1) The insured of an insolvent insurer may not be personally liable for amounts due any reinsurer, insurer, insurance pool or underwriting association as subrogation...
734.700 Defense of claims on default of insolvent insurer.
(1) Any pending proceeding in which an insolvent insurer is a party or is obligated to defend a party in any court of this state...
734.710 Administration of delinquency proceeding claims and expenses; application of ORS 734.014, 734.026 and 734.110 to 734.440 to insurers.
(1) In any delinquency proceeding involving a member insurer, the claims and expenses of the insurer shall be administered as provided in ORS 734.510 to...
734.750 Short title.
ORS 734.750 to 734.890 may be cited as the Oregon Life and Health Insurance Guaranty Association Act. [1975 c.251 §2]
734.760 Definitions for ORS 734.750 to 734.890.
As used in ORS 734.750 to 734.890, unless the context requires otherwise: (1) �Account� means any of the three accounts created under ORS 734.800. (2)...
734.770 Purpose.
The purpose of ORS 734.750 to 734.890 is to protect the persons specified in ORS 734.790, subject to certain limitations, against failure in the performance...
734.780 Construction.
ORS 734.750 to 734.890 shall be liberally construed to effect the purpose provided in ORS 734.770. [1975 c.251 §5]
734.790 Application.
(1) ORS 734.750 to 734.890 provide coverage to the following persons for policies and contracts specified in subsection (2) of this section: (a) To a...
734.800 Oregon Life and Health Insurance Guaranty Association; all insurers required to be members; required accounts.
(1) There is created a nonprofit legal entity to be known as the Oregon Life and Health Insurance Guaranty Association. All member insurers shall be...
734.805 Association board of directors; terms; selection; vacancies; compensation and expenses.
(1) The board of directors of the Oregon Life and Health Insurance Guaranty Association shall consist of not less than five nor more than nine...
734.810 Duties and powers of association.
In addition to the other powers and duties enumerated in ORS 734.750 to 734.890: (1) If a domestic insurer is an impaired insurer, the Oregon...
734.815 Assessment of members; classes of assessments; amounts; refunds.
(1) For the purpose of providing the funds necessary to carry out the powers and duties of the Oregon Life and Health Insurance Guaranty Association,...
734.820 Plan of operation; submission of amendments to director; rules; contents of plan.
(1)(a) The Oregon Life and Health Insurance Guaranty Association shall maintain on file with the Director of the Department of Consumer and Business Services a...
734.825 Powers and duties of director.
In addition to the duties and powers enumerated elsewhere in ORS 734.750 to 734.820 and 734.830 to 734.890: (1) The Director of the Department of...
734.830 Notifying director of impaired insurers; examination; reports on impaired insurers.
To aid in the detection and prevention of insurer impairments and insolvencies: (1) The board of directors shall, upon majority vote, notify the Director of...
734.835 Assessments offset against tax liabilities; rate.
(1) A member insurer may offset against its corporate excise tax liabilities to this state an assessment described in ORS 734.815 (8), at the rate...
734.840 Conduct of liquidation, rehabilitation or conservation proceeding involving impaired or insolvent insurer.
(1) Nothing in ORS 734.750 to 734.890 shall be construed to reduce the liability for unpaid assessments of the insureds on an impaired or insolvent...
734.850 Examination and regulation of association by director; required reports.
The Oregon Life and Health Insurance Guaranty Association shall be subject to examination and regulation by the Director of the Department of Consumer and Business...
734.860 Exemption of association from payment of fees and taxes.
The Oregon Life and Health Insurance Guaranty Association shall be exempted from payment of all fees and all taxes levied by this state or any...
734.870 Immunity from legal action.
There shall be no liability on the part of, and no cause of action of any nature shall arise against, any member insurer or its...
734.880 Stay of proceeding involving insolvent insurer.
All proceedings in which an insolvent insurer is a party in any court in this state shall be stayed 60 days from the date an...
734.890 Association not to be used in sales or solicitation.
No insurer or insurance producer shall make, publish, disseminate, circulate or place before the public, or cause directly or indirectly, to be made, published, disseminated,...

Last modified: August 7, 2008