New York Insurance Law Section 1710 - Divestiture of control; superintendent's power to order disposition of subsidiaries.

  1710.  Divestiture  of  control;  superintendent's  power  to order
  disposition of subsidiaries.
(a) Any parent corporation seeking to divest its controlling  interest
  in   a   domestic   insurer,   in   any  manner,  shall  file  with  the
  superintendent, with a copy to  the  insurer,  notice  of  its  proposed
  divestiture at least thirty days prior to the cessation of control.
(b)  In addition to the powers granted to the superintendent elsewhere
  in this chapter (including, without limitation, section one hundred nine
  of this chapter and section three hundred nine of the financial services
  law), the superintendent may, at any time, order a parent corporation to
  dispose of any subsidiary, if the superintendent finds, after notice and
  an opportunity to be heard, either:
(1) that  its  acquisition  or  continued  retention  is  or  was  not
  permitted by the provisions of this article; or
(2) except in the case of a subsidiary then exempted by the provisions
  of  subsection  (a) or (b) of section one thousand seven hundred four of
  this article, that its continued retention is materially adverse to  the
  interests of the parent corporation's policyholders or subscribers.

Last modified: February 3, 2019