Connecticut General Statutes 38a-156 – Definitions
As used in this section and sections 38a-156a to 38a-156m, inclusive:
Terms Used In Connecticut General Statutes 38a-156
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- another: may extend and be applied to communities, companies, corporations, public or private, limited liability companies, societies and associations. See Connecticut General Statutes 1-1
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Commissioner: means the Insurance Commissioner. See Connecticut General Statutes 38a-1
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Fiduciary: A trustee, executor, or administrator.
- Insurance: means any agreement to pay a sum of money, provide services or any other thing of value on the happening of a particular event or contingency or to provide indemnity for loss in respect to a specified subject by specified perils in return for a consideration. See Connecticut General Statutes 38a-1
- Mutual insurer: means any insurer without capital stock, the managing directors or officers of which are elected by its members. See Connecticut General Statutes 38a-1
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: means an individual, a corporation, a partnership, a limited liability company, an association, a joint stock company, a business trust, an unincorporated organization or other legal entity. See Connecticut General Statutes 38a-1
- Policy: means any document, including attached endorsements and riders, purporting to be an enforceable contract, which memorializes in writing some or all of the terms of an insurance contract. See Connecticut General Statutes 38a-1
- State: means any state, district, or territory of the United States. See Connecticut General Statutes 38a-1
- Trustee: A person or institution holding and administering property in trust.
(1) “Adoption date” means the date a mutual insurer‘s board of directors adopts a plan of reorganization;
(2) “Commissioner” means the Insurance Commissioner;
(3) “Converted company” means the domestic stock corporation into which a mutual holding company has been converted in accordance with the provisions of § 38a-156j;
(4) “Converting company” means a mutual holding company that is converting into a domestic stock corporation in accordance with the provisions of § 38a-156j;
(5) “Effective date” means the date upon which the reorganization of the mutual insurer is effective, as provided in subsection (g) of § 38a-156a;
(6) “Equity rights” means the rights conferred to members, by law or by a mutual holding company’s articles of incorporation, in the equity of such company, including the right to participate in any distribution of such company’s equity or assets. “Equity rights” do not include any rights expressly conferred solely by the terms of a policy except for the right to vote;
(7) “Institution” means a corporation, stock corporation, limited liability company, association, business trust, partnership or any similar entity;
(8) “Intermediate stock holding company” means an institution (A) of which at least fifty-one per cent of its voting stock is owned from the effective date, directly or through another intermediate stock holding company, by a mutual holding company, and (B) that owns from the effective date, directly or indirectly, at least fifty-one per cent of the voting stock of at least one reorganized insurer. For purposes of calculating the percentage of voting stock, any issued and outstanding securities of the reorganized insurer or any intermediate stock holding company that are convertible into voting stock are considered voting stock;
(9) “Member” means, (A) with respect to a reorganizing insurer, a policyholder of such insurer, and (B) with respect to a mutual holding company, a person entitled to vote, by law or by the mutual holding company’s charter or bylaws, at such company’s meetings;
(10) “Membership interests” means the rights other than equity rights conferred to members, by law or by a mutual holding company’s charter or bylaws. “Membership interests” do not include any rights expressly conferred solely by the terms of a policy;
(11) “Mutual holding company” means a corporation organized in accordance with sections 38a-156a and 38a-156b, (A) that, from the effective date, owns, directly or through one or more intermediate stock holding companies, at least fifty-one per cent of the voting stock of one or more reorganized insurers, (B) that is not authorized to issue voting stock, and (C) whose articles of incorporation contain the provisions set forth in subsection (c) of § 38a-156b. For purposes of calculating the percentage of voting stock, any issued and outstanding securities of the reorganized insurer or any intermediate stock holding company that are convertible into voting stock are considered voting stock;
(12) “Mutual insurer” has the same meaning as provided in § 38a-1;
(13) “Officer” means an individual elected to such position by the board of directors of the mutual holding company, intermediate stock holding company or reorganized insurer, as applicable;
(14) “Outside director” means a director of the mutual holding company, intermediate stock holding company or reorganized insurer, who is not an officer or employee of such company or insurer;
(15) “Person” means an individual, a public or private corporation, a stock corporation, a limited liability company, an association, a business trust, a partnership, a board of directors, an estate, a trustee, a fiduciary, or any similar entity, or the state or any political subdivision of the state;
(16) “Plan of conversion” means a plan adopted by a mutual holding company in accordance with § 38a-156j;
(17) “Plan of reorganization” means a plan adopted by a mutual insurer in accordance with § 38a-156a;
(18) “Policy” means an individual or group insurance policy, an individual or group annuity contract or a fidelity or surety bond, issued by a mutual insurer. “Policy” does not include a reinsurance contract;
(19) “Reorganized insurer” means the domestic stock insurer into which a mutual insurer has been reorganized in accordance with the provisions of § 38a-156a;
(20) “Reorganizing insurer” means a domestic mutual insurer that is reorganizing under a plan of reorganization in accordance with the provisions of § 38a-156a;
(21) “Stock purchase right” means a nontransferable right, granted to each policyholder of the reorganized insurer that has been a policyholder of the reorganizing insurer for at least one year prior to the effective date, to acquire stock in the reorganized insurer or in any intermediate stock holding company affiliated with such insurer if such insurer or company conducts an initial public offering of voting stock;
(22) “Voting stock” means securities of any class or any ownership interest having voting power for the election of directors, trustees or management of a person. “Voting stock” does not include securities having voting power only because of the occurrence of a contingency.