CODE OF VIRGINIA

POWERS OF COMMISSION; REPLACEMENT POLICIES (§ 38.2-2212.1)

Upon the verified petition of an insurer, where the petitioning insurer proposes
to replace all or substantially all of its policies in another insurer, the
Commission may relieve the insurer of the requirements of subsection E of §
38.2-2212 and of the mailing requirements of § 38.2-2208, provided the insurer
demonstrates to the satisfaction of the Commission that (i) the replacement
policy is underwritten by an affiliate insurer under common control with the
petitioning insurer; (ii) the replacement policy is substantially similar to the
existing policy with the petitioning insurer; (iii) the premium charged for the
replacement policy is no greater than that charged by the petitioning insurer
for the existing policy; and (iv) the replacement insurer is duly licensed to
transact the business of insurance in the Commonwealth of Virginia. The
replacement insurer shall retain a copy of any offer of replacement for a period
of one year from the expiration of any existing policy that is not replaced. 
The Commission may further condition any such relief to protect the best
interests of the policyholder.

HISTORY: 1991, c. 215.