HAR §16-7-15. Member termination

(a) In the event a member company discontinues as a member of the plan, it shall continue to pay assessments until its proportionate share has been determined and paid; provided that if the casualty business of a company has been purchased by, transferred to, or reinsured by another company, the latter shall receive the assessments of the former until the proportionate share of the former has been determined and paid, unless another company has agreed, in manner satisfactory to the insurance commissioner, to assume such obligation. (b) In the event that a company is merged with another company or there is a consolidation of companies, the continuing company shall receive the assessments of the company merged or consolidated until the proportionate share of such merged or consolidated company prior to such merger or consolidation has been determined and paid; provided the continuing company may be relieved from such obligations if another company has agreed, in a manner satisfactory to the insurance commissioner, to assume such obligations. (c) For purposes of this section only, insurers under common management or ownership shall not constitute a single member. Extent of participation will still be governed by section 16-7-3. [Eff 6/22/81] (Auth: HRS §435C-2) (Imp: HRS §§435C-3, 435C-5)