(1) This regulation establishes procedures to be followed with respect to the transfer of insurance contracts from a transferring company to an assuming company, establishes notice and disclosure requirements to protect the rights of policyowners, and defines unfair or deceptive acts and practices and unfair methods of competition in the conduct of the business of insurance, pursuant to RCW 48.30.010
(2) This regulation applies to any transfer of insurance contracts from a transferring company to an assuming company where:
(a) The policyowner, as defined in WAC 284-95-030
(5), is a resident of this state at the time of the proposed transfer; or
(b) The holder of a certificate of group insurance is a resident of this state at the time of the proposed transfer and meets the criteria set forth in WAC 284-95-030
(3) This regulation shall not apply in the following situations:
(a) Mergers or consolidations;
(b) A transferring company subject to an order of rehabilitation, conservation, liquidation, or similar applicable order issued in this or any other jurisdiction;
(c) Withdrawal from the state by a transferring company, pursuant to RCW 48.05.290
(d) The absorption of a subsidiary insurance company by a parent company, where the parent company absorbs the entire subsidiary insurance company through a merger. However, this regulation shall apply where the parent company acquires only the insurance contracts of the subsidiary insurance company.
(4) Unless the transferring company complies fully with the requirements of this regulation, it shall be deemed to remain liable for its obligations to the policyowners under its insurance contracts.
[Statutory Authority: RCW 48.02.060
. WSR 91-23-064 (Order R 91-9), § 284-95-020, filed 11/18/91, effective 12/19/91.]