reglab/statecodes huggingface dataset:
2023 Wisconsin Statutes & Annotations › Chapter 635 - Small employer health insurance. › 635.18 - Fair marketing standards.

635.18
Fair marketing standards.
(1)
Every small employer insurer shall actively market health benefit plan coverage to small employers in the state.
(2)
(a)
Except as provided in par. (b), a small employer insurer or an intermediary may not, directly or indirectly, do any of the following:
1.
Discourage a small employer from applying, or direct a small employer not to apply, for coverage with the small employer insurer because of the health status, claims experience, industry, occupation or geographic location of the small employer.
2.
Encourage or direct a small employer to seek coverage from another insurer because of the health status, claims experience, industry, occupation or geographic location of the small employer.
(b)
Paragraph (a) does not prohibit a small employer insurer or an intermediary from providing a small employer with information about an established geographic service area or a restricted network provision of the small employer insurer.
(3)
(a)
Except as provided in par. (b), a small employer insurer may not, directly or indirectly, enter into any contract, agreement or arrangement with an intermediary that provides for or results in compensation to an intermediary for the sale of a health benefit plan that varies according to the health status, claims experience, industry, occupation or geographic location of the small employer or eligible employees or dependents.
(b)
Payment of compensation on the basis of percentage of premium is not a violation of par. (a) if the percentage does not vary based on the health status, claims experience, industry, occupation or geographic area of the small employer or eligible employees or dependents.
(4)
A small employer insurer may not terminate, fail to renew or limit its contract or agreement of representation with an intermediary for any reason related to the health status, claims experience, occupation or geographic location of the small employers or eligible employees or their dependents placed by the intermediary with the small employer insurer.
(5)
A small employer insurer or an intermediary may not induce or otherwise encourage a small employer to separate or otherwise exclude an employee from health coverage or benefits provided in connection with the employee's employment.
(6)
Denial by a small employer insurer of an application for coverage from a small employer shall be in writing and shall state the reason or reasons for the denial.
(7)
A 3rd-party administrator that enters into a contract, agreement or other arrangement with a small employer insurer to provide administrative, marketing or other services related to the offering of health benefit plans to small employers in this state is subject to this chapter as if it were a small employer insurer.
(8)
The commissioner may by rule establish additional standards to provide for the fair marketing and broad availability of health benefit plans to small employers in this state.
History:  1991 a. 250, 315; 1997 a. 27.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.03 - Scope and purposes.

644.03
Scope and purposes.
(1)
Scope. This chapter applies to all mutual insurance holding companies organized under the laws of this state.
(2)
Purposes.
(a)
The purposes of this chapter are to provide complete, self-contained procedures for the formation of mutual insurance holding companies. Subject to par. (b), a corporation organized as a mutual insurance holding company under this chapter may be organized for any lawful purpose and shall hold directly or indirectly as a subsidiary at least one stock insurance company converted from a mutual insurance company or from a service insurance corporation that converted to a mutual insurance company. A mutual holding company is not an insurer.
(b)
A corporation organized as a mutual insurance holding company under this chapter may engage, directly or indirectly, in a business that is subject to regulation under another statute of this state only if not prohibited by, and subject to all limitations of, the other statute.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.05 - General corporate powers and procedures.

644.05
General corporate powers and procedures.
(1)
Powers. Subject to s. 644.19 (2) and (3), s. 181.0302 (intro.), (1) to (15), (18) and (19) applies to mutual holding companies.
(2)
Effect of unauthorized corporate acts. Section 181.0304 applies to mutual holding companies, except that, for purposes of this subsection, “attorney general" used in s. 181.0304 (3) means “commissioner".
(4)
Waiver of notice and informal action by members or directors. Sections 181.0704, 181.0706, 181.0821 and 181.0823 apply to mutual holding companies. For purposes of this subsection, “board" used in s. 181.0821 includes “committee of the board of a mutual holding company".
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.06 - Registered agent for service of process.

644.06
Registered agent for service of process.
Sections 601.715, 601.72 (1) (a), (2) and (3) to (5) and 601.73 apply to mutual holding companies, except that, for purposes of this chapter, “authorized insurer" used in s. 601.715 means mutual holding company and “insurer" used in s. 601.72 (1) (a) and (2) means mutual holding company.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.08 - Reservation of corporate name.

644.08
Reservation of corporate name.
Sections 181.0402 and 181.0403 (2), (3) and (3m) apply to mutual holding companies.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.09 - Articles, amendments, bylaws and principal officers.

644.09
Articles, amendments, bylaws and principal officers.
(1)
Articles. Section 181.0202 applies to the articles of a mutual holding company, except that all of the following apply:
(a)
The name of the mutual holding company shall include the word “mutual" and shall comply with s. 181.0401 (2) to (4).
(b)
The articles shall include provisions for mutual bonds, if any are to be authorized, which shall conform to s. 611.33 (2).
(c)
The purposes of the mutual holding company shall be limited to those permitted in this chapter.
(d)
Subject to s. 644.07 (10) (d), the articles may specify those classes of persons who may be members of the mutual holding company or may prescribe the procedure for establishing or removing restrictions on the classes of persons who may be members of the mutual holding company.
(2)
Amendment of articles. A mutual holding company may amend its articles in the manner provided in ss. 181.1001, 181.1002 (1), 181.1003, 181.1005 and 181.1006, except that papers required by those sections to be filed with the department of financial institutions shall instead be filed with the commissioner. The articles may be amended in any desired respect, including substantial changes of its original purposes, except that no amendment may be made that is contrary to sub. (1). In addition to the requirements of s. 181.1005, the articles of amendment of a mutual holding company shall, if mail voting is used, state the number of members voting by mail and the number of such members voting for and against the amendment. No amendment may become effective until the articles of amendment have been filed with the commissioner. No amendment shall affect any existing cause of action in favor of or against such mutual holding company, any civil, criminal, administrative or investigatory proceeding to which the mutual holding company is a party or the existing rights of persons other than members. In the event that the corporate name is changed by amendment, no suit brought by or against such mutual holding company under its former name shall abate for that reason.
(3)
Bylaws. The bylaws of a mutual holding company shall comply with this chapter. A copy of the bylaws and any amendments to the bylaws shall be filed with the commissioner within 60 days after adoption. Subject to this subsection, ss. 181.0206, 181.0207 and 181.1021 apply to mutual holding companies.
(4)
Principal officers. Sections 181.0840 and 181.0841 apply to mutual holding companies.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.10 - Acquisition, merger or consolidation as part of the plan.

644.10
Acquisition, merger or consolidation as part of the plan.
(1)
The converting insurance company may propose to acquire, or to merge or consolidate with, one or more domestic or foreign insurers, or both, as part of a mutual holding company plan under s. 644.07. The commissioner shall approve the acquisition, merger or consolidation as part of the mutual holding company plan and shall approve the continued corporate existence of any domestic insurer that is a party to the plan under this section as a subsidiary of the mutual holding company or any intermediate stock holding company, if any of the following applies:
(a)
In the case of a domestic stock corporation, no grounds for disapproval exist under s. 611.72 (3) (am).
(b)
In the case of a domestic mutual, no grounds for disapproval exist under s. 611.73 (3) (a) and the domestic mutual has complied with s. 644.07 (2) to (8). The converting insurance company and any domestic mutual that the converting insurance company proposes to acquire, or merge or consolidate with, may adopt one plan. The commissioner may combine the hearings required under s. 644.07 (6) for the converting insurance company and any domestic mutual that is the subject of the acquisition by, or merger or consolidation with, the converting insurance company. Section 644.07 (9), (10) (b) to (f), and (11) applies to a domestic mutual acquired by, merged into, or consolidated with a converting insurance company under this section.
(2)
Any foreign insurer acquired under a plan under this section may remain a foreign company after such acquisition and may be admitted to do business in this state if it meets the applicable requirements of ch. 618.
History:  1997 a. 227; 2013 a. 279.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.12 - Transfers of a mutual holding company's place of domicile to this state.

644.12
Transfers of a mutual holding company's place of domicile to this state.
(1)
A mutual holding company that is domiciled in another state and that desires to become a domestic mutual holding company may submit to the commissioner an application for a certificate of incorporation. The application shall comply with rules promulgated under sub. (2) and shall include or have attached any other relevant documents or information that the commissioner reasonably requires. Upon review of the application, the commissioner may issue a certificate of incorporation if the commissioner determines that all the following are satisfied:
(a)
The applicant is in compliance with the provisions of this chapter that apply to domestic mutual holding companies.
(b)
The directors and officers of the applicant are trustworthy and competent and collectively have the competence and experience to engage in the business proposed.
(c)
The applicant's insurance company subsidiary that converted from a mutual has become a domestic insurer under s. 611.223.
(2)
The commissioner shall by rule specify the required contents and form of an application under sub. (1). In determining the required contents, the commissioner shall consider the information and documents that will permit the commissioner to determine whether the requirements of sub. (1) (a) to (c) are satisfied.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.13 - Restrictions on ownership.

644.13
Restrictions on ownership.
(1)
In this section:
(a)
“Beneficial ownership", with respect to any voting stock, has the same meaning as provided by the rules administering section 16 of the Securities Exchange Act of 1934.
(b)
“Offer" means any of the following:
1.
An offer to buy or acquire voting stock, or an interest in voting stock, for value.
2.
A solicitation of an offer to sell voting stock, or an interest in voting stock, for value.
3.
A tender offer for voting stock, or an interest in voting stock, for value.
4.
A request or invitation for tenders of voting stock, or an interest in voting stock, for value.
(2)
(a)
Before the date that is one year after the initial sale to 3rd parties in a public offering of voting stock of the converted insurance company or any intermediate stock holding company, the directors, officers and other members of management of the mutual holding company, any intermediate stock holding company and the converted insurance company are prohibited from acquiring or offering to acquire, in any manner, the legal or beneficial ownership of any class of voting stock of the converted insurance company or intermediate stock holding company, except that this paragraph shall not in any way limit the rights of the directors, officers or other members of management to exercise subscription rights generally accorded to members of the mutual holding company.
(b)
Except as otherwise provided by the commissioner by rule, beginning on the date that is one year after the initial sale to 3rd parties of voting stock of the converted insurance company or any intermediate stock holding company, the directors, officers and other members of management of the mutual holding company, any intermediate stock holding company and the converted insurance company may not do any of the following:
1.
Acting individually, directly or indirectly acquire or offer to acquire, in any manner, the legal or beneficial ownership of more than 5 percent of any class of voting stock of the converted insurance company or intermediate stock holding company.
2.
In the aggregate, directly or indirectly acquire or offer to acquire, in any manner, the legal or beneficial ownership of more than 10 percent of any class of voting stock of the converted insurance company or intermediate stock holding company.
(3)
(a)
In the event of any violation of sub. (2), or of any action which, if consummated, might constitute such a violation, all voting stock of any intermediate stock holding company or the converted insurance company that is acquired by any person in excess of the maximum amount permitted to be acquired by such person under sub. (2) shall be considered to be nonvoting stock of any such intermediate stock holding company or converted insurance company, as the case may be.
(b)
In addition to the result specified in par. (a), the violation or action is subject to the enforcement procedures under s. 601.64.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.14 - Member rights.

644.14
Member rights.
(1)
Communication to members; member voting. Subject to this section, ss. 611.41, 611.42 (1), (1e), (1m), (2), (3), (4) (a) and (5), 611.43 and 611.53 (2) apply to mutual holding companies.
(2)
Notice of regular meetings and elections. Notice of the time and place of regular meetings or elections may be given to a member by printing such time and place conspicuously on each policy under which the member derives a membership interest, or in such other reasonable manner as the commissioner approves or requires.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.15 - Sale of voting stock; subscription rights; dividends.

644.15
Sale of voting stock; subscription rights; dividends.
(1)
(a)
No solicitation for the initial sale to 3rd parties of the voting stock of the converted insurance company or any intermediate stock holding company may be made without the approval of the commissioner under s. 611.31 (2) and without the approval of the commissioner and the members of the mutual holding company as follows:
1.
If the mutual holding company plan includes a plan for the initial sale of voting stock, such approval shall be given at the time that the mutual holding company plan is approved under s. 644.07 (7) and (8).
2.
If the mutual holding company plan does not include a plan for the initial sale of voting stock of the converted insurance company or any intermediate stock holding company, the board of the converted insurance company or any intermediate stock holding company, following the procedures under s. 644.07 (2) to (8), may adopt a plan for the initial sale of voting stock to 3rd parties at any future date.
(b)
Prior to every issue of voting stock of the converted insurance company and any intermediate stock holding company, the commissioner, in addition to the approval required under s. 611.31 (2), shall approve the price of the stock, or the procedure for setting and determining the price of the stock, as fair and equitable to the company issuing the stock.
(2)
No initial public offering of voting stock of the converted insurance company or any intermediate stock holding company may be conducted unless the persons who were members of the mutual holding company at the time such offering was approved by resolution of the board are afforded subscription rights in conjunction with the stock offering.
(3)
If the converted insurance company is a life insurance company, before any approval for the initial sale of voting stock is granted the commissioner shall find the dividend plan fair and equitable to policyholders.
(4)
Dividends and other distributions to the shareholders of the converted insurance company or any intermediate stock holding company of a converted insurance company may not be made except in compliance with ss. 617.22 and 617.225.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.16 - Board of directors, committees and records.

644.16
Board of directors, committees and records.
(1)
Board of directors. Subject to this section, ss. 181.0801 (1) and (2), 181.0802, 181.0811, 611.51 (2), (3), (5) and (8) and 611.53 (1) and (3) apply to mutual holding companies. Section 181.0824 applies to the board of a mutual holding company except as modified by s. 611.10. The board shall manage the business and affairs of the corporation and may not delegate its power or responsibility to do so, except to the extent authorized by ss. 181.0825 and 181.0841.
(2)
Committees of directors. Section 181.0825 applies to mutual holding companies.
(3)
Records.
(a)
Section 611.51 (9) (am) and (b) applies to mutual holding companies.
(b)
Any provision of this chapter or of the articles or bylaws of a mutual holding company that requires the keeping of records concerning the names and addresses of members entitled to vote shall be considered complied with by the keeping of a record of the names of policyholders of, and the names and addresses of insureds or persons paying premiums on the policies of, the converted insurance company. Any provision of this chapter or of the articles or bylaws of a mutual holding company that requires the mailing or sending of notices, reports, proposals, ballots or other materials to a member shall be considered complied with if such mailing is made to the insured or the person paying premiums on the policy of the converted insurance company, for delivery to the policyholder.
(4)
Director conflicts of interest. Section 611.60 applies to mutual holding companies.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.18 - Directors' and officers' liability and indemnification.

644.18
Directors' and officers' liability and indemnification.
(1)
Liability. Sections 181.0850 to 181.0855, except s. 181.0855 (2) (c), apply to mutual holding companies.
(2)
Indemnification. Sections 181.0871 to 181.0881 and 181.0889 apply to mutual holding companies.
(3)
Insurance. Section 181.0883 applies to mutual holding companies.
(4)
Derivative actions. Sections 181.0740 to 181.0747 apply to mutual holding companies.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.19 - Executive compensation.

644.19
Executive compensation.
(1)
General. Section 611.63 (4) and (5) applies to mutual holding companies.
(2)
Approval by members. A benefit plan or amendment to a benefit plan that proposes to provide benefits in the form of stock or stock options of a converted insurance company or any intermediate stock holding company to the directors or officers of the converted insurance company, intermediate stock holding company or mutual holding company may not take effect unless it is submitted to a vote of the members of the mutual holding company and approved by a majority of the members voting. Notice of a meeting at which a vote under this subsection will be taken shall be given in accordance with s. 644.14 (1) or (2).
(3)
Notice to commissioner. The commissioner may by rule require that any action taken by the board of a mutual holding company, or the board of any intermediate stock holding company, on any of the subjects specified in s. 181.0302 (11) to (14) be reported to the commissioner within 30 days after the action is taken.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.20 - Management contract services.

644.20
Management contract services.
A mutual holding company may not be a party to a contract that has the effect of delegating to a person, to the substantial exclusion of the board, the authority to exercise any management control of the mutual holding company or of any of its major corporate functions.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.23 - Authority to issue mutual bonds and contribution notes.

644.23
Authority to issue mutual bonds and contribution notes.
Section 611.33 (2) (a), (b), (c) and (e) applies to mutual holding companies. In the event of dissolution under this chapter, unpaid amounts of principal and interest on contribution notes shall be subordinated to the payment of principal and interest on any mutual bonds issued by the mutual holding company at any time.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.24 - Subsequent restructuring.

644.24
Subsequent restructuring.
A mutual holding company, in conjunction with the converted insurance company and any intermediate stock holding company, may merge together and convert into a mutual insurance company if the requirements of ss. 611.72 and 611.75 are met and the members of the mutual holding company vote to approve the merger and conversion into a mutual insurance company.
History:  1997 a. 227.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.26 - Transfer of business or assets of mutual holding companies.

644.26
Transfer of business or assets of mutual holding companies.
(1)
A sale, lease, exchange or other disposition of less than substantially all of the property and assets of a mutual holding company, and the mortgage or pledge of any or all property and assets of a mutual holding company, whether or not made in the usual and regular course of its affairs, may be made upon the terms and conditions authorized by the mutual holding company's board of directors. Unless otherwise provided by the articles of incorporation, consent of the members is not required for a sale, lease, exchange or other disposition of property, or for a mortgage or pledge of property, authorized under this subsection.
(2)
A sale, lease, exchange or other disposition of all or substantially all of the property and assets of a mutual holding company may be made upon such terms and conditions as may be authorized in the following manner:
(a)
If the articles of incorporation give members the right to vote on the sale, lease, exchange or other disposition of all or substantially all of the mutual holding company's property and assets, the board of directors shall adopt a resolution recommending the sale, lease, exchange or other disposition and directing that it be submitted to a vote at an annual or special meeting of the members. Written notice stating that the purpose, or one of the purposes, of the meeting is to consider the sale, lease, exchange or other disposition of all or substantially all of the property and assets of the mutual holding company shall be given to each member entitled to vote at the meeting, within the time and in the manner provided by this chapter for providing notice of member meetings. At the meeting, the members may authorize the sale, lease, exchange or other disposition and may authorize the board of directors to fix any or all of the terms and conditions of the sale, lease, exchange or other disposition. The authorization shall be by the affirmative vote of at least two-thirds of the members present or represented by proxy at the meeting. After the authorization by a vote of the members, the board of directors, nevertheless, in its discretion, may abandon the sale, lease, exchange or other disposition, subject to the rights of 3rd parties under any contracts relating thereto, without further action or approval by the members.
(b)
If the articles of incorporation do not give members the right to vote on the sale, lease, exchange or other disposition of all or substantially all of a mutual holding company's property and assets, the sale, lease, exchange or other disposition may be authorized by the vote of the majority of the directors in office.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.28 - Voluntary dissolution of domestic mutual holding companies.

644.28
Voluntary dissolution of domestic mutual holding companies.
(1)
Plan of dissolution. Subject to this section, ss. 181.1401 to 181.1407 apply to mutual holding companies.
(2)
Approval by the commissioner.
(a)
At least 60 days prior to the submission to members of any proposed voluntary dissolution of a mutual holding company under s. 181.1401, the plan shall be filed with the commissioner. The commissioner may require the submission of additional information relevant to the effect of the proposed dissolution on the solvency of the converted insurance company. The commissioner shall approve the dissolution unless, after a hearing, the commissioner finds that dissolution of the mutual holding company would cause the converted insurance company to become insolvent, would be unfair or inequitable to the members of the mutual holding company or would not be in the best interests of the policyholders of the converted insurance company or the public.
(b)
The acquisition of the converted insurance company and any other insurance company owned directly or indirectly by a dissolving mutual holding company shall be subject to ss. 611.71 and 611.72 and ch. 617.
(3)
Revocation of voluntary dissolution. If the mutual holding company revokes the voluntary dissolution proceedings under s. 181.1404, a copy of the resolution revoking the voluntary dissolution proceedings adopted under s. 181.1404 shall be filed with the commissioner.
(4)
Filing and recording articles of dissolution and effect thereof. Upon approval by the commissioner under sub. (2) and by the members under s. 181.1401, the mutual holding company shall file articles of dissolution with the commissioner. When the articles are filed, the existence of the mutual holding company shall cease, except for the purpose of suits, other proceedings and appropriate corporate action of members, directors and officers as provided in this chapter and in ss. 181.1401 to 181.1407. Upon the filing of the articles, the commissioner may issue a certificate of dissolution.
(5)
Distribution of assets. No distribution may be made to members of a mutual holding company in excess of the amounts to which they would be entitled under s. 645.72 (4) (b) had the converted insurance company not reorganized and formed a mutual holding company. Any excess over such amounts shall be paid into the state treasury to the credit of the common school fund.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 644 - Domestic mutual insurance holding companies. › 644.29 - Involuntary dissolution of domestic mutual holding companies.

644.29
Involuntary dissolution of domestic mutual holding companies.
A mutual holding company may at any time during a voluntary dissolution under ss. 181.1401 to 181.1407 apply to the commissioner to have dissolution continued under the commissioner's supervision. Any distribution to members shall be limited in the same manner as under s. 644.28 (5) and any excess over such amounts shall be paid into the state treasury to the credit of the common school fund.
History:  1997 a. 227; 1999 a. 30.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.01 - Short title, construction and purpose.

645.01
Short title, construction and purpose.
(1)
Short title. This chapter may be cited as the “Insurers Rehabilitation and Liquidation Act".
(2)
Construction: no limitation of powers. This chapter shall not be interpreted to limit the powers granted the commissioner by other provisions of the law.
(3)
Liberal construction. This chapter shall be liberally construed to effect the purpose stated in sub. (4).
(4)
Purpose. The purpose of this chapter is the protection of the interests of insureds, creditors, and the public generally, with minimum interference with the normal prerogatives of proprietors, through:
(a)
Early detection of any potentially dangerous condition in an insurer, and prompt application of appropriate corrective measures, neither unduly harsh nor subject to the kind of publicity that would needlessly damage or destroy the insurer;
(b)
Improved methods for rehabilitating insurers, by enlisting the advice and management expertise of the insurance industry;
(c)
Enhanced efficiency and economy of liquidation, through clarification and specification of the law, to minimize legal uncertainty and litigation;
(d)
Equitable apportionment of any unavoidable loss;
(e)
Lessening the problems of interstate rehabilitation and liquidation by facilitating cooperation between states in the liquidation process, and by extension of the scope of personal jurisdiction over debtors of the insurer outside this state; and
(f)
Regulation of the insurance business by the impact of the law relating to delinquency procedures and substantive rules on the entire insurance business.
History:  1979 c. 89, 102, 177.
Although the circuit court had subject matter jurisdiction, because New Jersey has adopted insurance rehabilitation legislation similar to ch. 645 that seeks to satisfy the same policy objectives as ch. 645, the principal of comity required the court to yield to the rehabilitation court in New Jersey and dismiss the claim of a Wisconsin resident against the insurer. Isermann v. MBL Life Assurance Corp. 231 Wis. 2d 136, 605 N.W.2d 210 (Ct. App. 1999), 98-2846.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.02 - Persons covered.

645.02
Persons covered.
The proceedings authorized by this chapter may be applied to all of the following:
(1)
All insurers who are doing, or have done, an insurance business in this state, and against whom claims arising from that business may exist now or in the future.
(2)
All insurers who purport to do an insurance business in this state.
(3)
All insurers who have insureds resident in this state.
(4)
All other persons organized or in the process of organizing with the intent to do an insurance business in this state.
(5)
All service insurance corporations under ch. 613 and all fraternals as defined in s. 614.01.
(6)
All licensees under ch. 616.
(7)
All health maintenance organizations, limited service health organizations and preferred provider plans organized under ss. 185.981 to 185.985.
History:  1975 c. 223, 373, 374; 1979 c. 93, 261, 355; 1985 a. 29; 2013 a. 271.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.035 - Bankruptcy petition is prohibited.

645.035
Bankruptcy petition is prohibited.
(1)
In this section, “bankruptcy proceeding" means any proceeding under 11 USC 101 to 1330.
(2)
No insurer may commence a bankruptcy proceeding in which the insurer is a debtor.
(3)
No person, including an insurer, may commence a bankruptcy proceeding against an insurer.
(4)
No board of directors, director or officer of an insurer may authorize the commencement of a bankruptcy proceeding in which the insurer is a debtor or the commencement of a bankruptcy proceeding against an insurer. Any act, resolution, filing or other matter that purports to authorize the commencement of a bankruptcy proceeding in which the insurer is a debtor or against an insurer is void and without effect.
(5)
This section applies to all insurers, including but not limited to an insurer doing business as a health maintenance organization, as defined in s. 609.01 (2).
History:  1989 a. 23.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.06 - Costs and expenses of litigation.

645.06
Costs and expenses of litigation.
In any proceeding or action brought by the commissioner or a receiver under this chapter, the court may award such costs and other expenses of litigation to the commissioner or receiver as justice requires, without regard to the limitations otherwise prescribed by law.
History:  1989 a. 23.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.07 - Cooperation of officers and employees.

645.07
Cooperation of officers and employees.
(1)
Duty to cooperate. Any officer, manager, trustee or general agent of any insurer, any attorney representing an insurer on any matter, and any other person with executive authority over or in charge of any segment of the insurer's affairs shall cooperate with the commissioner in any proceeding under this chapter or any investigation preliminary or incidental to the proceeding. “To cooperate" includes:
(a)
To reply promptly in writing to any inquiry from the commissioner requesting a reply; and
(b)
To make available and deliver to the commissioner any books, accounts, documents or other records, or information or property of or pertaining to the insurer and in the person's possession, custody or control.
(2)
Duty not to obstruct. No person may obstruct or interfere with the commissioner in the conduct of any delinquency proceeding or any investigation preliminary or incidental thereto.
(3)
Right to defend. This section does not make it illegal to resist by legal proceedings the petition for liquidation or other delinquency proceedings, or other orders.
(4)
Sanction. Any person included within sub. (1) who fails to cooperate with the commissioner, or any person who obstructs or interferes with the commissioner in the conduct of any delinquency proceeding or any investigation preliminary or incidental thereto, is subject to s. 601.64.
History:  1979 c. 93; 1979 c. 102 ss. 196, 236 (15); 1979 c. 177.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.08 - Bonds; immunity.

645.08
Bonds; immunity.
(1)
Bonds. In any proceeding under this chapter the commissioner and the commissioner's deputies are responsible on their official bonds for the faithful performance of their duties. If the court deems it desirable for the protection of the assets, it may at any time require an additional bond from the commissioner or the commissioner's deputies.
(2)
Immunity. No civil cause of action may arise against and no civil liability may be imposed upon the state, commissioner, special deputy commissioner, rehabilitator or liquidator, or their employees or agents, or the insurance security fund under ch. 646 or its agents, employees, directors or contributor insurers, for an act or omission by any of them in the performance of their powers and duties under this chapter or in the performance of their powers and duties relating to regulation of the capital or solvency of an insurer under chs. 600 to 646, including the compulsory or security surplus requirements under ch. 623. This subsection does not apply to a civil cause of action arising from an act or omission that is criminal under ch. 943. Such a cause of action, however, may be barred or limited by common law, sovereign immunity, governmental immunity or otherwise by law.
History:  1979 c. 93; 1979 c. 102 s. 236 (14); 1989 a. 23; 1996 a. 396.
Sub. (2) does not bar a rehabilitation plan from extending immunity to individuals and entities not listed in this section. There is no such limiting language in the statute. Nickel v. Wells Fargo Bank, 2013 WI App 129, 351 Wis. 2d 539, 841 N.W.2d 482, 10-2022.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.09 - Commissioner's reports.

645.09
Commissioner's reports.
(1)
General report of proceedings. The commissioner may include in his or her annual report:
(a)
Formal proceedings. The names of the insurers proceeded against under ss. 645.31, 645.41, 645.45, 645.81, 645.82 and 645.84, and such other facts as indicate in reasonable detail the commissioner's formal proceedings under this chapter; and
(b)
Informal proceedings. Such facts as generally indicate the utilization and effectiveness of proceedings under ss. 645.21, 645.22 and 645.23.
(2)
Special reports.
(a)
Causes of delinquency. The commissioner may include in his or her annual report, not later than the 2nd annual report following the initiation of any formal proceedings under this chapter, a detailed analysis of the basic causes and the contributing factors making the initiation of formal proceedings necessary, and may make recommendations for remedial legislation. For this purpose the commissioner may appoint a special assistant qualified in insurance, finance, and accounting to conduct the study and prepare the analysis, and may determine the special assistant's compensation, which shall be paid from the appropriation under s. 20.145 (1) (g) 1.
(b)
Final study. The commissioner may include in his or her annual report, not later than the 2nd annual report following discharge of the receiver, a detailed study of the delinquency proceeding for each insurer subjected to a formal proceeding, with an analysis of the problems faced and their solutions. The commissioner may also suggest alternative solutions, as well as other material of interest, for the purpose of assisting and guiding liquidators or rehabilitators in the future. For this purpose the commissioner may appoint a special assistant qualified to conduct the study and prepare the analysis, and may determine his or her compensation, which shall be paid from the appropriation under s. 20.145 (1) (g) 1.
(3)
Reports on insurers subject to proceedings. The commissioner as receiver shall make and file annual reports and any other required reports for the companies proceeded against under ss. 645.31, 645.41, 645.45, 645.81, 645.82 and 645.84 in the manner and form and within the time required by law of insurers authorized to do business in this state, and under the same penalties for failure to do so.
History:  1979 c. 102 ss. 197, 236 (13), (14); 1979 c. 221; 2007 a. 20.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.10 - Continuation of delinquency proceedings.

645.10
Continuation of delinquency proceedings.
Every proceeding commenced before August 5, 1967 is deemed to have commenced under this chapter for the purpose of conducting the proceeding thereafter, except that in the discretion of the commissioner the proceeding may be continued, in whole or in part, as it would have been continued had this chapter not been enacted.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.11 - Effect of amendments of this chapter.

645.11
Effect of amendments of this chapter.
Every proceeding commenced under this chapter before December 9, 1979, is subject to the amendments of this chapter by chapter 93, laws of 1979, except as to rights which have fully vested before December 9, 1979.
History:  1979 c. 93, 109, 154.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.21 - Commissioner's summary orders.

645.21
Commissioner's summary orders.
(1)
Summary order after hearing. Whenever the commissioner has reasonable cause to believe, and determines, after a hearing held as prescribed in s. 601.62, that any insurer has committed or engaged in, or is committing or engaging in or is about to commit or engage in any act, practice or transaction, or is in or is about to get into a situation that would subject it to formal delinquency proceedings under this chapter, the commissioner may make and serve upon the insurer and any other persons involved, such orders other than seizure orders under ss. 645.22 and 645.23 as are reasonably necessary to correct, eliminate or remedy such conduct, condition or ground.
(2)
Summary order before hearing. If the conditions of sub. (1) are satisfied, and if it appears to the commissioner that irreparable harm to the property or business of the insurer or to the interests of its policyholders, creditors or the public may occur unless the commissioner issues with immediate effect the orders described in sub. (1), the commissioner may make and serve such orders without notice and before hearing, simultaneously serving upon the insurer notice of hearing under s. 601.62.
(4)
Judicial relief. If the commissioner issues a summary order before hearing under sub. (2), the insurer may at any time waive the commissioner's hearing and apply for immediate judicial relief by means of any remedy afforded by law without first exhausting administrative remedies. Subsequent to a hearing the insurer or any person whose interests are substantially affected is entitled to judicial review of any order issued by the commissioner.
History:  1971 c. 42, 260; 1979 c. 93, 102, 177; 1991 a. 316.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.22 - Court's seizure order.

645.22
Court's seizure order.
(1)
Issuance. Upon the filing by the commissioner in any circuit court in this state of a verified petition alleging any ground that would justify a court order for a formal delinquency proceeding against an insurer under this chapter and that the interests of policyholders, creditors or the public will be endangered by delay, and setting out the order considered necessary by the commissioner, the court shall issue forthwith, ex parte and without a hearing, the requested order, which may do any of the following:
(a)
Direct the commissioner to take possession and control of all or a part of the property, books, accounts, documents and other records of an insurer and of the premises occupied by it for the transaction of its business.
(b)
Until further order of the court, enjoin the insurer and its officers, managers, agents, and employees from disposition of its property and from transaction of its business except with the written consent of the commissioner.
(2)
Duration. The court shall specify in the order what its duration shall be, which shall be such time as the court deems necessary for the commissioner to ascertain the condition of the insurer. On motion of either party or on its own motion, the court may hold such hearings as it deems desirable after such notice as it deems appropriate, and may extend, shorten or modify the terms of the seizure order. The court shall vacate the seizure order if the commissioner fails to commence a formal proceeding under this chapter after having had a reasonable opportunity to do so. The issuance of an order of the court pursuant to a formal proceeding under this chapter vacates the seizure order.
(3)
Anticipatory breach. Entry of a seizure order under this section does not constitute an anticipatory breach of any contract of the insurer.
History:  1979 c. 93; 1995 a. 225; 1997 a. 35.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.23 - Commissioner's seizure order.

645.23
Commissioner's seizure order.
(1)
Issuance. If it appears to the commissioner that the interests of creditors, policyholders or the public will be endangered by the delay incident to asking for a court seizure order, then on any ground that would justify a court seizure order under s. 645.22, without notice and without applying to the court, the commissioner may issue a seizure order which must contain a verified statement of the grounds for the action. As directed by the seizure order, the commissioner's representatives shall forthwith take possession and control of all or part of the property, books, accounts, documents and other records of the insurer, and of the premises occupied by the insurer for the transaction of its business. The commissioner shall retain possession and control until the order is vacated or is replaced by an order of the court pursuant to a proceeding commenced under sub. (2) or a formal proceeding under this chapter.
(2)
Judicial review. At any time after seizure under sub. (1), the insurer may apply to the circuit court for Dane County or for the county in which the insurer's principal office is located. The court shall thereupon order the commissioner to appear forthwith and shall proceed thereafter as if the order were a court seizure order issued under s. 645.22.
(3)
Duty to assist commissioner. Every law enforcement officer shall assist the commissioner in making and enforcing any such seizure, and every sheriff's and police department shall furnish the commissioner with such deputies, patrolmen or officers as are necessary to assist in the seizure.
(4)
Anticipatory breach. Entry of a seizure order under this section does not constitute an anticipatory breach of any contract of the insurer.
History:  1979 c. 93, 102.
2023 Wisconsin Statutes & Annotations › Chapter 645 - Insurers rehabilitation and liquidation. › 645.24 - Conduct of hearings in summary proceedings.

645.24
Conduct of hearings in summary proceedings.
(1)
Confidentiality of commissioner's hearings. The commissioner shall hold all hearings in summary proceedings privately unless the insurer requests a public hearing, in which case the hearing shall be public.
(2)
Confidentiality of court hearings. The court may hold all hearings in summary proceedings and judicial reviews thereof privately in chambers, and shall do so on request of the insurer proceeded against.
(3)
Records. In all summary proceedings and judicial reviews thereof, all records of the company, other documents, and all office of the commissioner of insurance files and court records and papers, so far as they pertain to or are a part of the record of the summary proceedings, shall be and remain confidential except as is necessary to obtain compliance therewith, unless the court, after hearing arguments from the parties in chambers, orders otherwise, or unless the insurer requests that the matter be made public. Until the court order is issued, all papers filed with the clerk of the court shall be held by the clerk in a confidential file.
(4)
Parties. If at any time it appears to the court that any person whose interest is or will be substantially affected by an order did not appear at the hearing and has not been served, the court may order that notice be given and the proceedings be adjourned to give the person opportunity to appear on just terms.
(5)
Sanctions. Any person having possession or custody of and refusing to deliver any of the property, books, accounts, documents or other records of an insurer against which a seizure order or a summary order has been issued by the commissioner or by the court, is subject to s. 601.64.
History:  1979 c. 93, 102.