ALJDEC

99A-192-INS · Department of Insurance · 1999-10-18

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: October 18, 1999 APPEARANCES: Werner Meyer, Esq. on behalf of Petitioner; Kurt Regner on behalf of the Arizona Department of Insurance ADMINISTRATIVE LAW JUDGE: Lewis D. Kowal _____________________________________________________________________

On October 18, 1999, a hearing took place to consider the application of Comerica Insurance Company (the "Petitioner"), to withdraw from the insurance business and for the release of its statutory deposit pursuant to A.R.S. §20-588 and A.A.C. R20-6-303. Based upon the entire record in this matter, the following Findings of Fact, Conclusions of Law and Recommended Order are made: FINDINGS OF FACT Petitioner has surrendered its certificate of authority to the Arizona Department of Insurance (“Department”). Petitioner has filed with the Department certified copies of Resolutions of the Petitioner's Board of Directors and of the Petitioner's shareholder(s) to withdraw from the insurance business, to amend its articles of incorporation to eliminate its insuring powers, and to adopt a new corporate name which shall not include the word "insurance".

Petitioner has no insurance obligations owing to it, whether by policies written direct or by reinsurance ceded to it. Petitioner has filed its certified financial statement as of July 31, 1999, with the Department. At least ten business days before the hearing of this matter, Petitioner gave special notice to creditors and policyholders of the Petitioner, setting forth the date, place, nature and purpose of the hearing, as evidenced by an affidavit of publication. Petitioner also provided individual notice by mail to its known creditors, as evidenced by an affidavit. Petitioner has a $100,000.00 statutory deposit with the Department and a $100.00 deposit with the Insurance Examiners’ Revolving Fund (“IERF”). Petitioner waived the notice requirements set forth in A.R.S. §41- 1092.05(D) CONCLUSIONS OF LAW Petitioner has complied with the provisions of A.R.S. §20-588 and with A.A.C. R20-6-303, relating to the release of its $100,000.00 statutory deposit. RECOMMENDED ORDER Petitioner may file its Articles of Amendment to its Articles of Incorporation (“Articles of Amendment”) with the Arizona Corporation Commission. Petitioner is entitled to the release of its statutory deposit in the sum of $100,000.00 and Petitioner's statutory deposit shall be released to Petitioner after the Department has received the following: (a) a copy of Petitioner’s Articles of Amendment certified as having been filed with the Arizona Corporation Commission; and (b) a fully executed Form E126 (Notice of Trust Deposit Release). The statutory deposit cannot be released until the Department receives a fully executed copy of the official State Treasurer Release Receipt Form E101. The sum of $100.00 previously credited to the IERF shall be refunded to Petitioner, pursuant to A.R.S. §20-159. Petitioner shall file its 1999 Annual Statement with the Department, together with all applicable fees, unless Petitioner files its Articles of Amendment with the Arizona Corporation Commission on or before December 31, 1999. Done this day, October 26, 1999

______________________________________ Lewis D. Kowal Administrative Law Judge

Original transmitted by mail this ____ day of ____________, 1999, to:

Department of Insurance Mr. Charles R. Cohen 2910 North 44th Street, Ste. 210 Phoenix, AZ 85018

ATTN: Curvey Burton

By ___________________________

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Office of Administrative Hearings 1400 West Washington, Suite 101 Phoenix, Arizona 85007 (602) 542-9826