{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/38.2-1518.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/38.2-1518.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/38.2-1518.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/38.2-1518.html"}],"law_id":361484,"edition_id":2,"section_id":361484,"structure_id":51682,"section_number":"38.2-1518","catch_line":"Rehabilitation or mutualization of companies","history":"Code 1950, \u00a7 38-139; 1952, c. 317, \u00a7 38.1-142; 1986, c. 562.","full_text":"If at any time the Commission acting as the receiver finds that it is in the best interests of the policyholders and creditors of a delinquent insurer that it be rehabilitated or mutualized, the Commission shall prepare a plan of rehabilitation or mutualization. If at any time a receiver, other than the Commission, of a delinquent insurer reports to the court that it is in the best interests of the policyholders and creditors of the insurer that it be rehabilitated or mutualized, the receiver shall submit a plan of rehabilitation or mutualization to the court for its approval. The plan may include a provision imposing liens upon the net equities of policyholders of the insurer, and in the case of life insurers, a provision imposing a moratorium upon the loan or cash surrender values of the policies for whatever period of time is necessary. A hearing on the plan shall be held and notice of the hearing given in a manner prescribed by either the Commission or the court. After the hearing, the plan may be approved, disapproved, or modified by the Commission or the court.\n\n","order_by":null,"text":{"0":{"id":1345428,"text":"If at any time the Commission acting as the receiver finds that it is in the best interests of the policyholders and creditors of a delinquent insurer that it be rehabilitated or mutualized, the Commission shall prepare a plan of rehabilitation or mutualization. If at any time a receiver, other than the Commission, of a delinquent insurer reports to the court that it is in the best interests of the policyholders and creditors of the insurer that it be rehabilitated or mutualized, the receiver shall submit a plan of rehabilitation or mutualization to the court for its approval. The plan may include a provision imposing liens upon the net equities of policyholders of the insurer, and in the case of life insurers, a provision imposing a moratorium upon the loan or cash surrender values of the policies for whatever period of time is necessary. A hearing on the plan shall be held and notice of the hearing given in a manner prescribed by either the Commission or the court. After the hearing, the plan may be approved, disapproved, or modified by the Commission or the court.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":51682,"edition_id":2,"name":"Rehabilitation and Liquidation of Insurers","identifier":"15","label":"chapter","depth":2,"order_by":15,"parent_id":51644,"metadata":{"child_laws":23,"child_structures":0},"date_created":"2026-08-02 02:46:19","date_modified":"2026-08-02 12:33:03","permalink":{"id":1439119,"object_type":"structure","relational_id":51682,"identifier":"15","token":"38.2\/15","url":"\/38.2\/15\/","edition_id":2,"permalink":0,"preferred":1}},{"id":51644,"edition_id":2,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":88,"parent_id":null,"metadata":{"child_laws":1890,"child_structures":173},"date_created":"2026-08-02 02:45:30","date_modified":"2026-08-02 12:32:55","permalink":{"id":1437663,"object_type":"structure","relational_id":51644,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":361466,"structure_id":51682,"section_number":"38.2-1500","catch_line":"Scope of chapter","url":"\/38.2-1500\/","token":"38.2\/15\/38.2-1500","metadata":false},{"id":361467,"structure_id":51682,"section_number":"38.2-1501","catch_line":"Definitions","url":"\/38.2-1501\/","token":"38.2\/15\/38.2-1501","metadata":false},{"id":361468,"structure_id":51682,"section_number":"38.2-1502","catch_line":"Jurisdiction and procedure","url":"\/38.2-1502\/","token":"38.2\/15\/38.2-1502","metadata":false},{"id":361469,"structure_id":51682,"section_number":"38.2-1503","catch_line":"Grounds for delinquency proceedings commenced by Commission against domestic insurer","url":"\/38.2-1503\/","token":"38.2\/15\/38.2-1503","metadata":false},{"id":361470,"structure_id":51682,"section_number":"38.2-1504","catch_line":"Requirements when proceedings instituted by any person other than Commission","url":"\/38.2-1504\/","token":"38.2\/15\/38.2-1504","metadata":false},{"id":361471,"structure_id":51682,"section_number":"38.2-1505","catch_line":"Commission may apply for receiver and for other relief; what orders court may enter","url":"\/38.2-1505\/","token":"38.2\/15\/38.2-1505","metadata":false},{"id":361472,"structure_id":51682,"section_number":"38.2-1506","catch_line":"Requirements when receiver appointed; disbursement of available assets to association, etc","url":"\/38.2-1506\/","token":"38.2\/15\/38.2-1506","metadata":false},{"id":361473,"structure_id":51682,"section_number":"38.2-1507","catch_line":"Further procedure; injunction may be issued","url":"\/38.2-1507\/","token":"38.2\/15\/38.2-1507","metadata":false},{"id":361474,"structure_id":51682,"section_number":"38.2-1508","catch_line":"Powers of Commission when authorized to rehabilitate or liquidate companies","url":"\/38.2-1508\/","token":"38.2\/15\/38.2-1508","metadata":false},{"id":361475,"structure_id":51682,"section_number":"38.2-1509","catch_line":"Powers of Commission when authorized to rehabilitate or liquidate insurers by court order; disbursement of available assets to an association, etc","url":"\/38.2-1509\/","token":"38.2\/15\/38.2-1509","metadata":false},{"id":361476,"structure_id":51682,"section_number":"38.2-1510","catch_line":"Commission may appoint assistants in connection with rehabilitation or liquidation","url":"\/38.2-1510\/","token":"38.2\/15\/38.2-1510","metadata":false},{"id":361477,"structure_id":51682,"section_number":"38.2-1511","catch_line":"Borrowing on pledge of assets","url":"\/38.2-1511\/","token":"38.2\/15\/38.2-1511","metadata":false},{"id":361478,"structure_id":51682,"section_number":"38.2-1512","catch_line":"Rights and liabilities fixed upon liquidation","url":"\/38.2-1512\/","token":"38.2\/15\/38.2-1512","metadata":false},{"id":361479,"structure_id":51682,"section_number":"38.2-1513","catch_line":"Voidable transfers","url":"\/38.2-1513\/","token":"38.2\/15\/38.2-1513","metadata":false},{"id":361480,"structure_id":51682,"section_number":"38.2-1514","catch_line":"Priority of claims for wages","url":"\/38.2-1514\/","token":"38.2\/15\/38.2-1514","metadata":false},{"id":361481,"structure_id":51682,"section_number":"38.2-1515","catch_line":"Mutual debts or credits, how treated","url":"\/38.2-1515\/","token":"38.2\/15\/38.2-1515","metadata":false},{"id":361482,"structure_id":51682,"section_number":"38.2-1516","catch_line":"Receivers to file reports, etc., with Commission","url":"\/38.2-1516\/","token":"38.2\/15\/38.2-1516","metadata":false},{"id":361483,"structure_id":51682,"section_number":"38.2-1517","catch_line":"What included in annual report of Commission","url":"\/38.2-1517\/","token":"38.2\/15\/38.2-1517","metadata":false},{"id":361484,"structure_id":51682,"section_number":"38.2-1518","catch_line":"Rehabilitation or mutualization of companies","url":"\/38.2-1518\/","token":"38.2\/15\/38.2-1518","metadata":false},{"id":361485,"structure_id":51682,"section_number":"38.2-1519","catch_line":"Termination of rehabilitation; when liquidation may be entered","url":"\/38.2-1519\/","token":"38.2\/15\/38.2-1519","metadata":false},{"id":361486,"structure_id":51682,"section_number":"38.2-1520","catch_line":"Liquidation of alien insurers","url":"\/38.2-1520\/","token":"38.2\/15\/38.2-1520","metadata":false},{"id":361487,"structure_id":51682,"section_number":"38.2-1521","catch_line":"Conservation of assets of foreign or alien insurer; when liquidation may be entered","url":"\/38.2-1521\/","token":"38.2\/15\/38.2-1521","metadata":false},{"id":361488,"structure_id":51682,"section_number":"38.2-1522","catch_line":"Qualified financial contracts","url":"\/38.2-1522\/","token":"38.2\/15\/38.2-1522","metadata":false}],"previous_section":{"id":361483,"structure_id":51682,"section_number":"38.2-1517","catch_line":"What included in annual report of Commission","url":"\/38.2-1517\/","token":"38.2\/15\/38.2-1517","metadata":false},"next_section":{"id":361485,"structure_id":51682,"section_number":"38.2-1519","catch_line":"Termination of rehabilitation; when liquidation may be entered","url":"\/38.2-1519\/","token":"38.2\/15\/38.2-1519","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1518\/","history_text":"<p>The record of this law\u2019s original creation isn\u2019t available online. It has been modified 2 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1952, chapter 317; in 1986, chapter 562.<\/p>","references":false,"refers_to":false,"permalink":{"id":1439193,"object_type":"law","relational_id":361484,"identifier":"38.2-1518","token":"38.2\/15\/38.2-1518","url":"\/38.2-1518\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/38.2-1518\/","token":"38.2\/15\/38.2-1518","dublin_core":{"Title":"Rehabilitation or mutualization of companies","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1518","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section><p>If at any time the <span class=\"dictionary\">Commission<\/span> acting as the <span class=\"dictionary\">receiver<\/span> finds that it is in the best interests of the policyholders and <span class=\"dictionary\">creditors<\/span> of a delinquent <span class=\"dictionary\">insurer<\/span> that it be rehabilitated or mutualized, the <span class=\"dictionary\">Commission<\/span> shall prepare a plan of rehabilitation or mutualization. If at any time a <span class=\"dictionary\">receiver<\/span>, other than the <span class=\"dictionary\">Commission<\/span>, of a delinquent <span class=\"dictionary\">insurer<\/span> reports to the <span class=\"dictionary\">court<\/span> that it is in the best interests of the policyholders and <span class=\"dictionary\">creditors<\/span> of the <span class=\"dictionary\">insurer<\/span> that it be rehabilitated or mutualized, the <span class=\"dictionary\">receiver<\/span> shall submit a plan of rehabilitation or mutualization to the <span class=\"dictionary\">court<\/span> for its approval. The plan may include a provision imposing <span class=\"dictionary\">liens<\/span> upon the net equities of policyholders of the <span class=\"dictionary\">insurer<\/span>, and in the case of life <span class=\"dictionary\">insurers<\/span>, a provision imposing a moratorium upon the loan or cash surrender values of the policies for whatever period of time is necessary. A <span class=\"dictionary\">hearing<\/span> on the plan shall be held and notice of the <span class=\"dictionary\">hearing<\/span> given in a manner prescribed by either the <span class=\"dictionary\">Commission<\/span> or the <span class=\"dictionary\">court<\/span>. After the <span class=\"dictionary\">hearing<\/span>, the plan may be approved, disapproved, or modified by the <span class=\"dictionary\">Commission<\/span> or the <span class=\"dictionary\">court<\/span>.<\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nREHABILITATION OR MUTUALIZATION OF COMPANIES (\u00a7 38.2-1518)\n\nIf at any time the Commission acting as the receiver finds that it is in the\nbest interests of the policyholders and creditors of a delinquent insurer that\nit be rehabilitated or mutualized, the Commission shall prepare a plan of\nrehabilitation or mutualization. If at any time a receiver, other than the\nCommission, of a delinquent insurer reports to the court that it is in the best\ninterests of the policyholders and creditors of the insurer that it be\nrehabilitated or mutualized, the receiver shall submit a plan of rehabilitation\nor mutualization to the court for its approval. The plan may include a provision\nimposing liens upon the net equities of policyholders of the insurer, and in the\ncase of life insurers, a provision imposing a moratorium upon the loan or cash\nsurrender values of the policies for whatever period of time is necessary. A\nhearing on the plan shall be held and notice of the hearing given in a manner\nprescribed by either the Commission or the court. After the hearing, the plan\nmay be approved, disapproved, or modified by the Commission or the court.\n\nHISTORY: Code 1950, \u00a7 38-139; 1952, c. 317, \u00a7 38.1-142; 1986, c. 562.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}