Change in Control
Third Party Administrators
Viatical Settlement Brokers
Viatical Settlement Investment Agents
Viatical Settlement Providers
Vehicle Mechanical Breakdown Insurers
Property Residual Value Insurers
Utilization Review Organization
Any entity with one or more of the above noted licenses is required to file notice of a change in control. There term “control” is defined in La. R.S. 22:691.2 (3) and means “… the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a person, whether through the ownership of voting securities, by contract other than a commercial contract for goods or nonmanagement services, or otherwise, unless the power is the result of an official position with or corporate office held by the person. Control shall be presumed to exist if any person, directly or indirectly, owns, controls, holds with the power to vote, or holds proxies representing, ten percent or more of the voting securities of any other person.”
The notice must include the following
- An explanation of the transaction which led to the change of control.
- A detailed description of the current corporate organizational/ownership structure of the licensee, its parent company and all affiliates.This description should include a chart showing the ownership percentages for any persons owning 10 percent or more of the applicant and all affiliated entities up to and including the ultimate controlling person.The chart must include the state of domicile and the Federal Employer Identification Number (FEIN) for each person. For a sample chart click here. If there is no person who owns, directly or indirectly, 10 percent or more of the applicant then you must provide a statement to that effect in lieu of this exhibit.
- Completed biographical affidavits for all persons responsible for the conduct of affairs of the licensee.This should include all officers, all directors, all partners (in the case of a partnership), all trustees, all executive committee members and all person(s) owning, directly or indirectly, 10 percent or more of the licensee and any other person who exercises control or influence over the affairs of the licensee.Only the most recent version of the affidavit adopted by the National Association of Insurance Commissioners is acceptable.Click here to go to the acceptable form.
- If there are changes to the officer and directors of the licensee as a result of the change of control, the required information and notice must be supplied.Click here to see the filing requirements for changes in officer and directors of a licensee.
The required information must be submitted no later than thirty days of the effective date for viatical settlement brokers, viatical settlement investment agents and viatical settlement provider and within sixty days of the effective date for all other license types.
There is no fee associated with this filing.
Below are the applicable statutory citations for each license type