Georgia House of Representatives - 1995/1996 Sessions

HB 708 - Producer controlled property and casualty insurers; redefine control

Page Numbers - 1

1. Heard  89th


House Comm: Ins        /                Senate Comm:            /                                   
House Vote: Yeas       Nays             Senate Vote: Yeas     Nays                                  
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               House          Action         Senate                                                 
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              2/10/95  Read 1st Time                                                                
              2/13/95  Read 2nd Time                                                                
              2/22/95  Favorably Reported                                                           
              3/17/95  Recommitted                                                                  
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Rules Suspended to Introduce                                                                        
                                                                                                    
Code Sections amended: 33-48-2                                                                      


HB 708                                            LC 15 4086






                        A BILL TO BE ENTITLED
                               AN ACT


  1- 1  To amend Code Section 33-48-2 of the Official Code of
  1- 2  Georgia Annotated, relating to definitions used with regard
  1- 3  to producer controlled property and casualty insurers, so as
  1- 4  to revise what shall be considered as control or controlled;
  1- 5  to repeal conflicting laws; and for other purposes.

  1- 6       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

                         SECTION 1.

  1- 7  Code Section 33-48-2 of the Official Code of Georgia
  1- 8  Annotated, relating to definitions used with regard to
  1- 9  producer controlled property and casualty insurers, is
  1-10  amended by striking paragraph (1) and inserting in lieu
  1-11  thereof a new paragraph (1) to read follows:

  1-12      "(1) 'Control' or 'controlled' means the possession,
  1-13      direct or indirect, of the power to direct or cause the
  1-14      direction of the management and policies of a person,
  1-15      whether through the ownership of voting securities, by
  1-16      contract other than a contract for goods or
  1-17      nonmanagement services, or otherwise.  Control shall be
  1-18      presumed to exist if any person, directly or indirectly,
  1-19      owns, controls, holds with the powers to vote, or holds
  1-20      proxies representing a majority of the outstanding
  1-21      voting securities of any other person.  No person shall
  1-22      be deemed to control another person solely by reason of
  1-23      being an officer or director of such other person shall
  1-24      have the same meaning as provided in paragraph (3) of
  1-25      Code Section 33-13-1, relating to definitions used with
  1-26      regard to insurance company holding systems."

                         SECTION 2.

  1-27  All laws and parts of laws in conflict with this Act are
  1-28  repealed.






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