State ex rel. European Accident Insurance v. Tomlinson

Citations

• 101 Ohio St. (N.S.) 459

Syllabus

<p>Insurance — Foreign corporations — Deposits with superintendent of insurance■ — Section 9¡jio (2), General Code — License to contract casualty and bonding insurance — •Reinsurance of indemnity contracts prohibited, when — Section 665, General Code — Revocation or cancellation of license — Section 617, General Code — Reinsurance contracts executed in foreign state.</p> <p>1. Without depositing the sum of $50,000 in bonds with the Superintendent of Insurance, as required by Section 9510 (2), General Code, an alien insurance company made a contract in a foreign - state with a foreign insurance company which had authority to make liability insurance, whereby such alien company engaged to reinsure a portion of the liability risks of such foreign company incurred in this state. Such contract of reinsurance was not authorized by any law of this state, but was prohibited by Section 665, General Code, .which forbids such contracts unless the law requiring such deposit has been complied with.</p> <p>2. If such alien insurance company has been licensed by the Superintendent of Insurance to do general casualty and bonding business, and it is discovered that it has made such contracts for liability reinsurance, the license so issued becomes subject to cancellation by the state.</p> <p>3. Section 617, General Code, imposes continuing powers upon the Superintendent of Insurance, requiring him to see that the insurance laws are enforced. And if he discovers that a licensee is contracting reinsurance without having made the deposit required by Section 9510 (2), General Code, the superintendent, under authority of the former section, has power to revoke the license.</p>