{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-1036.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-1036.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-1036.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-1036.html"}],"law_id":82299,"edition_id":1,"section_id":82299,"structure_id":15918,"section_number":"38.2-1036","catch_line":"Impairment of capital and surplus of foreign and alien company ground for suspension or revocation of license","history":"Code 1950, \u00a7 38-511; 1952, c. 317, \u00a7 38.1-96; 1978, c. 20; 1986, c. 562.","full_text":"Each foreign and each alien insurer shall maintain at all times the minimum surplus, capital and surplus, or trusteed surplus required by \u00a7\u00a7 38.2-1028, 38.2-1029, 38.2-1030 or \u00a7 38.2-1031. If the Commission finds an impairment of (i) the required minimum capital and surplus of any foreign stock insurer, (ii) the required minimum surplus of any foreign mutual insurer, or (iii) the required minimum trusteed surplus of any alien insurer, the Commission may order the insurer to eliminate the impairment and restore the minimum capital and surplus, minimum surplus or minimum trusteed surplus, to the amount required by law. The Commission may, by order served upon the insurer, prohibit the insurer from issuing any new policies while the impairment exists. If the insurer fails to comply with the Commission’s order within a period of not more than ninety days, the Commission may, in the manner set out in Article 6 (\u00a7 38.2-1040 et seq.) of this chapter, suspend or revoke the license of the insurer to transact the business of insurance in this Commonwealth.","order_by":null,"text":{"0":{"id":294948,"text":"Each foreign and each alien insurer shall maintain at all times the minimum surplus, capital and surplus, or trusteed surplus required by \u00a7\u00a7 38.2-1028, 38.2-1029, 38.2-1030 or \u00a7 38.2-1031. If the Commission finds an impairment of (i) the required minimum capital and surplus of any foreign stock insurer, (ii) the required minimum surplus of any foreign mutual insurer, or (iii) the required minimum trusteed surplus of any alien insurer, the Commission may order the insurer to eliminate the impairment and restore the minimum capital and surplus, minimum surplus or minimum trusteed surplus, to the amount required by law. The Commission may, by order served upon the insurer, prohibit the insurer from issuing any new policies while the impairment exists. If the insurer fails to comply with the Commission’s order within a period of not more than ninety days, the Commission may, in the manner set out in Article 6 (\u00a7 38.2-1040 et seq.) of this chapter, suspend or revoke the license of the insurer to transact the business of insurance in this Commonwealth.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":15918,"edition_id":1,"name":"Licensing of Insurers","identifier":"5","label":"article","depth":3,"order_by":1,"parent_id":12858,"metadata":{},"date_created":"2026-06-26 04:01:51","date_modified":"2026-06-26 04:01:51","permalink":{"id":211021,"object_type":"structure","relational_id":15918,"identifier":"5","token":"38.2\/10\/5","url":"\/38.2\/10\/5\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12858,"edition_id":1,"name":"Organization, Admission and Licensing of Insurers","identifier":"10","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:43:57","date_modified":"2026-06-26 03:43:57","permalink":{"id":210851,"object_type":"structure","relational_id":12858,"identifier":"10","token":"38.2\/10","url":"\/38.2\/10\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":86158,"structure_id":15918,"section_number":"38.2-1024","catch_line":"License required to transact the business of insurance; application fee requirements for license","url":"\/38.2-1024\/","token":"38.2\/10\/5\/38.2-1024","metadata":false},{"id":77754,"structure_id":15918,"section_number":"38.2-1025","catch_line":"Annual renewal of license","url":"\/38.2-1025\/","token":"38.2\/10\/5\/38.2-1025","metadata":false},{"id":69463,"structure_id":15918,"section_number":"38.2-1026","catch_line":"Retaliatory provisions as to taxes, fees, deposits and other requirements","url":"\/38.2-1026\/","token":"38.2\/10\/5\/38.2-1026","metadata":false},{"id":87463,"structure_id":15918,"section_number":"38.2-1027","catch_line":"Admission of foreign and alien insurers","url":"\/38.2-1027\/","token":"38.2\/10\/5\/38.2-1027","metadata":false},{"id":85672,"structure_id":15918,"section_number":"38.2-1028","catch_line":"Additional licensing requirements for stock insurers","url":"\/38.2-1028\/","token":"38.2\/10\/5\/38.2-1028","metadata":false},{"id":79650,"structure_id":15918,"section_number":"38.2-1029","catch_line":"Additional licensing requirements for mutual insurers","url":"\/38.2-1029\/","token":"38.2\/10\/5\/38.2-1029","metadata":false},{"id":63344,"structure_id":15918,"section_number":"38.2-1030","catch_line":"Surplus requirements for issuing policies without contingent liability","url":"\/38.2-1030\/","token":"38.2\/10\/5\/38.2-1030","metadata":false},{"id":76434,"structure_id":15918,"section_number":"38.2-1031","catch_line":"Additional requirements, alien insurers","url":"\/38.2-1031\/","token":"38.2\/10\/5\/38.2-1031","metadata":false},{"id":70766,"structure_id":15918,"section_number":"38.2-1032","catch_line":"Additional licensing requirements for domestic insurers","url":"\/38.2-1032\/","token":"38.2\/10\/5\/38.2-1032","metadata":false},{"id":87308,"structure_id":15918,"section_number":"38.2-1033","catch_line":"Additional licensing requirements for foreign insurers","url":"\/38.2-1033\/","token":"38.2\/10\/5\/38.2-1033","metadata":false},{"id":61767,"structure_id":15918,"section_number":"38.2-1034","catch_line":"How domestic mutual insurers may acquire initial surplus","url":"\/38.2-1034\/","token":"38.2\/10\/5\/38.2-1034","metadata":false},{"id":80849,"structure_id":15918,"section_number":"38.2-1035","catch_line":"Domestic insurers to maintain minimum capital and surplus; proceedings by Commission if impairment found","url":"\/38.2-1035\/","token":"38.2\/10\/5\/38.2-1035","metadata":false},{"id":82299,"structure_id":15918,"section_number":"38.2-1036","catch_line":"Impairment of capital and surplus of foreign and alien company ground for suspension or revocation of license","url":"\/38.2-1036\/","token":"38.2\/10\/5\/38.2-1036","metadata":false},{"id":68854,"structure_id":15918,"section_number":"38.2-1037","catch_line":"Exceptions for licensed and operating insurers","url":"\/38.2-1037\/","token":"38.2\/10\/5\/38.2-1037","metadata":false},{"id":84129,"structure_id":15918,"section_number":"38.2-1038","catch_line":"Authority of Commission to issue orders covering insurers in hazardous financial condition","url":"\/38.2-1038\/","token":"38.2\/10\/5\/38.2-1038","metadata":false},{"id":62989,"structure_id":15918,"section_number":"38.2-1039","catch_line":"Enjoining unlicensed foreign or alien insurers from transacting the business of insurance in Commonwealth","url":"\/38.2-1039\/","token":"38.2\/10\/5\/38.2-1039","metadata":false},{"id":68850,"structure_id":15918,"section_number":"38.2-1039.1","catch_line":"Risk retention groups","url":"\/38.2-1039.1\/","token":"38.2\/10\/5\/38.2-1039.1","metadata":false}],"previous_section":{"id":80849,"structure_id":15918,"section_number":"38.2-1035","catch_line":"Domestic insurers to maintain minimum capital and surplus; proceedings by Commission if impairment found","url":"\/38.2-1035\/","token":"38.2\/10\/5\/38.2-1035","metadata":false},"next_section":{"id":68854,"structure_id":15918,"section_number":"38.2-1037","catch_line":"Exceptions for licensed and operating insurers","url":"\/38.2-1037\/","token":"38.2\/10\/5\/38.2-1037","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1036\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 3 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 1978, chapter 20; in 1986, chapter 562.<\/p>","references":false,"refers_to":[{"id":85672,"section_number":"38.2-1028","catch_line":"Additional licensing requirements for stock insurers","order_by":null,"url":"\/38.2-1028\/"},{"id":79650,"section_number":"38.2-1029","catch_line":"Additional licensing requirements for mutual insurers","order_by":null,"url":"\/38.2-1029\/"},{"id":63344,"section_number":"38.2-1030","catch_line":"Surplus requirements for issuing policies without contingent liability","order_by":null,"url":"\/38.2-1030\/"},{"id":76434,"section_number":"38.2-1031","catch_line":"Additional requirements, alien insurers","order_by":null,"url":"\/38.2-1031\/"},{"id":71497,"section_number":"38.2-1040","catch_line":"Refusal, suspension or revocation of license","order_by":null,"url":"\/38.2-1040\/"}],"permalink":{"id":211071,"object_type":"law","relational_id":82299,"identifier":"38.2-1036","token":"38.2\/10\/5\/38.2-1036","url":"\/38.2-1036\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-1036\/","token":"38.2\/10\/5\/38.2-1036","dublin_core":{"Title":"Impairment of capital and surplus of foreign and alien company ground for suspension or revocation of license","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1036","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

Each foreign and each alien insurer<\/span> shall maintain at all times the minimum surplus, capital and surplus, or trusteed surplus required by \u00a7\u00a7 38.2-1028<\/a>, 38.2-1029<\/a>, 38.2-1030<\/a> or \u00a7 38.2-1031<\/a>. If the Commission<\/span> finds an impairment of (i) the required minimum capital and surplus of any foreign stock insurer<\/span>, (ii) the required minimum surplus of any foreign mutual insurer<\/span>, or (iii) the required minimum trusteed surplus of any alien insurer<\/span>, the Commission<\/span> may order<\/span> the insurer<\/span> to eliminate the impairment and restore the minimum capital and surplus, minimum surplus or minimum trusteed surplus, to the amount required by law<\/span>. The Commission<\/span> may, by order<\/span> served upon the insurer<\/span>, prohibit the insurer<\/span> from issuing any new policies while the impairment exists. If the insurer<\/span> fails to comply with the Commission<\/span>’s order<\/span> within a period of not more than ninety days, the Commission<\/span> may, in the manner set out in Article 6 (\u00a7 38.2-1040<\/a> et seq.) of this chapter, suspend or revoke the license of the insurer<\/span> to transact the business of insurance<\/span> in this Commonwealth.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nIMPAIRMENT OF CAPITAL AND SURPLUS OF FOREIGN AND ALIEN COMPANY GROUND FOR\nSUSPENSION OR REVOCATION OF LICENSE (\u00a7 38.2-1036)\n\nEach foreign and each alien insurer shall maintain at all times the minimum\nsurplus, capital and surplus, or trusteed surplus required by \u00a7\u00a7 38.2-1028,\n38.2-1029, 38.2-1030 or \u00a7 38.2-1031. If the Commission finds an impairment of\n(i) the required minimum capital and surplus of any foreign stock insurer, (ii)\nthe required minimum surplus of any foreign mutual insurer, or (iii) the\nrequired minimum trusteed surplus of any alien insurer, the Commission may order\nthe insurer to eliminate the impairment and restore the minimum capital and\nsurplus, minimum surplus or minimum trusteed surplus, to the amount required by\nlaw. The Commission may, by order served upon the insurer, prohibit the insurer\nfrom issuing any new policies while the impairment exists. If the insurer fails\nto comply with the Commission’s order within a period of not more than\nninety days, the Commission may, in the manner set out in Article 6 (\u00a7\n38.2-1040 et seq.) of this chapter, suspend or revoke the license of the insurer\nto transact the business of insurance in this Commonwealth.\n\nHISTORY: Code 1950, \u00a7 38-511; 1952, c. 317, \u00a7 38.1-96; 1978, c. 20; 1986, c.\n562.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}