{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-1506.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-1506.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-1506.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-1506.html"}],"law_id":68865,"edition_id":1,"section_id":68865,"structure_id":15197,"section_number":"38.2-1506","catch_line":"Requirements when receiver appointed; disbursement of available assets to association, etc","history":"1978, c. 696, \u00a7 38.1-131.1; 1986, c. 562.","full_text":"A\n\nWhenever a receiver, other than the Commission, is appointed pursuant to § 38.2-1504 for any domestic insurer other than an insurer writing exclusively title, fidelity and surety, credit or ocean marine insurance, the receiver shall petition the court for approval of a plan to disburse the assets. This shall be completed within 120 days of a final determination by the Commission that the insurer is insolvent. After the application of an association for an insolvent insurer’s available assets has been granted, the insolvent insurer’s assets will be disbursed to any association entitled to them as they become available.B\n\nThe plan shall include provisions for the receiver to take all the actions required by subsections B and C of § 38.2-1509.C\n\nNotice of the petition by the receiver to the court for approval of a plan to disburse an insurer’s assets shall be given to the associations and the commissioners of insurance of the other states. This notice shall be deemed given when sent by certified mail at least thirty days before submission of the petition to the court. Action on the petition may be taken by the court or a judge of the court if the required notice has been given and the plan of the receiver contains the provisions set forth in this section.","order_by":null,"text":{"0":{"id":249297,"text":"Whenever a receiver, other than the Commission, is appointed pursuant to § 38.2-1504 for any domestic insurer other than an insurer writing exclusively title, fidelity and surety, credit or ocean marine insurance, the receiver shall petition the court for approval of a plan to disburse the assets. This shall be completed within 120 days of a final determination by the Commission that the insurer is insolvent. After the application of an association for an insolvent insurer’s available assets has been granted, the insolvent insurer’s assets will be disbursed to any association entitled to them as they become available.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":249298,"text":"The plan shall include provisions for the receiver to take all the actions required by subsections B and C of § 38.2-1509.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":249299,"text":"Notice of the petition by the receiver to the court for approval of a plan to disburse an insurer’s assets shall be given to the associations and the commissioners of insurance of the other states. This notice shall be deemed given when sent by certified mail at least thirty days before submission of the petition to the court. Action on the petition may be taken by the court or a judge of the court if the required notice has been given and the plan of the receiver contains the provisions set forth in this section.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B"}},"ancestry":[{"id":15197,"edition_id":1,"name":"Rehabilitation and Liquidation of Insurers","identifier":"15","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:52:54","date_modified":"2026-06-26 03:52:54","permalink":{"id":212117,"object_type":"structure","relational_id":15197,"identifier":"15","token":"38.2\/15","url":"\/38.2\/15\/","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":66658,"structure_id":15197,"section_number":"38.2-1500","catch_line":"Scope of chapter","url":"\/38.2-1500\/","token":"38.2\/15\/38.2-1500","metadata":false},{"id":70981,"structure_id":15197,"section_number":"38.2-1501","catch_line":"Definitions","url":"\/38.2-1501\/","token":"38.2\/15\/38.2-1501","metadata":false},{"id":70456,"structure_id":15197,"section_number":"38.2-1502","catch_line":"Jurisdiction and procedure","url":"\/38.2-1502\/","token":"38.2\/15\/38.2-1502","metadata":false},{"id":69543,"structure_id":15197,"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":57983,"structure_id":15197,"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":75038,"structure_id":15197,"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":68865,"structure_id":15197,"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":81475,"structure_id":15197,"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":75610,"structure_id":15197,"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":66006,"structure_id":15197,"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":84217,"structure_id":15197,"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":69985,"structure_id":15197,"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":69044,"structure_id":15197,"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":77564,"structure_id":15197,"section_number":"38.2-1513","catch_line":"Voidable transfers","url":"\/38.2-1513\/","token":"38.2\/15\/38.2-1513","metadata":false},{"id":60160,"structure_id":15197,"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":75937,"structure_id":15197,"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":82543,"structure_id":15197,"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":81714,"structure_id":15197,"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":70097,"structure_id":15197,"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":57858,"structure_id":15197,"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":68871,"structure_id":15197,"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":60418,"structure_id":15197,"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":83355,"structure_id":15197,"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":75038,"structure_id":15197,"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},"next_section":{"id":81475,"structure_id":15197,"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},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1506\/","history_text":"

This law was first created in 1978. The record of its establishment is cataloged in chapter 696 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1978 \u201cActs\u201d aren\u2019t available online. It has been modified 1 time. 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. That modification is as follows: in 1986, chapter 562.<\/p>","references":false,"refers_to":[{"id":57983,"section_number":"38.2-1504","catch_line":"Requirements when proceedings instituted by any person other than Commission","order_by":null,"url":"\/38.2-1504\/"}],"permalink":{"id":212143,"object_type":"law","relational_id":68865,"identifier":"38.2-1506","token":"38.2\/15\/38.2-1506","url":"\/38.2-1506\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-1506\/","token":"38.2\/15\/38.2-1506","dublin_core":{"Title":"Requirements when receiver appointed; disbursement of available assets to association, etc","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1506","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Whenever a receiver<\/span>, other than the Commission<\/span>, is appointed pursuant to § 38.2-1504<\/a> for any domestic insurer<\/span> other than an insurer<\/span> writing exclusively title, fidelity and surety<\/span>, credit or ocean marine insurance<\/span>, the receiver<\/span> shall petition<\/span> the court<\/span> for approval of a plan to disburse the assets<\/span>. This shall be completed within 120 days of a final determination by the Commission<\/span> that the insurer<\/span> is insolvent<\/span>. After the application of an association<\/span> for an insolvent<\/span> insurer<\/span>’s available assets<\/span> has been granted, the insolvent<\/span> insurer<\/span>’s assets<\/span> will be disbursed to any association<\/span> entitled to them as they become available. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> The plan shall include provisions for the receiver<\/span> to take all the actions required by subsections B and C of § 38.2-1509<\/a>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Notice of the petition<\/span> by the receiver<\/span> to the court<\/span> for approval of a plan to disburse an insurer<\/span>’s assets<\/span> shall be given to the associations<\/span> and the commissioners<\/span> of insurance<\/span> of the other states<\/span>. This notice shall be deemed given when sent by certified mail at least thirty days before submission of the petition<\/span> to the court<\/span>. Action on the petition<\/span> may be taken by the court<\/span> or a judge<\/span> of the court<\/span> if the required notice has been given and the plan of the receiver<\/span> contains the provisions set forth in this section. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREQUIREMENTS WHEN RECEIVER APPOINTED; DISBURSEMENT OF AVAILABLE ASSETS TO\nASSOCIATION, ETC (\u00a7 38.2-1506)\n\nA. Whenever a receiver, other than the Commission, is appointed pursuant to\n§ 38.2-1504 for any domestic insurer other than an insurer writing\nexclusively title, fidelity and surety, credit or ocean marine insurance, the\nreceiver shall petition the court for approval of a plan to disburse the assets.\nThis shall be completed within 120 days of a final determination by the\nCommission that the insurer is insolvent. After the application of an\nassociation for an insolvent insurer’s available assets has been granted,\nthe insolvent insurer’s assets will be disbursed to any association\nentitled to them as they become available.\n\nB. The plan shall include provisions for the receiver to take all the actions\nrequired by subsections B and C of § 38.2-1509.\n\nC. Notice of the petition by the receiver to the court for approval of a plan to\ndisburse an insurer’s assets shall be given to the associations and the\ncommissioners of insurance of the other states. This notice shall be deemed\ngiven when sent by certified mail at least thirty days before submission of the\npetition to the court. Action on the petition may be taken by the court or a\njudge of the court if the required notice has been given and the plan of the\nreceiver contains the provisions set forth in this section.\n\nHISTORY: 1978, c. 696, \u00a7 38.1-131.1; 1986, c. 562.","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}}