{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-4113.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-4113.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-4113.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-4113.html"}],"law_id":60363,"edition_id":1,"section_id":60363,"structure_id":13995,"section_number":"38.2-4113","catch_line":"Reinsurance","history":"Code 1950, \u00a7\u00a7 38-270, 38.1-575; 1952, c. 317, \u00a7 38.1-638.7; 1968, c. 654; 1986, c. 562.","full_text":"A\n\nA domestic society may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do business in this Commonwealth, or if not so authorized, one which is approved by the Commission, but no such society may reinsure substantially all of its insurance in force without the written permission of the Commission. It may take credit for the reserves on such ceded risks to the extent reinsured, but no credit shall be allowed as an admitted asset or as a deduction from liability, to a ceding society for reinsurance made, ceded, renewed, or otherwise becoming effective after the effective date of this chapter, unless the reinsurance is payable by the assuming insurer on the basis of the liability of the ceding society under the contract or contracts reinsured without diminution because of the insolvency of the ceding society.B\n\nNotwithstanding the limitation in subsection A, a society may reinsure the risks of another society in a consolidation or merger approved by the Commission under § 38.2-4114.","order_by":null,"text":{"0":{"id":220768,"text":"A domestic society may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do business in this Commonwealth, or if not so authorized, one which is approved by the Commission, but no such society may reinsure substantially all of its insurance in force without the written permission of the Commission. It may take credit for the reserves on such ceded risks to the extent reinsured, but no credit shall be allowed as an admitted asset or as a deduction from liability, to a ceding society for reinsurance made, ceded, renewed, or otherwise becoming effective after the effective date of this chapter, unless the reinsurance is payable by the assuming insurer on the basis of the liability of the ceding society under the contract or contracts reinsured without diminution because of the insolvency of the ceding society.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":220769,"text":"Notwithstanding the limitation in subsection A, a society may reinsure the risks of another society in a consolidation or merger approved by the Commission under § 38.2-4114.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A"}},"ancestry":[{"id":13995,"edition_id":1,"name":"Governance","identifier":"3","label":"article","depth":3,"order_by":1,"parent_id":13775,"metadata":{},"date_created":"2026-06-26 03:46:33","date_modified":"2026-06-26 03:46:33","permalink":{"id":216533,"object_type":"structure","relational_id":13995,"identifier":"3","token":"38.2\/41\/3","url":"\/38.2\/41\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13775,"edition_id":1,"name":"Fraternal Benefit Societies","identifier":"41","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:45:51","date_modified":"2026-06-26 03:45:51","permalink":{"id":216491,"object_type":"structure","relational_id":13775,"identifier":"41","token":"38.2\/41","url":"\/38.2\/41\/","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":59432,"structure_id":13995,"section_number":"38.2-4109","catch_line":"Organization of domestic society on or after October 1, 1986","url":"\/38.2-4109\/","token":"38.2\/41\/3\/38.2-4109","metadata":false},{"id":79741,"structure_id":13995,"section_number":"38.2-4110","catch_line":"Incorporation of fraternal benefit societies","url":"\/38.2-4110\/","token":"38.2\/41\/3\/38.2-4110","metadata":false},{"id":73993,"structure_id":13995,"section_number":"38.2-4111","catch_line":"Amendments to laws","url":"\/38.2-4111\/","token":"38.2\/41\/3\/38.2-4111","metadata":false},{"id":75723,"structure_id":13995,"section_number":"38.2-4112","catch_line":"Institutions","url":"\/38.2-4112\/","token":"38.2\/41\/3\/38.2-4112","metadata":false},{"id":60363,"structure_id":13995,"section_number":"38.2-4113","catch_line":"Reinsurance","url":"\/38.2-4113\/","token":"38.2\/41\/3\/38.2-4113","metadata":false},{"id":55077,"structure_id":13995,"section_number":"38.2-4114","catch_line":"Consolidations and mergers","url":"\/38.2-4114\/","token":"38.2\/41\/3\/38.2-4114","metadata":false},{"id":62774,"structure_id":13995,"section_number":"38.2-4115","catch_line":"Conversion of fraternal benefit society into mutual life insurer","url":"\/38.2-4115\/","token":"38.2\/41\/3\/38.2-4115","metadata":false}],"previous_section":{"id":75723,"structure_id":13995,"section_number":"38.2-4112","catch_line":"Institutions","url":"\/38.2-4112\/","token":"38.2\/41\/3\/38.2-4112","metadata":false},"next_section":{"id":55077,"structure_id":13995,"section_number":"38.2-4114","catch_line":"Consolidations and mergers","url":"\/38.2-4114\/","token":"38.2\/41\/3\/38.2-4114","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-4113\/","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 1968, chapter 654; in 1986, chapter 562.<\/p>","references":false,"refers_to":[{"id":55077,"section_number":"38.2-4114","catch_line":"Consolidations and mergers","order_by":null,"url":"\/38.2-4114\/"}],"permalink":{"id":216551,"object_type":"law","relational_id":60363,"identifier":"38.2-4113","token":"38.2\/41\/3\/38.2-4113","url":"\/38.2-4113\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-4113\/","token":"38.2\/41\/3\/38.2-4113","dublin_core":{"Title":"Reinsurance","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-4113","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> A domestic society<\/span> may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer<\/span>, other than another fraternal benefit society<\/span>, having the power to make such reinsurance and authorized to do business in this Commonwealth, or if not so authorized, one which is approved by the Commission<\/span>, but no such society<\/span> may reinsure substantially all of its insurance<\/span> in force without the written permission of the Commission<\/span>. It may take credit for the reserves on such ceded risks to the extent reinsured, but no credit shall be allowed as an admitted asset or as a deduction from liability, to a ceding society<\/span> for reinsurance made, ceded, renewed, or otherwise becoming effective after the effective date of this chapter, unless the reinsurance is payable by the assuming insurer<\/span> on the basis of the liability of the ceding society<\/span> under the contract<\/span> or contracts<\/span> reinsured without diminution because of the insolvency of the ceding society<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Notwithstanding the limitation in subsection A, a society<\/span> may reinsure the risks of another society<\/span> in a consolidation<\/span> or merger approved by the Commission<\/span> under § 38.2-4114<\/a>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREINSURANCE (\u00a7 38.2-4113)\n\nA. A domestic society may, by a reinsurance agreement, cede any individual risk\nor risks in whole or in part to an insurer, other than another fraternal benefit\nsociety, having the power to make such reinsurance and authorized to do business\nin this Commonwealth, or if not so authorized, one which is approved by the\nCommission, but no such society may reinsure substantially all of its insurance\nin force without the written permission of the Commission. It may take credit\nfor the reserves on such ceded risks to the extent reinsured, but no credit\nshall be allowed as an admitted asset or as a deduction from liability, to a\nceding society for reinsurance made, ceded, renewed, or otherwise becoming\neffective after the effective date of this chapter, unless the reinsurance is\npayable by the assuming insurer on the basis of the liability of the ceding\nsociety under the contract or contracts reinsured without diminution because of\nthe insolvency of the ceding society.\n\nB. Notwithstanding the limitation in subsection A, a society may reinsure the\nrisks of another society in a consolidation or merger approved by the Commission\nunder § 38.2-4114.\n\nHISTORY: Code 1950, \u00a7\u00a7 38-270, 38.1-575; 1952, c. 317, \u00a7 38.1-638.7; 1968, c.\n654; 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}}