N.Y. Insurance Law § 8010: Effect of reorganization

§ 8010. Effect of reorganization. Upon the effective date of a plan of

reorganization in accordance with section eight thousand nine of this

article:

(a) the reorganizing insurer shall immediately become a domestic stock

life insurer;

(b) the members of the reorganizing insurer on the effective date

shall immediately become members of the mutual holding company with

membership interests therein, and all membership interests in the

reorganizing insurer shall be extinguished;

(c) persons becoming policyholders of the reorganized insurer after

the effective date of the plan shall become members of the mutual

holding company immediately upon issuance of the policy or contract;

(d) one hundred percent of the voting stock issued by the reorganized

insurer shall be owned, directly or through one or more stock holding

companies, by the mutual holding company, and at no time subsequent

shall such mutual holding company own less than fifty-one percent of

such voting stock; and

(e) any other reorganization of the reorganizing insurer and its

subsidiaries specified in the plan shall become effective in accordance

with the terms of the plan. Except for the right to vote, the rights of

all policyholders with respect to the reorganized insurer thereafter

shall be as specified in their policies or contracts, in the charter of

the reorganized insurer and in the plan of reorganization.