The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
Subchapter
003
:
FORMAL PROCEEDINGS
(Cite as: 8 V.S.A. § 7052)
-
§ 7052. Rehabilitation orders
(a) An order to rehabilitate the business of a domestic insurer, or an alien insurer domiciled
in this State, shall appoint the Commissioner and the Commissioner’s successors in
office the rehabilitator and shall direct the rehabilitator immediately to take possession
of the assets of the insurer and to administer them under the general supervision
of the court. The filing or recording of the order with the Clerk of the Superior
Court of Washington County or town clerk of the town in which the principal business
of the company is conducted, or the town in which its principal office or place of
business is located, shall impart the same notice as a deed, bill of sale, or other
evidence of title duly filed or recorded with that town clerk would have imparted.
The order to rehabilitate the insurer shall by operation of law vest title to all
assets of the insurer in the rehabilitator.
(b) Any order issued under this section shall require accounting to the court by the rehabilitator.
Accountings shall be at such intervals as the court specifies in this order but no
less frequently than semiannually. Each accounting shall include a report concerning
the rehabilitator’s opinion as to the likelihood that a plan under subsection 7053(d) of this title will be prepared by the rehabilitator and the timetable for doing so.
(c) Entry of an order of rehabilitation shall not constitute an anticipatory breach of
any contracts of the insurer nor shall it be grounds for retroactive revocation or
retroactive cancellation of any contracts of the insurer, unless such revocation or
cancellation is done by the rehabilitator pursuant to section 7053 of this chapter. (Added 1991, No. 45, § 2, eff. May 29, 1991; amended 2021, No. 105 (Adj. Sess.), § 253, eff. July 1, 2022.)