Acts and Regulations

I-12 - Insurance Act

Section 59
Disposition versions

Full text
Repealed
59Repealed: 2013, c.31, s.20
1968, c.6, s.59; 2013, c.31, s.20
Administration of deposit
59(1)Upon completion of the schedules and after having paid or provided reasonable reserves out of the deposit to pay the amounts payable pursuant to paragraph 55(a), the receiver may apply to the court for an order authorizing the payment of such aggregate sum as may be fixed by the court on account of the amounts payable pursuant to paragraph 55(b).
59(2)Except in the case of life insurance, the receiver shall divide the sum mentioned in subsection (1) so as to provide for payment of the claims for losses in full or, if the sum is inadequate, pro rata on account of
(a) the approved claims for losses set out in the schedule of approved claims for losses, and
(b) the unapproved claims for losses set out in the schedule of unapproved claims for losses,
and shall distribute the portion referred to in paragraph (a) at such time or times as the receiver may determine to the persons entitled thereto and shall retain the portion referred to in paragraph (b) for distribution from time to time as the unapproved claims are approved.
59(3)Except in the case of life insurance, if there appears to be a surplus remaining after the receiver has paid or retained a sum that, in his opinion, is reasonably adequate to pay in full all claims for losses referred to in subsection (2), the receiver shall divide the surplus so as to provide for payment of all unearned premiums in full or, if it is inadequate, among the persons entitled to a refund of unearned premiums in proportion to the amounts payable as set out in the schedule of unearned premiums refundable.
59(4)In the case of life insurance, the receiver shall divide the sum fixed pursuant to subsection (1) so as to provide for payment of the following amounts in full or, if the sum is inadequate, pro rata on account of
(a) the approved claims for losses set out in the schedule of approved claims for losses,
(b) the unapproved claims for losses set out in the schedule of unapproved claims for losses, and
(c) the full amount of the legal reserve in respect of each unmatured life insurance contract as set out in the schedule of contract legal reserves,
and shall distribute the portions referred to in paragraphs (a) and (c) at such time or times as the receiver may determine to the persons entitled thereto and shall retain the portion referred to in paragraph (b) for distribution from time to time as the unapproved claims are approved.
1968, c.6, s.59