P&CNJmedium
Under N.J.S.A. 17:27A (NJ Insurance Holding Company Systems Act), a person seeking to acquire control of a domestic New Jersey insurer generally must:
ANotify only the insurer's board of directors and wait thirty calendar days before proceeding with the acquisition
BRegister the transaction with the NJ Secretary of State
File a Form A statement with the DOBI Commissioner and obtain prior approval
DPost a $250,000 deposit with the NJ Treasurer
Why this is the answer
N.J.S.A. 17:27A implements the NAIC Insurance Holding Company Model. Acquiring 10% or more of voting securities is presumed to be control, triggering a Form A pre-acquisition filing with DOBI, public hearing rights, and Commissioner approval based on fairness, competence, and solvency factors.
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