Sec. 5. The capital stock of any company engaged in business under the provisions of this chapter:

(1) shall be in an amount determined by the department based on the risk profile and business activity of the company during any application or approval process required by the department under this chapter;

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Terms Used In Indiana Code 28-5-1-5

  • company: shall mean and include any corporation to which this chapter is applicable. See Indiana Code 28-5-1-3
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • department: means the department of financial institutions of the state of Indiana. See Indiana Code 28-5-1-3
(2) shall be fully paid to the corporation in cash; and

(3) shall not at any time thereafter be voluntarily reduced below the amount originally paid in.

Ongoing capital requirements shall be risk-based, as determined by the department. In the event the capital of any such company should for any reason become impaired, as determined by the department, the right to issue certificates of indebtedness or investment as provided in this chapter shall forthwith be suspended until said capital stock has been restored to an amount determined prudent by the department.

Formerly: Acts 1935, c.181, s.5. As amended by P.L.263-1985, SEC.151; P.L.176-2019, SEC.58.