# Tenn. Code Ann. § 56-9-108: Insurers subject to delinquency proceedings - Restrictions

> Tennessee · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-108

## Section

- **Citation:** Tenn. Code Ann. § 56-9-108
- **Heading:** Insurers subject to delinquency proceedings - Restrictions
- **Jurisdiction:** Tennessee
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TN Code / Title 56 / Chapter 9 / Section 56-9-108

## Text

No insurer that is subject to any delinquency proceedings, whether formal or informal, administrative or judicial, shall: (1) Be released from the proceeding, unless the proceeding is converted into a judicial rehabilitation or liquidation proceeding; (2) Be permitted to solicit or accept new business or request or accept the restoration of any suspended or revoked license or certificate of authority; (3) Be returned to the control of its shareholders or private management; or (4) Have any of its assets returned to the control of its shareholders or private management until all payments of, or on account of, the insurer's contractual obligations by all guaranty associations, together with all expenses and interest on all the payments and expenses, have been repaid to the guaranty associations or a plan of repayment by the insurer has been approved by the guaranty association. Acts 1991, ch. 142, § 4.
No insurer that is subject to any delinquency proceedings, whether formal or informal, administrative or judicial, shall:
(1) Be released from the proceeding, unless the proceeding is converted into a judicial rehabilitation or liquidation proceeding;
(2) Be permitted to solicit or accept new business or request or accept the restoration of any suspended or revoked license or certificate of authority;
(3) Be returned to the control of its shareholders or private management; or
(4) Have any of its assets returned to the control of its shareholders or private management until all payments of, or on account of, the insurer's contractual obligations by all guaranty associations, together with all expenses and interest on all the payments and expenses, have been repaid to the guaranty associations or a plan of repayment by the insurer has been approved by the guaranty association.
Acts 1991, ch. 142, § 4.

## Nearby sections

- [Tenn. Code Ann. § 56-9-101 Short title - Liberal construction - Purpose](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-101.md)
- [Tenn. Code Ann. § 56-9-102 Applicability](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-102.md)
- [Tenn. Code Ann. § 56-9-103 Chapter definitions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-103.md)
- [Tenn. Code Ann. § 56-9-104 Delinquency proceeding - Commencement - Jurisdiction](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-104.md)
- [Tenn. Code Ann. § 56-9-105 Receivers - Restraining order and injunctive relief - Federal home loan bank](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-105.md)
- [Tenn. Code Ann. § 56-9-106 Obligation to cooperate with commissioner - Obstruction of, or interference with, commissioner - Penalties](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-106.md)
- [Tenn. Code Ann. § 56-9-107 Applicability](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-107.md)
- [Tenn. Code Ann. § 56-9-108 Insurers subject to delinquency proceedings - Restrictions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-108.md)
- [Tenn. Code Ann. § 56-9-109 Authentication of documents - Petitions and exhibitions - Cost of reproducing records](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-109.md)
- [Tenn. Code Ann. § 56-9-201 Grounds for filing by commissioner - Court order](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-201.md)
- [Tenn. Code Ann. § 56-9-202 Records of delinquency proceedings - Confidentiality](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-202.md)
- [Tenn. Code Ann. § 56-9-301 Rehabilitation of insurers - Grounds for filing petition](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-301.md)
- [Tenn. Code Ann. § 56-9-302 Order to rehabilitate business of insurer - Effect](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-302.md)
- [Tenn. Code Ann. § 56-9-303 Rehabilitator - Duties and authority](https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-303.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TN_T56_C9_S56-9-108. Check the current official text before relying on it. Not legal advice.