State Insurance Regulators Clause Samples
The 'State Insurance Regulators' clause defines the role and authority of state-level governmental agencies responsible for overseeing and enforcing insurance laws and regulations. This clause typically clarifies that the parties must comply with the requirements, approvals, or directives issued by these regulators, which may include licensing, reporting, or product approval obligations. Its core practical function is to ensure that all insurance-related activities under the agreement adhere to applicable state laws, thereby reducing legal risk and ensuring regulatory compliance.
State Insurance Regulators. If a material irreconcilable conflict arises because a particular state insurance regulator's decision applicable to the Company conflicts with the majority of other state regulators, then the Company will withdraw the affected Account's investment in the applicable Fund and terminate this Agreement with respect to such Account within the period of time permitted by such decision, but in no event later than six months after the Directors inform the Company in writing that it has determined that such decision has created an irreconcilable material conflict; provided, however, that such withdrawal and termination shall be limited to the extent required by the foregoing material irreconcilable conflict as determined by a majority of the disinterested Directors. Until the end of the foregoing period, the Distributors and Funds shall continue to accept and implement orders by the Company for the purchase (and redemption) of shares of the Fund to the extent such actions do not violate applicable law.