STATE EX REL. INGRAM v. RESERVE INS. CO.

No. 7910SC1038

269 S.E.2d 757 (1980)

STATE of North Carolina, on relation of John Randolph INGRAM, Commissioner of Insurance of North Carolina, Plaintiff, v. RESERVE INSURANCE COMPANY, Defendant, and North Carolina Insurance Guaranty Association, Third-Party Plaintiff, and Philip R. O'Connor, as Director of Insurance of the State of Illinois and as Domiciliary Receiver of Reserve Insurance Company, Third-Party Defendant, and Robert P. Binkley, Benjamin T. Simmons, Jr., Wallace Graham Getchell, and Arnold England, Individually and as Representative of the Policyholders of Reserve Insurance Company who are Citizens or Residents of North Carolina or who hold policies issued upon Property in North Carolina, and Carolina Insurance Service, Inc., Third-Party Plaintiffs.

Court of Appeals of North Carolina.

September 16, 1980.


Attorney(s) appearing for the Case

Atty. Gen. Rufus L. Edmisten by Asst. Atty. Gen. Richard L. Griffin, Raleigh, for plaintiff-appellee State of North Carolina, on relation of John Randolph Ingram, Commissioner of Insurance of North Carolina.

Allen, Steed & Allen by Arch T. Allen, III, and Ann Hogue Pappas, Raleigh, for third-party plaintiff-appellant North Carolina Insurance Guaranty Association.

Craige, Brawley, Liipfert & Ross by Cowles Liipfert, C. Thomas Ross and Terrie A. Davis, Winston Salem, for Carolina Insurance Service, Inc., Robert P. Binkley, Benjamin T. Simmons, Jr., Wallace Graham Getchall, Arnold England and the North Carolina policyholders of Reserve Insurance Company.


WEBB, Judge.

This appeal involves the interpretation of several statutes enacted in regard to the insurance industry for the protection of the public in this state. The General Assembly in 1909 enacted Article 20 of Chapter 58 of the General Statutes which required insurance companies chartered in other states or foreign countries to deposit securities with the Commissioner of Insurance for the protection of policyholders. G.S. 58-185 provides:

Upon the securities...

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