§ 7102. Merger, consolidation and acquisition of assets; when
permitted. (a) Upon complying with this article and subject to section
seven thousand one hundred nine of this article, any domestic company is
hereby authorized and empowered to:

(1) consolidate, merge with or acquire the assets of any other
domestic company, and

(2) consolidate or merge with any foreign company which is authorized
to do an insurance business in this state or acquire the assets of any
foreign company if such merger, consolidation or acquisition of assets
is authorized by the laws of the state in which such foreign company is
organized.

(b) A stock company may merge or consolidate with another stock
company or a reciprocal insurer, but shall not merge or consolidate with
a mutual company; provided, however, a domestic mutual life insurance
company may merge with a wholly-owned subsidiary stock life insurance
company of the said domestic mutual life insurance company in
circumstances in which the said domestic mutual life insurance company
shall be the surviving company. A reciprocal insurer may merge with a
stock company.

(c) A proposed consolidation shall not be approved unless the
consolidated company has the capital, surplus, or surplus to
policyholders which a similar company would be required to maintain if
initially licensed to write the same kinds of insurance on the date of
the consolidation.