Senate Approves Paragould Democrat's Bill Affecting Mutual Insurance Companies

JANUARY 18, 2007 - Posted at 7:56 a.m. CST

LITTLE ROCK (AP) - The Senate has passed a bill affecting how a mutual insurance company can turn into a stock-based insurance company.

Sponsoring Senator Robert Thompson, a Paragould Democrat, says the bill cleans up language in the process. He says de-mutualization, which involves taking a policy-based insurance company and turning it into one owned by stockholders, has occurred only once in Arkansas in the last 50 years. The bill now goes to the House.

(Copyright 2007 by The Associated Press.  All Rights Reserved.)