Section 4605. Reinsurance

(a) All or any part of the pension benefits of a
  system may be reinsured in an insurance  company  authorized  to  insure
  such  risks  in  this  state,  as  may be provided for in the by-laws or
  declaration of trust of the retirement system.
    (b) The reinsurance contract may be terminated  by  agreement  between
  the  reinsurer  and  the ceding retirement system or a successor and the
  assets supporting such agreement may be transferred to  such  system  or
  its  successor  in  one sum or over a period of years in accordance with
  terms and conditions approved by the superintendent. In such event,  the
  funds  transferred  in  one  sum  or  the  present  value  of sums to be
  transferred over a period of years shall become  an  admitted  asset  of
  such system or its successor.