20-663. Guaranty fund board; composition; compensation

280 words·~1 min read·/az/title-20/20-663

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

A. The guaranty fund board is established within the department of insurance and financial institutions consisting of eleven members who are appointed by the governor. Membership on the board shall be for a term of three years.

B. The members of the board shall be appointed from a list of persons submitted to the governor by the director of the department of insurance and financial institutions and shall be representative of a cross section of the industry that is authorized to transact property or casualty insurance within this state. The board shall be composed of:

1. Nine members, each representing a different insurer that is authorized to transact property or casualty insurance business in this state, including at least one member who represents a workers' compensation insurer that has been authorized to transact workers' compensation insurance business in this state for at least ten consecutive years.

2. One member who is a casualty insurance producer residing in this state.

3. One member who represents the general public.

C. The board shall conduct periodic meetings in Phoenix. Meetings shall be held on the call of the director or on the written request of any two members of the board.

D. Subject to the powers of the director, the board shall administer, operate and manage the fund pursuant to this article. The board shall advise and counsel the director on matters relating to the solvency of insurers.

E. Members of the board are not entitled to receive compensation and travel expenses as authorized by title 38, chapter 4, article 2, but are entitled to be reimbursed for expenses incurred by them as members of the board from the assets of the fund.