20-881. Funds

226 words·~1 min read·/az/title-20/20-881

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

A. Unless otherwise provided in the benefit contract, all assets shall be held, invested and disbursed for the use and benefit of the society, and no member or beneficiary has any individual rights in the assets and is not entitled to any apportionment on the surrender of any part of the assets.

B. A society may create, maintain, invest, disburse and apply any special fund or funds necessary to carry out any purpose permitted by the laws of the society.

C. Pursuant to a resolution of the supreme governing body, a society may establish and maintain one or more separate accounts and issue contracts on a variable basis, subject to the provisions of this title regulating life insurers. To the extent that the society deems it necessary in order to comply with any applicable federal or state law, the society may:

1. Adopt special procedures for the conduct of the business and affairs of a separate account.

2. For persons who have beneficial interests in a separate account, provide special voting and other rights, including, without limitation, special rights and procedures relating to investment policy, investment advisory services, selection of certified public accountants and selection of a committee to manage the business and affairs of the account.

3. Issue contracts on a variable basis. Section 20-878, subsections B and D do not apply to these contracts.