§36-2120. Nonassessable policies - revocation of authority.
123 words·~1 min read·
/ok/title-36-insurance/36-2120·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. The Insurance Commissioner shall revoke the authority of a domestic mutual insurer to issue policies if at any time the insurer's assets are less than the sum of its liabilities and the surplus required for such authority, or if the insurer, by resolution of its board of directors approved by a majority of its members, requests that the authority be revoked.
B. Policyholders, members or subscribers of a mutual insurer shall at no time be liable for assessment on policies by such insurer. Henceforth, no policies shall be issued or renewed by a domestic mutual insurer which contain provisions for assessment or contingent liability of an insured, member or subscriber. Laws 1957, p. 308, § 2120; Laws 1981, c. 112, § 2.