US Laws, Codes, Statutes & Cases

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 29
                             RECIPROCAL INSURERS
    41-2926.  NONASSESSABLE POLICIES. (1) Nongovernmental entities. If a
reciprocal insurer has a surplus of assets over all liabilities at least equal
to the total surplus required in section 41-313, Idaho Code, as to such
insurer, upon application of the attorney and as approved by the subscribers'
advisory committee the director shall issue his certificate authorizing the
insurer to extinguish the contingent liability of subscribers under its
policies then in force in this state, and to omit provisions imposing
contingent liability in all policies delivered or issued for delivery in this
state for so long as all such surplus remains unimpaired.
    (2)  Upon impairment of such surplus, the director shall forthwith revoke
the certificate. Such revocation shall not render subject to contingent
liability any policy then in force and for the remainder of the period for
which the premium has theretofore been paid; but after such revocation no
policy shall be issued or renewed without providing for contingent assessment
liability of the subscriber.
    (3)  The director shall not authorize a domestic reciprocal insurer so to
extinguish the contingent liability of any of its subscribers or in any of its
policies to be issued, unless it qualifies to and does extinguish such
liability of all its subscribers and in all such policies for all kinds of
insurance transacted by it. Except, that if required by the laws of another
state in which the insurer is transacting insurance as an authorized insurer,
the insurer may issue policies providing for the contingent liability of such
of its subscribers as may acquire such policies in such state, and need not
extinguish the contingent liability applicable to policies theretofore in
force in such state.