2012 Arizona Revised Statutes
Title 20 Insurance
20-893 Exemption of societies from insurance laws

20-893. Exemption of societies from insurance laws

A. Except as otherwise provided by this article, the following fraternal benefit societies are exempt from compliance with this article and all other insurance laws of this state:

1. Fraternal benefit societies that were doing business in this state on January 1, 1955 and that provide benefits exclusively through local or subordinate lodges.

2. Fraternal benefit societies that admit to membership only those persons who are engaged in one or more crafts or hazardous occupations, in the same or similar lines of business, and that insure only their own members, their families, the descendants of members and the ladies' auxiliaries to those societies.

B. Except for a society prescribed by subsection A, a fraternal benefit society that is exempt from the requirements of this article pursuant to this section shall not give to or allow any person any compensation for procuring new members.

C. A society that is organized and incorporated before January 1, 1955, that provides for benefits in case of death or disability resulting solely from an accident and that does not obligate itself to pay natural death or sick benefits may secure a certificate of authority under this article if it was authorized before January 1, 1955. The society has all of the privileges and is subject to all of the provisions of this article, except that the provisions of this article relating to medical examinations, standard provisions, prohibited provisions, valuations of certificates and incontestability do not apply.

D. The director by examination or otherwise may require any information that will enable him to determine if the society is exempt from this article.