2006 New York Code - Contingent Liability Of Members; Advance Premium Corporations.

 
    § 6614. Contingent liability of members; advance premium corporations.
  (a)  Any  advance premium corporation may limit the contingent liability
  of a member thereof to not less than once the amount of, and in addition
  to, the premium which would be charged for insurance for one year or the
  advance premium stated in the policy, whichever is the lesser.
    (b) The contingent  liability  of  a  member  of  an  advance  premium
  corporation  shall  be  subject  to  enforcement  and  collection by the
  corporation for the purpose of removing any impairment in  the  reserves
  required  by this article. Such contingent liability shall apply only to
  such  impairments  which  occur  during  the  member's   tenure   as   a
  policyholder.
    (c)  No  assessment  premised upon the contingent liability of members
  shall be made by any  such  corporation  until  after  approval  by  the
  superintendent  and  shall,  subject  in  all  cases  to  the limitation
  contained in the contracts thereby affected, as to the maximum amount of
  such contingent liability, be in  each  case  an  amount  equal  to  the
  member's proportionate share of such impairment.