515B.6 - PLAN OF OPERATION.

        515B.6  PLAN OF OPERATION.         1.  The association shall submit a plan of operation to the      commissioner, together with any amendments necessary or suitable to      assure the fair, reasonable, and equitable administration of the      association.  The plan of operation and any amendments shall become      effective upon approval in writing by the commissioner.         If the association fails to submit a suitable plan of operation      within ninety days following the effective date of this chapter or if      at any time thereafter the association fails to submit suitable      amendments to the plan, the commissioner shall, after notice and      opportunity for hearing, adopt and promulgate reasonable rules      necessary or advisable to effectuate the provisions of this chapter.      Such rules shall continue in force until modified by the commissioner      or superseded by a plan submitted by the association and approved by      the commissioner.         2.  All member insurers shall comply with the plan of operation.         3.  The plan of operation shall:         a.  Establish the procedures for performance of all the duties      and powers of the association under section 515B.5.         b.  Establish procedures for managing assets of the      association.         c.  Establish the amount and method of reimbursing members of      the board of directors under section 515B.4.         d.  Establish procedures by which claims may be filed with the      association and establish acceptable forms of proof of covered      claims.  Notice of claims to the receiver or liquidator of the      insolvent insurer shall be deemed notice to the association or its      agent and a list of such claims shall be periodically submitted to      the association or similar organization in another state by the      receiver or liquidator.         e.  Establish regular places and times for meetings of the      board of directors.         f.  Establish procedures for keeping records of all financial      transactions of the association, its agents, and the board of      directors.         g.  Provide that any member insurer aggrieved by any final      action or decision of the association may appeal to the commissioner      within thirty days after the action or decision.         h.  Establish procedures for submission to the commissioner of      selections for the board of directors.         i.  Contain additional provisions necessary or proper for the      execution of the duties and powers of the association.         4.  The plan of operation may provide that any or all duties and      powers of the association, except those under section 515B.5,      subsection 1, paragraph "c", and subsection 2, paragraph "c",      are delegated to a person which performs or will perform functions      similar to those of this association in two or more states.  Such      person shall be reimbursed as a servicing facility and shall be paid      for performance of any other functions of the association.  A      delegation under this subsection shall take effect only with the      approval of both the board of directors and the commissioner, and may      be made only to a person which extends protection not substantially      less favorable and effective than that provided by this chapter.  
         Section History: Early Form
         [C71, 73, 75, 77, 79, 81, § 515B.6]         Referred to in § 515B.3