40-1625. Reciprocal; board of directors; requirements on; powers and duties.
40-1625
40-1625. Reciprocal; board of directors;requirements on; powers and duties.The board of directors exercising the subscribers' rights ina domestic reciprocal shall be selected under rules adopted by the subscribers.At least 3/4 of the board of directors of a domestic reciprocal shallbe composed of subscribers or representatives of subscribers, other than theattorney-in-fact or any person employed by, representing or having a financialinterest in the attorney-in-fact. An individual shall not be considered to beemployed by, representing or having a financial interest in theattorney-in-fact if such individual is a subscriber or a representative of asubscriber of the reciprocal. The board of directors shall supervise thefinances of the reciprocal and the reciprocal's operations to the extentrequired to assure their conformity with the subscriber's agreement and powerof attorney and shall exerciseany other powers conferred on it by the subscriber's agreement. The board ofdirectors may also be referred to as a subscribers advisory committee, board oftrustees or by such other name as the board chooses.
History: L. 2000, ch. 170, § 11; July 1.