56-21-113 - Guaranty capitalized companies maintaining reinsurance reserves may limit premiums in policies.
56-21-113. Guaranty capitalized companies maintaining reinsurance reserves may limit premiums in policies.
All companies operating under the guaranty capital provisions of this chapter and levying advance premiums and maintaining a full legal reinsurance reserve may limit their policyholders' liability to the amount of premiums stated in the policy or insurance contract and collect the same as set out in the policy and contract.
[Acts 1907, ch. 461, § 4; Shan., § 3369a8; Acts 1921, ch. 160, § 4; Code 1932, § 6259; T.C.A. (orig. ed.), § 56-2015.]