Arizona § 20-717 Contingent liability of mutual insurer members

Arizona Statutes

§ 20-717 — Contingent liability of mutual insurer members

Arizona § 20-717

Title 20Arizona Revised Statutes

Ch. 4PARTICULAR TYPES OF INSURERS

Art. 1Domestic Stock and Mutual Insurers

This text of Arizona § 20-717 (Contingent liability of mutual insurer members) is published on Counsel Stack Legal Research, covering Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ariz. Rev. Stat. Ann. § 20-717 (2026).

Text

A.Each member of a domestic mutual insurer shall, except as otherwise provided in this article with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be in such maximum amount as it stated in the insurer's articles of incorporation.

B.Each policy issued by the insurer shall contain a statement of the contingent liability, if any, of its members.

C.Termination of the policy of any such member shall not relieve the member of contingent liability for his proportion, if any, of the obligations of the insurer which accrued while the policy was in force.

D.Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its fi

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A. Each member of a domestic mutual insurer shall, except as otherwise provided in this article with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be in such maximum amount as it stated in the insurer's articles of incorporation.

B. Each policy issued by the insurer shall contain a statement of the contingent liability, if any, of its members.

C. Termination of the policy of any such member shall not relieve the member of contingent liability for his proportion, if any, of the obligations of the insurer which accrued while the policy was in force.

D. Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its financial condition.