1. Any number of persons, not less than thirteen in number, a majority of whom shall be citizens of this state, may associate and form a corporation, association or company for the purpose of making insurance regarding the following classes:
(1) Property, which shall consist of insurance on the following subclasses:
(a) Marine, inland marine, and transportation;
(b) Animals;
(c) All other real and personal property, intangible or tangible;
(2) Liability, which shall consist of insurance for the following subclasses:
(a) Workers' compensation and employers' liability;
(b) Professional malpractice;
(c) Contractual liability;
(d) All other legal liability of the insured to another;
(3) Fidelity and surety;
(4) Accident and health, including death by accident;
(5) Miscellaneous, consisting of all other legitimate forms of insurance not described above but excluding life and annuities.
2. No company shall commence business or make insurance on one of the classes of insurance named in subsection 1 of this section unless, if it is a stock company, it has and maintains a paid in capital of at least eight hundred thousand dollars and a surplus of at least eight hundred thousand dollars or, if it is a mutual company, it has and maintains a policyholders' surplus of at least one million six hundred thousand dollars. No company shall commence business or make insurance on more than one of the classes of insurance enumerated in subsection 1 of this section unless, if it is a stock company, it has and maintains a paid in capital of at least one million two hundred thousand dollars and a surplus of not less than one million two hundred thousand dollars or, if it is a mutual company, it has and maintains a policyholders' surplus of not less than two million four hundred thousand dollars.
3. Violation of any of the provisions of this section by an insurer is grounds for the revocation of its certificate of authority by the director.
4. Notwithstanding any provision of this section, a mutual company licensed to do:
(1) More than one class of business in this state under this section on July 1, 1987, which did not maintain an aggregate amount of at least two million four hundred thousand dollars as policyholders' surplus on December 31, 1986, may renew its license for business specified therein by maintaining an aggregate amount of at least one million six hundred thousand dollars as policyholders' surplus, if all other conditions have been met, until December 31, 1989, at which time the following provisions relating to minimum policyholders' surplus shall be met:
(a) On and after December 31, 1989, one million eight hundred thousand dollars;
(b) On and after December 31, 1990, two million dollars;
(c) On and after December 31, 1991, two million two hundred thousand dollars;
(d) On and after December 31, 1992, two million four hundred thousand dollars;
(2) One class of business in this state under this section on July 1, 1987, which did not maintain an aggregate amount of at least one million six hundred thousand dollars as a policyholders' surplus on December 31, 1986, may renew its license for business specified therein by maintaining an aggregate amount of at least eight hundred thousand dollars as a policyholders' surplus, if all other conditions have been met, until December 31, 1989, at which time the following provisions relating to policyholders' surplus shall be met:
(a) On and after December 31, 1989, one million dollars;
(b) On and after December 31, 1990, one million two hundred thousand dollars;
(c) On and after December 31, 1991, one million four hundred thousand dollars;
(d) On and after December 31, 1992, one million six hundred thousand dollars.
5. Notwithstanding any provision of this section, a stock company licensed to do:
(1) More than one class of business in this state under this section on August 28, 1989, which did not have a fully paid capital of at least one million two hundred thousand dollars and a surplus of at least one million two hundred thousand dollars on December 31, 1986, may renew its license for business specified therein by maintaining a fully paid capital of at least eight hundred thousand dollars and a surplus of at least eight hundred thousand dollars, if all other conditions have been met, until December 31, 1989, at which time the following provisions relating to minimum capital and surplus shall be met:
(a) On and after December 31, 1989, nine hundred thousand dollars capital, nine hundred thousand dollars surplus;
(b) On and after December 31, 1990, one million dollars capital, one million dollars surplus;
(c) On and after December 31, 1991, one million one hundred thousand dollars capital, one million one hundred thousand dollars surplus;
(d) On and after December 31, 1992, one million two hundred thousand dollars capital, one million two hundred thousand dollars surplus.
(2) One class of business in this state under this section on July 1, 1987, which did not have a fully paid capital of at least eight hundred thousand dollars and a surplus of at least eight hundred thousand dollars on December 31, 1986, may renew its license for business specified therein by maintaining a fully paid capital of not less than four hundred thousand dollars and a surplus of at least four hundred thousand dollars, if all other conditions have been met, until December 31, 1989, at which time the following provisions relating to minimum capital and surplus shall be met:
(a) On and after December 31, 1989, five hundred thousand dollars capital, five hundred thousand dollars surplus;
(b) On and after December 31, 1990, six hundred thousand dollars capital, six hundred thousand dollars surplus;
(c) On and after December 31, 1991, seven hundred thousand dollars capital, seven hundred thousand dollars surplus;
(d) On and after December 31, 1992, eight hundred thousand dollars capital, eight hundred thousand dollars surplus.