§ 26.1-16-16 — Application for and certificate of membership - Contents - Approval - Maximum benefits - Expense deductions

North Dakota § 26.1-16-16

• Jurisdiction: North Dakota
• Title 26.1: Insurance
• Ch. 26.1-16: Benevolent Societies

Text

Maximum benefits - Expense deductions.
The certificate of membership issued by a benevolent society must state fully the conditions
on which the benefit is paid. The certificate of membership and the application for the certificate
constitute the entire contract between the society and the member. Every certificate and
application must have printed or stamped thereon in red ink and in ten-point boldfaced type
"This is not an insurance policy. The society maintains no reserve. All benefits are dependent
upon voluntary assessments from members." The insurance commissioner shall approve the
form of the certificate and application prior to their issuance or use. The benefits under any
certificate must be confined to a death benefit to the beneficiary of the deceased member in an
amount not to exceed two thousand dollars, and the certificate must provide for an assessment
on the membership in an amount not exceeding four dollars to be paid by the members after
notice and proof of death. The proceeds of the assessment, less an amount not exceeding ten
percent thereof as an allowance for expenses, must be paid to the beneficiary of the deceased
member. A death benefit may not exceed the maximum amount stated in the certificate.