§ 26-27-125 — Nonassessable policies

Wyoming § 26-27-125

• Jurisdiction: Wyoming
• Title 26: Insurance Code
• Ch. 27: RECIPROCAL INSURERS

Text

(a) If a reciprocal insurer has a surplus of assets over
all liabilities at least equal to the minimum capital stock and
surplus required to be maintained by a domestic stock insurer
authorized to transact like kinds of insurance, upon application
of the attorney and as approved by the subscribers' advisory
committee, the commissioner shall issue his certificate
authorizing the insurer to extinguish the contingent liability
of subscribers under its policies then in force in this state
and to omit provisions imposing contingent liability in all
policies delivered or issued for delivery in this state for as
long as all the surplus remains unimpaired.
(b) If the surplus is impaired, the commissioner shall
immediately revoke the certificate. The revocation does not
render subject to contingent liability any policy then in force
and for the remainder of the period for which the premium has
been paid. After revocation no policy shall be issued or renewed
without providing for the subscriber's contingent assessment
liability.
(c) The commissioner shall not authorize a domestic
reciprocal insurer to extinguish the contingent liability of any
of its subscribers or in any of its policies to be issued,
unless it qualifies to and does extinguish the liability of all
its subscribers and in all the policies for all kinds of
insurance it transacts. If required by the laws of another state
in which the insurer is transacting insurance as an authorized
insurer, the insurer may issue policies providing for the
contingent liability of those of its subscribers as acquire the
policies in that state, and need not extinguish the contingent
liability applicable to policies previously in force in that
state.