California Insurance Code ARTICLE 2 - Organization of Exchange

• Section 1300.
  Any persons may exchange reciprocal or interinsurance contracts with one another providing insurance, other than life, title, mortgage, mortgage guaranty, or insolvency insurance, among themselves...
• Section 1301.
  Such persons are termed subscribers.(Enacted by Stats. 1935, Ch. 145.)
• Section 1302.
  Any domestic corporation, in addition to the rights, powers and franchises specified in its articles of incorporation, has full power and authority to enter into...
• Section 1303.
  The organization under which such subscribers so exchange contracts is termed a reciprocal or interinsurance exchange, and shall be deemed the insurer while each subscriber...
• Section 1305.
  Such contracts may be executed by an attorney-in-fact, agent or other representative duly authorized and acting for such subscribers under powers of attorney. Such authorized...
• Section 1306.
  The principal office of the attorney shall be maintained at a place designated by the subscribers in the power of attorney.(Enacted by Stats. 1935, Ch.
• Section 1307.
  The power of attorney and contracts made thereunder may:(a) Provide for the right of substitution of attorney and revocation of the contract or power.(b) Impose such restrictions...
• Section 1308.
  The body exercising the subscribers’ rights shall be selected under such rules as the subscribers adopt. It shall supervise the finances of the exchange and...
• Section 1309.
  Such body shall have authority to procure the audit of the accounts and records of the exchange and of the attorney-in-fact, at the expense of...
• Section 1310.
  Such body shall be composed of subscribers or agents of subscribers. Not more than one-third of the members serving on such body shall be agents,...
• Section 1310.1.
  The board of a reciprocal or interinsurance exchange operating pursuant to Section 1284 shall be composed of members of the governing board of the hospital,...
• Section 1311.
  A reciprocal or interinsurance exchange may engage in the surety insurance business in this state only provided its surplus is at least twice the amount...
• Section 1312.
  (a) Any reciprocal or interinsurance exchange, domestic or foreign, which has obtained a certificate of capability to reinsure or a favorable order under Section 1401.5 and...
• Section 1313.
  Nothing in Chapter 504 of the Statutes of 1965 shall limit or affect the right of an admitted foreign reciprocal or interinsurance exchange to accept...
• Section 1314.
  Any reciprocal or interinsurance exchange, domestic or foreign, which has obtained a certificate of surplus under Section 1401, and whose subscribers by such order have...
• Section 1315.
  A reciprocal exchange or interinsurance exchange may borrow money to defray the expenses of its organization, provide it with surplus funds, or for any purpose...

Last modified: October 22, 2018