§ 38.2-3915. Assessment contract
Contracts issued by a mutual assessment life, accident and sickness insurer shall be on forms prescribed by the insurer and shall be substantially uniform among members of the respective classes of insurance written by the insurer. Each member shall pay his pro rata share of all losses or damages sustained, expenses of operations of the insurer, and the maintenance of an adequate surplus to policyowners as determined by the board of directors. Periodic assessments may be collected as advance premiums, or by past assessments, or by both methods. The amount of assessments shall be established by the board of directors of the insurer. When a contract is subject to assessment, the contingent liability of each member of an insurer shall be clearly stated in the contract. Contracts omitting the right of contingent assessment shall be deemed to be nonassessable.
(1985, c. 400, § 38.1-549.16; 1986, c. 562.)
Sections: Previous 38.2-3908 38.2-3909 38.2-3910 38.2-3911 38.2-3912 38.2-3913 38.2-3914 38.2-3915 38.2-3916 38.2-3917 38.2-3918 38.2-3919 38.2-3920 38.2-3921 38.2-3922 NextLast modified: April 3, 2009