§ 48.23.070. Participation in surplus
(1) In all policies which provide for participation in the insurer's surplus, there shall be a provision that the policy shall so participate annually in the insurer's divisible surplus as apportioned by the insurer, beginning not later than the end of the third policy year. Any policy containing provision for annual participation beginning at the end of the first policy year, may also provide that each dividend shall be paid subject to the payment of the premiums for the next ensuing year. The insured under any annual dividend policy shall have the right each year to have the current dividend arising from such participation either paid in cash, or applied in accordance with such other dividend option as may be specified in the policy and elected by the insured. The policy shall further provide which of the options shall be effective if the insured shall fail to notify the insurer in writing of his election within the period of grace allowed for the payment of premium.
(2) This section shall not apply to paid-up nonforfeiture benefits nor paid-up policies issued on default in payment of premiums.
[1947 c 79 § .23.07; Rem. Supp. 1947 § 45.23.07.]
Sections: Previous 48.23.010 48.23.020 48.23.030 48.23.040 48.23.050 48.23.060 48.23.070 48.23.075 48.23.080 48.23.085 48.23.090 48.23.100 48.23.110 48.23.120 48.23.130 NextLast modified: April 7, 2009