State Codes and Statutes

Statutes > North-carolina > Chapter_58 > GS_58-20-20

§58‑20‑20.  Mutual agreement for indemnification.

(a)        An agreement madeunder this Article shall contain provisions for:

(1)        A system or programof loss control;

(2)        The termination ofmembership;

(3)        The payment by theClub of all claims for which a member incurred liability during the period ofhis membership;

(4)        The non‑paymentof claims where a member has individually retained the risk, or where the riskis not specifically covered, or where the amount of the claim exceeds thecoverage provided by the Club;

(5)        The assessment ofmembers;

(6)        The payment ofcontributions from members to satisfy deficiencies;

(7)        The maintenance ofclaim reserves equal to known incurred losses and loss adjustment expenses andto an estimate of incurred but not reported losses; and

(8)        Final accounting andsettlement of the obligations or refunds to a terminating member when allincurred claims are settled.

(b)        The agreementrequired by this section may also include provisions authorizing the Club to:

(1)        To establish officeswhere necessary in this State, and employ necessary staff to carry out itspurposes;

(2)        Retain legalcounsel, actuaries, claims adjusters, auditors, engineers, private consultants,and advisors, and other persons as the board of trustees or the administratordeem to be necessary;

(3)        Amend or repeal itsbylaws;

(4)        Purchase, lease, orrent real and personal property as it deems necessary; and

(5)        Enter intoagreements with financial institutions that permit it to issue checks or othernegotiable instruments in its own name. (1987, c. 330.)

State Codes and Statutes

Statutes > North-carolina > Chapter_58 > GS_58-20-20

§58‑20‑20.  Mutual agreement for indemnification.

(a)        An agreement madeunder this Article shall contain provisions for:

(1)        A system or programof loss control;

(2)        The termination ofmembership;

(3)        The payment by theClub of all claims for which a member incurred liability during the period ofhis membership;

(4)        The non‑paymentof claims where a member has individually retained the risk, or where the riskis not specifically covered, or where the amount of the claim exceeds thecoverage provided by the Club;

(5)        The assessment ofmembers;

(6)        The payment ofcontributions from members to satisfy deficiencies;

(7)        The maintenance ofclaim reserves equal to known incurred losses and loss adjustment expenses andto an estimate of incurred but not reported losses; and

(8)        Final accounting andsettlement of the obligations or refunds to a terminating member when allincurred claims are settled.

(b)        The agreementrequired by this section may also include provisions authorizing the Club to:

(1)        To establish officeswhere necessary in this State, and employ necessary staff to carry out itspurposes;

(2)        Retain legalcounsel, actuaries, claims adjusters, auditors, engineers, private consultants,and advisors, and other persons as the board of trustees or the administratordeem to be necessary;

(3)        Amend or repeal itsbylaws;

(4)        Purchase, lease, orrent real and personal property as it deems necessary; and

(5)        Enter intoagreements with financial institutions that permit it to issue checks or othernegotiable instruments in its own name. (1987, c. 330.)


State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_58 > GS_58-20-20

§58‑20‑20.  Mutual agreement for indemnification.

(a)        An agreement madeunder this Article shall contain provisions for:

(1)        A system or programof loss control;

(2)        The termination ofmembership;

(3)        The payment by theClub of all claims for which a member incurred liability during the period ofhis membership;

(4)        The non‑paymentof claims where a member has individually retained the risk, or where the riskis not specifically covered, or where the amount of the claim exceeds thecoverage provided by the Club;

(5)        The assessment ofmembers;

(6)        The payment ofcontributions from members to satisfy deficiencies;

(7)        The maintenance ofclaim reserves equal to known incurred losses and loss adjustment expenses andto an estimate of incurred but not reported losses; and

(8)        Final accounting andsettlement of the obligations or refunds to a terminating member when allincurred claims are settled.

(b)        The agreementrequired by this section may also include provisions authorizing the Club to:

(1)        To establish officeswhere necessary in this State, and employ necessary staff to carry out itspurposes;

(2)        Retain legalcounsel, actuaries, claims adjusters, auditors, engineers, private consultants,and advisors, and other persons as the board of trustees or the administratordeem to be necessary;

(3)        Amend or repeal itsbylaws;

(4)        Purchase, lease, orrent real and personal property as it deems necessary; and

(5)        Enter intoagreements with financial institutions that permit it to issue checks or othernegotiable instruments in its own name. (1987, c. 330.)