[§323F-4.5]  Captive insurance board. (a)  There is established a ten-member captive insurance board that shall carryout the corporation's duties and responsibilities relating to the establishmentof any captive insurance company pursuant to section [323F-7(c)(20)] and theoperation thereof.

(b)  Eight members of the captive insuranceboard shall be appointed by the governor as follows:

(1)  Three members from a list of five personssubmitted by the president of the senate; provided that at least one of thesemembers shall have experience in the insurance industry and financial matters;

(2)  Three members from a list of five personssubmitted by the speaker of the house of representatives; provided that atleast one of these members shall have experience in the insurance industry andfinancial matters; and

(3)  Two members, one of whom shall be the chiefexecutive officer or chief financial officer of an insurer licensed to dobusiness in the State and shall serve as a nonvoting member.

The director of health or the director'sdesignee and the insurance commissioner or the commissioner's designee shallserve as ex officio, nonvoting members.

Any vacancy shall be filled in the same mannerprovided for the original appointments.  The captive insurance board shallelect its own chair from among its members.

(c)  The selection, appointment, andconfirmation of any appointed nominee shall be based on ensuring that captiveinsurance board members have diverse and beneficial perspectives andexperiences and that they include, to the extent possible, representatives ofthe insurance and/or finance sectors.  Members of the captive insurance boardshall serve without compensation but may be reimbursed for actual expenses,including travel expenses incurred in the performance of their duties.

(d)  Any appointed member of the captiveinsurance board may be removed for cause by the governor or for cause by voteof a two-thirds majority of the captive insurance board members then inoffice.  For purposes of this section, cause shall include without limitation:

(1)  Malfeasance in office;

(2)  Failure to attend regularly called meetings;

(3)  Sentencing for conviction of a felony, to theextent allowed by section 831-2; or

(4)  Any other cause that may render a member incapableor unfit to discharge the duties required under this chapter.

Filing nomination papers for elective office,appointment to elective office, or conviction of a felony consistent withsection 831-3.1, shall automatically and immediately disqualify a board memberfrom office.

(e)  No member of the captive insurance boardshall be an employee or vendor of the corporation, or an immediate familymember thereof.  For purposes of this subsection, "immediate familymember" means a corporation board employee's or vendor's spouse, child,parent, grandparent, or any related individual who resides in the samehousehold of the employee or vendor. [L 2007, c 278, §2]