§431:4-321  Nonassessable policies. 
(a)  A domestic mutual insurer, after it has established a surplus not less in
amount than the minimum capital funds required of a domestic stock insurer to
transact like classes of insurance, may extinguish the contingent liability of
its members to assessment and omit provisions imposing contingent liability in
all policies currently issued.



(b)  When the surplus has been so established
and the commissioner has so ascertained, the commissioner shall issue to the
insurer, at its request, the commissioner's certificate authorizing the
extinguishment of the contingent liability of its members and the issuance of
policies free therefrom.



(c)  While it maintains surplus funds in amount
not less than the minimum paid-up capital stock and surplus required of a
domestic stock insurer authorized to transact like classes of insurance, a
foreign or alien mutual insurer may, if consistent with its charter and the
laws of its domicile, issue nonassessable policies covering subjects located,
resident, or to be performed in this State. [L 1987, c 347, pt of §2]