§431:4-406  Power of attorney.  (a)  The
rights and powers of the attorney of a reciprocal insurer shall be as provided
in the power of attorney given it by the subscribers.



(b)  The power of attorney must set forth:



(1)  The powers, duties, and compensation of the
attorney;



(2)  That the attorney is empowered to accept service
of process on behalf of the insurer and to authorize the commissioner to
receive service of process in actions against the insurer upon contracts
exchanged;



(3)  Except as to nonassessable policies, a provision
for contingent several liability of each subscriber in a specified amount,
which amount shall be not less than one nor more than ten times the premium or
premium deposit stated in the policy.



(c)  The power of attorney may:



(1)  Provide for the right of substitution of the
attorney and revocation of the power of attorney and rights thereunder;



(2)  Impose such restrictions upon the exercise of the
power as are agreed upon by the subscribers;



(3)  Provide for the exercise of any right reserved to
the subscribers directly or through their advisory committee; and



(4)  Contain other lawful provisions deemed advisable.



(d)  The terms of any power of attorney, or
agreement collateral thereto, shall be reasonable and equitable, and no such
power, agreement or any amendment thereof, shall be used or be effective in
this State until approved by the commissioner. [L 1987, c 347, pt of §2]