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

(b)  The power of attorney must set forth:

(1)  The powers, duties, and compensation of theattorney;

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

(3)  Except as to nonassessable policies, a provisionfor 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 orpremium deposit stated in the policy.

(c)  The power of attorney may:

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

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

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

(4)  Contain other lawful provisions deemed advisable.

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