D.C. Mun. Regs. tit. 26, r. 26-A4018

Current through Register Vol. 71, No. 44, November 1, 2024

Rule 26-A4018 - SUBSCRIBERS' LIABILITY GENERALLY

4018.1

Subscribers shall be nonassessable unless specifically provided otherwise in the written power of attorney or in the written subscribers' agreement.

4018.2

The liability of each assessable subscriber under an assessable policy for the obligations of the reciprocal insurer shall be an individual, several, and proportionate liability, and not joint. Each subscriber under an assessable policy shall have a contingent assessment liability, in the amount provided for in the power of attorney or in the subscribers' agreement, for payment of actual losses and expenses incurred while the subscriber's policy was in force. Such contingent liability may be at the rate of not less than one nor more than ten times the premium or premium deposit stated in the policy, and the maximum aggregate thereof shall be computed in the manner set forth in section 4023 of this chapter.

4018.3

No policy issued by the insurer shall be assessable unless it contains a statement of the contingent liability set in type of the same prominence as the insuring clause.

D.C. Mun. Regs. tit. 26, r. 26-A4018

Notice of Emergency and Proposed Rulemaking published at 54 DCR 12099 (December 14, 2007)[EXPIRED]; as amended by Notice of Final Rulemaking published at 55 DCR 479, 486 (January 18, 2008)

Authority: The Commissioner of the Department of Insurance, Securities, and Banking, pursuant to the authority set forth in section 22 of the Captive Insurance Company Act of 2004, effective March 17, 2005 (D.C. Law 15-262; D.C. Official Code § 31-3931.21 ).