reglab/housing_qa huggingface dataset:
NM Stat § 59A-39-6 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-6 - Organization of reciprocal insurer.

A. Twenty-five (25) or more persons domiciled in this state may organize a domestic reciprocal insurer and make application to the superintendent for a certificate of authority to transact insurance. B. The proposed attorney shall fulfill the requirements of and shall execute and file with the superintendent when applying for a certificate of authority a declaration setting forth: (1) the name of the insurer; (2) the location of the insurer's principal office, which shall be the same as that of the attorney and shall be maintained within this state; (3) the kinds of insurance proposed to be transacted; (4) the names and addresses of the original subscribers; (5) the designation and appointment of the proposed attorney and a copy of the power of attorney; (6) the names and addresses of the officers and directors of the attorney, if a corporation, or its members, if a firm; (7) the powers of the subscribers' advisory committee, and the names and terms of office of the members thereof; (8) that all moneys paid to the reciprocal shall, after deducting therefrom any sum payable to the attorney, be held in the name of the insurer and for the purposes specified in the subscribers' agreement; (9) a statement that each of the original subscribers had in good faith applied for insurance of a kind proposed to be transacted, and that the insurer has received from each such subscriber the full premium or premium deposit required for the policy applied for, for a term of not less than six (6) months at an adequate rate theretofore filed with and approved by the superintendent; (10) a statement of the financial condition of the insurer, a schedule of its assets, and a statement that the surplus as required by Section 83 [59A-5-16 NMSA 1978] of the Insurance Code is on hand; and (11) a copy of each policy, endorsement and application form it then proposes to issue or use. C. The declaration shall be acknowledged by the attorney in the manner required for the acknowledgment of deeds. History: Laws 1984, ch. 127, § 663.
NM Stat § 59A-39-7 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-7 - Certificate of authority.

A. The certificate of authority of a reciprocal insurer shall be issued to its attorney in the name of the insurer. B. The superintendent may refuse, suspend or revoke the certificate of authority, in addition to other grounds therefor, for failure of the attorney to comply with any applicable provision of the Insurance Code. History: Laws 1984, ch. 127, § 664. ANNOTATIONSCross references. — For the Insurance Code, see 59A-1-1 NMSA 1978 and notes thereto.
NM Stat § 59A-39-8 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-8 - 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 of the attorney; (2) if a domestic insurer, that the attorney is empowered to accept service of process on behalf of the insurer in actions against the insurer upon contracts exchanged; (3) the general services to be performed by the attorney; (4) the maximum amount, if any, to be deducted from advance premiums or deposits to be paid to the attorney and the general items of expense, if any, in addition to losses, to be paid by the insurer; and (5) except as to nonassessable policies, a provision for a contingent several liability of each subscriber in a specified amount which amount shall be not less than one nor more than ten (10) 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 or agreement shall be used or be effective in this state until approved by the superintendent. History: Laws 1984, ch. 127, § 665.
NM Stat § 59A-39-9 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-9 - Modifications.

Modifications of the terms of the subscribers' agreement or of the power of attorney of a domestic reciprocal insurer shall be made jointly by the attorney and the subscribers' advisory committee. No such modification shall be effective retroactively, or as to any insurance contract issued prior thereto. History: Laws 1984, ch. 127, § 666.
NM Stat § 59A-39-10 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-10 - Attorney's bond.

A. Concurrently with the filing of the declaration provided for in Section 663 [59A-39-6 NMSA 1978] of this article, the attorney of a domestic reciprocal insurer shall file with the superintendent a bond in favor of this state for the benefit of all persons damaged as a result of breach by the attorney of the conditions of this bond as set forth in Subsection B, below. The bond shall be executed by the attorney and by an authorized corporate surety, and shall be subject to the superintendent's approval. B. The bond shall be in the penal sum of fifty thousand dollars ($50,000), aggregate in form, conditioned that the attorney will faithfully account for all moneys and other property of the insurer coming into his hands, and that he will not withdraw or appropriate to his own use from the funds of the insurer any moneys or property to which he is not entitled under the power of attorney. C. The bond shall provide that [it] is not subject to cancellation unless thirty (30) days' advance notice in writing of cancellation is given both the attorney and the superintendent. History: Laws 1984, ch. 127, § 667. ANNOTATIONSBracketed material. — The bracketed material was inserted by the compiler and is not part of the law. Compiler's notes. — Laws 1984, ch. 127, § 993, provides that any deposit or surety bond filed in lieu thereof with or through the superintendent or state treasurer by any insurer in conjunction with authority to transact business in the state immediately prior to the effective date of the act (January 1, 1985) shall be given effect to the extent it complies with similar bonds required by the act after that date.
NM Stat § 59A-39-11 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-11 - Deposit in lieu of bond.

In lieu of the bond required under Section 667 [59A-39-10 NMSA 1978] of this article, the attorney may maintain on deposit through the superintendent, a like amount in cash or in market value of United States government bonds, subject to the same conditions as the bond. History: Laws 1984, ch. 127, § 668. ANNOTATIONSCompiler's notes. — Laws 1984, ch. 127, § 993, provides that any deposit or surety bond filed in lieu thereof with or through the superintendent or state treasurer by any insurer in conjunction with authority to transact business in the state immediately prior to the effective date of the act (January 1, 1985) shall be given effect to the extent it complies with similar bonds required by the act after that date.
NM Stat § 59A-39-12 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-12 - Action on bond.

An action on the attorney's bond or to recover against any such deposit made in lieu thereof may be brought by one or more subscribers suffering loss through a violation of its conditions, or by a receiver or liquidator of the insurer. Amounts recovered on the bond shall be deposited in and become part of the insurer's funds. The total aggregate liability of the surety shall be limited to the amount of the penalty of such bond. History: Laws 1984, ch. 127, § 669.
NM Stat § 59A-39-13 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-13 - Service of process; judgment.

A. Legal process shall be served upon a domestic reciprocal insurer by serving the insurer's attorney at his principal office or by serving the superintendent as the insurer's process agent under Sections 98 and 99 [59A-5-31 and 59A-5-32 NMSA 1978] of the Insurance Code. B. Any judgment based upon legal process so served shall be binding upon each of the insurer's subscribers as their respective interests may appear, but in an amount not exceeding their respective contingent liabilities, if any, the same as though personal service of process was had upon each such subscriber. History: Laws 1984, ch. 127, § 670.
NM Stat § 59A-39-14 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-14 - Contributions to insurer.

A. The attorney or other parties may advance to a domestic reciprocal insurer upon reasonable terms such funds as it may require from time to time in its operations. Sums so advanced shall not be treated as a liability of the insurer and, except upon liquidation of the insurer, shall not be withdrawn or repaid except out of the insurer's realized earned surplus in excess of its minimum required surplus. No such withdrawal or repayment shall be made without the advance approval of the superintendent. B. This section does not apply to bank loans or to other loans made upon security. History: Laws 1984, ch. 127, § 671.
NM Stat § 59A-39-15 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-15 - Financial condition; method of determining.

In determining the financial condition of a reciprocal insurer the superintendent shall apply the following rules: A. he shall charge as liabilities the same reserves as are required of incorporated insurers issuing nonassessable policies on a reserve basis; B. the surplus deposits of subscribers shall be allowed as assets except that any premium deposits delinquent for ninety (90) days shall first be charged against such surplus deposit; C. the surplus deposits of subscribers shall not be charged as a liability; D. all premium deposits delinquent less than ninety (90) days shall be allowed as assets; E. an assessment levied upon subscribers, and not collected, shall not be allowed as an asset; F. the contingent liability of subscribers shall not be allowed as an asset; and G. the computation of reserves shall be based upon premium deposits other than membership fees and without any deduction for expenses and the compensation of the attorney. History: Laws 1984, ch. 127, § 672.
NM Stat § 59A-39-16 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-16 - Who may be subscribers.

A. Individuals, partnerships and corporations of this state may make application, enter into an agreement for and hold policies or contracts in or with and be a subscriber of any domestic, foreign or alien reciprocal insurer. Any corporation organized under the laws of this state prior to or after the effective date of the Insurance Code shall, in addition to the rights, powers, and franchises specified in its articles of incorporation, have full power and authority as a subscriber to exchange insurance contracts through such reciprocal insurer. The right to exchange such contracts is hereby declared to be incidental to the purposes for which such corporations are organized and to be as fully granted as the rights and powers expressly conferred upon such corporations. B. Government or governmental agencies, a state or political subdivisions thereof, boards, associations, estates, trustees or fiduciaries are authorized to exchange nonassessable reciprocal interinsurance contracts with each other and with individuals, partnerships and corporations to the same extent that individuals, partnerships and corporations are authorized in this article to exchange reciprocal interinsurance contracts. C. Any officer, representative, trustee, receiver or legal representative of any such subscriber shall be recognized as acting for or on its behalf for the purpose of such contract but shall not be personally liable upon such contract by reason of acting in such representative capacity. History: Laws 1984, ch. 127, § 673. ANNOTATIONSCompiler's notes. — Laws 1984, ch. 127, § 999 made the Insurance Code effective January 1, 1985.
NM Stat § 59A-39-17 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-17 - Subscribers' advisory committee.

A. The advisory committee of a domestic reciprocal insurer exercising the subscribers' rights shall be selected under such rules as the subscribers adopt. B. Not less than two-thirds of such committee shall be subscribers other than the attorney, or any person employed by, representing or having a financial interest in the attorney. C. The committee shall: (1) supervise the finances of the insurer; (2) supervise the insurer's operations to such extent as to assure conformity with the subscribers' agreement and the power of attorney; (3) procure the audit of the accounts and records of the insurer and of attorney at the expense of the insurer; and (4) have such additional powers and functions as may be conferred in the subscribers' agreement. History: Laws 1984, ch. 127, § 674.
NM Stat § 59A-39-18 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-18 - Subscribers' liability.

A. The liability of each subscriber, other than as to a nonassessable policy, for the obligations of the reciprocal insurer shall be an individual, several and proportionate liability, and not joint. B. Except as to a nonassessable policy, each subscriber 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 his policy was in force. Such contingent liability may be at the rate of not less than one nor more than ten (10) 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 679 [59A-39-22 NMSA 1978] of this article. C. Each assessable policy issued by the insurer shall contain a statement of the contingent liability, set in type of not less prominence than the insuring clause. History: Laws 1984, ch. 127, § 675.
NM Stat § 59A-39-19 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-19 - Subscribers' liability on judgment.

A. No action shall lie against any subscriber upon any obligation claimed against the insurer until a final judgment has been obtained against the insurer and remains unsatisfied for thirty (30) days. B. Any such judgment shall be binding upon each subscriber only in such proportion as his interests may appear and in an amount not exceeding his contingent liability, if any. History: Laws 1984, ch. 127, § 676.
NM Stat § 59A-39-20 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-20 - Assessments.

A. Assessments may from time to time be levied upon subscribers of a domestic reciprocal insurer liable therefor under the terms of their policies by: (1) the attorney upon approval in advance by the subscribers' advisory committee and the superintendent; or (2) the superintendent in liquidation of the insurer. B. Each subscriber's share of a deficiency for which an assessment is made, but not exceeding in any event his aggregate contingent liability as computed in accordance with Section 679 [59A-39-22 NMSA 1978] of this article, shall be computed by applying to the premium earned on the subscriber's policy or policies during the period to be covered by the assessment, the ratio of the total deficiency to the total premiums earned during such period upon all policies subject to the assessment. C. In computing the earned premiums for the purposes of this section, the gross premium received by the insurer for the policy shall be used as a base, deducting therefrom solely charges not recurring upon the renewal or extension of the policy. D. No subscriber shall have an offset against any assessment for which he is liable, on account of any claim for unearned premium or losses payable. History: Laws 1984, ch. 127, § 677.
NM Stat § 59A-39-21 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-21 - Time limit for assessments.

Every subscriber of a domestic reciprocal insurer having contingent liability shall be liable for, and shall pay his share of any assessment as computed and limited in accordance with this article, if: A. while his policy is in force or within one year after its termination, he is notified by either the attorney or the superintendent of his intentions to levy such assessment; or B. if an order to show cause why a receiver, conservator, rehabilitator or liquidator of the insurer should not be appointed is issued while his policy is in force or within one year after its termination. History: Laws 1984, ch. 127, § 678.
NM Stat § 59A-39-22 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-22 - Aggregate liability.

No one policy or subscriber to such policy, shall be assessed or charged with an aggregate of contingent liability as to obligations incurred by a domestic reciprocal insurer in any one calendar year, in excess of the amount provided for in the power of attorney or in the subscribers' agreement, computed solely upon the premium earned on such policy during that year. History: Laws 1984, ch. 127, § 679.
NM Stat § 59A-39-23 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-23 - Nonassessable policies.

A. If a reciprocal insurer has a surplus of assets over all liabilities at least equal to the minimum capital stock required to be maintained by a domestic stock insurer authorized to transact like kinds of insurance, upon application of the attorney and as approved by the subscribers' advisory committee the superintendent shall issue his certificate authorizing the insurer to extinguish the contingent liability of subscribers under its policies then in force in this state, and to omit provisions imposing contingent liability in all policies delivered or issued for delivery in this state for so long as all such surplus remains unimpaired. B. Upon impairment of such surplus, the superintendent shall forthwith revoke the certificate. Such revocation shall not render subject to contingent liability any policy then in force and for the remainder of the period for which the premium has theretofore been paid; but after such revocation no policy shall be issued or renewed without providing for contingent assessment liability of the subscriber. C. The superintendent shall not authorize a domestic reciprocal insurer so to extinguish the contingent liability of any of its subscribers or in any of its policies to be issued, unless it qualifies to and does extinguish such liability of all its subscribers and in all such policies for all kinds of insurance transacted by it; but if required by the laws of another state in which the insurer is transacting insurance as an authorized insurer, the insurer may issue policies providing for the contingent liability of such of its subscribers as may acquire such policies in such state and need not extinguish the contingent liability applicable to policies theretofore in force in such state. History: Laws 1984, ch. 127, § 680.
NM Stat § 59A-39-24 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-24 - Subscribers' share in assets.

Upon the liquidation of a domestic reciprocal insurer, its assets remaining after the discharge of its indebtedness and policy obligations, the return of any contributions of the attorney or other persons to its surplus, and the return of any unused premiums, savings or credits then standing on subscribers' accounts shall be distributed to its subscribers who were such within the twelve (12) months prior to the last termination of its certificate of authority, according to such reasonable formula as the superintendent may approve. History: Laws 1984, ch. 127, § 681.
NM Stat § 59A-39-25 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-25 - Merger or conversion.

A. A domestic reciprocal insurer upon the affirmative vote of not less than two-thirds of its subscribers who vote on such merger pursuant to due notice, and the approval of the superintendent of the terms therefor after a hearing thereon may merge with another reciprocal insurer or be converted to a stock or mutual insurer. B. Such a stock or mutual insurer shall be subject to the same capital or surplus requirements and shall have the same rights as a like domestic insurer transacting like kinds of insurance. C. The superintendent shall not approve any plan for such merger or conversion which is unfair or inequitable to subscribers, or in violation of law or subject to reasonable obligation, or which, if for conversion to a stock insurer, does not give each subscriber preferential right to acquire stock of the proposed insurer proportionate to his interest in the reciprocal insurer as determined in accordance with Section 681 [59A-39-24 NMSA 1978] of this article and a reasonable length of time within which to exercise such right. History: Laws 1984, ch. 127, § 682.
NM Stat § 59A-39-26 (2021)
2021 New Mexico Statutes|Chapter 59A - Insurance Code|Article 39 - Reciprocal Insurers|Section 59A-39-26 - Impaired reciprocals.

A. Subject to the limitation set forth in the power of attorney or policy, if the assets of a domestic reciprocal insurer are at any time insufficient to discharge its liabilities, other than any liability on account of funds contributed by the attorney or others, and to maintain the required surplus, its attorney shall forthwith make up the deficiency or levy an assessment upon the subscribers for the amount needed to make up the deficiency. B. If the attorney fails to make up such deficiency or to make the assessment within thirty (30) days after the superintendent orders him to do so, or if the deficiency is not fully made up within sixty (60) days after the date the assessment was made, the insurer shall be deemed insolvent and shall be proceeded against as authorized by the Insurance Code. C. If liquidation of such an insurer is ordered, an assessment shall be levied upon the subscribers for such an amount, subject to the limits provided by this article, as the superintendent determines to be necessary to discharge all liabilities of the insurer, exclusive of any funds contributed by the attorney or other persons, but including the reasonable cost of the liquidation. History: Laws 1984, ch. 127, § 683. ANNOTATIONSCross references. — For the Insurance Code, see 59A-1-1 NMSA 1978 and notes thereto.