Section 27-30-1 “Mutual aid association” defined. For the purposes of this title, a “mutual aid association,” whether otherwise known as a “benefit” or “industrial” company or by whatever other name called, is a corporation whose business is limited to the provision of any of the following payments, aid, or benefits under certificates, policies, or agreements […]
Section 27-30-10 Certificate of authority – Expiration; renewal. (a) The certificate of authority of a mutual aid association issued under this chapter shall expire annually at midnight on the May 31 next following the date of issuance or renewal. (b) If the association has filed its annual statement for the preceding calendar year, has paid […]
Section 27-30-11 Certificate of authority – Suspension or revocation – Grounds. (a) The commissioner shall suspend or revoke the certificate of authority of a mutual aid association if he finds, upon examination or other evidence, that any one or more of the following grounds exist: (1) For any cause for which he could have refused […]
Section 27-30-12 Certificate of authority – Suspension or revocation – Procedure. (a) If suspension or revocation of certificate of authority relates to grounds other than the financial condition of the association, the commissioner shall give the association written notice of his intention to so suspend or revoke not less than 10 days in advance of […]
Section 27-30-13 Commissioner as agent for process; service of process; notice of change of address. (a) Every mutual aid association, at the time of filing application for its certificate of authority, shall, by a duly executed instrument filed with the commissioner, on a form as designated and furnished by the commissioner, designate the principal office […]
Section 27-30-14 Contracts – Issuance; contents; approval by commissioner. (a) A mutual aid association shall issue to each member or policyholder a contract, in the English language, printed or reproduced by other easily legible means, and whether called a “certificate,” “policy,” “agreement,” or by whatever name, setting forth the aid and benefits for which the […]
Section 27-30-15 Contracts – Limits of risk. (a) An association shall not, at any one time, have in force any contract, or any number of contracts, covering the same individual, whether such individual is so covered as a member, policyholder, dependent, or in any other capacity, for benefits payable in cash, or having a reasonable […]
Section 27-30-16 Contracts – Annual valuation – Benefits payable in cash. (a) The commissioner shall each year compute the net value as of December 31 of the preceding year of all benefits payable in cash under all outstanding contracts or policies of each mutual aid association. Such valuation shall be made upon the basis of […]
Section 27-30-17 Contracts – Annual valuation – Benefits, aid, or services other than cash. (a) The commissioner shall each year cause all outstanding contracts or policies of every mutual aid association to be carefully valued as of December 31 of the preceding year at 40 percent of the retail value of the benefits, aid, or […]
Section 27-30-18 Deposit – Amounts; purpose; kind. (a) Each mutual aid association shall, prior to issuance of its certificate of authority, deposit and thereafter maintain on deposit with the Treasurer of the State of Alabama securities of the kind authorized under subsection (d) of this section, in the amount of not less than $5,000.00. If […]
Section 27-30-19 Deposit – Administration. (a) Deposits of mutual aid associations, heretofore or hereafter made with the State Treasurer under Section 27-30-18 or under laws heretofore in force, shall be administered as provided by, be subject to withdrawal and release, and otherwise be subject to the applicable provisions of Chapter 6 of this title, other […]
Section 27-30-2 Applicability of chapter – Generally. (a) This chapter applies only to domestic mutual aid associations, as defined in Section 27-30-1. (b) No provision of this title shall apply to mutual aid associations except as contained or referred to in this chapter. (Acts 1971, No. 407, p. 707, §557.)
Section 27-30-20 Funds of association. The funds of a mutual aid association shall be in cash or invested as provided by the laws of this state with respect to such associations and life insurers. (Code 1940, T. 28, §253; Acts 1971, No. 407, p. 707, §576.)
Section 27-30-21 Accounts and records. (a) Every mutual aid association shall keep complete and accurate accounts and records of its affairs and transactions, in accordance with the usual and accepted methods and principles of insurance accounting and record keeping as applicable to the kind of business transacted by the association. (b) All such accounts and […]
Section 27-30-22 Annual statement; furnishing of other information. (a) Each mutual aid association shall, annually on or before March 1, file with the commissioner a full and true statement of its financial condition, transactions, and affairs as of the December 31 preceding. The statement shall be in such general form and content as is prescribed […]
Section 27-30-23 Duty of officers and agents. Any officer or agent of a mutual aid association whose duty it is to maintain its accounts and records, or to make the annual report to the commissioner or to designate the principal place of business or agent for service of process of such association as required under […]
Section 27-30-24 Examinations by commissioner. The commissioner shall, at least once every three years and oftener whenever he deems it prudent to do so, examine each mutual aid association doing business in this state. Except as to frequency of examination, such examinations and the association shall be subject to the provisions of Chapter 2 of […]
Section 27-30-25 Exemption of resident members’, etc., interest from process. The interest of resident members and policyholders of mutual aid associations therein, and of resident beneficiaries provided for thereby, is exempt from all process for the collection of debts or the enforcement of liabilities. (Code 1940, T. 28, §276; Acts 1971, No. 407, p. 707, […]
Section 27-30-26 Incorporation and financing of new associations. New domestic mutual aid associations, whether stock corporations or mutual corporations, shall hereafter be incorporated and financed under the same provisions and procedures as apply to domestic legal reserve stock or mutual insurers under Chapter 27 of this title, other than provisions made inapplicable under Section 27-30-33 […]
Section 27-30-27 Qualification of corporation for original certificate of authority. (a) When applying for an original certificate of authority, a domestic corporation formed to transact a mutual aid business on the mutual plan must be otherwise qualified therefor under this title, must have entered into bona fide agreements for insurance of the kind proposed to […]
