Section 379.985

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 379

Effective - 28 Aug 1996   

  379.985.  Member's interest — nontransference of membership — immunity from liability — assessments, not imposed — security, membership interest. — 1.  The membership interests of the policyholders of a reorganized insurance company shall become membership interests in the mutual holding company.  Policyholders of the reorganized insurance company shall be members of the mutual holding company in accordance with the articles of incorporation and bylaws of the mutual holding company and the applicable provisions of this chapter relating to mutual insurance companies.

  2.  No member of a mutual holding company may transfer membership or any right arising therefrom.

  3.  A member of a mutual holding company is not, as such, personally liable for the acts, debts, liabilities or obligations of the company.

  4.  No assessments of any kind may be imposed upon the members of a mutual holding company by the directors, or members, or because of any liability of any company owned or controlled by the mutual holding company, or because of any act, debt or liability of the mutual holding company itself.

  5.  A membership interest in a domestic mutual holding company shall not constitute a security under the laws of this state.

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(L. 1996 S.B. 759)