Agenda - 12-19-1986 - Laserfiche WebLink

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+x o = . _x yLL_ tiY fir_ _ :31 T. `°:i § 58-495 GENERAL STATUTES OF NORTH CAROLINA § 58- 58-495. Audit. - , k Each pool must be audited annually at the expense of the pool by a cent' x _ = public accounting firm, with a copy of the report available to the Bove ' body or chief executive officer of each member of the pool and to the Commis. bod p =. ':':i sioner. The board of trustees of the pool must obtain an appropriate ac . e :, evaluation of the loss and loss adjustment expense reserves of the pool,includ- - �; ing an estimate of losses and loss adjustment expenses incurred but not ice`_° ``�` _k. : ported. The Commissioner must examine each pool once every three e ,.._,.. q ars, The costs of such examination a enses will be aid b the ool that is sub 414 xP P Y P i :a to the examination.The Commissioner may examine a pool earlier than three __:' t. �; years after a previous examination if he has reason to believe that the pool is . - insolvent or financially impaired. (1985 (Reg. Sess., 1986), c. 1027, s. 26 :-=- i -6- § 58-496. Insolvency or impairment of pool. -tit:-T. =.'T (a) If, as a result of the annual audit or an examination by the Comims.. r-.:' sioner,it appears that the assets of a pool are insufficient to enable the pool to • :- discharge its legal liabilities and other obligations, the Commissioner m .*:- ; `: notify the administrator and the board of trustees of the pool of the deficiency - - -=yiy and his list of recommendations to abate the deficiency, including a recom- mendation not to add any new members until the deficiency is abated.11th ^7,.. y - -- pool fails to comply with the recommendations within 60 days after the dated -; - f3, the notice, the Commissioner must notify the chief executive officers or the' - governing bodies of the members of the pool, the Governor, the President .; ;`' ., the Senate,and the Speaker of the House of Representatives that the pool , _ ,.- failed to comply with the recommendations of the Commissioner. .`._- �_} (b) If a pool is determined to be insolvent,financially impaired,or is other-_ --i. wise found to be unable to discharge its legal liabilities and other obligations, • -- each pool contract will provide that the members of the pool shall be a ,,- �F�=_-: ' on a pro rata basis as calculated by the amount of each member's average ':;i annual contribution in order to satisfy the amount ofodeficiency. The assess- -i ment may not exceed the amount of each member's average annual contribu-:. tion to the pool. (1985 (Reg. Sess., 1986), c. 1027, s. 26) r,. § 58-497. Immunity of administrators and boards To trustees. �' _ There is no liability on the part of and no cause of action arises against °' - __ board of trustees established or administrator appointed pursuant to G.. - 58-492, their representatives, or any pool, its members, or its employ- _ agents, contractors,or subcontractors for any good faith action taken by them:::._ I: in the performance of their powers and duties in creating or administe '-f any pool under this Article. (1985 (Reg. Sess., 1986), c. 1027, s. 26.) -; • .. Y/g C - • a.i, 446 _ _ ar