Agenda - 12-19-1986 - Laserfiche WebLink

Browse Search

,:;'fie"� a - '4-"f r , t F. 'z , § 58-495 GENERAL STATUTES OF NORTH CAROLINA • ..13 § 58-495. Audit. -,t- ' Each pool must be audited annually at the expense pool yi ' .* p y xpense of the ool b a cent' _ _ -x:.: `' public accounting firm, with a copy of the report available to the gove :; body or chief executive officer of each member of the pool and to the Co sinner. The board of trustees of the pool must obtain an appropriate actu: ` "-- evaluation of the loss and loss adjustment j expense reserves of the pool,includ- __- �. _ ing an estimate of losses and loss adjustment expenses incurred but not_ie ••-= : -_ ported. The Commissioner must examine each pool once every three yea's-- ;= -=- The costs of such examination expenses will be paid by the pool that is subj= -.-.- = �r to the examination.The Commissioner may examine a pool earlier than three T 7. s years after a previous examination if he has reason to believe that the pool i$ :_ insolvent or financially impaired. (1985 (Reg. Sess., 1986), c. 1027, s. 26.. I.-r _ _ `' § 58-496. Insolvency or impairment of pool. - 1:....,-.:,= r.:f - __�_—..— r _ tit= = ', (a) If, as a result of the annual audit or an examination by the Commis 1;-' 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,;`.. 11 and his list of recommendations to abate the deficiency, including a recom�:" ; = mendation not to add any new members until the deficiency is abated.If the :_= '=• - = pool fails to comply with the recommendations within 60 days after the date of::_:-- _ ffi the notice, the Commissioner must notify the chief executive officers or the 7, 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 has-:: - u failed to comply with the recommendations of the Commissioner. ` ,: . -..: ., (b) If a pool is determined to be insolvent,financially impaired, or is other- `" 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 asse ,_' . on a pro rata basis as calculated by the amount of each member's average = y .,i annual contribution in order to satisfy the amount of'deficiency. 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.) W - § 58-497. Immunity of administrators and boards-=O 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 ;tY in the performance of their powers and duties in creating or administe •''r -- any pool under this Article. (1985 (Reg. Sess., 1986), c. 1027, s. 26.) .:: . Tiir.•. _ • -may `yam ,T 446 -