686B.220 - Nevada Essential Insurance Association: Board of Directors; reimbursement of members of Board; approval or adoption of plan by Commissioner.
686B.220 Nevada Essential Insurance Association: Board of Directors; reimbursement of members of Board; approval or adoption of plan by Commissioner.
1. The administrative powers of the Nevada Essential Insurance Association shall be vested in a Board of Directors consisting of not less than five nor more than nine members serving terms as established in the plan of organization. The members of the Board shall be appointed by the Commissioner with due consideration given to the composition of the membership of the Association and to the interests of the insureds who are provided essential insurance coverage by the Association.
2. Members of the Board may be reimbursed from the assets of the Association for expenses incurred by them as members of the Board of Directors and for reasonable and equitable compensation as may be prescribed by the terms of the plan of organization.
3. The Board of Directors of the Association shall submit to the Commissioner a plan of organization for the Association and make suitable or necessary amendments thereto to assure the fair, reasonable and equitable administration of the Association. The plan of operation shall become effective upon approval in writing by the Commissioner.
4. If the Association fails to submit a suitable plan of operation within a reasonable period of time, or if at any time thereafter the Association fails to submit suitable amendments to the plan, the Commissioner shall promulgate a plan as necessary or advisable to effectuate the provisions of this section.
(Added to NRS by 1975, 398)