§ 58-23-10. Board of trustees.
§58‑23‑10. Board of trustees.
(a) Each pool will beoperated by a board of trustees consisting of at least five persons who areelected officials or employees of local governments within this State. Theboard of trustees of each pool will:
(1) Establish terms andconditions of coverage within the pool, including underwriting criteria andexclusions of coverage;
(2) Ensure that allvalid claims are paid promptly;
(3) Take all necessaryprecautions to safeguard the assets of the pool;
(4) Maintain minutes ofits meeting and make those minutes available to the Commissioner;
(5) Designate anadministrator to carry out the policies established by the board of trusteesand to provide day to day management of the group and delineate in writtenminutes of its meetings the areas of authority it delegates to theadministrator; and
(6) Establish guidelinesfor membership in the pool.
(b) The board oftrustees may not:
(1) Extend credit toindividual members for payment of a premium, except pursuant to payment plansapproved by the Commissioner.
(2) Borrow any moneysfrom the pool or in the name of the pool, except in the ordinary course ofbusiness, without first advising the Commissioner of the nature and purpose ofthe loan and obtaining prior approval from the Commissioner. (1985(Reg. Sess., 1986), c. 1027, s. 26.)