56-19-113 - Maximum premium to be stated Cash and contingent premiums.
56-19-113. Maximum premium to be stated Cash and contingent premiums.
(a) The maximum premium payable by any member shall be expressed in the policy or in the application for the insurance. The maximum premium may be a cash premium and the contingent premium not less than the cash premium, or may be solely a cash premium.
(b) No policy shall be issued for a cash premium without an additional contingent premium, unless the company has a surplus of at least one hundred thousand dollars ($100,000) or a surplus that is not less in amount than the capital stock required of domestic stock insurance companies transacting the same kinds of insurance.
[Acts 1919, ch. 108, § 10; Shan. Supp., § 3369a58b16; Code 1932, § 6328; T.C.A. (orig. ed.), § 56-1713.]