§ 58-42-5

\n(a) Each plan promulgated or prepared pursuant to G.S. 58-42-1 shall:\n(1) Give consideration to:\na. The need for adequate and readily accessible coverage;\nb. Optional methods of improving the market affected;\nc. The inherent limitations of the insurance mechanism;\nd. The need for reasonable underwriting standards; and\ne. The requirement of reasonable loss prevention measures;\n(2) Establish procedures that will create minimum interference with the voluntary market;\n(3) Distribute the obligations imposed by the plan, and any profits or losses experienced by the plan, equitably and efficiently among the participating insurers; and\n(4) Establish procedures for applicants and participants to have their grievances reviewed by an impartial body. The filing and processing of a grievance pursuant to this subdivision does not stay the requirement for participation in a plan mandated by G.S. 58-42-10.\n(b) Each plan may, on behalf of its participants:\n(1) Issue policies of insurance to eligible applicants;\n(2) Underwrite, adjust, and pay losses on insurance issued by the plan;\n(3) Appoint a service company or

may, on behalf of its participants:\n(1) Issue policies of insurance to eligible applicants;\n(2) Underwrite, adjust, and pay losses on insurance issued by the plan;\n(3) Appoint a service company or companies to perform the functions enumerated in this subsection; and\n(4) Obtain reinsurance for any part or all of its risks. (1986, Ex. Sess., c. 7, s. 1; 1999-114, s. 1.)