3419c

(1) If authorized by the vote of not less than two-thirds of the members of an insurance cooperative present at a special assembly called to said effect, the Board of Directors may impose a special prorated assessment on all contribution certificates issued by the insurance cooperative, to guarantee totally or partially the necessary funds to cover the impairment of assets, in accordance with the notification and requirement of the Commissioner, as provided in § 3419b of this title.(2) Written notice of such assessment shall be transmitted by registered mail to each one of such members to the last address registered in the insurance cooperative, requiring payment of such assessment before the expiration of the term of eighty-five (85) days.Upon prior agreement of the Board of Directors and with the consent of the Commissioner, such notice may provide that if the member fails to pay the assessment when due his/her fund contribution certificates, or such part thereof as may be necessary to said effect, shall, on a date within the period of five (5) days after expiration of the term specified in the preceding paragraph, become property of the insurance cooperative.

s may be necessary to said effect, shall, on a date within the period of five (5) days after expiration of the term specified in the preceding paragraph, become property of the insurance cooperative. In no case may the insurance cooperative appropriate for itself contribution certificates of members whose contribution exceeds the assessment corresponding to said members. The appropriation of fund contribution certificates by the insurance cooperative in the prescribed manner shall be recorded upon the books of the insurance cooperative and shall be fully binding and operative upon all parties. Provided, That as soon as the financial condition of the insurance cooperative so permits, the Board of Directors may proceed to accredit to members fund contribution certificates whose value shall in no case exceed the sums appropriated in the aforesaid manner. The insurance cooperative or its creditors shall have no further remedy against the member failing to pay the assessment thus imposed. History —Ins. Code, added as § 34.193 on June 25, 1965, No. 86, p. 200, § 10; Nov. 12, 2007, No. 174, § 23, eff. 30 days after Nov. 12, 2007.