Sec 20-711. Initial qualification of domestic mutual insurers

A. When newly organized a domestic mutual insurer may be authorized to transact any one kind of insurance other than title insurance.

B. When applying for an original certificate of authority as an insurer, a domestic mutual insurer shall be otherwise qualified under this title, and shall have received and accepted bona fide applications with respect to substantial insurable subjects for insurance coverage of a substantial character of the kind of insurance proposed to be transacted, shall have collected in full and in cash the proper premium at a rate not less than that usually charged by stock insurers for comparable coverages, shall have surplus funds on hand as at completion of issuance of all such policies so applied for, or, in lieu of such applications, premiums and surplus, may deposit surplus, all in accordance with that portion of the following schedule which applies to the one kind of insurance the insurer then proposes to transact:

                  Minimum    Minimum               Minimum     Maximum
                  number     number                amount of   amount of
                  of         of         Minimum    insurance   insurance
 Kind of          applicants  subjects  premium    each        each
 insurance        accepted   covered    collected  subject     subject
 

______

 Life (i)         300        300        Annual     $1,000      $20,000
 Disability (ii)  300        300        Quarter    100 monthly  200 monthly
                                                   indemnity   indemnity
 Property (iii)   100        250        Annual     1,000       30,000
 Marine and
 Transportation   100        250        Annual     1,000       30,000
 Vehicle (iv)     100        250        Annual     15,000      30,000
 Casualty (iv)    100        250        Annual     15,000      30,000
 Surety           100        250        Annual     1,000       50,000
 

C. The following provisions in the schedule shall govern as to the one kind of insurance the insurer then proposes to transact:

1. Under (i). No group insurance, nor term policies for terms of less than ten years shall be included.

2. Under (ii). No group or blanket or family plans of insurance shall be included. In lieu of weekly indemnity a like premium value in medical, surgical and hospital benefits may be provided. Any accidental death or dismemberment benefit provided shall not exceed two thousand dollars.

3. Under (iii). Only insurance of the owner's interest in real property may be included, and all such coverages shall be in compliance with the provisions of subsection E of section 20-260 (two properties reasonably subject to loss from the same fire may not be insured by the same insurer if results in excess of limit of risk).

4. Under (iv). Shall include insurance of legal liability for bodily injury and property damage to which the maximum and minimum insured amounts apply.

5. Under (v). The deposit in the amount specified shall thereafter be maintained. The deposit is subject to the provisions of this title governing deposits of insurers in general.