This law explains how a group of local government units (like cities or counties) can form their own insurance group together. They pay a $100 fee and file paperwork with the state insurance department. The paperwork must spell out who is in the group, how new members can join, how much money members pay in, and the rules for running the group. The group must have a local representative that can receive legal notices on behalf of all members.
537.625. Procedure to form insurance . — 1. Any group of desiring to provide and all other insurance for its members shall pay a of one hundred dollars and file with the . The articles shall be filed in accordance with the of sections 375.201 to 375.236. The articles shall include the names of the initially associated, the method by which other subdivisions may be admitted to the as members, the purposes for which organized, the amount of the initial which is to be paid into the association, the method of assessment thereafter and the maximum amount of any assessment which the association may make against any member. The articles of association shall provide for and for the amendment of the bylaws and the articles of association.
2. Each association shall and maintain a within this state. upon the is service upon the association and each of its members.
3. The articles of association shall be accompanied by a copy of the initial bylaws of the association. The bylaws shall provide for a for the association, a manner of thereof, the manner in which be made, the specific kinds of insurance or which will be offered, the classes of membership which will be offered, and may provide that assessments of various amounts for particular classes of membership may be made. All assessments shall be within classes. The bylaws may provide for the of risks to other insurance companies or for .
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Source & history notes
(L. 1978 H.B. 1650 § 4, A.L. 1988 S.B. 532) Effective 6-02-88
Related Missouri laws
Political subdivisions may jointly create entity to provide insurance
RSMo 537.620
Director to approve articles and issue license
RSMo 537.630
Liability of state increase to apply, when
RSMo 537.615
Entity to be treated as corporation
RSMo 537.635
Liability insurance for tort claims may be purchased by whom
RSMo 537.610
Director to examine
RSMo 537.640
Legal information, not legal advice. Always confirm with the official source at revisor.mo.gov.