The Vermont Statutes Online
The Vermont Statutes Online have been updated to include the actions of the 2023 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
Title 8 : Banking and Insurance
Chapter 132 : Reciprocal Insurers
(Cite as: 8 V.S.A. § 4838)-
§ 4838. Power of attorney
(a) The rights and powers of the attorney of a reciprocal insurer shall be as provided in the power of attorney given it by the subscribers. A valid power of attorney shall be in writing, executed by the subscriber, and duly executed by the attorney-in-fact.
(b) The power of attorney must set forth:
(1) the powers of the attorney;
(2) the general services to be performed by the attorney;
(3) the maximum amount to be deducted from advance premiums or deposits to be paid to the attorney and the general items of expense in addition to losses, to be paid by the insurer; and
(4) except as to nonassessable policies, a provision for a contingent several liability of each subscriber in a specified amount.
(c) The power of attorney may:
(1) provide for the right of substitution of the attorney and revocation of the power of attorney and rights thereunder;
(2) impose such restrictions upon the exercise of the power as are agreed upon by the subscribers;
(3) provide for the exercise of any right reserved to the subscribers directly or through their advisory committee; and
(4) contain other lawful provisions deemed advisable.
(d) The terms of any power of attorney or agreement collateral thereto shall be reasonable and equitable, and no such power or agreement shall be used or be effective in this State until approved by the Commissioner. (Added 1971, No. 31, § 1, eff. March 31, 1971; amended 2009, No. 137 (Adj. Sess.), § 16, eff. May 29, 2010; 2013, No. 29, § 45, eff. May 13, 2013.)
