HARRY HUGHES, Governor

1039

individual attorney within a class, reasonable variations in the
terms of coverage including, but not limited to, deductibles and
loss sharing provisions, based upon the insured's prior loss
experience.

(c) The Society may refuse to insure or may cancel the
policy of an applicant or member who is suspended or disbarred
from the practice of law. THE SOCIETY MAY ALSO REFUSE TO
UNDERWRITE OR CANCEL ANY RISK THAT DOES NOT MEET ITS UNDERWRITING
STANDARDS SUBJECT TO THE APPLICABLE PROVISIONS OF THIS TITLE.

573.

In applying the APPLICABLE provisions of [§ 242 of] this
article dealing with rates and rate filings, the Commissioner
shall permit an initial premium not in excess of 130 percent of
the rate that would otherwise be applicable if the terms of the
rate filing are such that any portion of the collected premiums
that are ultimately determined as having been in excess of the
Society's costs shall be returned on a nondiscriminatory basis to
the policyholders of the Society.

574.

(a)  If, in the judgment of the board of directors, the
affairs of the Society may be administered suitably and
efficiently, the Society may enter into a contract, not to exceed
five years in duration, whereby the affairs of the Society are
administered by a licensed insurer, subject to such continuing
direction by the board of directors as specified in the articles
of incorporation, the bylaws, and the contract.

(b)  Upon the execution of any contract, the Society shall
promptly file a true copy with the Commissioner. The contract
shall become effective 30 days from the date of filing unless the
Commissioner, prior to the effective date, disapproves the
contract as being contrary to law or public policy or unduly
onerous. The Commissioner shall state the reasons for such
findings.

SECTION 2. AND BE IT FURTHER ENACTED, That if any provision
of this Act or the application thereof to any person or
circumstance is held invalid for any reason in a court of
competent jurisdiction, the invalidity does not affect other
provisions or any other application of this Act which can be
given effect without the invalid provision or application, and
for this purpose, the provisions of this Act are declared
severable.

SECTION 3. AND BE IT FURTHER ENACTED, That all laws or
parts of laws, public general or public local, inconsistent with
this Act, are repealed to the extent of the inconsistency.