HARRY HUGHES, Governor

3953

(4)  A PROPOSED PROGRAM PLAN OF OPERATION SHALL TAKE
EFFECT 10 DAYS AFTER IT HAS BEEN APPROVED BY THE COMMISSIONER.

(5)  (I) IF THE COMMISSIONER DISAPPROVES ALL OR PART
OF A PROPOSED PROGRAM PLAN OF OPERATION, THE ASSOCIATION SHALL
SUBMIT TO THE COMMISSIONER A REVISED PROPOSED PROGRAM PLAN OF
OPERATION WITHIN 30 DAYS AFTER THE COMMISSIONER'S DISAPPROVAL OF
THE ORIGINAL PROGRAM PLAN.

(II) IF AN ASSOCIATION FAILS TO SUBMIT A
REVISED PROPOSED PROGRAM PLAN OF OPERATION IN A TIMELY MANNER,
THE COMMISSIONER SHALL PROMULGATE A PROGRAM PLAN OF OPERATION FOR
THE POOL SUBPOOL.

(6)  UPON APPROVAL OF A PROGRAM PLAN OF OPERATION FOR
A SUBPOOL BY THE COMMISSIONER, THE ASSOCIATION MAY SHALL ISSUE
INSURANCE POLICIES AND ASSUME OR CEDE REINSURANCE ON RISKS
WRITTEN BY MEMBER INSURERS, IN CONFORMITY WITH THE PROGRAM PLAN.

(7)  (I) SUBJECT TO SUBPARAGRAPH II THE PROVISIONS OF
THIS PARAGRAPH, WITH THE APPROVAL OF THE COMMISSIONER, THE
ASSOCIATION MAY, AMEND A PROGRAM PLAN OF OPERATION.

(II)  AMENDMENTS TO THE PROGRAM PLAN OF
OPERATION MUST BE VOTED ON AND APPROVED BY MEMBER INSURERS.
VOTES SHALL BE CAST AND COUNTED ON A WEIGHTED BASIS IN ACCORDANCE
WITH THE PREMIUMS WRITTEN OF EACH MEMBER INSURER.

(III)    AN AMENDMENT TO THE PROGRAM PLAN OF
OPERATION MAY NOT BECOME EFFECTIVE UNTIL APPROVED BY AT LEAST A
MAJORITY OF THE VOTES CAST ON A WEIGHTED BASIS.

(8) (IV) AFTER NOTICE AND AN OPPORTUNITY TO BE
HEARD TO THE ASSOCIATION, THE COMMISSIONER MAY AMEND THE PROGRAM
PLAN OF OPERATION UNDER THE PROVISIONS OF THIS ARTICLE.

602.

(A) EACH MEMBER INSURER SHALL PARTICIPATE IN THE EXPENSES,
PROFITS, AND LOSSES OF THE ASSOCIATION IN THE PROPORTION THAT ITS
PREMIUMS WRITTEN ON LINES OF COMMERCIAL CASUALTY INSURANCE BEAR
TO THE AGGREGATE PREMIUMS WRITTEN ON THE LINES OF COMMERCIAL
CASUALTY INSURANCE BY ALL MEMBERS OF THE ASSOCIATION.

(B)(1) THE PROGRAM OF OPERATION FOR THE POOL SHALL CREATE
A SEPARATE ACCOUNT FOR EACH SUBPOOL AND SHALL CONTAIN PROVISION
FOR A RATE STABILIZATION RESERVE FUND FOR EACH SUBPOOL ACCOUNT.

(2) EACH POLICYHOLDER OF EACH SUBPOOL SHALL PAY A
STABILIZATION RESERVE FUND CHARGE TO THE SAME ACCOUNT INTO WHICH
HIS PREMIUM IS CREDITED.

(3) THE STABILIZATION RESERVE FUND CHARGE SHALL BE
SEPARATELY STATED IN THE POLICYHOLDER'S POLICY.