WILLIAM DONALD SCHAEFER, Governor                    Ch. 365

(i) Be a member of the Association; and

(ii) Remain a member as a condition of its
authority to transact commercial casualty insurance in this
State.

(3) Notwithstanding paragraph (1) of this subsection,
other insurers may become member insurers with the approval of
the Commissioner.

(b) (1) The Association is not a department, unit, agency,
on instrumentality of the State.

(2) All debts, claims, obligations, and liabilities
incurred by the Association shall be the debts, claims,
obligations, and liabilities of the Association only and not of
the State, its agencies, instrumentalities, officers, or
employees.

(3) The Association moneys may not be considered part
of the General fund of the State.

(4)     The State may not budget for or provide General
Fund appropriations to the Association.

(5)     The debts, claims, obligations, and liabilities
of the Association may not be considered to be a debt of the
State or pledge of its credit.

(c)     The Association may:

(1) Establish a program of operation, subject to
approval by the Commissioner;

(2)      Issue policies of insurance and;

(3)     Cede reinsurance on risks written by insurers in
conformity with the program.

(d) Each member insurer shall participate in the expenses
and losses of the Association in the proportion that the member
insurer's premiums written bear to the aggregate premiums written
by all members of the Association.

(e) (1) The Association shall be administered by a board of
governors subject to the regulation of the Commissioner.

(2)     The initial board of governors of the Association
shall be the governing board of the Joint Insurance Association
existing on July 1, 1986.

(3)     Succeeding boards of governors shall consist of
15 members of the Association elected annually by the members of

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