Section 27-41-5 Authorization of investments by board of directors, etc. - Alabama Statutes

Section 27-41-5

Authorization of investments by board of directors, etc.

An insurer shall not make any investment or loan, other than loans on policies or annuity contracts, unless the same be authorized, approved or ratified by the board of directors of the insurer or by such committee or person as the board of directors shall expressly authorize. The action of the board of directors, the committee, or other persons so authorized shall be recorded and regular reports thereof shall be submitted to the board of directors. This requisite shall not apply to funeral supplies authorized for mutual aid associations under Section 27-41-38 which are purchased in the regular course of business under the general supervision of the association's board of directors.

(Acts 1977, No. 408, p. 530, §5.)