56-19-111 - Corporate policyholders Officers not personally liable. - Tennessee Statutes

56-19-111. Corporate policyholders Officers not personally liable.

(a)  Any public or private corporation, board or association in this state or elsewhere may make applications, enter into agreements for and hold policies in any such mutual insurance company. Any officer, stockholder, trustee or legal representative of any such corporation, board, association or estate may be recognized as acting for or on its behalf for the purpose of the membership, but shall not be personally liable upon the contract of insurance by reason of acting in the representative capacity.

(b)  The right of any corporation organized under the laws of this state to participate as a member of any such mutual insurance company is declared to be incidental to the purpose for which the corporation is organized and as much granted as the rights and powers expressly conferred.

[Acts 1919, ch. 108, § 8; Shan. Supp., § 3369a58b14; Code 1932, § 6326; T.C.A. (orig. ed.), § 56-1711.]