31A-7-303 - Board of directors. - Utah Statutes

31A-7-303. Board of directors.
(1) Subject to other provisions under this section, Sections 16-6a-801 through 16-6a-805,and Sections 16-6a-810, 16-6a-812, 16-6a-814, 16-6a-815, and 16-6a-816 apply to the board ofdirectors of insurers organized or operating under this chapter.
(2) The property and lawful business of every corporation subject to this chapter shall beheld and managed by a governing board of trustees or directors with the powers and authority asis necessary or incidental to the complete execution of the purposes of each corporation as limitedby its articles of incorporation and bylaws. A board may not consist of less than five members. Amajority of the directors shall be residents of Utah.
(3) Any person employed by or receiving more than 10% of his income from acorporation licensed under this chapter, and any person related to that person within the seconddegree by blood or marriage, is an "insider." Insiders may not constitute a majority of the board ofa corporation organized and operating under this chapter.
(4) The board shall manage the business and affairs of the corporation and may notdelegate its power or responsibility to do so, except to the extent authorized by Section31A-7-307.
(5) Section 16-6a-814 applies to the place and notice of directors' meetings.
(6) Any director may be removed from office for cause by an affirmative vote of amajority of the full board at a meeting of the board called for that purpose.

Amended by Chapter 300, 2000 General Session