38.2-2518 - Assessment contract. - Virginia Statutes

§ 38.2-2518. Assessment contract.

Each person insured by a mutual assessment property and casualty insurershall be issued a contract prescribed by the insurer, that shall be uniformamong members of the respective classes of insurance written by the insurer.Each member shall agree to pay his pro rata share of all losses or damagessustained, expenses of operation of the insurer, and the maintenance of anadequate surplus to policyholders as determined by the board of directors.Periodic assessments may be collected as advance premiums or post assessmentsor by both methods. The amount of assessments shall be established by thedirectors of the insurer.

(Code 1950, § 38-530; 1952, c. 317, § 38.1-677; 1954, c. 161; 1986, c. 562.)