The Vermont Statutes Online
Banking and Insurance
INSURANCE COMPANIES GENERALLY
PROPERTY AND CASUALTY INSURANCE GUARANTY ASSOCIATION
3616. Plan of operation
association shall submit to the commissioner a plan of operation and any
amendments thereto necessary or suitable to assure the fair, reasonable and
equitable administration of the association. The plan of operation and any
amendments thereto shall become effective upon approval in writing by the
(2) If after
approval by the commissioner of the plan of operation, the association fails to
submit amendments to the plan when necessary or advisable to effectuate the
provisions of this subchapter, the commissioner may adopt appropriate rules
under chapter 25 of Title 3 which shall continue in force until superseded by
amendments submitted by the association to the commissioner and approved by
(b) All member
insurers shall comply with the plan of operation.
(c) The plan of
the procedures whereby all the powers and duties of the association under
section 3615 of this title will be performed.
procedures for handling assets of the association.
the amount and method of reimbursing members of the board of directors under
section 3614 of this title.
procedures by which claims may be filed with the association and establish
acceptable forms of proof of covered claims. Notice of claims to the receiver
or liquidator of the insolvent insurer shall be deemed notice to the
association or its agent and a list of such claims shall be periodically
submitted to the association or similar organization in another state by the
receiver or liquidator.
regular places and times for meetings of the board of directors.
procedures for records to be kept of all financial transactions of the
association, its agents, and the board of directors.
(7) Provide that
any member insurer aggrieved by any final action or decision of the association
may appeal to the commissioner within 30 days after the action or decision.
the procedures whereby selections for the board of directors will be submitted
to the commissioner.
additional provisions necessary or proper for the execution of the powers and
duties of the association.
(d) The plan of
operation may provide that any or all powers and duties of the association,
except those under subdivisions 3615(a)(3) and 3615(b)(2) of this title, are
delegated to a corporation, association, or other organization which performs
or will perform functions similar to those of this association, or its
equivalent, in two or more states. Such a corporation, association or
organization shall be reimbursed as a servicing facility would be reimbursed
and shall be paid for its performance of any other functions of the
association. A delegation under this subsection shall take effect only with the
approval of both the board of directors and the commissioner, and may be made
only to a corporation, association, or organization which extends protection
not substantially less favorable and effective than that provided by this
subchapter. (1969, No. 279 (Adj. Sess.), § 8; amended 1979, No. 18, § 12.)