SEC. 83-41-107. Contingency or epidemic reserve required.

A corporation subject to the provisions of this article shall accumulate a contingency or epidemic reserve as follows: (a) by setting aside not less than $5,000 in such fund before beginning business, (b) when five percentum of the net premiums received by the corporation, cumulative, equals the original sum so set aside, the corporation shall thereafterwards set aside in such reserve a sum equal to two and one-half percentum of the net premiums received annually until such fund equals $75,000 or fifty-five percentum of the net annual premium income, whichever is higher, and (c) thereafterwards, further accumulations may be discontinued for any length of time that they are not required to meet the foregoing requirements.

SOURCES: Codes, 1942, Sec. 5615-04; Laws, 1948, ch. 349, Sec. 4.

1997 Amendment

SECTION 2. Sections 83-41-101, 83-41-103, 83-41-105, 83-41-107, 83-41-109, 83-41-111, 83-41-113, 83-41-115, 83-41-117, 83-41-119, 83-41-121, 83-41-123, 83-41-125, 83-41-127, 83-41-129 and 83-41-131, Mississippi Code of 1972, which provide for the organization and regulation of nonprofit hospital, medical and surgical service corporations by the Commissioner of Insurance, are repealed.

SOURCE: 1997 Laws, Chapter 307, Sec. 2, SB2066, Effective July 1, 1997.