SEC. 83-41-131. Conversion to nonprofit status or to mutual insurance company; authority of Commissioner.
(1) Nothing in this article shall hinder any corporation from converting from its present status to a nonprofit corporation under the terms of this article where authorized to do so by the terms of this article.
(2) All laws enacted whereby the Commissioner of Insurance of the State of Mississippi is granted general authority as to reports, audits, regulations, supervisions, reorganizations or liquidations shall be applicable to corporations, both nonprofit and for-profit, organized under the provisions of this title and chapter regardless of any provision of law or statute to the contrary.
(3) Any nonprofit hospital, medical and surgical corporation organized under the laws of this state may be converted into a mutual insurance company so as to come within the provisions of all laws governing mutual companies, as follows:
Whenever the Board of Directors of any nonprofit hospital, medical and surgical corporation incorporated under the laws of this state, by two-thirds (2/3) vote, shall determine that a change or conversion from a nonprofit hospital, medical and surgical corporation to a mutual insurance company shall be in the best interests of the subscribers and the corporation, and such action shall have been approved by two-thirds (2/3) of the subscribers voting in person or by proxy specifically authorizing such action, then the nonprofit hospital, medical and surgical corporation may adopt and file with the Commissioner of Insurance of Mississippi, for approval, an amendment to its articles of corporation, authorizing it to be converted from a nonprofit hospital, medical and surgical corporation to a domestic mutual insurance company. The amendment shall become operative upon its approval by the commissioner, unless a later time is provided in the amendment. After the amendment becomes effective, the company shall have legal existence as a domestic mutual insurance companyand may proceed to transact the business of such company in accordance with and be subject to all of the terms and provisions of the laws and regulations governing mutual insurance companies.
SOURCES: Codes, 1942, Sec. 5615-16; Laws, 1948, ch. 349, Sec. 16. Laws, 1994, ch. 422, Sec. 5, eff from and after July 1, 1994
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.