58-17-67 "Professional association" defined.
"Professional association" defined.
For purposes of §§ 58-17-66 to 58-17-87,
inclusive, the term, professional association, means any association that meets all of the following
Serves a single profession that requires a significant amount of education, training, or
experience or a license or certificate from a state authority to practice the profession;
Has been actively in existence for five years;
Has a constitution and by-laws or other analogous governing documents;
Has been formed and maintained in good faith for purposes other than obtaining
Is not owned or controlled by a carrier or affiliated with a carrier;
Does not condition membership in the association on health status of claims experience;
Has at least one thousand members if it is a national association; five hundred members
if it is a state association; or two hundred members if it is a local association;
All members and dependents of members are eligible for coverage regardless of health
status or claims experience;
Is governed by a board of directors and sponsors annual meetings of its members; and
Does not allow producers to market association memberships, accept applications for
memberships, or sign up members.
SL 1996, ch 286, § 2.