Sec. 12. (a) The commission shall impose an assessment to be paid by each member of the fund. The assessments to be paid by members of the fund shall be set in fairness to all members, based upon the uniform application of actuarial principles and underwriters’ rating principles. A member shall pay its assessment in accordance with rules of the commission.

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Terms Used In Indiana Code 27-1-29-12

  • commission: refers to the Indiana political subdivision risk management commission established by this chapter. See Indiana Code 27-1-29-1
  • fund: refers to the political subdivision risk management fund established by this chapter. See Indiana Code 27-1-29-2
  • insurer: means a company, firm, partnership, association, order, society or system making any kind or kinds of insurance and shall include associations operating as Lloyds, reciprocal or inter-insurers, or individual underwriters. See Indiana Code 27-1-2-3
  • member: means one who holds a contract of insurance or is insured in an insurance company other than a stock corporation. See Indiana Code 27-1-2-3
  • Month: means a calendar month, unless otherwise expressed. See Indiana Code 1-1-4-5
  • political subdivision: has the meaning set forth in IC 34-6-2-110. See Indiana Code 27-1-29-4
     (b) The assessment for the first twelve (12) months of a political subdivision‘s membership in the fund shall be no greater than the payment made by the political subdivision to a commercial insurer for like coverage for the twelve (12) month period immediately preceding the political subdivision’s application to become a member. In the case of an applicant not insured by a commercial insurer, the commission shall set the amount of the assessment for the first twelve (12) months of membership in accordance with subsection (a).

As added by P.L.162-1986, SEC.1.

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