(1)
PURPOSES. This rule is promulgated to implement, and set forth procedural
requirements necessary to carry out the purpose and provisions of ss.
612.51,
612.52
and
612.54,
Stats.
(2) SCOPE. This rule shall
apply to all corporations organized or operating under ch. 612,
Stats.
(3) UNDERTAKING TO PAY
PREMIUMS AND ASSESSMENTS. The undertaking to pay premiums and assessments to be
signed by all prospective members shall be in form and substance substantially
as follows, and may be a part of the application:
UNDERTAKING TO PAY PREMIUMS AND ASSESSMENTS
I, of , in consideration of insurance on my buildings and
personal property, insured to myself, my heirs and assigns by the Insurance
Company, bind myself, and to the extent of their interest in the property my
heirs and assigns, to pay to the company the premiums for such insurance and,
within the period of time stated in the notice of assessment, my share of all
legal assessments, if any, levied by the company, together with all legal costs
and charges incurred in legal proceedings to collect any assessment levied upon
me and statutory penalties for nonpayment, according to the statutes and the
terms and conditions in the policy and any renewals thereof or of the insurance
thereunder. My property covered by the insurance, both personal and real, shall
be liable for that share, waiving all exemptions.
Dated this day of , 20
Witness
Agent
Applicants
(4) TOWN MUTUAL POLICY FORMS. Town mutual
policy forms shall conform to ss.
Ins
6.07 and
6.76, and shall include provisions
substantially as follows relating to articles of incorporation and bylaws and
notice of annual meeting:
(a)
ARTICLES OF INCORPORATION AND BYLAWS
It is hereby mutually understood and agreed by and between
this company and the insured, that this policy is made and accepted with
reference to the Articles of Incorporation and Bylaws, which are hereby
declared to be part of this contract. This provision applies whether or not the
Articles of Incorporation and Bylaws are included in this policy.
(b)
NOTICE
The insured is notified that by virtue of this Policy he or
she is a member of the Insurance Company, of _________________, County,
Wisconsin, and that the annual meetings of said company are held
in_______________, County, Wisconsin, on the (date) in (month) of each year at
_____o'clock__M.
(5) PERMISSIBLE VARIATIONS. Provisions of a
town mutual policy may be so arranged in the policy as to provide for
convenience in its preparation and issuance. Blank spaces may be changed or
altered, spaces may be provided for the listing of rates and premiums for
coverages insured under the policy or by riders or by endorsements attached to
or printed thereon, and spaces may be utilized for reference to forms and for
listing the amount of insurance, provisions as to coinsurance, provisions as to
mortgage clause, descriptions and locations of the insured property and other
matters advisable and necessary to indicate a delineation of the insurance
effective under the contract, and other data as may be included for duplication
of daily reports for office records.
(6) FORMS AND ENDORSEMENTS. Riders, forms and
endorsements may be attached to the town mutual policy to include perils in
addition to fire and lightning and for other necessary purposes. Except when in
contradiction with ch. 612, Stats., the contracts, endorsements, and other
forms of town mutuals should be similar to like forms of insurers subject to
chs. 631 and 632, Stats.
(7)
MORTGAGEE CLAUSE. If a loss under a policy issued by a town mutual insurer is
payable to a mortgagee who is not an insured, the mortgagee clause may provide:
(a) For payment by the insurer despite policy
defense; or
(b) That the mortgagee
is not liable for any premium or assessment, regardless of whether coverage has
been extended after payment of a premium or assessment by the
mortgagee.
Notes
Wis. Admin. Code Office of the Commissioner of Insurance
§
Ins 13.04
Cr. Register, August,
1974, No. 224, eff. 9-1-74; emerg. am. (4) (a) and (c), eff. 6-22-76; am. (4)
(a) and (c), Register, September, 1976, No. 249, eff. 10-1-76; am. (3), r. and
recr. (4) and (5), cr. (6), Register, April, 1982, No. 316, eff. 5-1-82; cr.
(7), Register, May, 1986, No. 365, eff.
6-1-86.
