Section Ins 1703.04 - Board of Directors(a) The board of directors shall be composed of 7 voting representatives appointed by the commissioner from persons nominated by the board.(b) The board of directors shall contain 7 voting representatives nominated as follows: (1) An insurer which is a member of, and nominated by, the New Hampshire Association of Domestic Insurance Companies;(2) A health care provider which is a member of, and nominated by, the New Hampshire Medical Society;(3) A health care provider which is a member of, and nominated by, the New Hampshire Hospital Association;(4) A member insurer of the association to be nominated by the commissioner;(5) A health care provider who is not a member of the New Hampshire Medical Association nor is a member of the New Hampshire Hospital Association who is nominated by the commissioner; and(6) Representatives of the public who are not members of any of the preceding groups found in (b)(1), (2), (3), (4), or (5) nor have any affiliation with the preceding groups, as nominated by the commissioner shall consist of 2.(c) The names of the nominees as selected in accordance with Ins 1703.04(b)(1), (2) and (3) shall be placed in nomination before the commissioner 2 months prior to the completion of the term of the current voting representatives.(d) Each board representative shall serve for a term of 3 years and can be nominated to serve additional terms.(e) No representative shall fill more than one position on the board.(f) All board representatives shall serve until their successors are designated. Any vacancy on the board, by resignation of a representative, or otherwise, shall be filled in the manner provided herein for initial designation, but the designee shall serve only for the unexpired portion of the term for which the designee is designated, unless such representative is subsequently appropriately designated to serve an additional term.(g) The board shall hold an annual meeting in conjunction with the annual meeting of the members, at which time it shall elect a chairman and report a summary of the activities during the previous fiscal year.(h) The board shall hold additional meetings whenever requested by the chairman, or by the commissioner, or upon petition of 3 board representatives. Unless a majority of the board requests a waiver of such notice requirement, a 10-day notice shall be provided for any meeting of the board.(i) Written notice of meeting and agenda for the meetings shall be sent to all the members of the board, to members requesting them, and to the commissioner at least 2 weeks in advance of any meeting. Notice of the meeting shall also be given to the public as required by RSA 91-A:2. Only items specifically listed on the agenda shall be considered unless 3 of the representatives on the board who are present vote for the admission of each additional item. The board shall elect a secretary from amongst the membership whose duty it shall be to prepare and maintain a set of minutes of the proceedings of each meeting of the board.(j) Each voting member of the board shall have one vote, and actions of the board shall be binding when voted by a majority of those eligible to vote who are present and voting, and no vote shall be taken unless 4 voting representatives of the board are present.(k) The fiscal year of the association shall end December 31 of each year.(l) The commissioner shall grant the board the authority to exercise all reasonable or necessary powers relating to the operation of the association.(m) The board shall annually file with the commissioner a financial statement prepared in accordance with statutory accounting practices and procedures which shall be audited and certified to by an independent certified public accountant.(n) The percentages enumerated in Ins 1703.01(j) used in the quantification of net direct written premium shall be updated by the board after an analysis, to be performed no more often than once every 5 years, and reviewed by the commissioner, who shall approve a change in allocation if there has been a material change to this allocation and if it more accurately reflects current insurance business practices.(o) The board shall retain such staff and appoint such committees as are reasonable and appropriate to carry out the operations of the association.(p) Premiums paid for coverage shall be invested by the association in the following manner: (1) The liquid reserves portion of the portfolio shall consist of commercial paper, bankers' acceptances, certificates of deposit, and U.S. Treasury and agency obligations;(2) All fixed-income securities shall be rated A or better by Standard & Poors and Moodys;(3) The association's investments shall comply with RSA 402:28;(4) No more than 25% of the portfolio shall be invested in any one industry.(5) Securities guaranteed by the United States Treasury shall be exempted from these restrictions.N.H. Admin. Code § Ins 1703.04
#7112, eff 10-29-99; ss by #7409, eff 12-1-00, EXPIRED: 12-1-08
New. #9373, eff 1-30-09