N.M. Admin. Code § 13.9.4.8

Current through Register Vol. 35, No. 21, November 5, 2024

Section 13.9.4.8 - LIFE INSURANCE ON DIRECTORS, OFFICERS, AGENTS AND EMPLOYEES OF CORPORATIONS

A.Evidence of authority: Whenever 1) a corporation organized under the laws of this state causes to be insured the life of any director, officer, agent or employee; and 2) the corporation is named as a beneficiary in or assignee of the life insurance policy, the corporation's authority to effect, assign, release, relinquish, convert, surrender, change the beneficiary, or to take any other or different action with reference to the insurance shall be demonstrated by a written statement to that effect that is signed by the president and the secretary or other corresponding officer of the corporation. The statement shall be binding upon the corporation and shall serve as sufficient evidence of corporate authority for purposes of the insurance company. The statement shall protect the insurance company in any act done or suffered by it in good faith reliance on the statement without the need for further inquiry into the validity of the corporate authority or the regularity of the corporate proceedings.

B.Actions of directors: No person shall be disqualified, by reason of interest in the subject matter, from acting as a director or as a member of the executive committee of a corporation on any corporate act relating to this type of insurance.

7/1/97; Recompiled 11/30/01