Changes to Existing Law

Qualification of directors. 58-35-26. No individual shall may serve as a director of a farm mutual insurer unless the individual is a member of the insurer. insurer or a member of one or more of the insurer’s affiliates. For the purposes of this section, “affiliate” means any entity that directly, or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with, the insurer at issue. 6

58-35-8. The articles of incorporation required by § 58-35-7 shall must state: (1) The name of the corporation, which shall must include the words "farm mutual" and and, if a county mutual insurer insurer, the name of the county of its principal place of business; (2) If a county mutual insurer, the name of the counties in which the corporation intends to do business and the address of its principal business office; (3) If a state mutual insurer, the location of its principal business office, which must be located in this state; (4) The purposes for which the corporation is formed; (5) If it Whetherit the corporation will transact business on a cash premium plan or an assessment plan; (6) The duration of its the corporation's existence, which may be perpetual; (7) The number of its the corporation's directors, which shall be not may not be less than five nor more than eleven; fifteen, and the names and addresses of the persons constituting the initial board of directors who shall serve until the first annual meeting of the members, and until their successors are elected and qualified; and (8) The names, residences residences, and addresses of the incorporators and the value of their property desired to be insured. 24