58-37A-22Permissible use of assets and special funds--Establishing separate accounts and issuing contracts.

All assets shall be held, invested, and disbursed for the use and benefit of the society and no member or beneficiary has individual rights in the assets or is entitled to any apportionment on the surrender of any part of the assets, except as provided in the benefit contract.

A society may create, maintain, invest, disburse, and apply any special fund or funds necessary to carry out any purpose permitted by the laws of the society.

A society may, pursuant to resolution of its supreme governing body, establish and operate separate accounts and issue contracts on a variable basis, subject to the provisions of law regulating life and health insurers establishing the accounts and issuing the contracts. To the extent the society considers it necessary in order to comply with any applicable federal or state laws, or any rules issued under those federal or state laws, the society may adopt special procedures for the conduct of the business and affairs of a separate account, may, for persons having beneficial interests in a separate account, provide special voting and other rights, including special rights and procedures relating to investment policy, investment advisory services, selection of certified public accountants, and selection of a committee to manage the business and affairs of the account, and may issue contracts on a variable basis to which the provisions of the second and third paragraphs in § 58-37A-19 do not apply.

Source: SL 1990, ch 410, § 22.