58-40-1Incorporators, number required--Purpose of incorporation.

Five or more natural persons of full age and of either sex, all of whom are residents of this state and citizens of the United States, may form, under the provisions of the laws of this state relating to benevolent corporations, so far as those provisions are applicable and are not inconsistent with the provisions of this chapter, a nonprofit hospital service plan corporation for the purpose of establishing and operating a nonprofit hospital service plan, whereby hospital service may be provided by one or more hospitals with which such corporation has a contract for such purpose, to such of the public as become subscribers to said corporation under a contract which entitles each subscriber to certain hospital care.

Such corporation shall be governed by this chapter and shall be subject to regulation and supervision by the director as hereinafter provided.

Source: SL 1966, ch 111, ch 21, § 14.