September 15, 2009, Introduced by Senator ALLEN and referred to the Committee on Economic Development and Regulatory Reform.
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending section 640 (MCL 500.640), as amended by 1992 PA 182.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 640. An insurer transacting business in this state shall
not expose itself to any loss on any 1 risk or hazard in an amount
exceeding
10% 50% of its paid-up capital and surplus. However, no
portion of a risk or hazard that has been reinsured in an insurer
licensed to do insurance business in this state shall be included
in determining the limitation of risk prescribed in this section.