A. Seven (7) or more individuals who have reached the age of majority may incorporate a stock insurer; ten (10) or more such individuals may incorporate a mutual insurer. Not less than two-thirds of the incorporators shall be citizens of the United States and residents of New Mexico. The articles of incorporation shall be signed by all incorporators and acknowledged by not less than three (3) of the incorporators as deeds are required to be acknowledged.
B. The articles of incorporation shall state:
(1) the name of the corporation; if a mutual, the word "mutual" shall be part of the name;
(2) the duration of its existence, which may be perpetual;
(3) if a stock corporation, the number of shares of authorized capital stock and the par value of each such share;
authorized capital stock shall consist solely of one class of common stock with par value of not less that five dollars ($5) per share, and shares without par value shall not be authorized; the extent, if any, to which each share shall be liable to assessment;
(4) if a mutual corporation, the maximum contingent liability of each member for payment of losses and expenses incurred, which liability shall be prominently stated in the articles of incorporation, and such conditions applicable to nonassessable policies as may be consistent with law;
(5) the limitations, if any, on the corporation's indebtedness;
(6) designation of the superintendent as an agent of the corporation upon whom may be served all process in any action or proceeding against the corporation;
(7) the kinds of insurance the corporation is formed to transact, according to the definitions set forth in Article 7 [Chapter 59A, Article 7 NMSA 1978] of the Insurance Code;
(8) the number of directors, not less than five (5), who shall conduct the corporation's affairs, and the names and addresses of the corporation's first directors and officers for a stated term of office of not less than six (6) months or more than one year's duration from date of incorporation;
(9) the date and time of the annual meeting of stockholders or members;
(10) the city or town in New Mexico in which is to be located the corporation's principal place of business;
(11) such other provisions, not inconsistent with law, as deemed appropriate by the incorporators; and
(12) the names and addresses of the incorporators.
History: Laws 1984, ch. 127, § 550.
ANNOTATIONSAm. Jur. 2d, A.L.R. and C.J.S. references. — 43 Am. Jur. 2d Insurance §§ 105, 107, 303.
44 C.J.S. Insurance § 115.