NAC616B.612. Contents of bylaws of association.

The bylaws of an association must provide:

     1. For review by the board of trustees, at least annually, of the financial condition of each member of the association;

     2. For prompt notification to all members if the board of trustees has determined that any member is operating in a hazardous financial condition;

     3. For review by the members, at least annually, of the loss experience of each member of the association; and

     4. A plan for the cancellation of membership, pursuant to subsection 9 of NRS 616B.386, of members who have an excessive loss experience or who have been deemed by the board of trustees to be operating in a hazardous financial condition.

     (Added to NAC by Comm’r of Insurance, eff. 3-22-96)