Section 41-59-67 - Requirements for issuance of permit; reserve fund; ambulance service to pay cost of collection of judgment against fundThe issuance of a permit to conduct and implement a membership subscription program shall require the following:
(a) The posting of a surety bond with one or more surety companies to be approved by the State Board of Health, in the amount of Five Thousand Dollars ($5,000.00) for every one thousand (1,000) subscribers or portion thereof; and(b) The establishment of a reserve fund to consist of a deposit to the reserve fund with any depository approved by the state for the benefit of the subscription members in the amount of Three Dollars ($3.00) for each subscription member currently subscribing to the subscription program, but not for the designated members of the subscribing member's household, to guarantee perpetuation of the subscription membership program until all memberships are terminated; and(c) No further deposits shall be required to be made by the ambulance service to the reserve fund after the aggregate sum of the principal amount of said surety bond plus the deposits in the reserve fund is equal to Two Hundred Thousand Dollars ($200,000.00).In any action brought by a subscriber against the surety bond or the reserve fund, the cost of collection upon a judgment rendered in favor of the subscriber, including attorney's fees, shall be paid by the ambulance service.
Laws, 1988, ch. 541, § 3; reenacted, Laws, 1991, ch. 348, § 3; reenacted, Laws, 1992, ch. 327, § 3, eff. 7/1/1992.