Chapter 433 Oregon Laws 2007

AN ACT

SB 603

Relating to requirements for directors for domestic insurers; creating new provisions; amending ORS 732.305; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. ORS 732.305 is amended to read:

732.305. [The number of directors of a domestic insurer shall be not fewer than five. Directors need not be shareholders or members of the insurer unless the articles of incorporation so require but shall be 21 years of age or older. Not fewer than five directors or one-third of the directors, whichever is fewer, shall be residents of this state.] A domestic insurer may not have fewer than five directors. A director need not be a shareholder or member of the insurer unless the articles of incorporation so require, but a director must be 21 years of age or older. At least five or one-quarter of the directors, whichever is fewer, must be residents of this state. A majority of directors [shall] must be persons who are not salaried officers of the insurer.

SECTION 2. The amendments to ORS 732.305 by section 1 of this 2007 Act apply to domestic insurers in operation on or after the effective date of this 2007 Act.

SECTION 3. This 2007 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2007 Act takes effect on its passage.

Approved by the Governor June 15, 2007

Filed in the office of Secretary of State June 15, 2007

Effective date June 15, 2007

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