§ 6704. Licensing of nonprofit property/casualty insurance companies.
(a) No person, firm, corporation or association as an underwriter or
underwriters, and no nonprofit property/casualty insurance company,
shall do any insurance business in this state, unless authorized to do
so pursuant to the provisions of this article.

(b) The superintendent may pursuant to this article issue a license to
a nonprofit property/casualty insurance company that is organized as a
charitable corporation as defined in paragraph (a) of section one
hundred two (Definitions) of the not-for-profit corporation law if such
company:

(1) complies with (A) the applicable requirements of section one
thousand one hundred two of this chapter, and (B) the provisions of
article forty-one of this chapter applicable to stock property/casualty
insurance companies (other than sections four thousand one hundred
three, four thousand one hundred five and four thousand one hundred
nineteen) and, in each case, the rules and regulations of the
superintendent promulgated pursuant thereto except insofar as such
provisions of law, rules and regulations may be inconsistent with the
provisions of this article, and

(2) has an initial surplus to policyholders at least equal to the
amount of applicable paid-in capital and additional amount of paid-in
surplus required by paragraph one of subsection (a) of section four
thousand one hundred three of this chapter for a newly organized
domestic stock property/casualty insurance company doing the same kind
or kinds of insurance business.

Thereafter, every such nonprofit property/casualty insurance company
shall maintain a surplus to policyholders at least equal to the amount
of applicable paid-in capital required to be maintained by paragraph one
of subsection (a) of section four thousand one hundred three of this
chapter for a domestic stock property/casualty insurance company doing
the same kind or kinds of insurance business.

(c) The superintendent may issue a license to a nonprofit
property/casualty insurance company pursuant to this article that is a
nonprofit reciprocal insurer organized pursuant to article sixty-one of
this chapter if such company complies with the requirements of section
one thousand one hundred two of this chapter and article sixty-one of
this chapter and, in each case, the rules and regulations of the
superintendent promulgated pursuant thereto except insofar as such
provisions of law, rules and regulations may be inconsistent with the
provisions of this article and except that the provisions of subsection
(a) of section six thousand one hundred four of this chapter shall not
apply with respect to nonprofit organizations that are or seek to become
subscribers of such a nonprofit property/casualty insurance company,
provided that such a nonprofit property/casualty insurance company
either (1) has an initial surplus to policyholders and thereafter
maintains a surplus to policyholders in an amount acceptable to the
superintendent which amount shall be substantially greater than the
initial surplus to policyholders and surplus to policyholders to be
maintained by a reciprocal insurer under article sixty-one of this
chapter, or (2) submits a reinsurance or other financial plan, which
adequately addresses the provisions of subsection (a) of section six
thousand one hundred four of this chapter and which reinsurance or other
financial plan is acceptable to the superintendent.

(d) Every license to engage in an insurance business issued by the
superintendent to any nonprofit property/casualty insurance company
pursuant to the provisions of this article shall specify the company's
name, the location of its principal office, the name and principal
address of its attorney-in-fact, if any, and the kind or kinds of
insurance business specified in terms of subsection (a) of section one
thousand one hundred thirteen of this chapter, which it is authorized to
engage in in this state.