{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-2708.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-2708.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-2708.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-2708.html"}],"law_id":85005,"edition_id":1,"section_id":85005,"structure_id":13727,"section_number":"38.2-2708","catch_line":"Creation and plan of operation of joint underwriting association","history":"1968, c. 559, \u00a7 38.1-750; 1973, c. 504; 1986, c. 562.","full_text":"A\n\nAfter providing notice and opportunity to be heard and upon promulgation of an order by the Commission pursuant to § 38.2-2707, a joint underwriting association shall be created consisting of all insurers licensed to write basic property insurance or other insurance that contains a basic property insurance component in this Commonwealth, but excluding insurers exempted from rate regulation by subsection C of § 38.2-1902. Each insurer that is required to be a member of the joint underwriting association shall remain a member as a condition of its license to write basic property insurance and other insurance that contains a basic property insurance component in this Commonwealth.B\n\nThe joint underwriting association shall, pursuant to this chapter and the plan of operation, have the power to (i) cause its members to issue policies of basic property insurance on qualified property to applicants; (ii) assume reinsurance on qualified property from members; and (iii) cede reinsurance.C\n\n1. Within ninety days following the effective date of the order of the Commission, the joint underwriting association shall submit to the Commission for its review a proposed plan of operation consistent with this chapter. The plan of operation shall provide for economical, fair and nondiscriminatory administration and for the prompt and efficient provision of basic property insurance to promote orderly community development. The plan of operation shall include, but not be limited to, (i) preliminary assessment of all members for initial expenses necessary to commence operations, (ii) establishment of necessary facilities, (iii) management of the joint underwriting association, (iv) assessment of members to defray losses and expenses, (v) commission arrangements, (vi) reasonable underwriting standards and limits of liability, (vii) acceptance and cession of reinsurance, and (viii) procedures for determining amounts of insurance to be provided.2\n\nThe plan of operation shall be subject to approval by the Commission after consultation with affected individuals and organizations, and shall take effect ten days after its approval. If the Commission disapproves all or any part of the proposed plan of operation, the joint underwriting association shall within thirty days submit for review an appropriately revised plan of operation. If the joint underwriting association fails to submit a revised plan, or if the revised plan is unacceptable, the Commission shall promulgate whatever plan of operation it deems necessary to carry out the purposes of this chapter.3\n\nThe joint underwriting association may, on its own initiative or at the request of the Commission, amend the plan of operation. Any amendment to the plan of operation shall be subject to the Commission’s approval.","order_by":null,"text":{"0":{"id":304710,"text":"After providing notice and opportunity to be heard and upon promulgation of an order by the Commission pursuant to § 38.2-2707, a joint underwriting association shall be created consisting of all insurers licensed to write basic property insurance or other insurance that contains a basic property insurance component in this Commonwealth, but excluding insurers exempted from rate regulation by subsection C of § 38.2-1902. Each insurer that is required to be a member of the joint underwriting association shall remain a member as a condition of its license to write basic property insurance and other insurance that contains a basic property insurance component in this Commonwealth.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":304711,"text":"The joint underwriting association shall, pursuant to this chapter and the plan of operation, have the power to (i) cause its members to issue policies of basic property insurance on qualified property to applicants; (ii) assume reinsurance on qualified property from members; and (iii) cede reinsurance.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":304712,"text":"1. Within ninety days following the effective date of the order of the Commission, the joint underwriting association shall submit to the Commission for its review a proposed plan of operation consistent with this chapter. The plan of operation shall provide for economical, fair and nondiscriminatory administration and for the prompt and efficient provision of basic property insurance to promote orderly community development. The plan of operation shall include, but not be limited to, (i) preliminary assessment of all members for initial expenses necessary to commence operations, (ii) establishment of necessary facilities, (iii) management of the joint underwriting association, (iv) assessment of members to defray losses and expenses, (v) commission arrangements, (vi) reasonable underwriting standards and limits of liability, (vii) acceptance and cession of reinsurance, and (viii) procedures for determining amounts of insurance to be provided.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"C2"},"3":{"id":304713,"text":"The plan of operation shall be subject to approval by the Commission after consultation with affected individuals and organizations, and shall take effect ten days after its approval. If the Commission disapproves all or any part of the proposed plan of operation, the joint underwriting association shall within thirty days submit for review an appropriately revised plan of operation. If the joint underwriting association fails to submit a revised plan, or if the revised plan is unacceptable, the Commission shall promulgate whatever plan of operation it deems necessary to carry out the purposes of this chapter.","type":"section","prefixes":["C","2"],"prefix":"2","entire_prefix":"C2","prefix_anchor":"C2","level":2,"prior_prefix":"C","next_prefix":"C3"},"4":{"id":304714,"text":"The joint underwriting association may, on its own initiative or at the request of the Commission, amend the plan of operation. Any amendment to the plan of operation shall be subject to the Commission’s approval.","type":"section","prefixes":["C","3"],"prefix":"3","entire_prefix":"C3","prefix_anchor":"C3","level":2,"prior_prefix":"C2"}},"ancestry":[{"id":13727,"edition_id":1,"name":"Basic Property Insurance Residual Market Facility and Joint Underwriting Association","identifier":"27","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:45:41","date_modified":"2026-06-26 03:45:41","permalink":{"id":214021,"object_type":"structure","relational_id":13727,"identifier":"27","token":"38.2\/27","url":"\/38.2\/27\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":76295,"structure_id":13727,"section_number":"38.2-2700","catch_line":"Purposes of chapter","url":"\/38.2-2700\/","token":"38.2\/27\/38.2-2700","metadata":false},{"id":70510,"structure_id":13727,"section_number":"38.2-2701","catch_line":"Definitions","url":"\/38.2-2701\/","token":"38.2\/27\/38.2-2701","metadata":false},{"id":73266,"structure_id":13727,"section_number":"38.2-2702","catch_line":"Establishment of residual market facility","url":"\/38.2-2702\/","token":"38.2\/27\/38.2-2702","metadata":false},{"id":54721,"structure_id":13727,"section_number":"38.2-2703","catch_line":"Rules, rates, policy forms and endorsements subject to the approval of Commission","url":"\/38.2-2703\/","token":"38.2\/27\/38.2-2703","metadata":false},{"id":57901,"structure_id":13727,"section_number":"38.2-2704","catch_line":"Inspection of property","url":"\/38.2-2704\/","token":"38.2\/27\/38.2-2704","metadata":false},{"id":71280,"structure_id":13727,"section_number":"38.2-2705","catch_line":"Operation of inspection service","url":"\/38.2-2705\/","token":"38.2\/27\/38.2-2705","metadata":false},{"id":66385,"structure_id":13727,"section_number":"38.2-2706","catch_line":"Service of process","url":"\/38.2-2706\/","token":"38.2\/27\/38.2-2706","metadata":false},{"id":58816,"structure_id":13727,"section_number":"38.2-2707","catch_line":"When Commission may order implementation of \u00a7\u00a7 38.2-2708 and 38.2-2709","url":"\/38.2-2707\/","token":"38.2\/27\/38.2-2707","metadata":false},{"id":85005,"structure_id":13727,"section_number":"38.2-2708","catch_line":"Creation and plan of operation of joint underwriting association","url":"\/38.2-2708\/","token":"38.2\/27\/38.2-2708","metadata":false},{"id":81180,"structure_id":13727,"section_number":"38.2-2709","catch_line":"Ceding basic property insurance to association; participation of members; governing body","url":"\/38.2-2709\/","token":"38.2\/27\/38.2-2709","metadata":false},{"id":80031,"structure_id":13727,"section_number":"38.2-2710","catch_line":"Supervision and regulation by Commission","url":"\/38.2-2710\/","token":"38.2\/27\/38.2-2710","metadata":false},{"id":71397,"structure_id":13727,"section_number":"38.2-2711","catch_line":"Immunity from liability; reports, etc., not public documents","url":"\/38.2-2711\/","token":"38.2\/27\/38.2-2711","metadata":false},{"id":60783,"structure_id":13727,"section_number":"38.2-2712","catch_line":"Appeal from decision of inspection service, residual market facility or joint underwriting association","url":"\/38.2-2712\/","token":"38.2\/27\/38.2-2712","metadata":false},{"id":81221,"structure_id":13727,"section_number":"38.2-2713","catch_line":"Obligations not to be impaired in event of repeal of chapter","url":"\/38.2-2713\/","token":"38.2\/27\/38.2-2713","metadata":false}],"previous_section":{"id":58816,"structure_id":13727,"section_number":"38.2-2707","catch_line":"When Commission may order implementation of \u00a7\u00a7 38.2-2708 and 38.2-2709","url":"\/38.2-2707\/","token":"38.2\/27\/38.2-2707","metadata":false},"next_section":{"id":81180,"structure_id":13727,"section_number":"38.2-2709","catch_line":"Ceding basic property insurance to association; participation of members; governing body","url":"\/38.2-2709\/","token":"38.2\/27\/38.2-2709","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-2708\/","history_text":"

This law was first created in 1968. The record of its establishment is cataloged in chapter 559 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1968 \u201cActs\u201d aren\u2019t available online. It has been modified 2 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1973, chapter 504; in 1986, chapter 562.<\/p>","references":[{"id":58816,"section_number":"38.2-2707","catch_line":"When Commission may order implementation of \u00a7\u00a7 38.2-2708 and 38.2-2709","order_by":null,"url":"\/38.2-2707\/"},{"id":81180,"section_number":"38.2-2709","catch_line":"Ceding basic property insurance to association; participation of members; governing body","order_by":null,"url":"\/38.2-2709\/"}],"refers_to":[{"id":74191,"section_number":"38.2-1902","catch_line":"Scope of chapter","order_by":null,"url":"\/38.2-1902\/"},{"id":58816,"section_number":"38.2-2707","catch_line":"When Commission may order implementation of \u00a7\u00a7 38.2-2708 and 38.2-2709","order_by":null,"url":"\/38.2-2707\/"}],"permalink":{"id":214055,"object_type":"law","relational_id":85005,"identifier":"38.2-2708","token":"38.2\/27\/38.2-2708","url":"\/38.2-2708\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-2708\/","token":"38.2\/27\/38.2-2708","dublin_core":{"Title":"Creation and plan of operation of joint underwriting association","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-2708","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> After providing notice and opportunity to be heard and upon promulgation of an order<\/span> by the Commission<\/span> pursuant to § 38.2-2707<\/a>, a joint underwriting association shall be created consisting of all insurers<\/span> licensed to write basic property insurance<\/span> or other insurance that contains a basic property insurance<\/span> component in this Commonwealth, but excluding insurers<\/span> exempted from rate<\/span> regulation by subsection C of § 38.2-1902<\/a>. Each insurer<\/span> that is required to be a member of the joint underwriting association shall remain a member as a condition of its license to write basic property insurance<\/span> and other insurance that contains a basic property insurance<\/span> component in this Commonwealth. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> The joint underwriting association shall, pursuant to this chapter and the plan of operation, have the power to (i) cause its members to issue<\/span> policies of basic property insurance<\/span> on qualified property<\/span> to applicants; (ii) assume reinsurance on qualified property<\/span> from members; and (iii) cede reinsurance. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> 1. Within ninety days following the effective date of the order<\/span> of the Commission<\/span>, the joint underwriting association shall submit to the Commission<\/span> for its review a proposed plan of operation consistent with this chapter. The plan of operation shall provide for economical, fair and nondiscriminatory administration and for the prompt and efficient provision of basic property insurance<\/span> to promote orderly community development. The plan of operation shall include, but not be limited to, (i) preliminary assessment of all members for initial expenses necessary to commence operations, (ii) establishment of necessary facilities, (iii) management of the joint underwriting association, (iv) assessment of members to defray losses and expenses, (v) commission<\/span> arrangements, (vi) reasonable underwriting standards and limits of liability, (vii) acceptance and cession of reinsurance, and (viii) procedures for determining amounts of insurance to be provided. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The plan of operation shall be subject to approval by the Commission<\/span> after consultation with affected individuals and organizations, and shall take effect ten days after its approval. If the Commission<\/span> disapproves all or any part of the proposed plan of operation, the joint underwriting association shall within thirty days submit for review an appropriately revised plan of operation. If the joint underwriting association fails to submit a revised plan, or if the revised plan is unacceptable, the Commission<\/span> shall promulgate whatever plan of operation it deems necessary to carry out the purposes of this chapter. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The joint underwriting association may, on its own initiative or at the request of the Commission<\/span>, amend<\/span> the plan of operation. Any amendment to the plan of operation shall be subject to the Commission<\/span>’s approval. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCREATION AND PLAN OF OPERATION OF JOINT UNDERWRITING ASSOCIATION (\u00a7 38.2-2708)\n\nA. After providing notice and opportunity to be heard and upon promulgation of\nan order by the Commission pursuant to § 38.2-2707, a joint underwriting\nassociation shall be created consisting of all insurers licensed to write basic\nproperty insurance or other insurance that contains a basic property insurance\ncomponent in this Commonwealth, but excluding insurers exempted from rate\nregulation by subsection C of § 38.2-1902. Each insurer that is required to\nbe a member of the joint underwriting association shall remain a member as a\ncondition of its license to write basic property insurance and other insurance\nthat contains a basic property insurance component in this Commonwealth.\n\nB. The joint underwriting association shall, pursuant to this chapter and the\nplan of operation, have the power to (i) cause its members to issue policies of\nbasic property insurance on qualified property to applicants; (ii) assume\nreinsurance on qualified property from members; and (iii) cede reinsurance.\n\nC. 1. Within ninety days following the effective date of the order of the\nCommission, the joint underwriting association shall submit to the Commission\nfor its review a proposed plan of operation consistent with this chapter. The\nplan of operation shall provide for economical, fair and nondiscriminatory\nadministration and for the prompt and efficient provision of basic property\ninsurance to promote orderly community development. The plan of operation shall\ninclude, but not be limited to, (i) preliminary assessment of all members for\ninitial expenses necessary to commence operations, (ii) establishment of\nnecessary facilities, (iii) management of the joint underwriting association,\n(iv) assessment of members to defray losses and expenses, (v) commission\narrangements, (vi) reasonable underwriting standards and limits of liability,\n(vii) acceptance and cession of reinsurance, and (viii) procedures for\ndetermining amounts of insurance to be provided.\n\n 2. The plan of operation shall be subject to approval by the Commission after\n consultation with affected individuals and organizations, and shall take\n effect ten days after its approval. If the Commission disapproves all or any\n part of the proposed plan of operation, the joint underwriting association\n shall within thirty days submit for review an appropriately revised plan of\n operation. If the joint underwriting association fails to submit a revised\n plan, or if the revised plan is unacceptable, the Commission shall promulgate\n whatever plan of operation it deems necessary to carry out the purposes of\n this chapter.\n\n 3. The joint underwriting association may, on its own initiative or at the\n request of the Commission, amend the plan of operation. Any amendment to the\n plan of operation shall be subject to the Commission’s approval.\n\nHISTORY: 1968, c. 559, \u00a7 38.1-750; 1973, c. 504; 1986, c. 562.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}