                                 CODE OF VIRGINIA

ADMINISTRATOR AND SERVICE COMPANY AFFILIATION PROHIBITED; EXCEPTION (§
65.2-803)

A. No person, firm or corporation, which is engaged as an administrator for a
group self-insurance association, shall be an employee, officer or director of,
or have a direct or indirect financial interest in any person, firm or
corporation which is engaged in the business of providing services for a group
self-insurance association as a service company.

B. No person, firm or corporation, which is engaged in the business of providing
services for a group self-insurance association as a service company, shall be
an employee, officer or director of, or have a direct or indirect financial
interest in, any person, firm or corporation which is engaged as an
administrator for a group self-insurance association.

C. For purposes of this section, the term &#8220;firm&#8221; or
&#8220;corporation&#8221; shall include any officer, director, or employee of
any such firm or corporation.

D. This section shall not be construed to affect any contract, or extensions or
renewals thereof, for services as an administrator or service company entered
into by a group self-insurance association and effective prior to January 1,
1989.

HISTORY: 1989, c. 662, § 65.1-104.3; 1991, c. 355.