§ 5502. Medical malpractice insurance association. (a) The medical\nmalpractice insurance association is continued consisting of all\ninsurers authorized to write and engaged in writing, within this state,\non a direct basis, personal injury liability insurance but excluding\nassessment cooperative fire insurance companies transacting business\npursuant to article sixty-six of this chapter. Every such insurer shall\nbe and remain a member of the association as a condition of its\nauthority to continue to transact personal injury liability insurance in\nthis state.\n (b) The association shall be a non-profit unincorporated association\nconstituting a legal entity separate and distinct from its members. All\nfunds and reserves of the association shall be separately held and\ninvested. It shall maintain complete accounts of all monies received and\nall losses and expenses incurred in connection with its operations,\nincluding investment income on policyholder-supplied funds. For the\npurpose of any contributions required by insurers to the\nproperty/casualty insurance security fund pursuant to article\nseventy-six of this chapter, and for the purpose of the protection\nafforded policyholders by such fund, the association is an authorized\ninsurer. The association shall include in the premiums charged for\nmedical malpractice insurance an amount sufficient to offset any such\ncontributions.\n (c) (1) The purpose of the association is to provide, for the period\nJuly first, nineteen hundred seventy-five through June thirtieth, two\nthousand one, a market for medical malpractice insurance pursuant to\nthis article and subject to regulation pursuant to section two thousand\nthree hundred seventeen of this chapter. If, after June thirtieth, two\nthousand one, the surcharges on premiums imposed pursuant to section\nforty, as amended, of chapter two hundred sixty-six of the laws of\nnineteen hundred eighty-six, by the superintendent to satisfy any\nactuarially projected deficiency that is attributable to the premium\nlevels for policies providing coverage for physicians and surgeons\nmedical malpractice for the periods commencing July first, nineteen\nhundred eighty-five and ending June thirtieth, two thousand one, are\nstill in effect or may still be reasonably imposed, the association\nshall continue in existence until June thirtieth next following such\ntime as such surcharges are no longer imposed or may no longer be\nreasonably imposed.\n ** (2) (A) The association shall, no later than December thirtieth,\nnineteen hundred ninety-nine, submit to the superintendent for approval\na plan for the final dissolution of the association, including a\ntransfer or extinguishment of all liabilities of the association and a\nplan for the servicing of existing policies of the association. The\ndissolution of the association and cessation of its activities shall be\nfully accomplished and the association shall be deemed dissolved at such\ntime and under such conditions as the superintendent deems proper;\nprovided, however, that all policies of insurance written by the\nassociation shall expire or be transferred prior to such dissolution.\n (B) In the preparation of a plan for the final dissolution of the\nassociation, the board of directors of the association shall: (i)\nsolicit proposed plans for the dissolution of the association from at\nleast three outside entities; (ii) arrange for an independent actuarial\nreview of the association, its operations, assets and liabilities; and\n(iii) recommend, by a majority vote of its board of directors, that\nproposal which maximizes the value of the association to the state. The\nassociation shall thereafter file all proposed plans, along with the\nplan recommended by the board, to the superintendent for approval.\n (C) (i) The superintendent shall, by April thirtieth, two thousand,\nreview all proposed plans, along with the recommended plan, filed by the\nboard of directors of the association wit
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