P.R. Laws tit. 26, § 3401a
For the purposes of this chapter, unless otherwise expressly provided, the following definitions shall prevail:
(1) Cooperative Bank.— Refers to the Cooperative Bank of Puerto Rico.
(2) Cooperative affiliate.— Refers to a cooperative that has been admitted as a partner by the Board of Directors of the insurance cooperative.
(3) Fund contribution certificate.— Refers to the document that accredits the contribution or shares of a member in the capital of the insurance cooperative.
(4) Second-grade cooperative.— Refers to those cooperatives whose members are cooperative entities.
(5) Proxy.— Refers to the natural person designated by a member to represent him/her in the assemblies held by the insurance cooperative, provided that said member, whether an affiliate cooperative or the Cooperative Bank, has met the requirements established for such designation by the insurance cooperative in its bylaws.
(6) Officer.— Refers to persons who are in charge of the daily administration of the insurance cooperative, such as the president, vice-president, secretary, treasurer and any others necessary for such purpose.
(7) Board officers.— Refers to the directors elected by the Board to hold positions, such as the president, vice-president, secretary, treasurer of the Board of Directors of the insurance cooperative and other positions for which it is provided in the bylaws of the insurance cooperative.
(8) Board.— Refers to the Board of Directors of the insurance cooperative.
(9) Members.— Refers to those natural persons or affiliate cooperatives to which the insurance cooperative has issued a fund or share contribution certificate.
(10) Sponsorship.— Refers to the [ratio] that exists between the volume of business carried out between a cooperative and its members and the total volume of the same business carried out between said cooperative and its members and policyholders during a certain period of time.
(11) Term.— Refers to the period of time during which the person elected as such by the assembly of members or designated as such by the Board of Directors of the insurance cooperative shall perform as director of the insurance cooperative, in accordance with the provisions of this chapter.
(12) Duration of the term.— The duration of the term shall be three years, except in those cases in which:
(a) The director is designated by the Board of Directors of the insurance cooperative, in which case the duration of the term shall not exceed one (1) year; or
(b) by the initial staggered system established in the bylaws, or
(c) in the cases in which the assembly of the members elects a person for one or two years to complete the term of a director that has ceased to fill his/her position.
History —Ins. Code, added as § 34.011 on Nov. 12, 2007, No. 174, § 2, eff. 30 days after Nov. 12, 2007.