Plain English Breakdown
The official text does not define specific internal governance rules for the cooperatives beyond pooling contributions.
Exemption for Commercial Fishing Insurance Cooperatives
This law removes state insurance rules from agreements where two or more commercial fishermen join together to pay claims or losses.
What This Bill Does
- Creates an exemption from Alaska's insurance regulations for specific groups of fishermen.
- Allows two or more people in the fishing industry to form a cooperative agreement to pool money.
- Permits these groups to use pooled funds to cover liability claims against their commercial fishing businesses.
- Permits these groups to pay for damage to vessels or machines used in commercial fishing that are owned or leased by members.
Who It Names or Affects
- Two or more people engaged in commercial fishing activities who enter into a cooperative agreement.
- Members of the pool whose businesses face liability claims.
- Owners or lessees of vessels and machines used in their commercial fishing business that are part of the agreement.
Terms To Know
- Cooperative Agreement
- An arrangement where two or more people engaged in commercial fishing pool contributions to pay claims or losses.
- Liability Claim
- A claim against a commercial fishing business operated by a member of the cooperative pool.
Limits and Unknowns
- The exemption only applies to agreements between two or more people engaged in commercial fishing.
- Coverage is limited to liability claims and damage to vessels or machines owned or leased by members.
- The text does not specify internal rules for the groups, such as how much money must be pooled.