Insurance Code section 7012

When the amount of such loss does not exceed one-eighth of one per cent of the total amount of insurance in force in the insurer, its directors may, by resolution in writing signed by two-thirds of all the directors while present at a meeting, borrow money in the name of the insurer and give its evidence of indebtedness therefor, in a total amount not exceeding one-eighth of one per cent of the total amount of insurance thus in force.

Source: Section 7012, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=INS§ionNum=7012.­ (updated Jan. 1, 1935; accessed Jun. 30, 2025).

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Verified:
Jun. 30, 2025

§ 7012's source at ca​.gov