NAC678.020. Surety bonds: Annual review; minimum coverage.
-
1. The board of directors of each credit union shall annually review the surety bond coverage it has in force in order to determine its adequacy in relation to the credit union’s exposure to potential cash losses.
2. A credit union’s minimum potential cash losses must be determined by the following table:
Assets
Minimum Coverage
$0
to
$5,000
..................................................................... $1,000
5,001
to
10,000
...................................................................... 2,000
10,001
to
20,000
...................................................................... 4,000
20,001
to
30,000
...................................................................... 6,000
30,001
to
40,000
...................................................................... 8,000
40,001
to
50,000
..................................................................... 10,000
50,001
to
75,000
..................................................................... 15,000
$75,001
to
$100,000
................................................................... $20,000
100,001
to
150,000
..................................................................... 30,000
150,001
to
200,000
..................................................................... 40,000
200,001
to
300,000
..................................................................... 50,000
300,001
to
400,000
..................................................................... 60,000
400,001
to
500,000
..................................................................... 70,000
500,001
to
750,000
..................................................................... 85,000
750,000
to
1,000,000
................................................................... 100,000
1,000,001
to
50,000,000
........... $100,000 plus $50,000 for each $1,000,000
or fraction thereof of assets over $1,000,000
$50,000,001
to
$150,000,000
........ $2,500,000 plus $25,000 for each $1,000,000
or fraction thereof of assets over $50,000,000
Over $150,000,000.......................................................................................................... $5,000,000
3. Any credit union whose cash change funds exceed the amounts of minimum coverage required for a credit union of its size, as set forth in subsection 2, shall maintain surety bond coverage adequate to cover its actual potential cash loss.
[Comm’r of Credit Unions, § B subsecs. 1 & 7, eff. 8-12-76; A and renumbered as § C subsecs. 1-3, 12-14-78]