Who is responsible for managing a reciprocal inter-insurance exchange?

In a reciprocal inter-insurance exchange, an attorney in fact (AIF) plays a crucial role in managing the operations and decision-making processes. This individual acts on behalf of the members of the exchange, who are typically the policyholders, and ensures that the exchange operates in their best interests. The AIF has the authority to handle the policies, collect premiums, invest assets, and settle claims, allowing members to share the risk among themselves.

This structure is designed to provide a level of self-governance among members while delegating the day-to-day management to a knowledgeable and dedicated professional. Overall, the attorney in fact is essential in maintaining the efficiency and effectiveness of the reciprocal exchange, providing the necessary oversight and expertise that individual members may not possess.