(1) A member of a risk management pool may voluntarily terminate its participation in the pool by giving written notice to the other members of the pool and the Director of Insurance at least ninety days prior to the desired termination date. Such voluntary termination shall be approved by the Director of Insurance if he or she finds that the terminating member and the remaining members of the pool are in good standing and have met all requirements of the laws of this state, any rules or regulations adopted and promulgated by the Department of Insurance pursuant to the Intergovernmental Risk Management Act, and any bylaws of the risk management pool.
(2) A member of a risk management pool may be involuntarily terminated as a member of the pool if the Director of Insurance finds, after due notice and hearing, that the member (a) has failed to pay any contribution or assessment due to the pool, (b) has failed to discharge any other obligation it owes to the pool, or (c) has failed to comply with any laws of this state, any rules or regulations adopted and promulgated by the Department of Insurance pursuant to the Intergovernmental Risk Management Act, or any bylaw of the risk management pool. Such hearing may be initiated by the Director of Insurance on his or her own initiative or at the request of the pool's board of directors.
(3) Any member of a risk management pool which voluntarily terminates its membership in the pool or which is involuntarily terminated as a member of the pool shall nevertheless remain liable subsequent to the date of termination for all contractual obligations it has entered into with the pool on or before the date of termination.