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Tous les autres exemplaires originaux sont fiimds en commen^ant par la premldre page qui comporte une empreinte d'impression ou d'illustration et en terminant par la dernlAre page qui comporte une telle empreinte. Un des symboles suivants apparaitra sur la dernlAre image de chaque microfiche, seSon la cas: le symbols — ^- signifie "A SUIVRE' , le symbols V signifie "FIN ". Les cartes, planches, tableaux, etc.. peuvent dtre film6s A des taux de reduction diffdrents. Lorsque le document est trop grand pour 6tre reproduit en un seul ciichi, II est film6 A partir de i'angle supdrieur gauche, de gauche d droite, et de haut en bas, en prenant le nombre d'images n6cessaire. Les diagrammes suivants illustrent la mithode. 1 2 3 1 2 3 4 S 6 upoi PI WETH ^ PR wamm msmmmmmmf, PUBLIC GENERAL ACTS OF THE ONTARIO LEGISLATURE EELATING TO INSURANCK. WITH mTBS OF AMENDMENTS AND AN ANALYTICAL INDEX, ALSO A LIST OK SPECIAL ACTS OF INCORPORATION. BY J. HOWARD HUNTER, M.A., • V Inapectoi- of Insurance for Ontario. PRINTED BY C. BLACKETT R0BIN80N, 5 JORDAK STREET. 1881. /-K5"S5^I.H9 ACTS OF THE (^vAmiti ^tt^xMnxt ^thtin^ itn ^nmxmtt I.— PUBLIC GENERAL ACTS. (Here printed and Indexed.) SrasioN. 1877 1877 1877 1879 1880 1881 1877 1878 1881 Stati'tk. R.S.O., ch. leo. K.S.O., ch. 161. R.S.O., ch. 162. 42 Vic, oh. 26.. TITLE. An Act resjtecting Inturance Companies An Act respecting Mutual Fire Insurance Companies . 43 Vic, ch. 20.. 44 Vic, ch. 20.. R.S.O., ch. 129. 41 Vic, ch. 8. . 44 Vic, ch. 15.. An Act to secure Uniform Conditions on Policies of Fire Jniuranee, [Extended to Mutual Companies by 44 Vic (1881), ch. L'0,8. 28], An Act to provide for the Inspection of Inmranve Companies. [Amended by 43 Vic, ch. 20J An Act respecting the Ejcpenmes of Inspecting Insurance Conpanies An Act to give Increased Stahilitii to Mutual Fire Insurance Companies. An Act to secure to Wives and Children the hem-fit of Assurances on the Lives of their Huslmnds and Parents. [Amended by 41 Vic, (1878) ch. 8; also by 44 Vic (1881), ch. 1.5] An Act to make Certain Amtndments in the Revised statutes. [See above, ll.S.O., ch. 129] I All Act to amend the law securing to Wives and Children the Itetiifit of Assurance.1 on the Lives of their Husbands and Parents. [See above, R.S.O. , ch. 129] Pack. I l.j 29 44 41) r>2 62 60 6;i 03 IL— SPECIAL ACTS OF INCORPORATION. (Xot here printed) 1867-8 1807-8 31 Vic, ch. 52 31 Vic, ch. r,-6. 18«i7-8 31 Vic, ch. 54. 1867-8 31 Vic, ch. .5.5 1S07-8 1868-9 31 Vic, ch. 56. 32 Vic, ch. 17. 1868-9 32 Vic, ch. 64 1868-9 32 Vic, ch. 77 An Art to ijrnnt ceHain jwwcrs to the Toronto Mutual Fire Insurance Com- pa»y. [This (Jompany was merged in the Beaver Mutual, which is now extinct.] An Act for Inrorporatin;/ the Roi/al Canadian limuruncc Companu. [Tliis Company is now working under a Dominion charter.] -4»i Art to grant certain powers to the Oxford Farmers^ Mutual Fire Insurance Company (Woodstock). [This Company is now extinct.] An Art to grant certain powers to the Waterloo CoutUi/ Mutual Fire Insur- ance Company (Waterloo). An Act to extend the powers of the Gore District Mutual Fire Iniurance Com- pany (Gait). An Art for incorporating the Ontario Mutual Life Assurance Commny (Waterloo). [This Company is now working under a Dommion charter.] An Art to grant certain pmoers to the Ontario Farmers' Miitnal Insurance Company {Whhhy), An Act to incorporate the Hamilton Mutual Fire Insurance (ompnny (H;unil- ton). 44246 SPECIAL ACTS OF INCORPORATION.— Co«c/«rf«rf. Skhhion, Statdtk. 18*i9 1870 1 ia71-2 i»7:t 1H74 (NU.) 34 Via, ch. as Vic, ch. (Nil.) »7Vic., ch. 37 Vic, ch. 1874 ]37 Vic, ch. 1K74 ;37 Vic, ch. 1H74 1874 1874 I87r.-<1 187.MJ 187r>-6 1877 38 Vic, ch. IWVic, ch. 38 Vic, ch. 39 Vic, ch. 39 Vic, ch. 39 Vic, ch, 40 Vic, ch. 73. 87. 85. 86 87. 88. 60. 67. 68. 91. 92. 93. is:s 1871' 1879 1**» 1K81 18X1 IWl 40 Vic, ch. 41 Vic. , ch. 42\ic, ch. 42 Vic, ch. 43 Vic, ch. 44 Vic, ch. 44 Vic, ih. 44 Vic, ch. TITLE. Ii6 .... 61 84 85 74 52 f» .59. An Act to incoi'porate the Queen City Fire Imwance Company (Toronto). An Actio incorporate the Toronto Life Assurance and Tontine Company. [Thin- Company in now workint; under a Dominion Charter.] An Act to incorporate the London Life Insurance Company (London, Ont.). .<4n Act to amend and extend the provisions of the Act inco^-porating the OnUiriit Mutual Life Assurance Company (Waterloo). An Act to incorporate the Mercantile Fire Insurance Company (Waterloo). An Act to incm'porate the Canada Lire Stock Insurance Company of Onturio (Toronto). [This Company is now extinct.] An Act to incorporate the Alliance Insurance Company (Head office first at Toronto, afterwards transferred to Hamilton). An Act to incorporate the Canada Fire and Marine Insurance Comjxtny (Hamilton). [This Company is now working under a Dominion charter.] An Act to incorporate the Industrial and Commercial Life Ansurance Com- pany of Canada (Hamiltorate the Prudential Life Assurance Company of Ontario (Hamilton). [Not organized.] An Act to extend the poioers of the Hand-in-Hand Mutual Fire Insurance Company (Toronto). An Act to i7U'07-p(n'ate the Southern Fire Ins^irance Company (Bt. Thomas). [Not organized.] An Act to incorporate the Federal Fire Insurance Company of Ontario (Hamil- ton). [Not organized.] An Act respecting the Phoenix Mui'tal Fire Inturance Cmnpany of Ontario I (Toronto). . I An Act respecting the Waterloo County Mutual Fire Insurance Company of I Ontario (Waterloo). INDEX TO PUBLIC GENERAL INsJURANCE ACTS OF ONTARIO. [To avoid the repetition of the lettent R.S.O., it will be undentood that Ohaptera 129, 160, 161, 102, refer to the Revised Sututes of Ontario, 1877.] AcoiDRNT C0MPANIR8, Securities re<|uired of, ch. 160, ss. 6, 8. Acxx)UNTS or Branohem (Mutual Companies) to be kept distinct, oh. 161, s. 65. AfKiRMATiONS (Mutual Companies), See Oaths. AoKNcy (all Companies), Prima fcu-ie evidence of, ch. 162, Stat. Con. No. 21. " Chief, of foreign Companies insuring under Statutes of Ontario, ch. 160, s. 15. Akknt of insured may, in certain cases, tender proof of loss, oh, 162, Stat Con. No. 14. Aliknation of insurable interest (Mutual Companies), ch. 161, «. 41 of. Stat. Con. 4. (aU Companies), Stot Con. 4. Appeals (Mutual Companies), ch. 161, s. 35. " (all Companies), ch. 162, s. 7. APPLICATION'S (Mutual Companies) must specify further insurance (if any), ch. 161, s. 40. " in absence of notice construed as unaltered, Stat. Con. 2. Arbitbation of Claims (Mutual Companies), ch. 161, s. 57, Stat. Con. 16. Arrears or Asbessmbnts (Mutual Companies), ch. 161, ss. 13, 28. " Premium " " " " AsHKS, Fires from, ch. 162, Stat. Con. 10. Arson by insured cannot be insured against, ch. 161, s. 36. AssKSHMENTS (Mutual Companies)— general provisions, ch. 161, ss. 45 to 54 ; See also Prkvium Notim. " Notice of, ch. 161, ss. 47, 49. " in arrears disqualify members from voting, ch. 161, s. 13. " for Inspection of Companies, 42 Vic, ch. 25, s. C, atnended by 43 Vic, ch. 20. Assvrs — Administration of those held by Government (Joint Stock and Cash Mutuals), ch. 160, ss. 21, 22. " Insufficiency of, (Joint Stock and Cash Mutuals), ch. 160, s. 13; (Mutuals) ch. 161, s. 78; (all Companies) 42 Vic, ch. 25, sec. 3. " AND LiABiLiTiBS, Statutory (Joint Stock and Cash-Mutuals), ch. 160, sch. B. " " where Mutual Companies have become wholly Stock Companies, 44 Vic, ch. 20, s. 20. " " Directors of Mutuals to make annual statement to members, ch. 161, s. IL. AasiaNUENT of Policies (Mutual Companies), ch. 161, s. 41. Attormbt-Genkral (Joint Stock and Cash Mutuals)— information filed, ch. 160, s. 19. f' (all Companies), information filed, 42 Vic, ch. 25, s. 3. <* (Joint Stock and Cash Mutuals), application for decree of discontinuance,* ch. 160, s. 33. " (Mutual Companies), application for decree of discontinuance, ch. 161, 1, 78. Audit of Companies' Accounts (all classes), 44 Vic, ch. 20, s. 21. Ballot (Mutual Companies) at election of directors, ch. 161, ss. 18, 19. Benzinb, See Explosives. Bills Payable, See Dirbctors. Bonuses and Profits (Life Assurance), ch. 129, s. 16, as amended by 44 Vic (1881), ch. 15. Branches or Departments (Mutual Companies), general provisions, ch. 161, ss. 64-67. Bt-Lawb (Mutual Companies), to be recorded in the Minutes, ch. ''.61, s. 25. " Certain, not repealable, ch. 161, s. 25. " where stock capital has been raised, 44 Vic, ch. 20, s. 18. ' Fo .' appointment of Receiver on application of the Attoruey-Oeneral, $ee the various Acts of Incorporation. ■M It II <) tt l< tt ITOBS— where life policies are endorsed for benefit of wives and children, ch. 129, ss. 8, 16 ; wher» there is intent to defraud, ch. 129, b. 17. . II It II It II II It V Dbbentubbs issued by Mutual Companies, ch. 161, s. 29. Dbposits, See Skouritibs. DnriDitNDS a Guarantee Capital (Mutuals), 44 Vic, ch. 20, s. 7. " Btook in Mutual Companies, 44 Vic, ch. 20, s. 16. Division Court Suits (Mutuals? ch. 161, s. 71. DiRBOTOBS (Mutuals) must be insured in Company to amount of $800, ch. 161 , s. 14. * See also the special Aots of Incorporation. ; a* 75. l> (4 H • • «( «« li i* « «al Ity-laws, ch. 161, s. 25. " settle or alter tariff, oh. 161, s. 24. " appoint salaried officers, define their duties, eta , Ibid, " act as salaried manager, under si^ecial by -law, ch. 161, s. 15. " not act otherwiMe as paid agent or officer of Company, ch. 161, n. 111. " not lend to or borrow from their Compuny, ch. 161, s, 74. " invest the capital and funds of Company as specified, ch. 161, ». 2tS. " in certain caoeH hold real estate, ch, 161, s, 72. " under restrictions, issue debentures or notes for 12 months, anil renew at maturity, ch. 161, s. 29. " reinsure risks with Mutual or otlier Companies, uh. 161, s. 27. " recover overdue premiums or assessments, ch. 161, s. 28. " if dissenting, record dissent with reasons, ch. 161, s. 23. " " reinstate instead of paying losses, ch. 162, Htat. Con. Nu. 18. " have the management of the funds and property of Company, ch. 161, s. 26. " as to policies, See Polioiks. " " assessments and premium notes. See under these heads. " " payment of claims, 5fe Claims. •• " branches, ii(iK!TURH of Joint Stock Companies. For tlieir organization, powers and obligations. See the special .Vuts of Incorporation, of which a general list is given above ; See also under the particular heailin){H in this Index. ii It ti KiiiM:i'ioKs (Mutuals), See Directors. KiiAuiNATioN into affairs of Insurance Companies, See Insprction, Libutbnant-Govkrnuk, ArroKNKT- Gkneral, Treasurer (Provinoial). ExKOUTiONS against Mutual Companies, ch. 161, s. 61, amended by 44 Vic, ch. 20, s. 27. l^XHOtnoRS where life assurance is payable to minors, ch. 12t), ss. 9, 16 ; cf. also ss. 10, 11. Kxprnsrh of branches (Mutuals), ch. 161, a. 67. Kxpi.ostVBS, storing or keeping of, ch. 161, Stat. Con. 10, /•/. 11, Fees (Mutuals) for (Qualifying Certificate, 44 Vic, ch. 20, s. 5, " payable by Joint Stock and Cosh Mutual Companies, ch. 160, s, 36. ' ' to guardians of minors (life assurance), ch. 129, s. 10. ViNEM, See Penalties. Fires from various causes, ch. 162, .Stat. Con., 10. FiRHT payments, ch. 161, s. 46. FoiiKir.N Companies irauring under Statutes of Ontario, ch. 160, ss. 15, 16. i Q.\si, See Coal Gas. CfATKi^H, See Ontario Gazette. (irWARANTBB CAPITAL in purely Mutual Companies authorized by Act of 1881, 44 Vic, ch. 20, s. 7. " " in Cash Mutual Companies, ch. 161,8.75; also the general provisions (all Mutual Companies), 44 Vic, ch. 20, ss. 7-10. (iuAKANTBK COMPANIES, deposit required of, ch. 160, s. 6. Gi'ARniANH OF Minors (life assurance), ch. 129, s. 10. 8 Hkau Opkiohh, Mutual C«>nipani«H, oh. 161, m. 6, 7, 70. " Foreign Oompanieit iniiuring under SUtutei of Ont»rii', oh. 160, i. lA. • Ini^nd Mabinr Oompanim, necuritlmi required of, oh. 160, i. 6. Inu>iction or Comfanikh [^f also under Likutinant-Oovxrkok and Provinoial Tmahurrk ]. " (all Fire Companiea), oh. 101, n. 78. " (all CompanieB), (ieneral Aot for Inipeotion, 43 Vio. (1879), oh. 2A. Inhpkotor ok iNHnHANCR, Sfc Oeneral Act, 43 Vic. (1879), oh. 25, Inhdranuk, Like, for benefit of wivea and children, oh. 129, as amended by 41 Vio. (1878), ch. C, and 44 Vio. (1881), oh. 15. Inhvhanck, Firk (MutuaU), "further" insurance undiwlosed voids policy, at option of direct* •fh, ch. If'iO, ss. 30, 40, 43. See Pomoikh, rf. Htat Cen., 8. " " " further " insurance, HuiHoient notice to Company, oh. 161, a. 40. " " " " Oom|>any's diMsent must be in writing. Ibid. " " (all Fire Companies), oh. 1112, Stat, dm., 8. Inhcrhkotion, See Invahion. I nvrrtatk Drath, assurance moneys in case of, ch. 120, s. 10. I NVASION, fire from, not a lawful subject of insurance, ch. 161, s. 36, ) Mutukl Comp*niM. («) All CuDifianieH. ' ExamtiMtlon Into Company'M affairt, oh. lUl, n. 78. In(|uirieH aa to tranitactionH of Coiiiiiany, oh. lUl, «. 76. I Nkuim of ConipAiiiei, 44 Vio., oh. 20, m. 21. ( Kxaniination Into affairii, 42 Vic, oh. 2A. I NaiiieH of Goinpanies, 44 Vic, oh. 20, a. 24. I Ke|{i>*^>^ *»(i ImmiIch of acoount, 44 Via, oh. 20, h. 21. ' Hufi|ieniion or cancellation of licenne, 42 Vic, ch. 25, ». .'). LiKK CoMi'AMiM, HeciiritieH rwiuired of, ch. 160, nn. H, 8, 10. LiFR Ahhuhanck for benefit of wIvbh and children, oh. 12!( ax amended by 41 Vic. (1H7M), oh. 8 ; and by 44 Vic. (1881), ch. 16. LuiHTNiNci, inNuranoe a^fainit, oh. 161, h. 36; ch. 162, Stat. (!on., 11. Limitation ok Suith (Mutual CompanteH), ch. 161, h. M; oh. 162, .Stat. Con., 22. " " (allCompaniex), ch. 162, Stat. Con., 22. liOANH (Muttial Cointwniea) by or to otHoen) of Company forbidden, oh. 161, a, 74. liONH, )>artial, See Salvaox. Lo«MKH, Set Pkook and (Ji.aimh. d to ito Manaokh (Mutual Co.), Set alao Skcrktary. finable for failure to anHwer or to make xtiitement, oh. 161, h. 76. how appointed, ch. 161, m. 9, 24. " may lie a director if Hpeoial by-law Ih {laHHed, ch. 161, o, 1.5. Marink Comi'ANIKH, depoaitH required of, oh. 160, h. 6. Mkktinhm, prtdiminary to formation of Mutual (!ompanieis oh. 161, aa. 1, 2, 3. of aubaoribera to pr. " as to chanf^e of name, 44 Vic, ch, 20, s. 25. * " as to guarantee capital, 44 Vic, ch. 20, ss. 9, 10. All classBM of Companie.s, suspension and cancellation of license, 42 \'ic, ch. 25, s. 3. Organization op Mutual Companiks, ch. 161, ss, l-'J ; a. 33 ; also, 44 Vic, ch, 20, ss. 1-6. Odtlawry of Claims (Mutual Companies), ch. 161, s. 58. (All Companies), ch. 162, Stat. Con. No. 22. Pknaltibh, Joint Stock and Cash Mutual Companies, for unauthorized insurance, ch, 160, s, 1!). " " " for omission to furnish statements, ch. 160, a. 2" Mutual Companies, for failure to reply to inquiries of Lieutenant-Governor, ch. 161, s. 7. All Companies, for unauthorized insurance, 42 Vic. , ch. 25, s. 3. Policies, Firk; See also Dikkotoks and Conditions Statutory. Policies, Fire (Mutual Companies), (ieneral provisions, ch. 161, ss. 32-44. " •• Before any |)olicy is issued, ^100,000 must be subscribed, ch. 161. ss. 4, 3;5. " " Maximum term in Cash Mutuals, 3 years, ch. 161, s. 75. " " " purely Mutual Companies, 5 years, ch. 161, s. 32. Rates, See Ratks. Insurable subjects, ch. 161, s. 36. Uninsurable subjects, ch. 161, s. 36, cf. ch. 162, Stat. Con. 6. Conditions of, See Conditions. The Fire Insurance Policy Act (R.S.O., ch. 162) is by 44 Vic. (1881), ch. 20, a. 28, made to apply to Mutual policies, when duly executed binding on Company, ch. 161, s. 38. may be renewed for one year by renewal receipts, ch. 161, s. 34. voided by non-payment of renewal premium. Ibid. may, at directors' option, be voided, (1) by alienation of insurable interest, ch. 161, ss. 41, 43 ; ch. 162, Stat. Con. 4 ; (2) by alteration of the risk, ch. 161, a. 42 ; (3) by undisclosed further insurance, ch. 161, ss. 39, 40, 43 ; (4) by non-payment of assessments within 30 days, but may be revived by subsequent payment, ch. 161, s. 48. " *' may be assigned by consent, ch. 161, s. 41. " " " cancelled on due .notice, ch. 161, s. 44 ; ch. 162, Stat. Con. Nos. 3, 19. Policies, Firk (All Companies), Policies not necessarily voided by imperfect compliance with conditions. ch. 162, 8. 2 Policies must include Statutory Conditions, ch. 162, s. 3 ; also 44 Vic (1881), ch. 20, s. 28. Policies must shew variations from Statutory Conditions conspicuously printed in different coloured ink, ch. 162, s. 4 ; also 44 Vic. (1881), ch. 20, sec 28. Policies of various dates may be construed as concurrent, ch, 162, Stat, Con, it. Voided by fraud in proof of loss, ch. 162, Stat. Con. 15. PoLiciHS, Life (for benefit of wives and children), application of, may be altered by endorsement, ch. 129, ss. 2, 3, " application of, where no apportionment is stated, ch, 129, sec, 4. " may become securities for loans to pay premiums, ch, 129, sec. 13, as amended by 41 Vic. (1878) ch. 8. <( ^^-'«"« Companies, ch. ;; " examination into Company's affairs, ch. 160, ss. 28. 31 • also 42 Vic oh 9fi ,, '«'^7-»' "^C-P-y^ books and accounts. 44 Vic'..t^,l2i " annual reports respecting Companies ch 1B1 « 7fi , a» -.r. T.HTK. 0-of life policies for benefit Of wi.es a'ndehild:::^h:\29!;:5!M^^^ ^'- '•^" ^^ ^• Vick-Prrsioent (Mutual Companies), first election, ch. 16], s. 9. V'„,„ r . " annual election, Ihid. s. 19. VOTHH of members of Mutual Companies at general meetings, ch. ICl. s. 13. Waivek of Conditions, ch. 162. Stat. Con.. 20 •• " 2 /Mntnal p ^ '.®'\ "/ '^- '''''•*• "PPl'es also to Insurance Companies W,v„c IV . , (Mutual Compames). ch. 161. s. 78. ' Wiv«R. hfe .n«u,,nce for the benefit of, ch. 129. as amended by 41 Vic (1878) ol S , . ,. .^. ch. lo. " "J- IX » iL. U0C8), ch. 8 ; also by 44 V ie. (18«1), 160, 20 Title XI.] INSURANCE COMPANIES. Chap. 160. 15 PROVINCE OF ONTARIO. PUBLIC GENERAL ACTS RELATING TO INSURANCE. CHAPTER 160. BEVISED STATUTES OF ONTARIO. An Act respecting Insurance Companies. Short title, s. 1. Companies to which Act does not apply, s. 2 Companies to which Act apjnies to obtain license before doing busi- ness, 3-5. Deposit to be made before issue of license, ss. 0-14. Charter of Company and power of attorney to its head office in Onta- rio, to be tiled before license is- sues, s. 15. Service of companies with legal pro- cess, s. 16. Notice of license to be published by Company, s. 17. Half-yearly statement of licensed Companies to be published by Provincial Treasurer, s. 18. Penalty for doing business without a license, s. 19. Forfeiture of license by failure to make deposit, etc., s. 20. Administration of deposits, when may be had, ss. 21, 22. Duty of Company ceasing to do busi- ness, ss. 23-25. Annual statements t<> be made to Provincial Treasurer, ss. 2(5, 27. Investigation of insurance business in the Province by the Provincial Treasurer, s. 28. Records to be kept in Treasury De- partment, s. 2!). Report from yearly statements to be laid before the Legislative As- sembly, s. 30. Examination in the affairs of Insur- ance Com)>anius, ss. 31, 32. Compulsory proceedings to discon- tinue Companies, s. 33. CanceMiition oi licenses of unsafe Companies, s. 34. Fees, s. 35. HER MAJESTY, by and with the advice and cons >nt of the Legislative Assembly of the Province of Ontai'o, enacts as follows : — 1. This Act may be cited as ''The Ontario Insurance Act." short title. 2. This Act shall not apply to any Company licensed under To whatCom- Actof the Piirliamentof Canada to transact business of insurance P'^'ji'is this in Canada, nor to any Company incorporated by Act of Parlia- apply, ment of Canada, nor to any Mutual Fire Insurance Company which does not receive cash premiums in lieu of premium notes, but acts exclusively on the mutual principle. JiO V., c. 23, a. 1. IG What ('nm- {MMiieH may transact buRi- iietw In On- tiiriu. Foim of licenH«, When licen»e Deposit to be uiaile. Chap. 160. coMi'ANiKS and ( orporations. [Title XL 3. Except such Insurauce Companies as are mentToaed in the next preceding section, it shall not be lawful for any Insurance Company to accept any risk or issue any policy of insurance, or receive any premium or transact any business of insurance in Ontario, or to prosecute or maintain any suit, action or proceeding, either at Law or in Equity, relating to such business without first obtaining a license from the Provincial Treasurer, to cany on business in Ontario. 39 V., c. 23, s. 2. 4. The license shall be in such form as may be, from time to time, determined by the Provincial Treasurer, and shall specify the business to be carried on by the Company ; and shall ex- pire on the thirtieth day of June in each year, but shall be re- newable from year to year. 39 V., c. 23, s. 3. 5. As soon as the Company applying for a license has depos- ited with the Provincial Treasurer the securities hereinafter mentioned, and has otherwise conformed to the requirements of this Act, the Treasurer shall issue the license. 39. V., c. 2.S, s. 4. 6. Before issue or renewal of the license, each Life, Fire, In- land, Marine Insurance or Guarantee Company shall deposit the sum of twenty-five thousand dollars at the least, and the further sum of five thousand dollars for every one million of dollars over five million dollars of risks of such Company, on the thirty- first day of December in the year next preceding, until the amount becomes fifty thousand dollars ; and every Accident In- surance Company shall deposit the sum of twenty thousand dollars. 2. Every Company incorporated before the commencement of the Session of the Legislature held in the thirty-ninth year of Her Majesty's reign may make such deposit in three equal annual instalments, on or before the first day of July in each year beginning with the first day of July, 187G, and a license may be issued to eveiy such Company upon the deposit for the current year being duly made. 3. This section shall not apply to Companies mentioned in the tenth section of this Act. 4. Of Fire Insurance Companies whose risks do not exceed five million dollars, the deposit shall be ten thousand dollars at the least, to be increased by five thousand dollars for every one million dollars over two million dollars of risks of such Com- pany. 39 v., c. 23, s. 5. DeiMwitji, ill 7. Such deposits may be made in securities of the Dominion what «ec\iri- q£ Canada, or in securities issued by any of the Provinces of Canada ; and the value of such securities shall be estimated at their market value at the time when they are so deposited. ( TiTLK XL] INSURANCE COMPANIES. Chap. 160. 17 2. If any securities other than those above named are offered as a deposit, they may be accepted at such valuation and on such conditions as the Provincial Treasurer may direct. 3. If the market value of any of the securites which have been Tf market deposited by any Company declines below the value at which company 'to* they were deposited, the Treasurer may, from time to time, call make further upon the Company to make a further deposit, so that the market ''^t'"'"*- value of all the securites deposited by any Company shall be e(]ual to the amount which they are required to deposit by this Act. 39 v., c. 23. s. 6. 8. When any Company carries on more than one description Denosit for of insurance business, it shall make a separate deposit as afore- orbusineHs. said for each branch of its business : but a Company combin- proviso : as to ing Life and Accident Insurance or Fire and Inland Marino combination Insurance shall only be required to make one deposit for each i^ranchei" such combination. 39 V., c. 23, s. 7. 9. Any Mutual Fire Insurance Company not required to be Denosits by licensed by the laws of the Dominion of Canada, doing any e^rtainMutuS business in Ontario, for cash premiums on risks other than from Fire Ins. Com- its own members, shall, on or before the first day of July in each p*"'**- year, deposit with the Provincial Treasurer an amount equal to one-fourth of the net cash premiums received by the Com- pany for such business in Ontario during the year ending on the thirty-first day of December next preceding, and shall keep such amount on deposit, subject to increase or reduction yearly on the first day of July, according to the amount of such one- fourth ; and upon such deposit being made and continued, the Treasurer shall issue or renew the license to the Company. 2. Any Mutual Fire Insurance Company authorized before Deposits by the tenth day of February, 1876, by any statute to transact any °*^^'" ^°"'- business for cash premiums on risks other than for its mem- above, bers, may make such deposit in three equal anuual instalments, the first being made on or before the first day of July, one thousand eight hundred and seventy-seven, and the license may issue to such Company accordingly, or be renewed as the de- posit for each year is duly made. 39 V., c. 23, s. 8. 10. Whenever and so long as the deposit of any Life Insur- ance Company is less than twenty-five thousand dollars, the agent of the Company shall send in yearly to the Provincial Treasurer, within one month after the first day of January of each year, a return, under oath (Schedule A.), of the amount of Life Insurance premiums received by the Company on risks for the period covered by the annual statement mentioned in section twenty-six, and after deducting twenty-five per cent, there- from, and the net amount of losses or claims actually paid, shall invest the same in such of the securities authorized by this Act as his Company directs, or in default of such direction, as he B Additional obligation of a Life Ineura: ice Company who.se dep<>^it is less than $25,000 to make returns of premiums received and deposit the amount in securities. 18 Chap. 160. COMPANIES and corporations. [Title XI. thinks fit, and shall deposit such securities in the hands of the Provincial Treasurer, for the purposes of this Act and subject to its provisions the balance of such premiums, until the deposit of such Company is equal to fifty thousand dollars ; and so long as such deposit is under fifty thousand dollars, no interest or dividends shall be paid on the actual deposit, but such interest or dividend shall be added to the principal every half-year until, with the premiums hereinbefore mentioned, the deposit amounts to fifty thousand dollars. 2. Every Company which has not deposited the full amount required under the provisions of the sixth section of this Act, shall be credited in its annual payments on account of such deposit with the amounts deposited under the provisions of this section. 39 Y., c. 23, s. 9. €om|>any may 1 1. A Company may deposit in the hands of the Provincial depoaitbeyond Treasurer any sums of money or securities beyond the sum re- abaoluteiy Quired; and such further sums of money or securities therefor, shall be dealt with as if the same had been part of the orignal deposit ; and no part of the additional deposit shall be with- drawn except with the sanction of the Lieutenant-Governor. 39 v.. c. 23, s. 10. required. As to with- drawal of ■urplua. Withdrawal of 12. A Company having made a deposit under this Act shall deposit where be entitled to withdraw such deposit, with the sanction of the licensed ^y Lieutenant-Govemor in Council whenever it is made to appear Dominion. to the Satisfaction of the Lieutenant-Governor in Council that such Company is carrying on its business of insurance under license from the Dominion of Canada. 39 V., c. 23, s. 11. Anydefioiency 13. If from the annual statements, or after examination of ^ BMde good ^^^® affairs and condition of any Company, it appears that the or license for-' re-insurance value of all its risks outstanding in Ontario, to- feited. gether with any other liabilities in Ontario, exceeds its assets in Ontario, including the deposit in the hands of the Treasurer, then the Company shall be called upon by the Treasurer to make good the deficiency at once, and on failure so to do it.s license shall be cancelled. 39 V., c. 23, s. 12. t As to interest 14. Except in cases with respect to which it may be other- «B secui 1 les. ^j^^ provided by the Lieutenant-Govemor in Council, so long as any Company's deposit is unimpaired and no notice of any final judgment or order to the contrary is served upon the Pro- vincial Treasurer, the interest upon the securities forming the deposit shall be handed over to the Company. 39 V., c. 23, s. 13. Certain doou- 15. Before the issue of a license to any Company, the Com- fiiS^hi? ^ ps^y Bhall file in the Department of the Provincial Treasurer a lioense is certified copy of the Act of Incorporation, or other instrument gf«»*«^^*»»t of association of the Company, and also a power of attorney show™ from the Company to its head officer or agent in Ontario, ' Title XL] INSURANCE COMPANIES. Chap. 160. 19 under the seal of the Company or resolution, and signed by the President and Secretary or other proper officer thereof , contain- ing the matters hereinafter mentioned, verified by their oath, and further corroborated on oath by the head officer or chief agent of such Company, or by some person cognizant of the facts necessary to its verification, and also a statement of the conditions and affairs of such Company on the thirty-first day of December then next preceding, or up to the usual balancing day of the Company (but such day shall not be more than twelve months before the filing of the statement), in such form as may be required by the Treasurer of Ontario. • 2. The said power of attorney shall declare at what place t'ontente in Ontario the head office or chief agency of the Company is attoraey. or is to be established, and shall expressly autloriae such at- torney to receive process in all suits and proceedings against such Company in Ontario for any liabilities incurred by the Company therein, and shall declare that service of process for or in respect of such liabilities at such office or chief agency, or personally on such attorney, at the place where such head office or chief agency is established, shall be legal and binding on the Company to all intents and purposes whatsoever. 3. Whenever any Company licensed under this Act changes if changen are its chief agent or chief agency in Ontario, such Company shall !iJf^cy?dwm- file a power of attorney as hereinbefore mentioned, containing inent to be any such change or changes in such respect, and containing a *^'^''" similar declaration as to service of process as hereinbefore mentioned. 4 Duplicates of all such documents duly verified as afore- ^"^^^ 'l?c"- said shall be filed at Toronto, in the Process Office of the Su- }n^" fn Cnmt. perior Courts of Common Law, and in that of the Clerk of Records and Writs of the Court of Chancery. 39 V., c. 23, s. 14. T*ri)ces:s unrl suits. 16. After the certified copies referred to in the last preced- ing section and such power of attorney are filed as aforesaid, any process in any suit or proceeding against such Company, for any liabilities incurred in Ontario, may be served on the Company at its chief agency, and all proceedings may be had thereupon to judgment and execution in the same manner and with the same force and effect as in proceedings in any civil suit in Ontario. 2. Nothing herein contained shall render invalid service in Service other- any other mode in which such Company may be lawfully ser- ^'*"' *^*" ^ ved. 39 v., c. 23, s. 15. *^ '^'• 17. Every Company obtaining such licence as aforesaid Companies t-^ shall forthwith give due notice thereof in the Ontario Gazette, ^J** ""*"'* °* and in at least one newspaper in the County, City or place where the head office or chief agency is established, and shall licenBe, 20 Chap. 160. COMPANIES AND CORPORATKt.NM. [TiTLE XL continue the publication thereof once each week for the space Mid of ceaningf of four weeks; and the like notice shall be >;ivenfor the same period when such Company ceases, or notifies that it intends to ceafie to carry on business in Ontario. 39 \'., c 23, s. 16. Statement to be published bv Provincial TroMurer. Penalty for transa'.'ting busineas in contravention of thif) Act. How enforced and applied. 18, The Provincial Treasurer shall cause to be published half-yearly in the Ontario Gazette a list of Companies licensed under this Act, with the amount of the deposit made by each Company ; and upon any new Company being licensed, or upon the license of any Company being withdrawn in the in- terval between two such half-yearly statements, he shall publish a notice thereof in the Ontario Gazette for the space of two weeks. 39 V., c. 23, s. 17. 19. Any person who delivers any policy of Insurance or col- lects any premium or transacts any business of Insurance on be- half of any Company as aforesaid, without such Company being licensed under his Act, or if such license has been withdrawn, or without the renewal thereof, or without filing the copy ot the Act of incorporation, or other instrument of association of the Company, and the power of attorney or any renewal therof in the event of any change as hereinbefore provided, shall be liable to a penalty of two hundred dollars for each such con- travention of this Act, which penalty may be sued for and recovered on information filed in the name of the Attorney - General of Ontario ; and one-half of the said penalty, when re- covered shall be paid to the Crown, and the other half of the said penalty to the informer; and in case of non-payment of such penalty and costs within one month after judgment, the person so offending shall be liable to imprisonment in any gaol or prison for a period not exceeding three months, in the dis- cretion of the Court wherein he is convicted. 39 V., c. 23, s. 18. i Licenses forfeited by failure to depoeit, non-payment of claims and consequent deficiency of security. Renewal on certain con- ditions. 80. Wherever any Company fails to make the deposits under this Act at the time required, or wherever written notice has been served on the Provincial Treasurer of any undisputed claim arising from loss insured against in Ontario remaining unpaid for the space of sixty days after being due, or of a dis- puted claim after final judgment in a regular course of law and tender of a legal valid discharge being unpaid, so that the amount of securities representing the deposit of such Company is liable to be reduced by sale of any portion thereof, the license of the said Company ahsM ipso facto be null and void, and shall be deemed to be withdrawn ; but such license may in the two last mentioned cases be renewed, and the Company may again transact business, if within sixty days after notice to the Pro- vincial Treasurer of the Company's failure to pay any undis- puted claim, or the amount of any final judgment as provided in this section, such undisputed claims or final judgments upon or against the Company in Ontario are paid and satisfied, and the Company's deposit is no longer liable to be reduced below the amount required by this Act. 39 V., c. 23, s. 19. - jL - tfea Title XL] IN8URANCK COMPANIES. Chap. 160. n ■u 21. Any Company shall be liable to have its deposits in the ^"° jj^j"^' hands of the Provincial Treasurer administered in manner {labL'to have hereinafter mentioned upon the failure of such Company '''jP*?'}*" JJl'" to pay any undisputed claim arising from loss insured against, in " ' Ontario, upon any j)olicy held in Ontario, for the space of sixty days after being due, or if disputed, after final judgment and tender of a legal valid discharge, and (in either case) after notice thereof to the Provincial Treasurer. In case of such ad- I'roviHion for ministration, all deposits of such Company held by the said ^epoHkH in' " Treasurer shall be applied pro rata towards the payment of all mhcH ca«e. claims duly authenticated against such Company, as well as in respect of unearned premiums upon or in respect of policies issued to policy holders in Ontario, and the distribu- tion of the proceeds of such deposit may be made by order of the Court of Chancery. 2. In any case where a claim for loss is by the terms how niont of tho condition and affaire of such Company on tho vedHtnl. thirty-first of December then next preceding, exhibiting the facts and items in the form given in Schedule B appended to this Act, and to cau.se such statement to be deposited in the office of the Provincial Treasurer; such statement to be accom- panied by a declaration to tho effect .shown in the said Sche- dule, .sworn to before some person "t™ent account with the Provincial Treasurer, naming in detail the several securities, their par value, and value at which they are received as deposit ; and before the issue of any new license, Terms where- or the renewal of any license to any Company, the requirements b" renew^d*'^ ir ill 24 Chap. 160. companies and corporations. [Title XI. of the law shall be complied with by such Company, and the statement of its affairs shall show that it is in a condition to meet its liabilities ; and a record of the licenses as they are issued or renewed shall be kept in the Treasury Department. S9 Y., c. 23, s. 29. roay Txaminr ^^' "^^^ Provincial Treasurer, from the yearly statements re- theafiFairsof quired to made by each Company, shall prepare an annual *nd*r^'""t'^"^ report, showing the results of each Company's business, together with an analysis of each branch of insurance, with each Com- pany's name, classified from the s+^tements made by each Com- pany ; and the Treasurer shall lay such annual report befoie the Legislative Assembly at each Session thereof. 39 V., c. 23, s. 30. Report of Provincial Treasurer to lay before the Legislative Assembly. Provision if Treasurer con- siders further inquiry iiocessary. Compulsory proceedings to the Court to decree a dis- continuance of business on unfavourable report. 31. The Provincial Treasurer may, through an officer or clerk of this Department, visit the head office of each Company in On- tario at any time, and may examine the condition and affairs of each Company, and may report thereon to the Lieutenant-Gov- ernor in Council. 39 V., c. 23, s. 30. 32. If after an examination into the condition and affairs aud business of any Company licensed under this Act, from the annual or other statements furnished by such Company to the Treasurer of Ontario, or for any other cause, the said Treasurer deems it necessary and expedient to make a further examina- tion into the affairs of such Compan}', and so reports to the Lieu- tenant-Governor in Council, the Lieutenant-Governor may ap- point one or more qualified persons, at the expense of the (Company, to visit the office of such Company, to thoroughly inspect and examine into all its affairs and to make all such further inquiries as are necessary to ascertain its condition and ability to meet its engagements ; and it shall be the duty of the officers or agents of such Company to cause their books to be open for the inspection of the person or persons so appointed, and otherwise to facilitate such examination so far as it is in their power ; and for that purpose the said person or persons so appointed shall have power to examine under oath such offi- cers or agents of the Company, and such other person or per- sons, as they may think fit. 39 V., c. 23, s. 31 ; 40 V., c. 7, Scked. A (144). 33. Whenever it a})pears to the Lieutenant-Governor in Council from such examination that the assets and financial position of such Company are such as not to justify the con- tinuance in business of any such Company, the Attorney- General may apply in a summary manner on motion to one of the Superior Courts of Law or Equity for an order requiring such Company to show cause why the business of the Com- pany should not be closed, and the Court shall thereupon pro- ceed to hear the said parties, and in case it appears to the said Court that the assets and funds of the Company are not Title XL] INSURANCE COMPANIES. Chap. 160. 26 If the Com- pany appears unsafe, Lieutenant- Governor may cancel licenHe. sufficient as aforesaid, the Court shall decree that the busi- ness of the said Company as an Insurance Company ought to be discontinued ; and it is hereby declared that thenceforward the business of the said Company as an Insurance Company shall be discontinued accordingly, and all the powers of the said Company as an Insurance Company shall cease, and all other powers granted to the said Company shall likewise cease, except so far as may be necessary for holding and disposing of the property, and winding up the affairs of the Company. 39 v., c. 23, s. 31 ; 40 V., c. 7, Sched. A (144). 34. If it further appears to the Treasurer of Ontario, after full consideration of the affairs of any Company, and a reason- able time being given to the Company to be heard by him after such further inquiry and investigation (if any) as he may see proper to make, that the assets of the Company are insuffi- cient to justify its continuance of business, and he so reports to the Lieutenant-Governor in Council, then if the Lieutenant- Governor in Council also concurs in such opinion, an Order in Council may issue suspending or cancelling the license of such Company, which shall then, during such suspension or can- cellation, be held to be unlicensed ; and after the notification of the suspension or cancelling of such license in the Ontario Gazette, any person delivering any policy of insurance, or collecting any premium, or transacting any business of insurance on behalf of such Company, shall be liable to the penalties pro- vided for by the twenty-seventh section of this Act. 39 V., c. 23, s. 32. 35, Each Company shall pay to the Treasurer of Ontario the ^'ees to be following fees.— ''""^''*«'*- For recording and filing in bis office the several documents re- quired of each Company, under the fifteenth section of this Act 810 00 I'or change of attorney under the said section 5 00 For hoense to do business (except as to Companies mentioned in section nine, for which the fee shall be ^50) 100 00 For every renewal of such license (except as to Companies mentioned in section nine, for which the feo shall be $25). . .50 00 For filing annual statements of each Company ... 6 00 39 v., c. 23, s. 33. Penalty for doing business, after suspen- sion of license and notice thereof. SCHEDULE "A." (Section 10.^ ANNUAL RETUKN OF PREMIUMS. Amount of premiums received by {name of Company) during the year conimenoing on the day of , A.D. 18 , and ending on 4 26 Chap. 160. COMPANIES AND CORPORATIONS. [TiTLE XI tlK' day of , A.D. 18 , on risks efTeoted in Canada, less twenty-five per cent, thereof $ Net amount of losses or claims actually paid 9 Province of Ontario, County of oath and say : Form of Declaration to accompany the Statement, I Chief A$;ent in Ontario {name of Company), make That the foregoing statement truly shows the amount of premiums re- ceived by the said Company, during the year above designated, on risks effected in Ontario, less twenty-five per cent, thereof, and also truly shows the net amount of losses or claims actually paid by the said Company during the said period. Sworn before me at in the County of day of , this V , A.D. 18 . j SCHEDULE "B." [The fonii of the Annual Statement may be varied at the dincretion of the Provincial Treasurer, oh. 160, s. 26]. {Section 26.) DETAILS OF ANNUAL STATEMENTS REQUIRED. List of shareholders. A list of the shareholders, vnih. the amount nubscribed for, the amount paid thereon, and the residence of each shareholder. The property or assets held by the Company, specifying — 1. The value (as nearly as may be) of the real estate held by such Company ; 2. The amount of cash on hand and deposited in banks to the credit of the Company, — specifying in what banks the same are deposited, with amounts aeparately ; 8. The amount of cash in the hands of agents ; 4. The amount of loans secured by bonds and mortgages constituting either a first or second lien on real estate in separate schedules ; 5. The amount of loans on which interest has not been paid within one year previous to such statement, with a schedule thereof ; 6 The amounts due the Company for which judgments have been obtained ; 7. The amount of Canadian or other stocks owned by the Company, I > i 3a, Title XI.] INSURANCE COMPANIES. Chap. 160. 27 ike re- sks W8 kny specifying in detail the amount, number of shares, and par and maiket value of each kind of stocks owned by the Company absolutely ; 8. The amount of stocks held as collateral security for loans, with the amount loaned on each kind of stock, its par and market value ; 9. The amount of assessments on stock and premium notes paid and unpaid ; 10. The amount of interest actually due and unpaid ; also the amount of interest accrued and unpaid ; 11. The amount of premium jotes on hand on which policies are issued, with amount paid thereon ; also bills receivable held by the Company and considered good, the amounts of each class separately, and the amounts ou each class overdue ; 12. The amount of all other property belonging to the Company, with a detail thereof. The liabilities of the Company, specifying — 1. The amount of losses due and yet unpaid ; ' 2. Amount of losses adjusted, but not due ; 8. Amount of losses inciured during the year, including those claimed, not yet adjusted, and of those reported to the Company upon which nc action has been taken, — the amounts of each class separately, carrying out the totals in one sum ; 4. Amount of claims for losses resisted by the Company, distinguishing those in suit ; 5. Amount of dividends declared and due, and remaining unpaid ; 6. Amount of dividends declared, but not yet due. 7. Amount of money borrowed, and security given for payment there- of, stating each loan separately, and the interest paid therefor. 8. The amount of unearned premiums, stating each description of busi- ness separately ; 9. Amoimt of all other claims agamst the Company, with a detailed statement thereof ; 10. Aggregate amount of all unpaid losses, claims and liabilities what- soever, except capital stock. 3f Ih I > Inoome of the Company, specifying — 1. Amount of cash premiums received, less re-int arance ; 2. Amount of notes received for premiums, less re-insurance ; 3. Amount of interest money received ; 4. Amount of inoome received from all other sources. Expenditure of the Company, specifying — 1. Amount paid for losses which oooiirred prior to the current year or to date of last statement, deducting savings and salvage, which losses were estimated in the last statement at $ ; i 28 Chap. 160. COMPANIES AND CORPORATIONS. [TiTLE XI. 2. Amoant paid for losses wbiob ocoorred during the year, deduotiog savings and saivagA ; 8. Total amount actually paid during the year for losues in each branch, in separate columns ; 4. Amount and rate of dividend paid during the year ; 5. Amount of expenses paid during the year, including commissions and fees to agents and officers of the Company ; 6. Amount of all other payments and expenditures, with details thereof. Miscellaneous, 1. Gross amount of risks taken during the year, original and renewal, in each branch of the Company's business separately, — deducting amount of re-insurance effected thereon in each branch separately ; 2. And amount of risks in force at the end of the year in each branch of the Company's business, deducting re-insurance ; and showing at foot, in separate columns, the net amount of risks then in force. \ I Form of Declaration to accompany the Statement. Province ol Ontario, J We, Coxmty of } President, and Secretary of Company, severally make oath and say, and each for him- self says, that we are the above described officers of the said Company, and that on the day of last, all the above described .*a8ets were the absolute property of the said Company, free and clear from any liens or claims thereon, except as above stated, and that the foregoing statement, with the schedules and explanations hereunto annexed and by us subscribed, are a full and correct exhibit of all the liabihties, and of the income and expenditure, and of the general «ondition and affairs of the said Company, on the said day of last, and for the year ending on that day, according to the best of our information, knowledge and belief respectively. Signatures. Sworn before me, at the in the County of , this day of , A.D. 18 '} 1 Title XI.] INSURANCE COMPANIES. Chap. 161. .29 \ 1 CHAPTER 161. Rkvisbd Statutes op Ontario. An Act respecting Mutual Fire Insurance Companies. Formation of CompanieB, ss. 1-9. General meetings, bs. 10-13. Board of Directors — Qualifications, ss. 14-16. Election, sk. 17-21. Quorum, s. 22. Becordiug dissent, s. 23. Powers, ss. 24-29. Admission and withdrawal of mem- bers, BS. 30-81. Policies of Insurance, ss. 32-44. Premium notes and assessments, ss. 45-55. Payment of losses, ss. 56-63. Branches or Departments of Com- pany, ss. 64-67. Miscellaneous — Liability of members, s. 68. Security by oificers, s. 69. Location of bead office, s. 70. Suits in Division Court, where to be brought, s. 71. Lands which may be held by Mu- tual Insurance Companies, s. 72. Premium notes not to create a lien on lands, s. 23. Guarantee capital, how far auth- orized to be raised, s. 74. Power of Mutual Insurance Com- panies to insure on the cash principle, s. 75. Annual statements to be made, ss. 76, 77. Examination into affairs of Mu- tual Insurance Companies, s.78. Act to apply to Companies formed under prior Acts, s. 79. HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows : — ,' FORMATION OF COMPANIES. 1. Ten freeholders in any Municipality may call a meetmg of Meetings to the freeholders thereof to consult whether it be expedient to es- «***^l»8h Com- 11-1 11 • TT T r^ 1 1 paiies, now tablish therein a J«">■ ance, and vary the same from time to time, and determine the of rate*. *'^' sum to be insured on any property ; they may hold their meet- Meetings of ings monthly, or oftener if necessary, for transacting the busi- ^^^ Board, ness of the Company ; and they shall keep a record of their proceedings. 86 V., c. 44, s. 22. 25. The Board of Directors may from time to time make The Board and prescribe such by-laws as to them appear needful and {Uw^.^^* ^' proper, respecting the funds and property of the Company, the duty of the officers, agents and assistants thereof, the effectual carrying out of the objects contemplated by this Act, the hold- ing of the annual meeting, and all such other matters as apper- tain to the business of the Company, and are not contraiy to law, and may from time to time alter and amend the said by- laws, except in cases with regard to which it is provided that any such by-laws shall not be repealed, or where such repeal When by-laws would affect the rights of others than the members of the Com- ^ie"°* "p***" pany, in any of which cases such by-law shall not be repealed. 2. Every by-law of the Board shall be duly entered in the ^^n resolu- minutes, and when confirmed at any subsequent meeting of Board to have the members, shall be held to be and have the same force and ^'^fi^^f^* "^ * effect as a by-law of the Company. 36 V., c 44, s. 23, by-law. 26. The Board of Directors shall superintend and have the The Board to management of the fui ds and property of the Company, and proMrty, etc., of all matters relating thereto, and not otherwise provided for. of the Com- 36 v., c. 44, s. 24. pany. 27. The Board of Directors may make arrangements with Reinsurement any Mutual or other Insurance Company for the re-insurance " "* ^' of risks, on such conditions with respect to the payment of pre- miums thereon as may be agreed between them. 36 V., c. 44, s. 25. 28. The Board of Directors may invest the capital and funds Investment of of the Company in shares of any chartered bank having its funds*of*the head office in Ontario, in mortgages on freehold real estate, mu- Company, nicipal debentures, and the public securities of the Dominion or of this Province ; and may, in the name of the Company, Recovery of recover from any member of such Company, in any Court of assessments, competent jurisdiction, any premium or assessment upon his premium note payable by him. 36 V., c. 44, s. 28. c 34 Chap. 161. COMPANIES AND CORPORATIONS. [TiTLE XI. Directors may 29, The board of Directors may issue debentures or promis- »ureH and pro- sory notes in favour cf any person, firm, Building Society, miasory notei Banking or other Company, for the loan of money, and may oans; borrow money therefrom on such debentures or promissoiy ^ notes for any term not exceeding twelve months, and on such conditions as thev think proper, and may renew the same from time to time for any such term, the whole of the assets, includ- ing premium notes of the Company, being held liable to pay the same at maturity, but no such debenture or promissory note shall be for a less sum than one hundred dollars. MietH of the Company to be liablo fur the name. Amount of debentures, •to., limited. 2. All the debentures and promissory notes at any one time outstanding shall not exceed one-foui-th of the amount remain- ing unpaid upon the same premium notes. 36 V., c. 44, s. 29. ADMISSION AND WITHDRAWAL OF MEMBERS. insure. Power to 30. The Company may admit, as a member thereof, the owner members and ^^ ^^7 property, movable or immoval tU, and may insure the same whetlier the owner thereof be or be not a freeholder ; and every person admitted a member of said Company by such in- surance shall be entitled to the like rights, and be subjected to the like liabilities as other members of said Company. 36 V., c. 44, s. 7. Members 31. Any member of such Company may, with the consent of withdrawing, ^j^g Directors, withdraw therefrom upon such terms as the Directors may require. 36 V.,' c. 44, s. 27. POLICIES OF INSURANCE. Term of policies. 32. The Company may issue policies of insurance for an}- term not exceeding five years. 36 V., c. 44, s. 30. When policies 33. No policy of insurance shall be issued by any such Com- may issue. pany Until application has been made for iasurance, to the extent of one hundred thousand dollars at least, and ap- proved of by the Board. 36 V., c. 44, s. 31. Renewing poHcieH. Void oonditiont. 34. Any policy that may be issued for one year or any shorter period may be renewed at the discretion of the Board of Directors by renewal receipts instead of policy, on the insured paying the required premiums, or giving his premium note or undertaking: and any cash payments for renewal must be made at the end of the year, or other period for which the policy was granted, otherwise such policy shall be null and void. 36 v., c. 44, s. 32. 35. Every condition endorsed upon, or affecting any policy of insurance, which is held by the Court or Judge before whom any question relating thereto is tried, not to be just and reasonable, shall be absolutely null and void. But ITLE XI. • promis- Society, ""ble insur- ledge of the insured in the Company and in any other office at ""''*' the same time, the insurance in the Company shall be void, un- less the double insurance subsists with the consent of the Direc- tors signified by endorsement on the policy, signed by the Secretary or other officer authorized to do so, or otherwise acknowledged in writing. 36 V., c. 44, s. 37. 40. Whenever notification in writing has been received Notification of by a Company from an applicant for insurance, or from a person ^",''"^^5^"^'^* '" already insured, of his intention to insure, or of his having in- Company. sured an additional sum on the same property in some other Company, the said additional insurance shall be deemed to be assented to, unless the Company so notified,' within two weeks after the receipt of such notice, signify to the party, in writing, their dissent ; and in case of dissent the liability of Dissent of the the insured on the premium note or undertaking shall cease [h"e"aci!'iition'al from the date of such dissent, on account of any loss that may insurance. occur to such Company thereafter, and the policy of the assured shall be void, at the option of the Directors of the Company. 36 v., c. 44, 8. 38. 41. In case any property, real or personal, is alienated by Policy to be sale, insolvency or otherwise, the policy shall be void, and shall auon'of prop- be surrendered to the Directors of the Company, to be cancelled ; erty inaured. 86 Cliap, 101. COMPANIES AND (JOUI'ORATIONS. [TlTLK XI. have the policy Mtigned, and thereupon the assured shall bo entitled to receive h\n de- posit note or notes, upon payment of his proportion of all losses Aaiitfiiee may and expenses which had accrued prior to such surrender ; but the assignee may have the policy transferred to him, and upon appli- cation to the Directors such assignee, on giving proper security to their satisfaction for such portion of the deposit or pre- mium note or undertaking as remains unpaid, and with tneir consent, within thirty days next after such alienation, may have the policy ratified and confirmed to him, and by such ratifi- cation and confirmation said assi<;nee shall be entitled to all the rights and i)rivileges, and be subject to all the liabilities and conditions to which the original party insured was entitled and subject. Adoignment to 2. Tn cases, however, where the assignee is a mortgagee, the • mortgagee. Directors may pernait the policy to remain in force, and to be transferred to him by way of additional security, without re- quiring any premium note or undertaking from such assignee, or his becoming in any manner personally liable for premiums or otherwise ; but in such cases the premitnn note or under- taking and liability of the mortgagor in respect thereof shall continue in nowise afiected. 3G V., c 44, s. 39. t t : Where the 45J. If any alteration is made in any house or building in- altoreT*'or'^ sured by the proprietor thereof, or if the risk on any house or risk increased, building or other property insured is increased by any means whatever after the insurance has been made theK^on with the Company, whereby it is exposed to greater risk or hazard from fire than it was when insurance was effected, the insurance thereon shall be void, unless previous notice thereof has been given in writing and the requisite additional premium note or deposit after such alteration be given or paid to the Direc- tors ; but no alterations or repairs in buildings not increasing such risk or hazard shall affect the insurance previously made thereon. 30 V., c. 44, s. 40. Optional with 43. It shall be optional with the Directors to pay or allow pay cliUms " claims which are void under section thirty-nine, forty, forty- ▼o»d under ss. one or forty-two of this Act, in case the said Directors think fit to waive the objections mentioned in said sections. 40 V., c. S. s. 61. CancellationB of policies. 44. The Company shall be at liberty to cancel any policy by giving to the insured notice to the effect that they have can- celled or will cancel the same, by registered letter, signed by the Secretary of the Company, addressed and sent by mail, postage paid, to the po-st-omce address of the insured, as given by him or her in the application for insurance or subsequent writ- ing to the Company, or bygiviugtotheinsured,personally,notice in writing, signed by the Secretary, or an officer or agent of the Company, to such effect ; the party insured shall, nevertheless be liable to pay his proportion of the losses and expenses of the ' I ' Title XL] mutual insurance companies. Chap. 101. 87 Com[)any, to the time of cancoUing tho policy, and on payment of his proportion of all assessments then payable and to become payable in re.spoct of losses and expenses sustained vip to such period, shall bo entitled to a return of his premium note or undertakinj^, and .such portion of the premium paid by him a« has not been absorbocl by the losses and expenses of tiie Company up to such period ; and u condition to this effect shall be endorsed on tho policy. 'M V., c 44, s. 20. PREMIUM notes AND ASSESSMENTS. 45. Tho Company may accept premium notes, or the imder- Company may taking of the insured, for insurances, and may issue policies ','r^n,iun, thereon ; said not \i • l ^ ri. j.' ments on pre- premium note or undertaking, lor thirty days atter notice mium notes, of assessment has been mailed to him in manner aforesaid, neglects or refuses to pay said assessment, the Company may sue for and recover the same with costs of suit, and such proceeding shall not be a waiver of any forfeiture incurred by such non-payment. 36 V., c. 44, s. 47. Requisites of notice of a^isesament. Assessment, how propor- tioned. Certificate of the Secretary to be prima facie evidence of amount due to thu Com- pany. 52. Whenever any assessment is made on any premium note or undertaking given to the Company for any risk taken by the Company, or as a consideration for any policy of insurance issued, or to be issued by the Company, and an action is brought to recover such assessment, the certificate of the Secretary of the Company, specifying such assessment, and the amount due to the Company on such note or undertaking by means there- of, shall be taken and received as 'prbna facie evidence thereof iu any Court in this Pro^'ince. 36 V., c. 44, s. 48. Reserve fund. 53. The Company may form a reserve fund, to consist of all moneys which remain on hand at the end of each year, after payment of the ordinary expenses and losses of the said Company ; and for that purpose the Board of Directors may levy an annual assesr'nent notu exceeding ten per centum on the premium notes or undertakings held by said Company; how applied, and such reserve fund may from time to time be applied by the Directors to pay oft' such liabilities of the Company as may not be provided for out of the ordinary receipts for the same or any succeeding year. how invested. 2. Such reserve fund shall be invested either in debentures or other securities of the Dominion. of Canada or of this Prov- ince or in municipal debentures, or remain in a chartered bank in Ontario on deposit at interest. 36 V., c. 44, s. 49. Annual Mseasment, Title XL] mutual insurance companies. Chap. IGl. 39 54. Forty days after the expiration ol the term of insur- "^yhen pre- ., *'.•' , 1 L 1 • • r !• mium note is ance, the premium note or undertaking given lor such insur- to be returue Title XI/j mutual insurance companies. Chap. 161. 41 66. Members of any such Company insuring in one branch Members to be shall not be Uable for claims on any other branch. 36 V.,c. 44, s. 62. "raich^'onry. 67. All necessary expenses incurred in the conducting and Expenses to be management of such Companies shall be assessed upon and di- ^gt'^'^g^ vided between the several branches in such propoi oion as the branches Directors determine. 36 V., c. 44, s. 63. L'teT'"""' MISCELLANEOUS PROVISIONS. 68. No member of any Mutual Insurance Company to Liability of which this Act may apply shall be liable in respect of any loss "combers. or other claim or demand against the Company, otherwise than upon and to the extent of the amount unpaid upon his premium note or undertaking. 36 V., c. 44, s. 64. 69. The Treasurer or other oflScer having charge of the money Treasurer to of the Company shall give security to the satisfaction of the =>^« security. Board of Directors in a sum of not less than two thousand dollars for the faithful discharge of his duties, 36 V., c. 44, s. 65. 70. The present location of head oflSces of Companies in ex- Head office istence, and the original location of head offices of Companies ''^n^e changed hereafter to be formed, shall only be changed by a two-third tbinis vote''" vote of the members of the Company at a special meeting called for that purpose. 36 V., c. 44, s. 66. 71. Any suit cognizable in a Division Court upon or for any t^yi^j, j^ jjj^j. premium note or undertaking, or any sum assessed or to be as- sion Courts sessed thereon, may be entered and tried and determined in the i^rouxht. Court for the division wherein the head office or any agency of such Company is situate. 36 V., c. 44, s. 67. 73, Every Mutual Insurance Company may hold lands, but Lands that such lands only as are requisite for the accommodation of the may be held Company, in relation to the tranaaction of their business, or ^^^y ® ^'^^' such lands as have been bona fide mortgaged to them by way of sticurity, or conveyed to them in satisfaction of debts con- tracted in the course of their dealings previously to such con- veyance, or purchased at sales upon judgments obtained for such debts, and may from time to time sell and convey or lease any such lands. 36 V., c. 44, s. 68. 73. No premium note or undertaking shall create any lien t • , j ij i.'1-j.i.- 1 i.-'i.i. Vi/. xr l-iiens on lands upon lands on which the insured property is situate. 30 v., for premium c. 44, s. 69. ""'??, , ' abolished. 74. No guarantee capital or fund shall hereafter be raised by j^ any Company to which this Act is applicable, except as herein- capitar^^of. after mentioned ; nor shall any such Company contract with *®<'- ^'••1 any Director or officer thereof for any loan or borrowing of Loans to or money or credit, and every such attempted loan or borrowing is ['"'"" P'*"®°* hereby prohibited and declared void. 36 V., c. 44, s. 70. forbidden. Ouarantee Capital authorized by Act of 1881 (4.4 Vic. chap. W). aec. 7. 42 Powers of incorijorated Companies to insure on the cash premium principle. Guarantee fund. Annual state- ments. Chap. 161. COMPANIES AND CORPORATIONS. [TiTLE XI. 7 5 . Any Mutual Fire Insurance Company incorporated before the twenty-ninth day of March, 1873, and now doing business in Ontario, and to which this Act applies, may effect any insur- ance upon the cash premium principle, for a period not exceeding three years on farm and other non-hazardous property, and for one year or less on any other class of property; but the amount of cash insurances in any one year shall be limited, so that the cash premiums received thereon during any one year shall not be in excess of one-half of the amount still payable in respect of premium notes or undertakings on hand on the thirty-first day of December of the previous year, according to the statement made under the next following section : and all the property and assets of the Company, including premium notes or under- takings, shall be liable for all losses which may arise under in- surances for cash premiums ; and any such Company may also create or possess a guarantee capital or fund for such Company, according to the provisions of this Act. 36 V., c. 44, s. 71. Amend''d by J^l Vic, cap. 8, sec. 17, which strikes out the final ivords, " this Act" and substitutes the following : " The Acts respecting Mutual Fire Insurance Companies in force before the said twenty-ninth day of March, one thousand eight hundred and seventy-three ; " and the said section as amended shall be deemed to have been in force on and from the first day of January last." 76. It shall be the duty of the President or Manager and Secretary of each Mutual Fire Insurance Company incorporat- ed under this or any former General Act respecting Mutual Insurance Companies, or any Special Act, and transacting the business of Fire Insurance in this Province, annually on the first day of January, or within one month thereafter, to prepare, and deposit in the office of the Treasurer of this Province, a statement verified by their own oath of the condition of such Company on the thirty-first day of December then next preceding, exhibiting the following facts and items in the following form, namely: — First — The assets of the Company, specifying — (a) The value of real estate ; {b) The amount of oaeh on hand and deposited in banks to the credit of the Company, naming the banks and amount in each ; (c) The amount of cash in Company's office and in agent's hands re- spectively ; (d) The amount of any loans or investments, and the nature of the security held therefor, in detail, and what, if any, payments are in arrear thereon ; (e) The amount of assessments on premium notes or undertakings un- paid, and what portion of the said amount the deponents consider good ; (/) The amount still payable upon premium notes or undertaking on hand, on the 81st day of December preceding, and not then assessed for; (g) Other amounts due the Company; Secondly — The liabilities of the Company, specifying — (a) The amount of losses due and yet unpaid ; (b) The amount of claims for losses resisted ; (c) The amount of losses incurred during the year, including those claimed but not adjusted ; (u) The amount payable for money borrowed, and security given and interest payable ; I Title XT.] mutual insurance companies. Chap. 101. 43 i (e) The amount of all other existing claims against the Company ; t/) The amount covered by policies in force in respect of each class of risk ; Thirdly — The income of the Company for the preceding year, specifying — (a) The amount of cash received on premium notes, in respect (1) of assessments payable in that year, and (2) assessments payable in previous years ; (b) The amount of premium notes or undertakings ; (c) The amount of interest received ; (d) The amount of income from all other sources, and also the amount of cash premiums received for insurances effected in that year ; Fourthly — The expenditure daring the preoeding year, specifying — (a) The amount of losses paid during the year, stating how much of the same accured prior and how much subsequent to the date of the preoeding statement, and the amount at which such prior accrued losses were esti- mated in such preceding statement ; (b) The amount of expenses paid during the year ; (c) The amount of taxes ; (d) The amount paid for re-insurance ; (e) The commission paid to agents or others on premium notes or un- dertakings received during the year by the Company ; (/) The amount of all other payments and expenditures under their appropriate heads ; 36 v., c. 44, s. 72 ; 38 V., c. 65, s. 4 ; 39 V., c. 23, s. 27. 2. Any Company shall further, when required, make prompt Companies to and explicit answer in reply to any inquiries in relation to its F^p^ *° . transactions, which may be required by the Lieutenant-Go ver- Lt.-Gov. in nor in Council. Council. 3. If any such Mutual Fire Company fails to make and deposit Penalty for such statement so verified, or to reply to such inquiry, its '*"* "plying. Manager and Secretary shall be subject, respectively, for each offence, to a fine or penalty of fifty dollars, to be recovered on behalf of Her Majesty, for the use of this Province ; and it shall be the duty of the Provincial Treasurer to publish a synopsis of such returns, as well as the names of such Com- panies as have not made returns, in the Ontario Gazette, on or before the first day of March in each yeai . 36 V., c. 44, s. 72 ; 39 v., c, 23, s. 27. 77. The foregoing section and all the provisi'^na thereof shall Previous see- also apply to every Fire Insurance Company, by whatever *'°" *? *P^y authority incorporated, and now or any time hereafter transact- ins. Cos. ing the business of Fire Insurance in this Province, and to which the provisions of The Act respecting Insurance Com- Rev. Stat., c. panics do not apply. 36 V., c. 44, s, 73. KJO. 78. The Lieutenant-Governor in Council, whenever he deems it expedient, may appoint any one or more qualified per- sons, not being officers of any other Fire Insurance Company, to examine into the affairs of any Mutual Fire Insurance Com- pany, incorporated under this Act, or to which the provisions of this Act apply, and also into the affairs of any Fire Insur- ance Company doing business in this Province ; and it shall be the duty of the officers or agent of any such Company to cause their books to be opened for the inspection of the person or ire Lt. -Governor in Council may appoint persons to ex- amine into the- affairs of Insurance Companies. 44 Chap. 162. COMPANIES and corporations. [Title XI. persons so appointed, and otherwise to facilitate such examina- tions ; and for that purpose such person or persons shall have power to examine, under oath, such oflBcers and agents, and such other person or persons as they may think fit ; and when- ever it appears from such examination that the assets and financial position of such Company are such as not to justify the continuance in business of any such Company, the Attorney- General of Ontario may apply, in a summary manner, on mo- tion to one of the Superior Courts of Law or Equity, for an order requiring such Company to show cause why the business do"e^omf*"°^ the Company should not be closed; and the Court shall panies whose thereupon proceed to hear the allegations and proofs of the an unsadsfac- respective parties, and in case it appears to the satisfaction tory condition, of the Court that the assets and funds of the Company are not sufficient as aforesaid, or that the interests of the public so require, the said Court shall decree that the business of the said Company as an Insurance Company ought to be discon- tinued ; and it is hereby declared that thencefoi'ward the busi- ness of the said Company as an Insurance Company shall be discontinued accordingly, and all the powers of the said Com- pany as an Insurance Company shall cease, and all other powers granted to the said Company shall likewise cease, except so far as may be necessary for holding and disposing of the property and winding up the affairs of the Company. 36 V., c. 44, s. 74; 40 v., c. 7, /Sfc^ed A (147). This Act to 79. The provisions of this Act shall apply to every Mutual panies formed ^^^^ Insurance Company doing business in this Province and underpreviouB incorporated under chapter fifty- two of the Consolidated Sta- C°s u C ^^*6s for Upper Canada, or chapter forty-four of the Acts passed c.'52'; 36 V.', in the thirty-si cth year of Her Majesty's reign, or any special c. 44 (O). Act of the former Province of Canada, or of Ontario. 36 V., c. 44, s. 77. CHAPTER 162.* Revised Statutes of Ontario. An Act to secure Uniform Conditions in Policies of Fire Insurance. Short title, s. 1. When imperfect complianco with conditions not to avoid policy, s. 2. Statutory conditions to be incorpor- ated in all policies, s. 8. Variations from statutory conditions to be printed in conspicuous type, s. 4. Variations not binding unless dis- tinctly indicated, s. 6. Conditions other than statutory may be declared void, if not just and reasonable, s. 6. Decisions of Court or Judge as to such conditions to be appealable, 8. 7. * By Sec. 28 of the Act of 1881 this Act is made to apply to Mutual Insurance Oompanies. I Title XI.] FIRE POLICIES — CONDITIONS. Chap. 162. 46^ HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows : — 1. This Act may be cited as "The Fire Insurance Policy short Title. Act" If due proof of loss not given through accident, &c,, or objection not made thereto, or made on other grounds than non-compli- ance with con- ditions, or, if full compliance adjudged inequitable, in above case*, liability and policy not vacated. 3. Where, by reason of necessity, accident or mistake, the conditions of any contract of fire insurance on property in this Province as to the proof to be given to the Insurance Company after the occurrence of a fire have not been strictly complied with : or where, after a statement or proof of loss has oeen given in good faith by or on behalf of the insured, in pursuance of any proviso or condition of such contract, the Company, through its agent or otherwise, objects to the loss upon other grounds than for imperfect compliance with such conditions, or does not within a reasonable time after receiving such state- ment or proof notify the assured in writing that such statement or proof is objected to, and what are the particulars in which the same is alleged to be defective, and so from time to time ; or, where for any other reason, the Court or Judge before whom a question relating to insurance is tried or inquired into, considers it inequitable that the insurance should be deemed void or forfeited by reason of imperfect compliance with such conditions — no objection to the sufficiency of such state- ment or proof or amended or supplemental statement or proof (as the case may be) shall, in any of such cases, be allowed as a discharge of the liability of the Company on such contract of insurance wherever entered into; but this section shall not apply wher*> the fire has taken place before the twenty-first day of December, 1874. 38 V., c. 65, s. 1. 3. The conditions set forth in the Schedule to this Act shall, statutory con. as against the insurers be deemed to be part of every policy of "^'tions to be fire insurance hereafter entered into or renewed or otherv^ise in poUcy unless force in Ontario with respect to any property therein, and shall varied. be printed on every such policy with the heading "Statutory Conditions." 39 V., c. 24, s. l,part. 4. If a Company (or other insurer) desires to vary the said Variations, conditions, or to omit any of them, or to add new conditions, howmdicated there shall be added in conspicuoas type, and in ink of different colour, words to the following effect : — VARIATIONS IN CONDITIONS. , " This policy is issued on the above statutory conditions, with the following variations and additions : " These variations {or a» the case may be) are, by virtue of the Ontario Statute in that behalf, in force so far as, by the Court or Judge before whom a question is tried relating thereto, they shall be held to be just and reasonable to oe exacted by the Company." 39 v., c. 24, s. 1. I 46 Chap. 1G2. COMPANIES and corporations. [Title XI. Variations not 5, jijo such variation, addition or omission shall, unless the clearly* indi^"' same is distinctly indicated and set forth in the manner or to oated. the effect aforesaid, be legal and binding on the insured ; and no question shall be considered as to whether any such varia- tion, addition or omission is, under the circumstances, just and reasonable, but, on the contrary, the j)olicy shall, as against the insurers, be subject to the statutory conditions only, unless the variations, additions or omissions are distinctly indicated and set forth in the manner or to the effect aforesaid. 39 V., c. 2i, s. 2. Policy con- 6. In case any policy is entered into or renewed containing than"tatutory ^^ including any condition other than or different from the conditions. conditions set forth in the Schedule to this Act, if the said condition so contained or included is held, by the Court or Judge before whom a question relating thereto is tried, to be not ]ust and reasonable, such condition shall be null and void. 38 V„ c. 65, s. 2 ; 39 V., c. 7, s. 2, Sched. B ; 39 V., c. 24, s. 1, part ; 40 V., c. 7, Sched. A (148). Appeal. 7. A decision of a Court or Judge under this Act shall be subject to review or appeal to the same extent as a decision by such Court or Judge in other cases. 38 V., c. 65, s. 3 ; 39 V., c. 24, s. 3. Misrepresen- tation or omission. SCHEDULE. {Sections 3 mid 6.) STATUTORY CONDITIONS. 1. If any person or persons insures his or their buildings or goods, and causes the same to be described otherwise than as they really are, to the prejudice of the Company, or misrepresents or omits to communicate any circumstance which is material to be made known to the Company, in order to enable it to judge of the risk it undertakes, such insurance shall be of no force in respect to the property in regard to which the misrepre- sentation or omission is made. Policy sent to ^- After application for insurance, it shall be deemed that any policy be deemed as sent to the assured is intended to be in accordance with tb-^ terms of the applied for un- application, unless the Company points out, in writing, the particulars less variance wherein the policy differs from the application, pomted out. r j rt- Whenachange ^- -^^y change material to the risk, and within the control or know- as to risk shall ledge of the assured, shall avoid the policy as to the part aflfected thereby avoid a policy, unless the change is promptly notified in writing to the Company or its Notice of local agent ; and the Company when so notified may return the premium change, &c. for the unexpired period and cancel the policy, or may demand in writing an additional premium, which the insured shall, if he desires the continu- ance of the policy, forthwith pay to the Company ; and if he neglects to make such payment forthwith after receiving such demand, the policy shall be no longer in force. Change of 4. If the property insured is assigned without a written permission property. endorsed hereon by an agent of the Company duly authorized for such purpose, the policy shall thereby becjme void ; but this condition does Title XL] FIRE POLICIES — CONDITIONS. Chap. 162. 47 not apply to change of title by succession, or by the operation of tlio law, or by reason of death. 6. Where property insured is only partially damaged, no abandonment Partial dam- of the same will be aihjwoil unless by the consent of the Company or its *•** "* '"*^^' agent ; and in case of the removal of property to escape conflagration, tho Company will ratably contribute to tho loss and expenses attending such act of salvage. 6. Money, books of account, securities for money, and evidences of Money seouri- debt or title are not insured. t'es, &o. 7. Plate, plated ware, jewellery, medals, paintings, sculptures, curiosi- Plate, paint- ties, scientiflc and musical instruments, bullion, works of art, articles of ingg, clocks, vertu, frescoes, clocks, watches, trinkets, plate glass, and mirrors, are not *<'• insured unless mentioned in the policy. 8. The Company is not liable for loss if there is any prior insurance in Prior or any other Company, unless the Company's assent thereto appears herein subsequent or is endorsed hereon, nor if any subsequent insurance is effected in any msurance. other Company, unless and until the Company assents thereto by writing signed by a duly authorized agent. 9. In the event of any other insurance on the property herein described Case of assen having been assented to as aforesaid, then this Company shall, if such *" "ther other insurance remains in force, on the happening of any loss or damage, '"*'"'''*"ce. only be liable for the payment of a rateable proportion of such loss or damage without reference to the dates of the different policies. 10. The Company is not liable for the losses following, that is to say : — Liability in cases of non- (a) For loss of property owned by any other party than the assured, ownership, unless the interest of the assured is stated in or upon the policy ; (b) For loss caused' by invasion, insurrection, riot, civil commotion, j^joj invasion military or usurped power ; &c. ' (c) Where the insurance is upon buildings — for loss caused by the want Chimneys, of good and substantial brick or stone chimneys ; or by ashes or embers ashes, stoves. being deposited, with the knowledge and consent of the insured, in wood- en vessels ; or by stoves or stove pipes being, to the knowledge of the assured, in an unsafe condition or improperly secured ; (cJ) For loss or damage to goods destroyed or damaged while under going any process in or by which the application of fire heat is necessary Goods to which fire heat is being applied. (e) For loss or damage occurring to buildings or their contents while Repairs by the buildings are being repaired by carjoentors, joiners, plasterers or other carpenters, &c. workmen, and in consequence thereof, unless permission to execute such repairs had been previously granted in writing, signed by a duly author- ized agent of the Company. But in dwelling-houses, fifteen days are allowed in each year in incidental repairs, without such permission ; (f) For loss or damage occurring while petroleum, rock, earth or coal Gunpowder, oil, camphine,- burning fluid, benzine, naphtha or any liquid products coal oil, &c. thereof, or any of their constituent parts (refined coal oil for lighting purposes only, not exceeding five gallons in quantity, excepted), or more than twenty-five pounds weight of gunpowder, are stored or kept in the building insured or containing the property insured, unless permission is given in writing by the Company. 11. The Company will make good loss caused by the explosion of coal Explosion, gas in a building not forming part of gas works, and loss by fire caused by any other explosion or by lightning. Lightning. 48 Chap. 102. COMPANIES AND CORPORATIONS. [TiTLR XT. Proof of loBH 12. Proof of loss must be made by the assured, although the loss bo fa) othwthair p^y^'" *" a ^^^^ p^^y- assured. Directions to 13. Any person entitled to make u claim under this policy is to observe lie obnerved on the following directions : making claim. (a) Ho is forthwith after loss to give notice in writing to the Com- pany ; (b) Ho is to deliver, as soon afterwards as practicable, as particular an account of the loss as the nature of the case permits ; (c) He is also to furnish therewith a statutory declaration declaring, (1) That the said account is just and true ; (2) When and how the fire originated, so far as the declarant knows or believes ; (3) That the tiro was not caused through his wilful act or neglect, procurement, means or contrivance ; and (4) The amount of other insurances ; {d) He is, in support of his claim, if required and if practicable, to pro- duce books of account, and furnish invoices and other vouchers ; to fur- nish copies of the written jjortion of all policies ; and to exhibit for examination all that remains of the property which was covered by the policy. (e) He is to produce, if required, a certificate under the hand of a magis- trate, notary public, or clergyman residing in the vicinity in which tb . fire happened, and not concerned in the loss or related to the assured or sufi'erers, stating that he has examined the circumstances attending the fire, loss or damage alleged, that he is acquainted with the character and circumstances of the assured or claimant, and that he verily believes that the insured has by misfortune and without fraud or evil practice sustained loss and damage on the subject assured, to the amount certified. Proof of loss 14. The above proofs of loss may be made by the agent of the assured, may be made j„ ^.^^^ ^f ^j^^ absence or inability of the assured himself to make the same y agen • gy^j^ absence or inability being satisfactorily accounted for. Arbitration in case of differ- ences. False state- 16. Any fraud or false statement in a statutory declaration, in rela- ment or fraud tion to any of the above particulars, shall vitiate the claim, vitiates claim. 16. If any difference arises as to the value of the property insured, of the property saved, or amount of the loss, such value and amount, and the proportion thereof (if any) to be paid by the Company, shall, whether the right to recover on the policy is disputed or not, and independently of all other questions, be submitted to the arbitration of some person to be chosen by both parties, or if they cannot agree on one person, then to two persons, one to be chosen by the party insured and the other by the Com- pany, and a third to be appointed by the persons so chosen ; and such reference shall be subject to the provisions of " The Common Law Proce- dure Act ; " and the award shall, if the Company is in other respects liable, be conclusive as to the aniount of th? loss and proportion to be paid by the Company. Loss due thirty 17. The loss shall not be payable until thirty days after completion of days after the proofs of loss, unless otherwise provided by statute or the agreement P'o"*- of the parties. Company may 18. The Company, instead of making payment, may repair, rebuild or reinstate, replace, within a reasonable time, the property damaged or lost, giving instead of notice of their intention within fifteen days after receipt of the proofs payuifr- herein required. 1«79. INSPECTION OF insuran(;k companiks. Chap. 25. 10. Tho insurance may bo torminatod by the Cdtnpnny at any time, by j^iviiig ton days' notice to that otl'oct, and by rc'iiayin^ a rateable nropor- tion of the in-oiniuin for tho unexpired term ; and tho policy ghall cease after tho expiration of ten days from the receipt of such notice and repay- ment. 41) Terininatlon iif |Kilicy un notice ivnd repiiyiiitMit of pi'oportionM n{ |>reiiiiinuM. 20. No condition of tho policy, either in whole or in part, shall bo VVaiy»>r of doouiod to liave boon waived by tho Company, unless tho waiver is clearly f""ditioM. expressed in writing, signed by an agent of tho Company. 21. Any officer or assent of tho Company, who assumes on behalf of tho • )tficerH Company to enter into any written agroeniont relating to any matter con- an'tmiiniK to nectod with tho insurance, shall bo deemed prinui facie to be the agent of i',f|J*'tVlIe^" tho Company for the purpose. deemed mfents. 22. E^ery suit, aoti(m or proceeding against the Company for the re- Suitntohe covory of any claim under or by virtue of this policy, shall i)o absolutely brouh'ht with- barred, unless commoncod within the term of ouo year next after the loss '" ""* y"**"- or damage occurs. 39 V., c. 24, Sched. ; 40 V., c. 7, Schcd. A (148). 42 Victoria] CHAPTER 25. [1879. An Act to provide for the Inspection of Insurance Companies. [Assented to 11th March, 1879.] HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows : — 1. For the efficient administration of the Insurance business Apjpointment in the Province of Ontario, the Lieutenant-Governor in Council °^ Inspector, may appoint an officer to be called the Inspector of Insurance, who shall act under the instructions of the Treasurer of Ontario, and his duty shall be to examine and report to the said Trea- surer f i*om time to time upon all matters connected with insur- ance as carried on by the Companies subject to the legislative authority of this Province doing the business of Insurance in Ontario, or required by the said Acts or by this Act to make returns of their affairs. If. (2) The salaiy of the Inspector shall not exceed two thousand Salary, dollars per annutn, and it shall be lawful to provide from time to time such assistance as may be found necessary. 3. The Inspector of Insurance shall visit the Head Office of Duties, every such Company in Ontario at least once in every year, and shall carefully examine the statements of the Company as to its condition and affairs and report thereon to the Treasurer as to all matters requiring his attention and decision. 60 Chap. 25. coMPANiKS and corporations. 42 Vio. (2) Tho Inspector sliall from Huch examination proparo nnd lay before tho TreaHurer an annual report of tho condition of every Company's biiHinesH an ascertained by him from his per- sonal inspection, and such report sliall bo made within thirty days after the commencement of each annual session of the Parliament of Ontario, ProTidion if 3. If fhe Inspector after a careful examination into tho con- demrm further '^^^''^u and affairs of any Company, deems it necessary and ex- iiKiuiry pedioiit from tho annual or other statement furnished by such iieceHHury. Company to the Treasurer, or from any other cause, to make a further examination into the aHairs of such Company and so reports to the Treasurer, the Treasurer may in his discretion instruct the Inspector to visit the office of such Company, to thoroughly inspect and examine into all its affairs, and to make all suc'i further iiuiuiries as are necessary to ascertain its con- dition, anil ability to meet its engagements, and whether it has complied with th»! conditions of tho Oritario Insurance Act and the Act respecting Mutual Fire Insurance Companies and any other statutes, conditions, and provisions applicable to trans- actions of the Company. Powers of InBpector. Report of Inspector. (2) It shall be the duty of the officers or agents of any such Company to cause their books to be open for the inspection of the Inspector, and otherwise to facilitate such examination so far as may be in their power ; and the said Inspector shall have power to examine under oath any officer or agent of the Company relative to its business. (3) A report of all companies so visited by the Inspector shall be entered by him in a book kept for that purpose, with notes and memoranda showing the condition of each Company, and a special written report shall be communicated to the Treasurer stating the Inspector's opinion of the condition and financial standing of each Company, and all other matters de- sirable to be made known to the Treasurer. ( / Provision if Company ap- paars unsafe. (4) If it appears to the Inspector that the assets of any Company are insufficient to justify its continuance of business, or unsafe for the public to effect insurance with it, he shall make a .special report on the affairs of such Company to the Treasurer. Company us- (•^) If it appears to the Inspector that any Company, which suming name has not been incorporated by special Act of the Legislature of pany.*' °™ Ontario, has assumed the name of a previously established Company, or any name liable to be unfairly confounded there- with, or otherwise on public grounds objectionable, he shall make a report thereof to the Treasurer. Report of Treasurer. (6) After full consideration of the report, and a reasonable time being given to the Company to be heard, and if, after such 1«79. inhi'K(;tion of insukanck companikm. Cliai). 25. 51 )en8i(in of iceiiMe and tice thereof. further imjiiiry and invo.stigation (if any) as ho may hcu pro- per to make, the Treasurer reports to the Lieutenant-Governor in Council that lie aj^ree.s with the Inspector in the opinion expressed in his repi)rt, then, if the Lieutonant-Oovernor in Council also concurs in such opinion, iin ordi^r in Council may issue, suspending or cancelling tlie license of such Company, and prohibiting the said Company from doing any further business, and tliereafter it shall not be lawful for such Company to do any further business in Ontario, tintil such suspension or prohibition is removed by the Lieutenant-Governor in Council. (7) Notice of the suspension or cancelling of any license, Suhj; and prohibition from doing any further business, shall be pub- ,,^,'t,* lished in the Ontario Gazette ; and thereafter any person de- livering any policy of insurance, or collecting any premiums, or transacting any business of insurance on behalf of such Company, shall be liable to a fine of one thousand dollars, which penalty may be sued for and recovered on information tiled in the name of the Attorney-General of Ontario ; and oiie-lialf of said penalty when recovered shall be paid to the Crown for the benefit of the Province, and the other half of the said penalty to the informer ; and in case of non-payment of such penalty and costs within one month after said judgment, the person so otfending shall be liable to imprisonment in any gaol or prison for a period not exceeding six months in the discre- tion of the Court Avherein he is c(mvicted. 4. The Inspector of Insurance, or any otticers under him, l"^pector and shall not be interested as suapdiolder.-t, directly or indirectly, bo intere.sted with any insurance Company doing business in Ontario. in any com- pany. 5. Towards defraying the expense of the office of the In- Contribution spector, a sum not exceeding three thousand dollars shall be pa,i"e^"t"" annually contributed by the insurance companies hereinbefore expense*. referred to, and consisting of all companies requii'ed to be licensed under this Act, or under the Ontario Insurance Act, and also of all Mutual Insurance Companies required to make returns under the Act respecting Mutual Fire Insurance Com- panies, and this sum shall be assessed pro rata upon the gross premiums or premium notes or undertakings received by each Company during the preceding year, the i)roportion whereof is properly applicable to the payment of premiums for such year, such sum to be paid upon the issue of the annual license, or at such other time as the Treasurer may direct, and the Treasurer's certificate shall be conclusive as to the amount each or any Company is to pay. Amended by 43 Vic, Gap. 20. 62 i Chap. 20. 43 Victoria] COMPANIES AND COllFOUATIOXS. CHAPTER 20. 43 Vic. [1880. An Act respecting tlie Expenses of Inspecting Insur- ance Companies. [Assented to 5th March, 18^s which a mutual fire insurance com- pany formed under the aforesaid Act may lawfully do in respect of that kind or character of business mentioned in their statement to the Inspector. 54 Chap. 20. COMPANIES AND CORPORATIONS. 44 Vic. Inspector to 4 The Inspector shall keep on file the said papers so fur- ^eep papers on j^jgi^^^j ^^ j^j^^^ g^j^^j shall keep a book in which shall be entered the name of the company, the staucment delivei'f^d by the company as to the character of the business to be transacted by the company, and a copy of the Treasurer's certificate. Fee to Treaa- 5. There shall be paid to the Treasurer upon the deliv- deifver of ^^^ ^^ ^^^ ^"^^ Certificate to the said company, the sum of certificate. twenty dollars. Company may do business only of kind stated in cer- tificate. 6. Subject to the provisions of the one hundred and sixtieth chapter of the Revised Statutes of Ontario, any such company may, after receiving the aforesaid certificate and filing the same with the registrar as aforesaid, do and transact any business of a mutual fire insurance company of the kind and character mentioned in the certificate of the Treasurer, but of no other kind ; nevertheless, any such company may at any time thereafter apply to the Treasurer for a supplementary certificate to enable the company to extend their business to other classes of risks than those included in their certificate, and the same may, upon the report of the Inspector of Insur- ance, be granted by the Treasurer. When any supplementary certificate is granted it shall be recorded in the books of the Inspector of Insurance, and filed in the registry ofiice in which the certificate has been filed. GUARANTEE CAPITAL. Power to raise 7. Any mutual insurance company formed under this Act qapHalT*^^ or any former Act, may raise by subscription of its members, or some of them, or by the admission of new members not being persons insured in the company, or by loan or otherwise, a guarantee capital of any sum not less than twenty thousand dollars nor exceeding two hundred thousand dollars, which guarantee capital shall belong to such company and be liable for all the losses, debts and expenses of the company, and subscribers of such capital shall, in respect thereof, have such rights as the directors of the company declare and fix by a by-law to be passed before such capital is subscribed, and unless such capital is paid off or discharged, such by-law shall not be repealed or altered without the consent of the majority of votes of the shareholders or subscribers of such capital who represent a majority of the shares subscribed, either personally or by proxy, at a meeting held for that purpose of the holders of such capital, each shareholder or subscriber being entitled to a vote for every share of fifty dollars held by him. Limitations as 8. Such capital shall be subscribed by not less than ten to ^arantee persons, and no one person shall subscribe or hold or receive °*^' * ■ dividends, interest or commissions, upon more than twenty per centum of such guaranteed capital of said stock ; the original list of the subscribers to such guarantee capital shall be 1881. MUTUAL FIRE INSURANCE COMPANIES. Chap. 20. 65 transferred to and be deposited with the Treasurer of this Prov- ince, and shall be held as secuiity for the payment of all losses and other policy liabilities of such companies. (2) The company may from time to time, in accordance with the provisions of any by-law in that bi'lialF, require any portion of the subscribed guarantee cajiital to be paid over to the company for the purpose of settling any losses of the company. Any sums so advanced shall be repaid by the company within one year thereafter from the proceeds of assessments upon the premium notes liable to assessment lor such purpose, and such ^ assessments may be made from time to time by the company for the purpose of repaying such advances. 9. Said guarantee cai)ital, or any part of the same, shall not ^""f^f *^fj. * be withdrawn until the premium notes held by such company be withdrawn for insui'ance actually in force, shall amount to three per centum ""*'! premium ,. ,1 1 i. , 11 !• • • ,1 notes amount 01 the amount or property covered by policies in the company to 3 per cent. nor until one year's notice shall have been jjiven to the In- "f amount at risk spector of Insurance of the intention to withdraw the same ; whenever the premium notes held by such company shall have reached the above amount, the president and secretary, or the directors of the company, may file a certificate, under oath, with the Inspector of Insurance, stating that the company holds premium notes of the amount and kind aforesaid, and publish a copy of said certificate, once a week or oftener, for at least four weeks, in some newspaper having general circulation and published in the county or city where such company has its principal office, and also in the Ontario Gazette for a like period. 10. When the company shall have filed such certificate, and O" report of also proof of such publication, with the Inspector, the latter TreaHurer'may shall make or cause an examination to be made, and if he give certificate shall find that the company h s the above amount of pre- guaranTe"'*"' mium notes of the kind and character aforesaid, and is in capital. a sound and solvent condition, he shall report the same to the Treasurer who may give such company a certificate dis- charging said fund from all its obligations and liabilities ; upon which said fund shall be surrendered to the parties depositing or entitled to receive the same, and they may be discharged from their obligations as such guarantors as aforesaid. (2) Immediately after the discharge or withdrawal of a guaranty fund or capital, the company shall give notice thereof in the Ontario Gazette, and in some newspaper published in the county town of the county in which the company has its head office, by insertion of such notice once a week for at least three successive weeks in the Gazette and in said newspaper. SHARE OR STOCK CAPITAL. 11. Any mutual fire insurance company, incorporated under Power to raise Hhare capital. 56 Chap. 20. COMPANIES AND CORPORATIONS. 44 Vic. this or any former Act, may raise a share or stock capital of not less than one hundred thousand dollars, and may increase the same from time to time to a sum not exceeding five hun- dred thousand dollars. Subscribers to 1 2. Every subscriber shall, on allotment of one or more bers of%™m™ shares to him, become a member of the said company, with all pauy. incidental rights, privileges and liabilities. Transfer of shares. Forfeiture of shares. 13. The said shares shall be personal estate, and shall be transferable, but no transfer shall be valid unless made on the books of the said company ; and, until fully paid up, no share shall be transferable without the consent of the board of direc- tors, nor shall any transfer be valid while any call previously made remains unpaid ; and the company shall have a lien on the shares of any shareholder for unpaid calls or other debts due by him to the company, and for any obligation held by the company against him, and after such call, debt or obligation becomes due, the company may, upon one month's notice to the shareholder, his executors, or administrators, sell such shares or a sufficient portion thereof to pay such call, debt or obliga- tion, and transfer the shai'es so sold to the purchaser. 14. The company may, also, after default made in the pay- ment of any call upon any share for one month, and after notice having been first given as in the next preceding section mentioned, declare such share and all sums previously paid thereon, forfeited to the company, and the company may sell or re-issue forfeited shares on such terms as they shall think fit for the benefit of the company. i When com- 15. After the sum of one hundred thousand dollars of the nmke hisur- ^aid stock or share capital has been bona fide subscribed, and ancos for twenty per centum paid thereon into the funds of the said coni- abTe^whoily*in V^^Y' ^^^ ^^^^ Company may make insurances for premiums cash. payable wholly in cash ; but no insurance on the wholly cash principle shall make the insured a member of the company, or make him liable to contribute or pay any sum to the company, or to its funds, or to any other member thereof, beyond the cash premium agreed upon, or give him any right to any participation in the profits or surplus funds of the company, but the company shall not transact any such business on the wholly cash principle without first procuring a license from the Provincial Treasurer, and for this purpose the provisions of the Ontario Insurance Act, except section nine, shall a))ply to the company, except in so far as anything contained therein may be inconsistent with this Act. Diviilends. 1 6. The net annual profits and gains of the said company, not including therein any premium notes or imdertakings, shall be applied, in the first place, to paj a dividend on the said share capital, not exceeding the rate of ten per cent m per annum, 1881. MUTUAL FIRE INSURANCE COMPANIES. Chap. 20. 67 and the surplus, if any, shall be applied in the manner pro- vided by the by-laws of the company. 17. After the share capital has been subscribed as afore- Qualification said, at least two-thirds of the persons to be elected directors " of the company, in addition to the qualifications required by the fourteenth section of the Act respecting Mutual Fire In- surance Companies, shall be holders of shares of the said capital stock to the amount of three thousand dollars, on which all calls have been fully paid ; the other one-third of the directors to be elected shall possess at least the qualifica- tions required by the said fourteenth section of the Act respecting Mutual Fire Insurance Companies. 18. The board of directors of any company which shall By-laws, raise a share or stock capital under this Act, may make such by-laws, subject to the provisions of this Act and not inconsis- tent with or contrary to law, as may be necessary to carry out the objects and intentions ot this Act, and to give effect to the provisions thereof; and may rescind, alter, vary, or add to the same from time to time. 19. Any mutual insurance company heretofore incorpor- How a mutual ated or organized, or which may be hereafter incorporated be™me a ""^ or organized, under any of the laws of this Province, having stock com- surplus assets, aside from premium notes or undertakings, '*''"^" sufficient to reinsure all its outstanding risks, after having given notice once a week for four weeks, of their intention, and of the meeting hereinafter provided for, in the Ontario Gazette and in a newspaper published in the county where such company is located, may, with the consent of two-thirds of the members present at any regular annual meeting, and of two- thirds of the subscribers of guarantee capital or share or stock capital, or at any special meeting duly called for the purpose, or with the consent, in writing, of two-thirds of the members of such company, and the consent, also, of three-fourths of the directors, and of two-thirds of the subscribers to the guarantee capital and share or stock capital, notwithstand- ing anything contained in the third and fifty-first sections of the one hundred and fiftieth chapter of the Revised Sta- tutes oi Ontario, become a joint stock company, under the said one hundred and fiftieth chapter of the Revised Statutes of Ontario, by conforming to and otherwise proceeding in accordance with the provisions of the said last mentioned Act ; and every member of such company, on the day of said annual or special meeting, or the date of said written consent, shall be entitled to priority in subscribing to the capi- tal stock of said company, for one month after the opening of the books of subscription to such capital stock, in proportion to the amount of insurance held by such members on unex- pired risks in force on the day of said annual or special meet- ing, or the date of said written consent ; and every company so If 58 Chap. 20. COMPANIES AND CORPORATIONS. 4)4 Vic. changed or organized shall come under and be subject to the provisions of the said last mentioned Act. New company 30. Any company which may be formed under the provi- abie^for liabiii- sions of the last preceding section shall be answerable for all ties of former the liabilities of the comjiany from which it has been formed, comi)any. ^^^ ^^^^ ^^ sued therefor by or under its new corporate name, and the assets, real and personal, of the old company shall pass to and become vested in the new company. 31. Any insurance company or association formed under I may this A(;t or any former Act shall keep such a classification of ted by j^g risks and such regfis Company to keep such books as m iTief tT'^'^^t ^^ ^^^ risks and such registers and books of account as may Governor in from time to time be directed or authorized by the Lieutenant- Council. Governor in Council ; and if it appears at any time to the Inspector that such books are not kept in such a busi- ness-like way as to make at any time a proper showing of the affairs and standing of the company, he shall report the same to the Treasurer of the Province, who shall thereupon nominate a competent accountant to proceed, under the directions of the Inspector, to audit such books and give such instructions as will enable the officers of such company to keep them correctly thereafter, the expenses of such accountant to be borne by the company to which he is sent, and shall not exceed five dollars per day and necessary travelling expenses. E. S. 0., c. 161, s. 46, amended. Penalty for violation of this Act. Change of name. 22. Section forty-six of the Act respecting Mutual Fire Insurance Companies is amended by adding thereto the follow- ing words : " but not more than fifty per centum of any premium or premium note shall be paid in cash at the time of such application or of effecting the insurance." 33. Any officer, agent, employee, or other person, who shall hereafter solicit risks, issue policies or renewals, or effect con- tracts of insurance in contravention of the terms of this Act, shall be liable to the penalties provided for by section nineteen of the one hundred and sixtieth chapter of the Revised Sta- tutes of Ontario, and such penalties may be recovered, imposed and enforced in the manner provided for by said section. 34. Where any insurance company which is within the legislative authority of this Province, is desirous of adopting another name differing from that by which it was incorporated, or where in the opinion of the Lieutenant-Governor in Council the name by which such company v/as so incorporated, may be easily confounded with that of any other existing company, the Lieutenant-Governor in Council, upon being satisfied that a change of name will not work or effect any improper purpose, may by Order in Council change the name of the company to some other name to be set forth in the Order in Council ; but no such change of name shall affect the rights or obligations of the coinpany ; and all proceedings which might have been con- „, 1 1881. MUTUAL FIRE INSURANCR COMPANIES. Chap. 20. 59 ' tinued or commenced by or against the company by its former name may be continued and commenced by or against the com- pany by its new name. 35. The Lieutenant-Governor in Council may require the Notice of np- same notice to be given upon any application for such change c/,ftnge'"f^"' of name as is required under an application for Letters Patent name. by the one hundred and fiftieth chapter of the Revised Statutes of Ontario. 36. The Revised Statute respecting Mutual Fire lasurance R.3.O., c. 161, Companies, chapter one hundred and sixty-one, section eight, is *" ^' *""«'>"o^l' hereby amended by striking out all the words after the word " adopted " in the fifth line of the said section. Sec. CI amended. 37. Section sixty-one of the Act respecting Mutual Fire Insur- ance Companies, is amended by adding thereto the following : But this section shall not apply to any judgment recovered on any policy or undertaking of the company heretofore issued or given where more than fifty per centum of the premium or premium note was paid in cash at the time of the insurance or the application therefor. A judge in chambers, or a referee in chambers, shall, upon the recovery of a judgment against the company, upon the application of the person in whose favour the same has been recovered, upon notice to the com- pany, inquire into the facts, and if he shall certify that more than fifty per centum of the premium, or of the premium note, was paid in cash at the time of the insurance, or the application therefor,execution may be forthwith issued upon such judgment. 38. The Fire Insurance Policy Act, chapter one hundred and ^'^Pj' ''•^^^' sixt3'--two, of the Revised Statutes of Ontario, shall apply to mutual fire mutual fire insurance companies and to all policies to be here- ^''Tance after issued by any mutual fire insurance company except where the provisions of the Act respecting mutual fire insurance com- panies are expressly inconsistent with, or are sup[i'ementary and in addition to the provisions of the said Fire Insurance Policy Act. . 39. This Act shall be read and construed with and as part This Act to be of the Act respecting Mutual Fire Insurance Companies. R*|*(/*r °* KiV. " 30. This Act may be cited as " The Mutual Fire Insurance Short title. Companies' Act, 1881." 60 Chap. 129. liNSUUANCES FOU HKNKFIT OF WIVES, FTC. [TiTLK X. CHAPTER 129. REVISED STATUTES OF ONTARIO. All Act to secure to Wives and Children the benefit of Assurances on the Lives of tlieir Husbands and Parents. r Persons may insure for benefit of their wives or children, s. 1. Apportionment may be charged, ss. 2, 3. Where no apportionment is made, shares to be equal, s. 4. Mode of insurance, ss. 5, 6. Insurances before 18th September, 1865, s. 7. Sum insured under this Act free from creditors' claims, s. 8. Payment of the money, ss. 9, 10. Investment of shares of minors, s. 11. Surrender of policy at any time for a paid-up policy, s. 12. Power to borrow on the policy, b. 13. Death of some of beneficiaries, s. 14. Application of bonuses and profits on policies, s. 15. Insurance under this Act to be for separate use of wife, and free from creditors' claim, &c. , s. 16. Frauds on creditors, s. 17. Act not to afiiect existing rights, s: 18. HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows : — Persons may 1. Any person may insure his life for the whole term "ene^fit^of thereof, or for any definite period, for the benefit of his wife their wives or or of his wife and children, or of his wife and some or one of children ; j^jg children, or of his children only or some or one of them, and may apportion the amount of the insurance money as he may deem proper where the insurance is eflfected for the benefit of more than one. 29 V. c. 17, s. 1. And may 3. The insured may, from time to time, by any further or change appor- other instrument in writing attached to or endorsed on the policy, alter the shares and allotments of the insurance money among the parties entitled to be benefited, as he may deem proper. 36 V. c. 19, s. 3, last clause. Insured may 3. In the event of some of the persons for whose benefit an any benefici- insurance Under this Act has been effected, dying in the life- ary re-allot the time of the insured, the said insured, after the death of such de'ceased. person, by any instrument in writing attached to or endorsed upon the policy of insurance, may declare that the share for- merly allotted to such person or persons shall be for the benefit of such other person or persons as the said insured may deter- mine. 36 V. c. 19, s. S, first clause. i I Title X,] insurances for henkfit of wives, etc. Chap. 129. ill 4. Where no apportionment is made in any policy or decla- Where no. ip- ration as aforesaid, all partie.s inten.'sted in the aaid insurance j^',','|^ie"'„"M,^r shall be held to share etpially in the same ; and where it is the cliildren. stated in such policy or tleelaration that the insurance is for the benefit of the wife and children generally, or of the children generally without .specifying their names, then the word "chil- dren" shall be held to mean all the children of the person whose life is insured living at the time of hi.s death, whether by any other marriage or not. 21) Vic. c. 17, s. 4. 5. The said insurance may be effected either in the name of How insur- the person whose life is insured, or in the name of his wife, or "jfectelniiid of any other person (with the assent of .such other pei.:;on) as premiuilis trustee ; and the pi'emium on any policy of insurance effected i"iyO't>i«- under this Act may be payable during the whole of the said person's life, or during any lesser period, by annual, half- yearly, quarterly or monthly payments ; or the insurance may be effected by the payment of one sum as the premium for such iiT^'ui'ance ; and the policy of insurance may be for a limited erm of years. 29 V. c. 17, s. 2 ; 3G V. c. 19, s. 1. 6. All such policies of insurance as were effected before the Certain poH- twenty-ninth day of March, 1873, by the payment of one sum "jj^i,}"**^^ sis premium, or for a limited term of years, in pursuance of the Acts theretofore in force for the same purposes as this Act, are hereby made valid and effectual as if made in pursu- ance of and under this Act. 3G V. c. 19, s. 2. 7. It is hereby declared to liave been lawful for any person, insurances on or before the 18th day of September, 1860, to have endorsed iSseptem-'^ upon or attached to any policy of insurance on his life which ijer, i8o:>, may may have been effected and issued before the 18th day of Sep- be endorsee! tember, 1S65, a written declaration that such policy and insur- wives or chii- ance was for the benefit of his wife, or of his wife and children, 'l*'^"- or of his wife or some or one of his children, or of his children only, or of some or one of them, and to have apportioned the amount of the insurance money as he may have deemed proper where the insurance was declared to be for the benefit of more than one. 29 V. c. 17, s. 3. 8. Upon the death of the person whose life is insured, the Sum ao insur- insurance money due upon the policy shall be payable accord- ^^^ not liaiilo ing to the terms of the policy or of the declaration as aforesaid, as the case may be, free from the claims of any creditor or creditors whomsoever, except as herein provided. 29 V. ' c. 17, s. 5. 9. In all cases where the party insured under any policy insurance has heretofore directed, or hereafter directs, the insurance '"'.'"eys 'I'le to money, or any portion thereof, to be paid to his child or chil- be paid to' dren, without naming any person to receive the same on his or executors of their behalf during his or their minority, it shall be competent ^ ""*" ^ 62 Chap. 129. INSURANCES Foil BENEFIT OF WIVES, ETC. [TlTLE X. If an insured dien iiiteHtate, without appointinx any one to receive the inHuranco moneys, they may be paid to a guardian for a minor. Security by guardian. Fees where insurance not more than $200. Rev. Stat. c. 4(J, s. t)6. to tho Assurance Company granting such policy to pay the amount duo to such of tlie children as are minors into the hands of the executor or executors of such insured person, who shall hold the same as trustee or trustees for such children, and the receipt of such executor or executors shall be a suffi- cient di.scharge to the Company. 33 V. c. 21, s. 1. 10. If the said insured has heretofore died or hereafter dies intestate, and without having appointed in writing any person to whom such payment may be made on behalf of such infants, the payment to a guardian of such infants, duly ap- pointed by one of the Surrogate Courts of this Province, shall be a sufficient discharge to the Assurance Company for the money so paid, and the Company shall not be bound to see to the application of the money, or be liable for the sub- sequent misapplication thereof; but the guardian so appointed shall give security to the satisfaction of the Judge of such Court for the faithful performance of his duty as guardian, and the proper application of the moneys which he may receive. 33 V. c. 21, s. 2. 2. Where the amount of the insurance money payable to a guardian of infants as aforesaid, does not exceed two hundred dollars, the fees payable on the appointment of such guardian shall be two dollars and no more, and such fees shall be resfu- lated in the manner prescribed by the sixty-sixth section of " The SurrogatG Courts Act." 40 V. c. 7, Sched. A (159). Powers as to 11. The trustee or trustees named in the last two preceding insurance sections mav invest the moneys so to be received upon Gov- moneys due to '' . . . • • i i i , . minors. ernment securities or municipal debentures or on mortgage of real estate, with full power from time to time to alter, vary and transpose the same, and to apply all or any part of the annual income arising from the share or presumptive share of each of the children, of and in the said trust funds, in or towards his or her maintenance and education, in such manner as the trustee or trustees think fit, and also to advance unto and for each or any of the said children, notwithstanding his or her minority, the whole or any part of the presumptive share of the same child of and in the said trust moneys for the advancement or preferment in the world or in marriage of any such child. 33 V. c. 21, s. 3. Power to surrender policy. 13. If a person who has heretofore effected or hereafter effects an insurance in the terms of this Act, finds himself unable to continue to meet the premiums, he may surrender the policy to the Company granting the same, and accept in lieu thereof a paid-up policy for such sum as the premiums paid would represent, payable at death in the same manner as the original policy ; and the said Companj'^ may accept such surrender, and grant such paid-up policy notwithstanding any such declaration or direction in favour of the wife and chil- dren, or any or either of them, of the insured. 33 V. c. 21, s. 4. ) [ 1 Title X.] insuran(;es for hen eft ok wivra, et(;. Chap. 12!). 68 Section 13 ia in virtue of ^.l V. (1878), c. 8, a. 14, superseded by the following provision : Thft person insured may, from time to time, borrovf from the power to bor- Company insuring, or from any other Company or person, on f"^^ "," i"'l'cy the security of the policy, such sums as may bo necessary to keep Hume in keep the said |)olicy in force, and the sums so borrowed, toge- f"'"*^*- tiler with lawful interest thereon as may be agreed, shall be a first lien on the policy and on all moneys payable there- under, notwithstanding any such direction in favour of the wife or children or any or either of them. 14. In the event of some of the parties for whose benefit the Provision in said insurance has been effected dying in the lifetime of the cw*:»{ deatii insured, the moneys payable thereunder shall be payable to il^„,',reii .iFimy the survivor or survivors of such parties, or in case they also <>'•« •>enefici. die, to the executors or administrators of the assured, but" ^ ^" ' ^^' nothing herein contained shall be held to prevent the said assured from assigning the policy for the benefit of any future wife or children, or executing a declaration in their favour or in favour of some or one of them as hereinbefore is mentioned. S:i V. c. 21, s. G. Section 15 is in virtue of Ji4 V. (1881), c. 16, superseded by the following provisions : Any person who effects any such policy of insurance under Insured may this Act, or who has duly declared or may hereafter duly de- tj'l^i'ilff ii'^jll'is^a clare a policy effected on his life to be for the benefit of his ami profits, wife and children, or any of them, may in writing retpiire the Assurance Company issuing such jwlicy to pay the bonuses or profits accruing thereunder, or p')rtions of the same, to the in- sured, or to apply the same or portions of the same in reduc- tion of the annual premiums payable by such insured in such way as he may uiiect, cr to add the said bonuses or profits to the policy, and the said Assurance Company shall apply such bonuses or profits as such insured directs, and according to the rates and rules established by such Company. 2. This Act shall apply to policies heretofore made, and to Application of bonuses or profits now declared in respect of such policies, and *^''*" to policies hereafter to be created under the said Act. 1 6. A policy of insurance effected by any married man on insurance by his own life, and expressed upon the face of it to be for the ''"»'"*"*| f"'' benefit of his wife, or of his wife and children or any of them, \vife ami chil- or upon which he has heretofore endorsed, or may hereafter ''ren t" 'le endorse thereon that the same shall be for the benefit of his 'f''*7fe! &r wife, or of his wife and children or any of them, shall enure and be deemed a trust for the benefit of his wife for her sepa- rate use, and of his children or any of them, according to the intent so expressed, and shall not, so long as any object of the trust remains, be subject to the control of the husband or his creditors or form part of his estate, save and except for such 64 Oliaj). 121). INHUHANCEH FOR nKNKIMT <>F WIVKS, KTC. [TfTLE X. amount an the saiiic! may In; pludi^'cd to an}- person or personH prior to any indorsation tlicrcon i'or tho benefit of liis wif« or chililron or any of tliuiu, wlusn tlu! Hum socurod hy tho policy Appointment becomes payable ; in thoovont of no executor or trustee liavinjj of tnrMt?'e"If ''^'^" appointed by the husband l