WISCONSIN 
 
 INSURANCE LAWS 
 
 As Amended by the Legislative Session of 1921 
 
 PLATT WHITMAN 
 
 Gommissioner of Insurance 
 
 PUBLISHED BY AUTHORITY OF LAW 
 
 ELMER S. HALL 
 
 SECRETARY OF STATE 
 
 ^^t^ 
 
 MADISON. WISCONSIN 
 1921 
 

TABLE OF CONTENTS 
 
 Showing the sectional divisions of the statutes, by chapters, relating to 
 
 insurance. 
 
 CHAPTER 20. — Appropriations. 
 
 Sections 20.06, 20.55, 20.555, 20.56, 20.57, 20.73, appropriations 
 affecting insurance. 
 
 CHAPTER 40.— School District Law. 
 40.30 (6) (a and b). 
 
 CHAPTER 58.— Asylums, etc., 58.06. 
 
 CHAPTER 63ee. — Assessment of taxes. 
 
 Section 1038 (13) Exemptions of personal property of insurance 
 companies. 
 
 CHAPTER 63ff.— Inheritance tax. 
 
 Valuation of future estates by commissioner. Section 72.15 
 (4 and 5). 
 
 CHAPTER 63hh. — Taxation of insurance companies. 
 
 Sections 76.30 to 76.37, taxes and fees required of insurance com- 
 panies. 
 
 CHAPT:^R 85. — Provisions relating to corporations generally. 
 
 Sections 1748, 1749, 1760, 1760m, 1761, 1763, 1764, 1770, 1770b, 
 1770J, applicable to insurance corporations. 
 
 CHAPTER 86. — Organization, powers and dissolution of corporations. 
 Sections 1772, 1773, 1774, 1774n, 1776, 1789, applicable to insur- 
 ance corporations. 
 
 CHAPTER 89.— Insurance Corporations. Sections 1895m to 1978d. 
 
 General provisions relating to insurance, — sections 1895m to 1921. 
 
 Compensation insurance board, — sections 1921 — 1 to 1921 — 29. 
 
 Liability insurance, 1921—30 to 1921—36. 
 
 Underwriters boards, — sections 1922 to 1926m. 
 
 Town mutual fire insurance companies, sections 1927 to 1941n. 
 
 Standard fire insurance policy, — sections 1941x, 1941 — 61 to 
 
 1941—65. 
 Miscellaneous provisions relating to fire insurance, — sections 
 
 1942 to 19451. 
 Fire rate-making bureau, — sections 1946 — 1 to 1946 — 18. 
 
 677242 
 
;MfeeeL''.c^i\feeti'3' 'Kovipigps' relating to different classes of insur- 
 *'' ''aiice, -iWW to i9iki'. ' '■ ■ . 
 State fire marshal, — sections 1946h to 1946q. 
 Life Insurance: 
 
 Definitions, — 1946x. 
 
 Domestic stock life companies, — 1947, 1947a. 
 
 Domestic mutual life companies, — 1947c to 1955o — 5. 
 
 Assessment life companies, — 1955y — 1, 1955y — 3. 
 
 Reinsurance — domestic, life, health and accident companies, 
 —1955—21 to 1955—26. 
 
 Fraternal Insurance, — sections 1956 to 1959. 
 
 Health and accident insurance, — section 1960. 
 
 Suretyship insurance,— 1966— 33 to 1966— 49a. 
 Department of insurance, — 1966y to 1972c. 
 Miscellaneous provisions. — Sections 1973 to 1978. 
 State fire insurance,— 1978a to 1978d. 
 
 CHAPTER 90m.— State life insurance.— Section 1989m. 
 
 CHAPTER 108.— Rights of married women.— Sections 2347, 2347b. 
 
 CHAPTER 110a.— Industrial Commission (Fire Protection), 2394—52 
 (5a and 5b), 2394—71. 
 
 CHAPTER 118. — Civil actions against insurance companies. — Section 
 
 2609a. 
 CHAPTER 119.— Place of trial of civil actions, 2619. 
 
 CHAPTER 120. — Manner of commencement of civil action. — Section 
 2637. 
 
 CHAPTER 130.— Executions.— Sections 2982 (19). 
 
 CHAPTER 140. — Proceedings against insolvent corporations. 3218 to 
 3219m. 
 
 CHAPTER 142.— Collection of forfeitures.— Sections 3299, 3300. 
 
 CHAPTER 161.— Costs and fees.— Section 3783a. 
 
 CHAPTER 166. — Assignment of dower and homesteads. — Section 
 3871m. 
 
 CHAPTER 176.— Evidence.— Sections 4182, 4182a, 4183, 4202t. 
 
 CHAPTER 182.— Offenses against public property.— Sections 4405, 
 4438e, 4438em, 443SJ. 
 
 CHAPTER 185.— Offenses against jmblic policy.— Sections 4549g, 4575c, 
 4575d, 4575e, 4575s. 
 
Insurance Laws of Wisconsin 
 
 CHAPTER 20— APPROPRIATIONS 
 
 Refunds. 
 
 20.06 There are appropriated from the proper respective funds, from 
 time to time, such sums as may be necessary, for refunding or paying 
 over moneys paid into tHe state treasury as follows: 
 
 (1) Moneys paid into any fund of the treasury as a deposit or ad- 
 vance payment; and if such moneys have been credited to an appro- 
 priation, such appropriation shall, at the time of making such refunds, 
 be charged therewith. 
 
 (2) Moneys paid into the state treasury in error; but no such re- 
 fund shall be made except upon the written approval of the governor, 
 secretary of state, state treasurer, and attorney-general. 
 
 (5) Any balances remaining at the end of any calendar year, of any 
 deposits in the state treasury made by insurers in anticipation of fees, 
 as provided in section 1973m of the statutes. 
 
 Commissioner of insurance. 
 20.55 There is appropriated from the general fund to the commis- 
 sioner of insurance: 
 
 General administration. 
 
 (1) Annually, beginning July 1, 1913, fifty-two thousand three hun- 
 dred dollars, for the execution of his functions as commissioner of in- 
 surance. Of this there is allotted: 
 
 (a) To the commissioner of insurance an annual salary of five 
 thousand dollars. 
 
 (b) To the commissioner of insurance, such sum as may be required 
 for his actual and necessary expenses incurred in representing this 
 state at the annual meeting of the national convention of insurance 
 commissioners. 
 
 Examination of companies. 
 
 (3) Annually, such sums as may be necessary for examination of 
 insurance companies as provided in sections 1897t, 1916, 1959, and 
 1968; but the total amount expended under this appropriation in any 
 one fiscal year shall not exceed the total amounts charged to such 
 
20.56 Ch. 20 
 
 companies for examinations during sucli fiscal year, which amounts 
 shall be paid, within one week after receipt into the general fund. 
 
 State fire marshal. 
 
 (4) Annually, beginning July 1, 1919, twenty-two thousand dollars, 
 for the execution of the functions of the commissioner of insurance as 
 ex officio state fire marshal. Of this there is allotted: 
 
 Assistant fire marshal. 
 
 (a) To the deputy commissioner of insurance, if appointed chief 
 assistant fire marshal, such portion of his salary as shall be appor- 
 tioned by the commissioner of insurance pursuant to section 1946h. 
 
 Assistants to fire marshal. 
 
 (b) Such salary or compensation of assistants, deputies, clerks, 
 stenographers and other employes under the commissioner of insur- 
 ance as ex officio state fire marshal, as shall be fixed by said commis- 
 sioner with the approval of the governor. 
 
 Fees and mileage. 
 
 (c) Such sums as may be necessary for witness fees, and fees and 
 mileage to officers, as provided in section 1946k, subsection 1 of section 
 1946n, and section 1946q. 
 
 Investigation of fires. 
 
 (5) Annually, such sums as may accrue to the commissioner of 
 insurance as ex officio state fire marshal, on account of dues to fire de- 
 partments, under subsection 4 of section 1926, to be expended by him 
 for making investigations as provided in said subsection and section 
 19461. 
 
 Valuation fees to be paid into general fund. 
 
 (6) All moneys received by the commissioner of insurance pur- 
 suant to the provisions of subsection 22n of section 1959 of the 
 statutes, shall be paid within one week after receipt into the general 
 fund, and are appropriated therefrom to carry out the provisions of 
 said section. 
 
 Compensation insurance board. 
 
 20.555 There is appropriated from the general fund to the compensa- 
 tion insurance board, annually, beginning July 1, 1919, not to exceed 
 ten thousand dollars, to carry out the provisions of sections 1921 — 1 
 to 1921—28, inclusive. 
 
 State aid for fire protection. 
 20.56 There is appropriated from the general fund: 
 
 Firemen's associations. 
 (1) Annually, beginning July 1, 1913, two thousand dollars, for 
 state aid to firemen's associations, to be distributed as follows: 
 
Ch. 20 7 207:^ 
 
 (a) On or before the first day of August of each year the secre- 
 tary of each firemen's association in Wisconsin may file with the 
 secretary of state an itemized statement, duly verified, of all moneys 
 disbursed by the association during the twelve months ending the 
 preceding first day of July, including separately a statement of all 
 moneys disbursed for prizes and premiums in competition and con- 
 tests held by such associations during such twelve months. 
 
 (b) On or before the first day of September of each year there 
 shall be paid to the treasurer of each association filing such state- 
 ment, and having held during the year a firemen's tournament actually 
 participated in by companies from not less than five cities or villages 
 in the state, and having previously held at least five annual tourna- 
 ments, a sum equal to eighty per cent of the amount disbursed by 
 said association for prizes and premiums in all competitions and con- 
 tests held by such association during the twelve months ending on 
 such first day of July; but not exceeding two thousand dollars to the 
 Wisconsin state fireman's association, or three hundred dollars to any 
 district association in any year. 
 
 (c) If this appropriation is insufficient to pay such claims in full, 
 the same shall be allowed and paid pro rata. 
 
 (2) (Repealed by Ch. 389, 1919). 
 
 Sections 172 — 71, 172 — 118 and 1979m are consolidated and renumbered to he 
 section 20.56. 
 
 Fire department dues. 
 
 (3) Annually, such sums as may accrue, on account of dues to 
 fire departments, by virtue of sections 1926 and 1926m, to be collected 
 and paid over to the cities, villages and towns entitled thereto, as pro- 
 vided in said sections. 
 
 20.57 (9) Any fees received by the commission for transcripts 
 furnished pursuant to subsection 2 of section 2394 — 14 shall be paid 
 into the state treasury and are appropriated to the commission for 
 reporter and stenographic services. 
 
 Appointment of subordinates; fixing titles and compensation, 
 
 20.73 Except as expressly provided by law, the (*names of other 
 departments omitted) commissioner of insurance, (*names of other 
 departments omitted) are each authorized to appoint, — subject to the 
 state civil service law in cases where the provisions thereof are in- 
 tended to apply, and subject to the approval of such other officer or 
 body as prescribed by law, — such deputies, assistants, experts, clerks, 
 stenographers, or other employes as shall be necessary for the execu- 
 tion of their functions, and to designate the titles, prescribe the duties, 
 and fix the compensation of such subordinates. 
 
 *For the sake of brevity, these names are omitted. 
 
 Traveling expenses. 
 (2) The chief officers enumerated in subsection (1), and their ap- 
 pointees and employes, shall each be reimbursed for actual and neces- 
 sary traveling expenses incurred in the discharge of their duties. The 
 
72.15 8 Ch. 72 
 
 oflBcers and employes of any department, board or commission, shall, 
 when lor reasons of economy or efficiency they are stationed at any 
 other place than the official location of such department, board or com- 
 mission, receive their actual and necessary traveling and other ex- 
 penses when called to such official location for temporary service. The 
 members of boards, departments and commissions who are entitled to 
 expenses but not compensation, the members of boards, departments 
 and commissions who are entitled to a per diem for time actually 
 spent in state service, and the members of boards, departments and 
 commissions who receive an honorarium, shall be entitled to travel 
 and other expenses while attending meetings of such board, depart- 
 ment or commission held at the city of Madison; provided that no such 
 traveling or other expenses shall be allowed to any such member of 
 any department, board or commission who actually resides in the city 
 of Madison while attending any such meeting at said city. 
 
 CHAPTER 58— PRIVATE ASYLUMS, HOSPITALS AND SOCIETIES 
 
 Private tuberculosis sanatoriums. 
 
 58.06 Any fraternal or mutual benefit society organized for the sole 
 purpose of providing disability benefits in cases of tuberculosis may 
 purchase or lease the necessary lands and buildings for the operation 
 of a tuberculosis sanitorium or sanitoria for the benefit of its members. 
 Whenever the sanatorium fac.lities are not all needed for the treat- 
 ment of members, nonmembers of the society may be admitted to any 
 such sanatorium upon payment of at least the cost of maintenance and 
 iieatment, which payments shall be placed in the funds of the society. 
 
 Formerly part of section 1957 (10). 
 
 TAXATION 
 
 CHAPTER 63ee— PROPERTY TAX 
 
 Personal property of insurance companies exempt. 
 Section 1038. The property in this section described is exempt from 
 taxation, to wit: 
 * * * 
 
 (13) All the personal property of all insurance companies that now 
 are or shall be organized or doing business in this state. 
 
 CHAPTER 72— INHERITANCE TAX 
 
 Commissioner to value future estates. 
 Section 72.15. 4. The commissioner of insurance shall, on applica- 
 tion of any county court or of the tax commission determine the value 
 of any such future or contingent estates, income, or interests therein, 
 limited, contingent, dependent, or determinable upon the life or lives 
 of the person or persons in being upon the facts contained in such 
 special appraiser's report or upon facts contained in the county court's 
 
Ch. 76 9 • 76.30 
 
 finding and determination and certify the same to the county court, 
 and his certificate shall be presumptive evidence that the method of 
 computation adopted therein is correct. 
 
 5. Whenever a transfer of property is made upon which there is, or 
 in any contingency there may be, a tax imposed, such property shall 
 be appraised at its clear market value immediately upon the transfer 
 or as soon thereafter as practicable. The value of every future or lim- 
 ited estate, income, interest, or annuity dependent upon any life or 
 lives in being, shall be determined by the rule, method, and standard 
 of mortality and value employed by the commissioner of insurance in 
 ascertaining the value of policies of life insurance and annuities for 
 the determination of liabilities of life insurance companies, except that 
 the rate of interest for making such computation shall be five per cent 
 per annum. The tax so determined shall be construed to be upon the 
 transfer of a proportion of the principal or corpus of the estate equal 
 to the present value of such future or limited estate, income, interest, 
 or annuity, and not upon any earnings or income of said property pro- 
 duced after death, and such earnings or income shall not be exempt 
 from the income tax. Such tax shall be due and payable forthwith. 
 
 FonnerJy section iOS7 — 15. 
 
 CHAPTER 76— TAXATION OF INSURANCE COMPANIES 
 
 Fire and marine companies; license fees. 
 Section 76.30. (1) Every company transacting the business of in- 
 surance against fire or by the risk of inland navigation or transporta- 
 tion, other than companies excepted under subsection (2) hereof, shall 
 pay to the state on or before the thirty-first day of January in each year, 
 a tax of two and three-eighths per centum on the amount of the gross 
 premiums received for direct insurance, less return premiums and 
 cancellations on direct insurance, by such company during the pre- 
 ceding year, in this state. Direct insurance shall include all insurance 
 other than reinsurance. In case any company shall discontinue busi- 
 ness in this state and reinsure the whole or a part of its risks without 
 making payment of this tax, the company accepting such reinsurance 
 shall pay the tax; and if several companies shall make such reinsurance 
 the tax shall be apportioned between such companies in proportion to 
 the original premiums upon the business, in this state, so reinsured 
 by each such company. Upon the payment of the tax herein provided, 
 such company may be licensed to transact its business until the last 
 day of January in the ensuing year, unless sooner revoked or forfeited 
 according to law. 
 
 Domestic mutuals exempt. 
 
 (2) Excepting domestic mutual insurance companies included in 
 section 76.34 and companies heretofore organized under sections 1896 
 to 1900, inclusive, no domestic mutual insurance company shall be 
 required to pay any taxes, fees, or charges to the state. 
 
 Formerly section 1211 — 31. 
 
76.35 10 Ch. 76 
 
 License fees; calculation of. 
 Section 76.31. All license fees and taxes levied under any provi- 
 sion of law upon gross premiums against any insurance company or 
 other insurer shall be uniformly calculated on the amount of gross pre- 
 miums received for direct insurance less return premiums and cancel- 
 lations and returns from savings and gains on direct insurance by such 
 company or other insurer during the preceding year in this state. 
 
 Formerly section 1211 — 32. 
 
 Casualty companies; license fee. 
 
 Sectio.x 76.32. Every corporation transacting the business of cas- 
 ualty or suretyship insurance shall pay to the state on or before the 
 first day of March in each year, as a license fee for transacting such 
 business, two per centum upon the gross premiums received during the 
 preceding year on all policies or contracts which have been written on 
 the lives of residents or property in this state. 
 
 Formerly section 1211 — -.W. 
 
 Taxation of unauthorized fire and marine companies; report by 
 insured. 
 
 Section 76.34. Any company not authorized to do business in this 
 state, which shall insure any property situated in this state against 
 fire or the risk of inland navigation or transportation shall pay to this 
 state a tax upon the gross premiums paid to such company on such in- 
 surance computed at the rate per centum prescribed by section 76.30, 
 and on default of any such company in the payment of such tax before 
 the first day of March next succeeding, the owner of such property 
 shall pay such tax. Every person paying more than one hundred dol- 
 lars premiums to any one such company in any year shall report the 
 same in writing by mail to the commissioner of insurance before the 
 first day of March next succeeding, and if such report be not made 
 and such tax remains unpaid for sixty days after the said first day of 
 March, the tax shall be increased by one-tenth for every month during 
 which such tax remains unpaid after the expiration of .said sixty days. 
 
 Formerly section 1211 — 3/t. 
 
 Taxation of life companies. 
 Section 76.35. Every company, corporation or association trans- 
 acting the business of life insurance within this state, excepting only 
 such fraternal societies as have lodge organizations and insure the 
 lives of their own members, and no others, shall, on or before the first 
 day of March, in each year, pay into the state treasury as an annual 
 license fee for transacting such business the amounts following: 
 
 Domestic companies. 
 (1) If such company, corporation or association is organized under 
 the laws of this state, three per centum of its gross income from all 
 sources for the year ending December thirty-first, next prior to said 
 first day of March, exceptng therefrom Income from rents of real estate 
 upon wlfich said company, corporation or association has paid the 
 taxes assessed thereon, and excepting also premiums collected on pol- 
 icies of insurance and contracts for annuitie.s. 
 
Ch.76 11 76. 3U 
 
 Foreign companies. 
 
 (2) If any such company, corporation or association Is organized 
 without the state of Wisconsin, and is not purely an assessment com- 
 pany, it shall pay into the state treasury, as such annual license fee, 
 the sum of three hundred dollars, except that whenever the similar 
 taxes and fees imposed upon a company of another state under section 
 76.35, shall exceed three hundred dollars, the amount of the annual 
 license fee shall be deducted. 
 
 License year; tax on real estate. 
 
 (3) Such license, when granted shall authorize the company, cor- 
 poration or association to whom it is issued to transact business until 
 the first day of March of the ensuing year, unless sooner revoked or 
 forfeited. The payment of such license fee shall be in lieu of all taxes 
 for any purpose authorized by the laws of this state, except taxes 
 on such real estate as may be owned by such company, corporation or 
 association. 
 
 Formerly 1211 — S5. 
 
 Retaliatory law; life, fire, accident, and marine companies. 
 
 Section 76.35. Whenever the laws of any other state of the United 
 States or of any foreign country, or the rules, regulations, requirements 
 or impositions thereof, or of any department or officer thereof shall 
 require of insurance companies or fraternal benefit societies organized 
 under the laws of this state and doing business in such state or foreign 
 country or of their agents, any deposit of securities for the protection 
 of their policyholders or otherwise, or any payment of taxes, fines, 
 penalties, certificates of authority, license fees or otherwise, greater 
 than the amount required by the laws of this state for the same pur- 
 poses from similar companies or fraternal societies organized under 
 the laws of such other state or foreign country and doing business in 
 this state, or shall impose other obligations, prohibitions or restrictions 
 additional to or in excess of those imposed by the laws of this state 
 upon insurance companies or fraternal benefit societies of such other 
 state or foreign country or their agents, then all such companies or 
 fraternal benefit societies of such other states or foreign country doing 
 business within this state shall make the same deposit with the state 
 treasurer and shall pay him the same sum for taxes, fines, penalties, 
 certificates of authority, license fees or otherwise, and the same obli- 
 gations, prohibitions or restrictions of whatever kind shall be im- 
 posed upon them and their agents as a condition to the issuance of a 
 license to them, as is required to be made or is imposed upon com- 
 panies or societies of this state or their agents by the laws of such 
 other state or foreign country, or the rules, regulations, requirements 
 or impositions thereof, or of any department or officer thereof. 
 
 Formerly 1211 — 36. 
 
 Reciprocal provisions. 
 
 Section 76.36. When any insurance corporation or other insurer of 
 this state shall be licensed to transact insurance in any other state, 
 territory, or district of the United States, like insurance corporations 
 
n48 12 Ch. 85 
 
 or insurers from such other state, territory or district shall pay no 
 other or greater taxes, fees, or licenses than are or would lawfully be 
 imposed upon and collected from like insurance corporations or insurers 
 of this state by such other "state, territory or district; but the amount 
 of such taxes or fees paid by insurance corporations or insurers sub- 
 ject to sections 76.34, 1926, *■ "^ * and 1972, shall not be less than the 
 amount required and applied as provided in said sections, and the 
 amount of such taxes paid by insurance corporations or insurers under 
 the provisions of subsection (1) of section 76.30 sJiall not be less than 
 three-eights of one per centum on the amount of the gross premiums 
 received for direct insurance, less the deductions provided in section 
 70.31, by such corporations or itisurers during the preceding year in 
 this state. This section shall not apply to insurance corporations or 
 other insurers of any foreign country. 
 Formerly 1211 — ^57. 
 
 License; insurance; collection of fees. 
 Section 76.37. 1. Every license issued pursuant to sections 76.31 to 
 76.35 shall certify that payment of the license fee has been made, be 
 attested by the great or lesser seal thereto affixed, and shall be in such 
 form as shall be approved by the attorney-general. 
 
 Actions affecting license fees. 
 
 2. No suit shall be brought to restrain or enjoin the collection of 
 any license fee imposed or provided for by sections 76.30 to 76.37, 
 inclusive. Any company, corporation, or association, aggrieved by 
 the payment of any such license fee, may maintain a suit against the 
 state for the recovery thereof in the circuit court for Dane county 
 within six months from the time of the payment thereof. The state 
 may be served with a summons in such suit by delivering a copy to 
 the attorney-general or leaving it at his office in the capitol with one 
 of his assistants. 
 
 3. No action shall be commenced to compel the issuance of the li- 
 cense provided for by subsection 5 of section 1947 until the fee Imposed 
 by sections 76.30 to 76.37, inclusive, shall have been fully paid. 
 
 4. It shall be the duty of the attorney-general to institute suit in 
 the circuit court for Dane county to recover any such license fees not 
 paid within the time prescribed by sections 76.31 to 76.38, inclusive. 
 Nothing in this act shall be construed as amending or modifying in any 
 respect the provisions of chapter 139* of the statutes. 
 
 Formerly 1211 — .W. 
 
 'Chapter l.VJ treats of actioyis against the state. 
 
 CORPORATIONS 
 CHAPTER 85— GENERAL PROVISIONS 
 
 Section 1748. Every corporation organized under any general or 
 special law, when no other provision is specially made by law or by its 
 articles of organization, shall have the following powers: 
 
Ch. S5 13 1761 
 
 Corporations may have officers insured. 
 (8) To cause to be insured for its benefit the life of any director, 
 officer or agent thereof and to pay premiums therefor. Whenever any 
 such director, officer or agent shall cease to be a director, officer or 
 agent, such corporation shall cease to pay such premiums unless agreed 
 to by a vote of stockholders holding at least eighty per cent of the 
 shares of stock of such corporation. 
 
 Quorum of directors and members. 
 Section 1749. A majority of the directors or trustees of every cor- 
 poration convened according to the by-laws thereof, shall constitute a 
 quorum for the transaction of business. The members owning a 
 majority of the stock in stock corporations and a majority of the mem- 
 bers of other corporations shall constitute a quorum at any meeting 
 of such stockholders or members and be capable of transacting any 
 business thereof except when otherwise specifically provided by law or 
 by the articles of organization of the corporation. 
 
 Other laws relating to corporations. 
 
 For other laws relating to the organization, management 
 and dissolution of corporations, see compilation issued by the 
 secretary of state relating to corporations generally. 
 
 Stockholders, votes and proxies. 
 Section 1760. Unless a provision to the contrary is inserted in the 
 articles of incorporation and recited in each certificate for any share 
 of stock issued by the corporation, every stockholder of any corpora- 
 tion shall be entitled to one vote for each share of stock held and 
 owned by him at every meeting of the stockholders and at every elec- 
 tion of the officers thereof, and may vote either in person or by proxy 
 at such elections, and by proxy at other meetings when so provided 
 by the by-laws of the corporation; and every executor, administrator, 
 guardian, assignee for creditors, receiver or trustee shall represent 
 the shares of stock in his hands at all meetings of the stockholders and 
 may vote thereat as a stockholder. 
 
 Proxies, existing invalidated. 
 
 Section 1760m. No proxy heretofore made or given by any policy- 
 holder, officer, director or trustee of any mutual life insurance corpora- 
 tion organized and existing under the laws of this state shall be exer- 
 cised or used for voting upon any question whatsoever, and any votes 
 given or attempted to be given by any such proxy shall be absolutely 
 void; anything in the charter, certificate, articles of incorporation, con- 
 stitution or by-laws of any such corporation to the contrary notwith- 
 standing. 
 
 Irregular meeting. 
 
 Section 1761. When all the members of any corporation shall be 
 present at any meeting, however notified, and shall sign a written con- 
 sent to the holding of such meeting oii the records thereof, they may 
 
J770b 14 Ch. 85 
 
 transact any business at such meeting which could lawfully be trans- 
 acted at any meeting of the members of such corporation regularly 
 called and notified. 
 
 Dissolution; insolvency; suspension for one year. 
 Sectiox 1763. Whenever any corporation shall have remained in- 
 solvent, or shall have neglected or refused to pay and discharge its 
 notes or other evidences of debt, or shall have suspended its ordinary 
 and lawful business for one whole year, it shall be deemed to have 
 surrendered the rights, privileges and franchises granted or acquired 
 under any law and shall be adjudged to be dissolved. 
 
 Continuation after dissolution. 
 Sectiox 1764. All corporations whose term of existence shall expire 
 by their own limitation, or which shall be voluntarily dissolved in the 
 manner provided by law or by its articles of association, or shall be 
 annulled by forfeiture or otherwise, shall nevertheless continue to be 
 bodies corporate for three years thereafter for the purpose of prose- 
 cuting and defending actions and of enabling them to settle and close 
 up their business, dispose of and convey their property and divide their 
 capital stock, and for no other purpose; and when any corporation 
 shall become so dissolved the directors or managers of the affairs of 
 such corporation at the time of its dissolution, by whatever name they 
 may be known, shall, subject to the power of any court of competent 
 jurisdiction to make, in any case, a different provision, continue to act 
 as such during said term and shall be deemed the legal administrators 
 of such corporation with full power to settle its affairs, sell or dispose 
 of and convey all its property, both real and personal, collect the out- 
 standing debts, and after paying the debts due and owing by such 
 corporation at the time of its dissolution and the costs of such admin- 
 istration divide the residue of the money and other property among the 
 stockholders or members thereof. 
 
 Actions. 
 
 Section 1770. Every corporation may maintain an action against 
 any of its members or stockholders for any cause relating to the busi- 
 ness of the corporation the same as against any other person; and like 
 actions may be maintained by any member or stockholder against such 
 corporation for any cause of action in his favor against the same. 
 
 FOREIGN CORPORATIONS 
 
 Filing articles, amendments. 
 Section 1770b. 2. No corporation, incorporated or organized other- 
 wise than under the laws of this state, except railroad corporations, 
 corporations or associations created solely for religious or charitable 
 purposes, insurance companies and fraternal or beneficiary corpora- 
 tions, societies, orders and associations furnishing life or casualty in- 
 surance or indemnity upon the mutual or assessment plan, or corpora- 
 
Ch. 85 15 • 1770 j 
 
 tions not organized or conducted for profit, shall transact business or 
 acquire, hold, or dispose of property in this state until such corpora- 
 tion shall have caused to be filed in the office of the secretary of state 
 a copy of its charter, articles of association or incorporation and all 
 amendments thereto duly certified by the secretary of state of the state 
 wherein the corporation was organized. In case the laws of the state 
 wherein the corporation was organized do not require that the charter, 
 articles of association or incorporation be filed in the oflfice of the secre- 
 tary of state, then said charter, articles of association or incorporation 
 shall be certified to by the register of deeds or other officer with whom 
 said articles of association or incorporation were filed, with a certificate 
 of the secretary of state attached, certifying that said officer is the 
 proper officer to certify to said articles of association or incorporation. 
 Any foreign corporation, including any bank or trust company, may, in 
 its corporate name, and without being licensed to do business in this 
 state, advance and loan money therein, and take, acquire, hold and 
 enforce notes, bonds, mortgages or trust deeds given to represent or 
 secure money so loaned or advanced or for other lawful consideration, 
 and all such notes, bonds, mortgages or trust deeds which heretofore 
 have been or shall hereafter be taken, acquired or held by any such 
 foreign corporation shall be as valid and enforceable as though it 
 were an individual, and such right of enforcement shall include the 
 right to acquire the mortgaged property upon foreclosure, or in virtue 
 of the provisions of the mortgage or trust deed, and to dispose of the 
 same; provided, however, that any such corporation which shall here- 
 after transact in this state the business above provided for shall first 
 file with the secretary of staffe a statement in writing by its president, 
 secretary, treasurer or general manager that it constitutes the secre- 
 tary of state its attorney for the service of process as provided in para- 
 graph (f) of subsection 3 of this section; and provided, further, that 
 except as regards the advancing and loaning of money and the taking, 
 acquiring, holding and enforcing of securities as above provided, noth- 
 ing herein contained shall be construed as authorizing any foreign 
 corporation to transact in this state the business of a bank or trust 
 company, or otherwise to exempt any foreign corporation (other than 
 the railroad, religious, charitable, and insurance corporations and 
 corporations not organized or conducted for profit above specified) 
 from the provisions of this section or other statutes of this state. 
 Nothing in this section contained shall affect the rights of parties in 
 any action which may now be pending. 
 
 Sectiiin 177(lh is referred to in 1772 (2). 
 
 Section 1770j. 1. Any corporation organized otherwise than under 
 the laws of this state, having acquired, or attempted to acquire, legal 
 title by deed, or lease to any real property in this state, before com- 
 plying with the terms of section 1770b of the statutes, and which is 
 now not required to comply with said section or which has thereafter, 
 and before the passage of this section, complied with said section, 
 shall be and is hereby relieved from any disability provided in said 
 
1772 16 C7i. 66 
 
 statute or prohibition therein contained, so far as said section relates 
 to the acquisition and holding of the property so acquired, or attempted 
 to be acquired, and the title so acquired, or attempted to be acquired, 
 is hereby confirmed. 
 
 CHAPTER 86— ORGANIZATION, POWERS, DISSOLUTION 
 
 Oomestic corporations, articles to be filed and recorded. 
 
 Section 1772. In order to form such a corporation the persons de- 
 siring so to do shall make, sign and acknowledge written articles con- 
 taining: 
 
 (1) A declaration that they associate for the purpose of forming a 
 corporation under these statutes, and of the business or purposes 
 thereof. 
 
 (2) The name of such corporation: But such name shall not con- 
 tain the names of individuals in the manner in which they are or- 
 dinarily used in partnership or business names, and shall be such as 
 to distinguish it from any other corporation organized under the 
 laws of this state and from any corporation licensed to transact busi- 
 ness In this state. In case of the reorganization of a corporation the 
 name of the old corporation may be used. No corporate name shall 
 be held illegal because of the omission of the woi'd "limited." The lo- 
 cation of such corporation in some city, village or town in the state. 
 
 (3) The capital stock, if any, the number of shares and the amount 
 of each share. 
 
 (4) The designation of general officers and the number of directors, 
 which shall not be less than three; and the directors may be required 
 to be classified into three classes so that one-third shall hold their, 
 offices for one year, one-third for two and one-third for three years; 
 in which case all directors elected subsequent to the first shall hold 
 their offices for three years except when elected or appointed to fill 
 vacancies. 
 
 (5) The principal duties of the several general officers respectively. 
 
 (6) The method and conditions upon which members shall be ac- 
 cepted, discharged or expelled; and, in stock corporations, persons 
 holding stock, according to the regulations of the corporation, and they 
 only, shall be members. 
 
 (7) Such other provisions or articles, if any, not inconsistent with 
 law, as they may deem proper to be therein inserted for the interests 
 of such corporation or the accomplishment of the purposes thereof, 
 including, if desired, the duration of its existence. In case the cor- 
 poration is formed without capital stock, the articles shall fix the time 
 and place for the first meeting for the election of officers, and the 
 signers of such articles shall give notice thereof to the members In the 
 manner provided in the next section. Such original articles or a true 
 copy thereof, verified as such by the affidavits of two of the signers 
 thereof, shall be filed with the secretary of state. A like verified copy 
 and certificate of the secretary of state, showing the date when such 
 
Ch. 86 17 i'^73 
 
 articles were filed and accepted by the secretary of state, within thirty 
 days of such filing and acceptance, shall be recorded by the register of 
 deeds of the county in which such corporation is located, and no cor- 
 poration shall, until such articles be left for record, have legal existence. 
 The register of deeds shall forthwith transmit to the secretary of state 
 a certificate stating the time when such copy was recorded and shall be 
 entitled to a fee of twenty-five cents therefor to be paid by the person 
 presenting such papers for record. Upon the receipt of such certifi- 
 cate the secretary of state shall issue a certificate of incorporation. 
 
 (9) (a) No fee for filing its articles of incorporation or amendments 
 thereto is required to be paid by any corporation organized without 
 capital stock or exclusively for educational, benevolent, charitable, or 
 reformatory purposes, the articles of which provide that no dividend 
 or pencuniary profits shall be declared or paid to the members thereof, 
 nor by a housing corporation formed under the provisions of section 
 1771b, but fees for filings are required to be paid to the secretary of 
 state as follows: 
 
 (b) By corporations organized for the manufacture of beet sugar, 
 butter, cheese, or other dairy products or for the business of preparing 
 for market, storing, and selling products of the farms of members of 
 such corporations, ten dollars for the articles and five dollars for each 
 subsequent amendment thereof. 
 
 (c) By every other corporation, except as is otherwise provided in 
 these statutes, twenty-five dollars for the articles and ten dollars for 
 each subsequent amendment thereof, together with a further fee of 
 one dollar for each one thousand dollars of its authorized capital stock 
 in excess of twenty-five thousand dollars. 
 
 Temporary control; liability of promoters; abandonment. 
 
 Section 1773. Until the directors or trustees shall be elected the 
 signers of the articles of organization shall have direction of the 
 affairs of the corporation and make such rules as may be necessary 
 for perfecting its organization, accepting members or regulating the 
 subscription of the capital stock. In stock corporations the first meet- 
 ing may be held at any time after one-half the capital stock shall 
 have been subscribed; and may be called by any two signers of the 
 articles, at such time and place as they shall appoint, by giving ten 
 days' personal notice thereof in writing to each subscriber of stock or 
 by publishing notice thereof for at least two weeks before such meet- 
 ing in some newspaper published at or nearest to the designated place 
 of location of the corporation; or such meeting may be held without 
 previous notice if all the subscribers for stock be present in person 
 or by duly authorized attorney. No such corporation shall transact 
 business with any others than its members until at least one-half of 
 it.s capital stock shall have been duly subscribed and at least twenty 
 per centum of its said capital stock actually paid in; and if any obli- 
 gation shall be contracted in violation hereof, the corporation offending 
 shall have no right of action thereon; but the signer or signers of 
 
1774 18 Ch. 86 
 
 the articles and the subscriber or subscribers for stock transacting 
 such business or authorizing the same, or having knowledge thereof, 
 consenting to the incurring of any debt or liability, as well as the 
 stockholders then existing, shall be personally liable upon the same. 
 The signers of the articles of organization may abandon the organiza- 
 tion and revoke the articles or amend the same at any time before 
 fifty per centum of the stock has been subscribed and twenty per 
 centum of its capital stock paid in by signing and acknowledging 
 duplicate, written agreements revoking or amending the original 
 articles of organization and forwarding same to the secretary of state, 
 one agreement to be filed by him and the other agreement to be re- 
 turned with certificate of the secretary of state attached showing the 
 date when such agreement was filed and accepted by the secretary of 
 state, to be recorded by the register of deeds of the county in which 
 such corporation is located; and the register of deeds shall note on 
 the margin of the record of the articles of incorporation, the volume 
 and page where such agreement is recorded. The register of deeds 
 shall forthwith transmit to the secretary of state a certificate stating 
 the time when such agreement was recorded and shall be entitled to 
 a fee of twenty-five cents therefor to be paid by the person presenting 
 such agreement for record, provided, that the abandonment of the 
 organization or the revocation or amendment of articles in pursuance 
 hereof shall not relieve such corporation or any signer or subscriber 
 for stock or any stockholder then existing from any liability hereby 
 created. Any subscriber may be released from 7iis subscription upon 
 application within ten days after notice of an amendm^ent of the 
 articles as herein provided. 
 
 Amending articles; filing and record; change of name. 
 
 Section 1774. Any corporation organized under this chapter, may 
 at any meeting of its members by a vote of at least the owners of two- 
 thirds of all the stock then outstanding, in case of stock corporations, 
 or at least one-half of the members of the corporation without stock, 
 unless a greater vote shall be required in its articles, amend its ar- 
 ticles of organization so as to modify or enlarge its business or pur- 
 poses, change its name or location, increase or diminish its capital 
 stock, change its officers or its directors or provide anything which 
 might have been originally provided in such articles; but no corpora- 
 tion without stock shall change substantially the original purposes of 
 its organization. Such amendments shall be adopted only in accord- 
 ance with the articles of organization, if a mode of amending the same 
 shall have been therein prescribed. When adopted, duplicate copies 
 of such amendment, with a certificate thereto affixed, signed by the 
 president and secretary, or if none, the correspondent officers, and 
 sealed with the corporate seal, if there be any, stating the fact and 
 date of adoption of such amendment, and, if a stock corporation, the 
 total number of shares voting in favor of such amendment, and if a 
 corporation organized without capital stock, the total number of mem- 
 bers and the total vote in favor of such amendment, and that such 
 
Ch. 86 19 J77£? 
 
 copy is a true copy of the original, shall be forwarded to the secretary 
 of state, one copy to be filed by him, and the other copy to be returned 
 with certificate of the secretary of state attached, showing the date 
 when such amendment was filed and accepted by the secretary of 
 state, which said copy shall be recorded by the register of deeds of the 
 county in which such corporation is located, within thirty days after 
 filing with the secretary of state, and in case of failure so to do, such 
 officers shall forfeit twenty-five dollars, and the register of deeds shall 
 note on the margin of the record of the original articles, the volume 
 and page where such amendment is recorded, and no amendment shall 
 be of effect until so recorded, and such amendment shall be void until 
 so filed and recorded. The register of deeds shall forthwith transmit 
 to the secretary of state a certificate stating the time when such 
 amendment was recorded and shall be entitled to a fee of twenty-five 
 cents therefor, to be paid by the person presenting such amendment for 
 record. Upon receipt of such certificate the secretary of state shall 
 issue a certificate of amendment. Whenever the corporate name shall 
 be changed the secretary shall publish a notice thereof in a newspaper 
 published at or nearest to the place of location of such corporation for 
 three weeks, and if he shall fail for two months so to do shall forfeit 
 twenty-five dollars. No change of location of any such corporation, 
 if beyond the limits of the county, shall be valid until the articles 
 of organization and all amendments shall have been recorded in the 
 office of the register of deeds of the county to which the same shall 
 be changed. 
 
 Section 177 i is referred to in WOSni. 
 
 Amendments increasing capital stock; personal liability. 
 Section 1774n. No amendment to the articles of any corporation, 
 increasing the capital stock, shall be filed unless accompanied by the 
 affidavit of the president and secretary that at least one-half of the 
 capital stock, including the proposed increase, has been duly sub- 
 scribed and at least twenty per centum thereof actually paid in. The 
 aforesaid officers and any other officer or stockholder consenting to 
 the incurring of any debt or liability by such corporation, while 
 having knowledge' .that less than one-half of the authorized capital 
 stock has been subscribed or that less than twenty per centum thereof 
 has been actually paid in, shall be personally liable upon the same. 
 
 Directors to manage. 
 Section 1776. The stock, property, affairs and business of every 
 such stock corporation shall be under the care of and be managed by 
 a board of directors who shall be chosen annually by the stockholders 
 from among their number, at such time and place as shall be provided 
 by the articles of organization or the by-laws, and shall hold one year 
 and until their respective successors are chosen, except that when 
 classified by the articles of organization they may be elected and hold 
 accordingly. The directors shall choose one of their number presi- 
 dent and such other officers as the corporate articles and by-laws re- 
 
1895m 20 Ch. 89 
 
 quire, for such term as shall be prescribed thereby; and may fill any 
 vacancy in their board, happening after any regular annual election, 
 until the next succeeding election. 
 
 Dissolution. • 
 
 Section 1789. Any corporation organized under any law may, when 
 no other mode is specially provided, dissolve by the adoption of a writ- 
 ten resolution to that effect, at a meeting of its members specially 
 called for that purpose, by a vote of the owners of at least two-thirds 
 of the stock in the case of stock corporations and of one-half the mem- 
 bei's in other corporations; but when a mode or process of dissolution 
 shall have been provided in the articles of organization, it shall be 
 conducted accordingly. Duplicate copies of such resolution, with a 
 certificate thereto affixed, signed by the president and secretary, or, if 
 none, the correspondent officers, and sealed with the corporate seal, if 
 there be any, stating the fact and date of the adoption of such resolu- 
 tion; that such is a true copy of the original, the whole number of 
 shares of stock, and of members of such corporation, and the number 
 of members who, or of the shares of stock whose owners, voted for its 
 adoption, shall be forwarded to the secretary of state, one copy to be 
 filed by the secretary of state and the other copy to be returned with 
 certificate of the secretary of state attached, showing the date when 
 such copy was filed and accepted by the secretary of state, which said 
 copy shall be recorded by the register of deeds of the county in which 
 such corporation is located within thirty days after filing with the 
 secretary of state, and thereupon such corporation shall cease to exist 
 except for the winding up of its affairs. And the register of deeds 
 shall note on the margin of the record of the articles of incorporation, 
 the volume and page where such resolution is recorded. The register 
 of deeds shall forthwith transmit to the secretary of state a certifi- 
 cate stating the time when such resolution was recorded and shall be 
 entitled to a fee of twenty-five cents therefor, to be paid by the person 
 presenting such resolution for record. Whenever the articles of or- 
 ganization shall provide a term to the duration of a corporation it shall 
 cease to exist at the time so fixed except as aforesaiji. 
 
 CHAPTER 89— INSURANCE CORPORATIONS 
 
 Definitions. 
 
 Section 1895m. Unless the context of any statutes or law relating to 
 insurance indicates otherwise, the following words and phrases shall 
 be understood in the sense herein set forth and defined: 
 
 (1) "Company" includes all corporations, associations, partnerships, 
 or individuals engaged as principals in the business of insurance, ex- 
 cept mutual benefit societies. 
 
 (2) "Mutual benefit society" includes all fraternal and beneficiary 
 corporations, societies, orders or associations for the relief of mem- 
 bers on the mutual or assessment plan. 
 
Ch. 89 21 JS97' 
 
 Insurance companies; who may organize. 
 Section 1896. Subject to the conditions and in the manner pre- 
 scribed by law, a corporation may be organized by fifteen or more resi- 
 dents of this state to transact the business of insurance and the ar- 
 ticles thereof may be amended, in the manner provided in chapter 86 
 of the statutes, except that such articles and amendments shall be filed 
 in the office of the commissioner of insurance Instead of being filed 
 in the office of the secretary of state, and shall be submitted to and 
 approved by the attorney-general before filing. 
 
 Section 1S96 is referred to in nil — 31 (:i), 195S (1), 1977. 
 
 Amendment of articles of mutual companies. 
 Section 1896m. 1. The charter of any mutual insurance company 
 incorporated under special act and, unless otherwise provided therein, 
 the articles of organization of any mutual insurance company incor- 
 porated under general law, other than a company oi:ganized under sec- 
 tion 1927, may be amended by a vote of three-fourths of the members 
 voting at a regular or special meeting after the proposed amendment . 
 has been filed with the secretary of the company and with the commis- 
 sioner of insurance, and a copy thereof, with notice of the time and 
 place of meeting, has been mailed to each member at least thirty days 
 prior to such meeting. 
 
 2. Unless otherwise provided in the articles or by-laws, ten members 
 present at any meeting shall constitute a quorum. 
 
 3. The action of any such company heretofore had attempting to 
 amend its articles of organization is hereby validated, notwithstanding 
 any informality or insufficiency in the notice, time of meeting, voting, 
 or in any other respect, or in the certification thereof; provided it 
 shall appear by the certificate of the president and secretary, approved 
 by the commissioner of insurance under this section, that notice of 
 intention to amend the articles was given to the members not less 
 than one week prior to the meeting held for action thereon, and that 
 at such meeting or adjourned session thereof such amendment was 
 duly voted upon and adopted by a majority of the votes cast upon the 
 question, or by such larger number of votes as required by the articles; 
 and provided such certificate and approval shall have been filed and 
 recorded as required for amendments to articles of organization. 
 
 Purposes; classificatTon. 
 
 Section 1897. An insurance corporation may be formed for the fol- 
 lowing purposes: (The mention of several subjects or risks of insur- 
 ance in any subsection indicates that any one or more or all may be 
 included.) 
 
 (1) Fire Insurance.— Against loss or damage to property on land, by 
 fire, lightning, hail, tempest or explosion. 
 
 (2) Marine Insurance.— Vessels, freights, goods, moneys, effects, 
 and money loaned on bottomry and respondentia, against the perils of 
 the seas and other perils usually insured against by marine insurance, 
 including the risks of inland transportation and navigation. 
 
lf<97a 22 Ch. S9 
 
 (3) Life Insurance. — Upon the lives or health of persons, and every 
 assurance pertaining thereto, and to grant, purchase or dispose of an- 
 nuities and endowments. 
 
 (4) Disability Insurance. — Against bodily injury or death by acci- 
 dent, and upon the health of persons. 
 
 (5) Liabtlity Insurance. — Against loss or damage by the sickness, 
 bodily injury, or death by accident of any person and against loss or 
 damage to the property of any person by accident, for which loss or 
 damage the insured Is liable. 
 
 (6) Steam Boiler Insurance. — Against loss or damage to the prop- 
 erty of the insured or to the life, person or property of another, for 
 which the insured is liable, caused by the explosion of steam boilers, 
 pipes, engines, motors and machinery connected therewith or operated 
 thereby. 
 
 (7) Fidelity Insurance. — Against the loss from the defaults of per- 
 sons in positions of trust, public or private, and to guarantee the per- 
 formance of contracts and obligations other than that of insurance. 
 
 (8) Title Insurance. — To examine titles to real and personal prop- 
 erty, furnish information relative thereto and insure against loss or 
 damage by reason of incumbrance and defects in titles and against non- 
 payment of principal and interest of bonds and mortgages. 
 
 (9) Credit Insurance. — Against loss from the failure of persons in- 
 debted to the assured to meet their liabilities, including the insurance 
 or guarantee of depositors or deposits in banks or trust companies. 
 
 (10) Burglary Insurance. — Against loss or damage by burglary or 
 theft, or both. 
 
 (11) Plate Glass Insurance. — Against the breakage of glass, located 
 or in transit. 
 
 (12) Sprinkler Leakage Insurance. — Against loss or damage by 
 water caused by the breakage or leakage of sprinklers, pumps, water 
 pipes or plumbing, or its fixtures, and against accidental Injury to such 
 sprinklers and other apparatus. 
 
 (13) Elevator Insurance. — Upon elevators and vehicles, and to in- 
 spect the same and issue certificates thereof. 
 
 (14) Live Stock Insurance. — Against loss or damage to domestic 
 animals, except by fire, and to furnish the services of a veterinary sur- 
 geon of such animals. 
 
 (15) Other Casualty Insurance. — Against loss or damage to prop- 
 erty by any other casualty which may lawfully be the subject of in- 
 surance, and which shall be specified in the articles of organization, 
 and for which no other provision is made by la\v. 
 
 Section IH'.n is referred to in Biota (11), l<)!,.\m, 19.',5c, i977. 
 
 Stock or mutual plan; purposes; separate policies; automobile 
 insurance. 
 
 SKfTio.v 1897a. 1. Companies may be formed upon the stock or the 
 mutual plan to transact any kind of insurance authorized by section 
 1897. 
 
Ch. 89 23 1897c 
 
 2. No company shall be formed for the purpose of engaging in any 
 other kind of insurance than that specified in some one of the subsec- 
 tions of section 1897, or more kinds of insurance than are specified 
 in a single subsection, except that a company may be formed: 
 
 (a) For the purpose specified in subsections 1, 2, and 12; or 
 
 (b) For the purposes specified in subsections 3 and 4; or 
 
 (c) For any or all of the purposes specified in subsections 4 to 8 and 
 10 to 15, inclusive. 
 
 (d) For the purpose specified in subsection 9. 
 
 (e) For any or all of the purposes specified in section 1897, whether 
 by retrocession, reinsurance, or direct insurance, provided there be 
 maintained separate and distinct reserves in trust for each kind of in- 
 surance so written. 
 
 Separate policy; exceptions. 
 
 3. Insurance under each subsection of section 1897 shall be written 
 in separate and distinct policies, except that the same policy may em- 
 brace risks specified in subsections 1 and 12, 7 and 10, or 4 and 5, and 
 policies under subsection 3 may contain any provision operating to 
 safeguard the insurance against lapse, or giving a special surrender 
 value or an annuity providing for payments not exceeding one per cent 
 per month of the face amount of the policy during the lifetime of vhe 
 insured, with or without reduction of the sum insured, in the event 
 that the insured shall become totally and permanently disabled from 
 any cause. 
 
 4. Insurance against damage by hail to crops shall be written in sep- 
 arate and distinct policies from other insurance mentioned In sub- 
 section 1 of section 1897. 
 
 5. Insurance in one policy may be effected, by any company licensed 
 to transact the business mentioned in subsections 1, 2, 5, or 10 of sec- 
 tion 1897, upon automobiles and vehicles and the accessories and other 
 property transported upon and used in connection therewith, against 
 loss by collision and against loss by legal liability for damage to prop- 
 erty resulting from the maintenance and use of such automobiles or 
 vehicles and against loss by burglary or theft, or both, and against 
 any risk mentioned in said subsections 1, 2, 5, or 10, which said com- 
 pany may assume under its license. For this purpose, a fire insurance 
 company need not use the standard fire policy. 
 
 Mutual companies; name; when liability limited. 
 
 Section 1897b. 1. The name of every corporation hereafter organ- 
 ized doing business on the mutual plan shall contain the word "mutual." 
 
 2. No name shall be used which shall be so similar to any name al- 
 ready in use as to mislead the public in any respect. 
 
 Articles; contents. 
 
 Section 1897c. 1. The articles of a mutual insurance company shall 
 provide: 
 
 (a) That every person, corporation, association or partnership in- 
 sured shall be a member and shall have one vote. 
 
1897e 24 Ch. 89 
 
 (b) For amendment of the articles by a vote of three-fourths of the 
 members voting at a regular or special meeting after the proposed 
 amendment has been filed with the secretary and the commissioner 
 of insurance and a copy thereof with notice of the time and place of 
 meeting has been mailed to each member at least thirty days prior to 
 such meeting. 
 
 Referred to in lOJ^lg (3). , 
 
 (c) The president, vice-president or vice-presidents and all of the 
 directors shall be members of the company. 
 
 Limitation of risk; kinds of; territory; liability. 
 2. The articles of a mutual insurance company, subject to the con- 
 dition that the same be expressed in every policy, may limit: 
 
 (a) The insurance to specified kinds or classes of property, lives, 
 individuals or liabilities within any subsection of section 1897; 
 
 (b) The territory within which insurance shall be granted; or 
 
 (c) The liability of members, which liability shall be the annual 
 premium or a specified number of times the annual premium subject, 
 however, to the provisions of subdivision (d) of this subsection. 
 
 (d) No mutual fire, casualty or marine insurance company licensed 
 to transact business in this state shall issue a non-assessable policy 
 unless it has a surplus equal to the sum of the capital and surplus 
 required of a stock company to begin to transact the same kind of busi- 
 ness or equal to twenty per cent of its premium income during the 
 preceding year, whichever is the greater, and provided further that 
 it shall cease the issue of such policies when its surplus falls below 
 that sum. No such company shall issue a non-assessable policy until 
 its policy form and plan of operation is submitted to and approved by 
 the commissioner of insurance. 
 
 By-laws; filing; forfeiture. 
 
 Section 1897d. 1. Every Insurance corporation shall adopt by-laws 
 and prescribe the manner in which the same may be amended. 
 
 A copy of such by-laws and of any amendments thereto, accompanied 
 by the certificate of the president and secretary stating that the same 
 have been duly adopted and that such copy is true and complete, shall 
 be filed with the commissioner of insurance within thirty days after 
 such adoption, and in case of failure so to do each shall forfeit twenty- 
 five dollars. 
 
 Applications for insurance; filing; membership. 
 Section 1897e. 1. In a mutual insurance corporation, a statement 
 of the agreements or application for insurance made before organiza- 
 tion shall be filed with the commissioner of insurance in such form 
 as he shall require. 
 
 Membership during organization. 
 2. Every person making such agreement or application shall, after 
 such filing, and until the corporation begins to transact insurance, be 
 entitled to notice of and to participate in all meetings of members of 
 the corporation. 
 
Ch. 89 25 1897f 
 
 Stock corporations; promotion; subscription contract. 
 Section 1897f. 1. (a) No person shall for the purpose of organiz- 
 ing or promoting any insurance corporation to be organized or pro- 
 posed to be organized within or without this state, or promoting the 
 sale of stock of such corporation by it after organization as principal 
 or agent, sell or agree or attempt to sell within this state any stock 
 in such insurance corporation, unless the contract of subscription or 
 of sale shall be in writing and contain a provision in the following 
 language: 
 
 (b) "No sum shall be used for commission, promotion and organiza- 
 tion expenses on account of any share of stock in this corporation, in 
 
 excess of per cent of the amount actually paid upon separate 
 
 subscriptions (or in lieu thereof there may be inserted, "or $- per 
 
 share from every fully paid subscription"), for such stock, and the 
 remainder of such payments shall be held or invested as authorized 
 by the law governing such insurance corporation and held by the or- 
 ganizers (or trustees, as the case may be) and the directors and offi- 
 cers of such corporation after organization as bailees for the sub- 
 scriber, to be used only in the conduct of the business of insurance by 
 such corporation after having been licensed therefor by proper author- 
 ity." 
 
 (c) The term "stock," as used in this section, shall include bonds 
 and any other evidences of indebtedness or of interest in the profits 
 of any such corporation. 
 
 Deposit of funds. 
 
 2. Funds and securities held by such organizers, trustees, directors 
 or officers as bailees shall be deposited with any bank or trust com- 
 pany of this state until such corporation has been licensed as afore- 
 said. 
 
 Promotion expenses and commission limited; exceptions. 
 
 2m. (a) Every contract within subsection 1 shall contain a state- 
 ment giving the names of the organizers (or trustees as the case may 
 be) and their residence, the par value of the shares and the prices at 
 which shares have been, are, or are to be sold, the number of shares 
 at each price, the total number of shares, and be filled in with the 
 percentage or amount which may be used for commission, promotion 
 or organization expenses, which together shall not exceed fifteen per 
 cent of the amount actually paid upon separate subscriptions for such 
 stock. 
 
 (b) Until the thirtieth day of September, 1912, the provisions of 
 paragraph (a) of this subsection shall not apply to the organization 
 of or sale of stock in any domestic insurance corporation, which has 
 filed its articles of organization with the commissioner of insurance 
 before the taking effect of this subsection. 
 
 Person sliaring commission disclosed; liability if not. 
 
 3. No person shall participate in, receive or accept any part or prom- 
 ise of any papt of any of the commissions or rewards of any organizer. 
 
lS97f 26 Ch. 89 
 
 promoter or agent for the sale of any such stock, unless the name of 
 such person and the fact of his interest in such commissions or re- 
 ward shall appear upon such contract or subscription. The omission 
 of such statement from any such contract shall, in addition to the 
 penalty herein provided, make such person liable to the purchaser 
 or his assignees for all sums paid by such purchasers with interest at 
 the legal rate from date of payment upon the assignment or tender 
 of assignment of the stock so purchased. 
 
 Discrimination prohibited. 
 
 4. No person receiving any commission or other profit or advantage 
 as organizer, promoter or agent, selling or agreeing or attempting to 
 sell any such stock, or at any time in consideration of, or in connec- 
 tion with any such sale or contract of subscription shall, directly or 
 indirectly, make or offer to make any contract or agreement other 
 than as plainly expressed therein, nor shall any such contract of sub- 
 scription contain any agreement for employment or for any deposit or 
 for any special advantage to the person purchasing or contracting for 
 such stock. 
 
 Literature to be filed. 
 
 5. No person shall issue, deliver, circulate or publish in this state 
 any advertisement in any newspaper or periodical published in this 
 state or any circular or prospectus for the sale of stock of any insur- 
 ance within or without this state, for the purpose of soliciting or secur- 
 ing subscriptions to or contracts for the purchase of stock in any such 
 corporation, unless: 
 
 (a) A copy of such circular, prospectus or other advertisement shall 
 first have been filed in the office of the commissioner of insurance. 
 
 (b) The same shall contain the name and address of the person 
 issuing, delivering, circulating or publishing the same, with a con- 
 secutive serial number for each separate form of such circular, prospec- 
 tus or other advertisement. 
 
 Penalty. 
 
 6. Any person violating this section shall be punished by a fine of 
 not less than twenty-five dollars nor more than one thousand dollars, 
 or by imprisonment in the county jail not exceeding six months or 
 by both such fine and imprisonment. 
 
 Contract valid. 
 
 7. A contract for subscription to or the purchase of stock in any in- 
 surance corporation not conforming to the provisions of this section 
 shall be valid and enforceable in favor of the subscriber or purchaser, 
 but shall not be valid or enforceable In favor of the corporation or 
 any person selling such stock, either as principal or agent. 
 
Ch. 89 27 1897g 
 
 Stock companies; capital stock required. 
 Section 1897g. 1. No stock insurance company shall transact the 
 business of insurance unless: 
 
 (a) It has a capital stock actually paid, in cash or invested as pro- 
 vided by law, of at least one hundred thousand dollars for the insur- 
 ance specified in any one subsection of section 1897; 
 
 (b) With an additional fifty thousand dollars for the insurance men- 
 tioned in any other subsection which may be transacted by such com- 
 pany; 
 
 (c) Provided that the capital stock required or to be added for trans- 
 acting business under either subsection 4 or 14 need not exceed twenty- 
 five thousand dollars; 
 
 (d) Provided, that a company transacting the business mentioned 
 in subsection 1 shall not require any additional capital to transact 
 that mentioned in subsection 12, and that the total capital required to 
 transact the business mentioned in several or all of subsections 4, 5, 
 6, 8, 9, 10, 11, 12 and 13, need not exceed two hundred and fifty thou- 
 sand dollars. 
 
 Surplus required. 
 
 2. Nor shall any stock insurance company begin to transact the 
 business of insurance in this state unless it has a surplus, including 
 the fund mentioned in paragraph (b) of section 1897s actually paid, 
 
 , in cash or invested as provided by law, equal to one-fourth of its cap- 
 ital stock. 
 
 Mutual companies; members; corporations. 
 
 3. Any mutual insurance company may issue policies to any public 
 or private corporation, board or association in this state and else- 
 where; and any public or private corporation, board or association of 
 this state is authorized to make applications, enter into agreements for 
 and hold policies in any mutual insurance company. 
 
 Mutuals, borrowing money; surplus notes. 
 
 4. Any mutual insurance company may borrow money from any 
 officer, director, member or other person, for the purposes of its busi- 
 ness or to enable it to comply with any requirement of law. No dis- 
 count, commissions or promotion expenses shall be allowed or paid on 
 such loan. Upon receiving the full amount of the principal to be used 
 solely for such purposes, the company may issue its surplus notes, 
 which shall fully recite the conditions of the loan. Except as herein 
 provided, such notes and indebtedness shall not be a liability or claim 
 against any of the assets of the company. The principal and interest 
 shall be payable only from the surplus over all liabilities. The notes 
 shall draw interest as agreed upon, not exceeding ten per centum per 
 annum. The amount of principal and interest unpaid shall be reported 
 in each annual statement. 
 
1897s 28 Ch. 89 
 
 Domestic companies; condition of transacting business. 
 
 Section 18971. 1. No domestic insurance corporation shall continue 
 or transact business, other than the dissolution and winding up of Its 
 affairs, at any time after its risks outstanding, for a period of one 
 year, shall have been below the minimum prescribed by section 1898d. 
 
 Incorporators; directors; liability. 
 2. The original incorporators during the first year after the filing 
 of the articles of organization and until the election of directors, and 
 thereafter the directors, shall be jointly and severally personally liable 
 for any losses incurred during the time or times hereinafter men- 
 tioned: 
 
 (a) Upon any policies written, issued or delivered during any time 
 when the risks outstanding shall be below the minimum prescribed by 
 section 1898d, and 
 
 (b) For the excess of any policy above the maximum single risks 
 prescribed by section 1898 during the time while such policy exceeds 
 such maximum single risk. 
 
 Mutuals, surplus safeguarded; dissolution; reorganization. 
 
 Section 1897k. 1. After January 1, 1912, no domestic mutual in- 
 surance company shall pay to any member, for or on account of his 
 membership in such company, upon dissolution, in dividends, or in any 
 other manner, in addition to the insurance benefits promised in the 
 policy, any sum in excess of the payments made by the member with 
 interest at six per cent compounded annually. 
 
 2. Upon dissolution of any such corporation any assets or property 
 held by it in excess of its liability, and of the amounts which may be 
 paid to its members under subsection 1, shall be paid into and belong 
 to the school fund of the state, as a license fee charged to such cor- 
 poration upon dissolution. 
 
 3. Every such corporation having assets in excess of one per cent 
 of the amount of its insurance in force shall, before being licensed to 
 do business in this state, file with the application for such a license 
 a resolution duly adopted by its board of directors and signed by its 
 president and secretary, wherein it shall agree that its assets shall be 
 distributed in accordance with subsections 1 and 2 of this section. 
 And no license shall be issued to such company until after the adop- 
 tion and filing of such resolution. 
 
 4. No domestic mutual insurance company shall be reorganized in 
 any manner into a corporation with capital stock. 
 
 Conditions of transacting insurance; special surplus fund. 
 
 Section 1897s. No domestic insurance company shall begin to trans- 
 act the business of insurance until: 
 
 (a) It shall issue simultaneously policies upon two hundred or more 
 risks, each within the niaxinuini single risks prescribed in section 
 1898; or 
 
Ch. 89 29 1898d 
 
 (b) It shall hold a fund in excess of the capital stock, if any, in 
 cash or invested as provided by law, equal to ten times the maximum 
 single risk to be assumed, which fund shall be used for the payment 
 of losses only and may be repaid only after the risks outstanding shall 
 exceed the minimum prescribed in section 189Sd; 
 
 (c) It shall have received, in cash, not less than one annual pre- 
 mium upon each application pending or risks outstanding. If any ap- 
 plication or policy covers a period greater than one year, the premium 
 shall be on hand for such greater period. No part of the premium so 
 received shall be paid or used for promotion expense. 
 
 Examination first; certificate. 
 Section 1897t. No domestic insurance company shall begin to trans- 
 act insurance until the same shall have been fully examined by the 
 commissioner of insurance and he shall issue a certificate: 
 
 (a) That such company has a capital, surplus and applications for 
 risks outstanding, as the case may be, and as required by law; 
 
 (b) That its funds are held in cash or invested as required by law; 
 
 (c) That those making applications for insurance are in a position 
 to perform the same; 
 
 (d) That the incorporators and proposed directors are financially re- 
 sponsible for and understand the obligations imposed upon them by 
 law; and 
 
 (e) That said company has fully complied with all requirements of 
 the law. 
 
 Section 1897t is referred to in 20.55 (3). 
 
 Risk; maximum single; reinsurance. 
 
 Section 1898. 1. (a) Except as otherwise provided by law the maxi- 
 mum single risk shall be ten per centum of the admitted assets. 
 
 (b) In a mutual company it may be a greater amount not exceeding 
 three times the average policy or one-fourth of one per centum of the 
 insurance in force, whichever is the greater. 
 
 (c)Upon the business mentioned in subsection (14) of section 1897, 
 in a stock company, it shall be one-twentieth of the paid-up capital. 
 
 2. Any reinsurance taking effect simultaneously with the policy shall 
 be deducted in determining such maximum single risk. 
 
 3. In a mutual company organized under subsection (9) of section 
 1897, for the insurance or guarantee of depositors or deposits in banks 
 or trust companies, the maximum single risk iiiay be fixed at such 
 higher amount as specified in the by-laws. 
 
 4. Any such company may effect reinsurance in any authorized or un- 
 authorized company, that complies with the provisions of subsection 1 
 of section 1905, providing that insurance in any unauthorized company 
 shall be reported annually and the same taxes paid upon the premiums 
 as are paid by authorized companies. 
 
 Minimum risks outstanding. 
 
 Section 1898d. The minimum of risks outstanding shall be two hun- 
 dred, each within the maximum single risk prescribed in section 1898. 
 
190 Ij 30 Ch. 89 
 
 Reserve liabilities; order of commissioner. 
 
 Section 1899. (a) Where no other provision is made therefor by 
 law, the reserve liabilities of any insurance company shall be calcu- 
 lated upon such basis, method, and plan as shall fully provide for all 
 such liabilities. 
 
 (b) Subject to such review in the courts as provided by law, any 
 such basis, method, and plan, or either, fixed by the order of the com- 
 missioner of insurance made and filed in his office, shall be prima facie 
 just, reasonable and proper. 
 
 Referred to iti l91om (6). 
 
 Policy provisions; limitation of action; matter incorporated to be 
 cited or attached. 
 
 Section 1900. 1. No policy or contract of insurance shall be made, 
 issued or delivered in this state containing any provision: 
 
 (a) Limiting the time for beginning an action on the policy or con- 
 tract to a time less than that prescribed by the statutes of limitations 
 of this state, or specifically authorized by law. 
 
 (b) Incorporating into the policy or contract any matter not fully 
 set forth therein, or in a copy of any application, or of any other mat- 
 ter attached to and made a part of such policy or contract at the time 
 of its delivery. 
 
 (c) Incorporating into the policy or contract any provision pre- 
 scribing in what court any action may be brought thereon or that no 
 action shall be brought thereon. 
 
 Note. — The statutes of limitations as to insurance contracts is six 
 years. Sec. 4222 (3). 
 
 Policy may except owner's first part of loss. 
 
 Section 1900f. 1. A policy or contract of insurance may, notwith- 
 standing anything to the contrary in the statutes, contain in the policy 
 or in a rider attached thereto: 
 
 (a) A provision that the insured shall bear the first part of any loss 
 as provided therein to a specified percentage not exceeding five per 
 centum of the amount of insurance. 
 
 2. In any case of loss, the company or insurer shall pay the excess 
 after deducting from the adjustment the part aforesaid. No such pro- 
 vision shall be valid unless there be stamped, written or printed upon 
 the filing back of the policy, an indorsement hereby authorized, which 
 
 shall read: "Rate reduced from $ to $ , in consideration 
 
 of the insured bearing the first part of any loss as herein provided." 
 Both blanks must be filled. 
 
 Referred to in ]!)5S (1). 
 
 Expenses; limitation; exceptions. 
 Section 1901j. Except as otherwise provided by law and excepting 
 companies transacting only health and accident insurance, no mutual 
 insurance company shall pay or incur in any year any expense, exclu- 
 sive of investment expenses, taxes and fees, in excess of fifty per 
 centum of the premiums and assessments collected during the year; or 
 
Ch. 89 31 J90.; 
 
 in excess of one-half of one per centum on the greatest amount of in- 
 surance in force at any time during the year, whichever is the greater. 
 
 Classification of risks. 
 
 Section 1901m. A mutual insurance company may classify the prop- 
 erty or risks insured, at the time of insuring the same, under different 
 rates corresponding as nearly as may be to the greater or less risks 
 which may be attached thereto. 
 
 Policy terms. 
 
 Section 1901n. Except as otherwise provided by law, no mutual fire 
 insurance company shall make any contract for insurance expiring 
 more than five years after the date thereof. 
 
 Trading prohibited; investments in real estate limited. 
 Section 1902. 1. No insurance company organized under any gen- 
 eral law of this state shall, directly or indirectly, deal or trade in buy- 
 ing or selling any goods, wares, merchandise or other commodities 
 whatever, excepting such goods or articles as may have been insured 
 by such corporation and are claimed to be damaged by the risk insured 
 against. 
 
 2. No such company shall acquire or hold real estate, excepting for 
 the purposes and in the manner following: 
 
 (a) Such as shall be necessary for the convenient transaction of 
 its business, including with its offices other apartments to rent as a 
 source of income, the value of which shall not exceed twenty per cent 
 of its admitted assets. 
 
 (b) Such as has been or shall be conveyed or mortgaged to it in 
 good faith by way of surety for loans or for debts or for money due in 
 its legitimate business, or such as may have been purchased at sales 
 upon judgments or mortgages obtained or made for such debts. 
 
 3. All real estate except that mentioned in paragraph (a), of sub- 
 section 2, shall be sold or disposed of before the first day of January, 
 1916, or within five years after the same shall have been acquired, un- 
 less such time be extended by the commissioner of insurance. 
 
 ' 4. The commissioner of insurance may upon the application of the 
 company showing that it will suffer materially from a forced sale 
 thereof, authorize the postponement of such sale for such period as he 
 shall fix, not exceeding five years. 
 
 5. Such authority may be renewed from time to time. 
 Section 1902 is referred to in section 1931 (5). 
 
 Section 1903. Except as otherwise provided by law, a domestic in- 
 surance corporation may invest its assets as follows: 
 
 (a) In the lawfully authorized bonds or other evidences of indebted- 
 ness of the United States or of any state of the United States, or of the 
 Dominion of Canada or of any province thereof. 
 
 (b) In the lawfully authorized bonds or other evidences of indebted- 
 ness of any county, city, town, village, school district or other munic- 
 ipal district within the United States or the Dominion of Canada, 
 
J903 32 Ch. 89 
 
 which shall be a direct obligation of the county, city, town, village or 
 district issuing the same; provided, that any such municipal district 
 other than a county, city, town, village or school district shall have a 
 population according to the last national or state census preceding the 
 date of such investment of not less than one hundred thousand. 
 
 (c) In loans upon improved and unincumbered real property in any 
 state of the United States, and upon leasehold estates in improved real 
 property for a term of * * * years * * * where twenty-five years or 
 more of the term is unexpired and where unincumbered except by 
 rentals accruing therefrom to the owner of the fee, and where the 
 mortgagee is entitled to be subrogated to all the rights under the lease- 
 hold; provided, that the fair market value of such real property or such 
 leasehold estate at the time of the loan shall be at least fifty per centum 
 more than the sum loaned thereon, exclusive of buildings unless such 
 buildings are kept insured to an amount which, together with one-half 
 the value of the land, shall equal or exceed the loan, and the policy or 
 policies of insurance thereon be assigned to and held by said corpora- 
 tion as collateral to such loan. 
 
 (d') In the mortgage hands of the farm loan banks authorized under 
 federal farm loan act, bonds issued by Wisconsin corporations organ- 
 ized under the provisions of sections 2024 — 100 to 202Jf — 146, inclusive, 
 and in obligations secured by mortgages or trust deeds authorized in 
 subsection (c) of this section. 
 
 * * * (e) In the first mortgage bonds of any railroad or other 
 public service corporation of any state or territory of the United 
 States, or of the District of Columbia, or of any province of the Do- 
 minion of Canada. 
 
 * * * (f) In the lawfully authorized bonds or other evidences of 
 indebtedness of any foreign government in an amount not exceeding 
 twenty-five per centum of the capital stock of such corporation and in 
 the stocks and bonds and other evidences of indebtedness of any solvent 
 dividend paying corporation of any state or territory of the United 
 States, of the District of Columbia, or of any province of the Do- 
 minion of Canada, * * * excepting stock in its own corporation 
 * * *, No such investment shall be made in any unincorporated busi- 
 ness or enterprise, nor in the stocks, bonds or other evidences of in- 
 debtedness of any corporation, the owners or holders of which may. 
 in any event, be or become liable on account thereof to any assessment 
 except for taxes or laborers' liens. * * * 
 
 * * * (g) In loans upon collateral security of any of the fore- 
 going securities; provided, that the market value of such securities 
 shall not, during the continuance of such loan, be less than the in- 
 debtedness thereon. 
 
 * * * (h) In such real property as shall be necessary for the 
 convenient transaction of its business, subject to other provisions of 
 law. 
 
 * * * (i) Every such domestic corporation doing business in any 
 foreign country, may invest the funds required to meet its obligations 
 
Ch. 89 33 1905 
 
 incurred in sucli foreign country in conformity to the laws ttiereof in 
 the kind of securities of such foreign country in which such corpora- 
 tion is authorized to invest in tliis state. 
 
 2. Any such domestic insurance corporation shall invest and keep 
 invested an amount at least equal to its paid-up capital stock in any 
 of the securities mentioned in paragraphs (a), (b) and * * * (c) of 
 subsection 1 of this section, or in loans upon real estate located within 
 this state, or in mortgage bonds of the farm loan banks authorized 
 under the federal farm loan act. 
 
 3. No domestic insurance corporation, including any domestic in- 
 surer, shall make any investment not authorized by law. 
 
 4. No such corporation shall invest * * * more than ten per cent of 
 its admitted assets * * * in the stock or securities of any one cor- 
 poration. [Ch. 465, 1921] 
 
 (Chapter J,G5, 1921). 
 
 Lien upon stock. 
 Section 1904. Any insurance corporation may have a lien upon the 
 stock or certificate of profits owned by any member for any/iebt due or 
 to become due the corporation for premiums by providing therefor by 
 the by-laws and by stating on the face of the certificate of stock or 
 profits that the same is subject to any such lien; and such lien may be 
 waived in writing by the consent of the president of such corporation 
 upon the transfer of any such stock. 
 
 Reinsurance. 
 
 Section 1905. 1. Any insurance company or association author- 
 ized to transact business in this state may, unless otherwise pro- 
 vided by law, assume as a reinsurer the whole or any part of the 
 liability of any other company or association upon such risks as if 
 may insure direct; and may, unless otherwise provided by law, 
 cede to and reinsure in any other responsible company or companies, 
 whose capital and surplus shall equal or exceed the minimum of 
 capital and surplus required by domestic companies for the trans- 
 action of similar business, provided such company or companies are 
 organized under the laws of or licensed to transact business in some 
 state of the United States, the whole or any part of its liability upon 
 risks assumed. 
 Referred to in 1898 (1,). 
 
 2. But no stock fire insurance or fire reinsurance corporation shall 
 expose itself to any loss on any one risk or hazard to an amount ex- 
 ceeding ten per centum of its paid-up capital and surplus. No portion 
 of any such risk or hazard which shall have been reinsured as author- 
 ized by law shall be included in determining the limitation of risk 
 prescribed by this section. 
 
 3. No fire insurance or fire reinsurance corporation or association 
 shall assume as a reinsurer or otherwise, in any manner or form what- 
 soever, the whole or any part of any risk or liability covering property 
 
 3 
 
1908a 34 Ch. 89 
 
 located within this state of any fire insurance or fire reinsurance cor- 
 poration or association not authorized to transact business in this state. 
 
 4. The receiver of any insurance company, when authorized by the 
 court to do so, may reinsure all its risks in any solvent corporation 
 authorized to do a similar business in this state, if the assets of the 
 corporation of which he is receiver are sufficient to effect such rein- 
 surance; if such assets are insufficient the receiver, upon the like con- 
 sent, may reinsure a percentage of each such risk of such corporation 
 outstanding to the extent of its assets available for that purpose. 
 
 5. Any fire insurance company or reinsurance company licensed to 
 do business in this state, shall, on retiring from business before the 
 expiration of its policies or contracts, file with the insurance commis- 
 sioner a written notice of such intention together with a sworn state- 
 ment of its outstanding liabilities or obligations under such policies or 
 contracts and shall reinsure such liabilities or obligations in a com- 
 pany authorized to do business in this state. 
 
 Stock companies; capital; increase; amendment of articles; ex- 
 amination. 
 
 Section 1908. Unless otherwise provided in the articles no insurance 
 corporation shall increase its capital stock without the written consent 
 oi the holders of three-fourths of the capital stock outstanding. The 
 amendment of its articles increasing its capital stock shall be adopted 
 as otherwise provided by law, and shall not be filed by the commis- 
 sioner of insurance until after he shall have made the same examina- 
 tion, in the same manner, and on the same conditions, as upon the or- 
 ganization or admission of a like corporation. 
 
 Compare sectio7i I'JOS ivith 190Sa. 
 
 Increase of capital. 
 
 Section 1908a. Any stock insurance corporation organized under 
 the laws of this state, or heretofore organized and doing business 
 under the laws of this state, whenever it shall have accumulated 
 and be in possession of a fund, in addition to the amount of its 
 capital stock and all actual outstanding liabilities, including rein- 
 surance reserve, in excess of one-half of the amount of all premiums on 
 risks not terminated, such corporation may increase its capital stock 
 from such fund, and distribute said increase pro rata to the stockholders 
 OI such corporation; provided, always, that such increase shall be equal 
 to at least twenty-five per centum of the original capital stock of said 
 corporation and shall have been authorized by at least three-fourths 
 of the members of the board of directors of such corporation and ap- 
 proved by the commissioner of insurance; and, provided, also, that any 
 such corporation may hereafter make and declare a dividend as pro- 
 vided in section 1908. 
 
 Sec section 1908. 
 
Ch. 89 35 1908m 
 
 Consolidation of domestic fire corporations. 
 Section 1908m. 1. (a) Any stock insurance corporation organized 
 under any law of this state may merge or consolidate such corporation 
 with another domestic or foreign stock corporation into one corporation 
 to be located in and organized under the laws of this state and using 
 the nafne of one or more of the corporations. In case of a consolidation 
 with a foreign corporation compliance shall be had with the laws of the 
 state where such corporation is located. Except as to life companies, 
 the provisions of sections 1955—21 to 1955 — 26, inclusive, of the 
 statutes, shall not apply to a merger or consolidation under this section. 
 
 (b) The corporations may enter into and make an agreement for 
 such merger or consolidation, executed under their corporate seals by 
 the president and secretary, by the authority of the board of directors 
 of each respectively. 
 
 (c) Such agreement shall recite the articles of organization under 
 which the business of the merged or consolidated corporation is to 
 be conducted, which shall conform to the provisions of either one or 
 more of the articles of the merging or consolidating corporations, or 
 otherwise conforming to the requirements for the articles of organiza- 
 tion of like corporations organized under the laws of this state. 
 
 (d) The capital shall not be larger than the aggregate paid-up capi- 
 tal of the merged or consolidated corporation unless the provisions of 
 section 1908 shall have been complied with by each of the consolidating 
 corporations. The same fee shall be paid for an increase of the capital 
 above such aggregate paid-up capital, as in other cases on amendment 
 of articles of incorporation under section 1774. 
 
 (e) Such agreement must be assented to by a vote of a majority of 
 all the directors of each corporation and must be approved by the 
 votes of stockholders, in person, or by proxy, owning at least two- 
 thirds of the stock of each corporation, at a meeting called separately 
 for that purpose. 
 
 (f) A notice stating the time, place, and object of the meeting, shall 
 be served upon each stockholder personally or mailed to him at his 
 last known post-offlce address at least thirty days prior to the date of 
 holding such meeting, and shall also be published at least once a week 
 for four weeks successively in some newspaper printed in the city 
 where such corporation has its principal office. 
 
 2. (a) Such agreement, with the certificate of the secretaries of 
 the respective corporations, under the seals thereof, reciting compli- 
 ance with the provisions of this section, shall be filed with the commis- 
 sioner of insurance and may be approved by him, after such examina- 
 tion as he may order or require. 
 
 (b) Such agreement, after having received the approval of the com- 
 missioner of insurance, shall have such approval endorsed thereon 
 and a duplicate of such agreement, with a certificate of the commis- 
 sioner showing the date when such agreement was approved and filed 
 by the commissioner of insurance, shall be recorded by the register 
 of deeds of each county wherein any of such merged or consolidated 
 
1909 36 Ch. 89 
 
 companies are located, as in the case of the making of any amendment 
 to the articles of such corporation. 
 
 (c) Such merger and consolidation shall be deemed effective upon 
 the filing of such duplicate for record in each and all such counties, 
 and thereafter the articles of organization recited in such agreement 
 shall stand as the articles of organization of such consolidated corpora- 
 tion subject to amendment as in other cases. 
 
 3. The corporation may require the return of the original certifi- 
 cates of stock held by each stockholder in each of the corporations to 
 be merged or consolidated, and issue in lieu thereof new certificates 
 for such number of shares of its own stock as such stockholders 
 may be entitled to receive. 
 
 4. All the rights, franchises, and interests of the corporations so 
 merging or consolidating in and to every species of property and things 
 in action belonging to them, or either of them, shall be deemed to be 
 transferred to and vested in the new corporation, without any other 
 deed or transfer, and the new corporation shall hold and enjoy the same 
 to the same extent as if the old corporations, or either of them, should 
 have continued to retain their titles and transact business. 
 
 5. (a) The consolidated corporation shall succeed to all the obliga- 
 tions and liabilities of the old corporations, or any of them, and shall 
 be held liable to pay and discharge all such debts and liabilities in 
 the same manner as if they had been incurred or contracted by it. 
 
 (b) The stockholders of the old corporations shall continue subject 
 to all the liabilities, claims, and demands existing against them, or 
 either of them, at or before such merger or consolidation. 
 
 (c) No action or proceeding pending at the time of the consolida- 
 tion in which any or all of the old corporations may be a party shall 
 abate or discontinue by reason of the merger or consolidation, but 
 the same may be prosecuted to final judgment in the same manner as 
 if the merger or consolidation had not taken place, or the new corpora- 
 tion may be substituted in place of any corporation so merged or con- 
 solidated by order of the court in which the action or proceeding may 
 be pending. 
 
 6. The consolidated corporation shall be deemed a corporation or- 
 ganized under chapters 86 and 89 of the statutes, and shall possess all 
 of the rights and be subject to all of the liabilities of stock corporations 
 organized under said chapters. 
 
 GUARANTY SURPLUS FUND AND SPECIAL RESERVE FUND 
 
 How created; commissioners duty. 
 SixTioN 1909. Any fire insurance corporation now or hereafter or- 
 ganized may create the funds to be known as the guaranty surplus 
 fund and the special reserve fund by the adoption of a resolution of its 
 board of directors at a regular meeting thereof and by filing a copy 
 thereof with the commissioner of insurance, declaring the desire and 
 intention of such corporation to create such funds and do business 
 
Ch. 89 37 1911 
 
 under the provisions of this chapter therefor. Thereupon the commis- 
 sioner shall make or cause to be made an examination of such corpora- 
 tion and make a certificate of the result thereof, which shall particu- 
 larly set forth the amount of its surplus funds at that time which may, 
 under the provisions of the next section, be equally divided between and 
 set apart to constitute such funds, which certificate shall be recorded 
 in the insurance department. After the date of the recording of such 
 certificate all policies and renewals issued by such corporation shall 
 have printed thereon a notice that they are issued subject to the pro- 
 visions of sections 1909 to 1913, inclusive, of these statutes. 
 
 Dividends; surplus; how estimated. 
 Section 1910. Thereafter no such corporation shall declare or pay 
 in any form any dividend exceeding seven per cent per annum upon 
 its capital stock until after its guaranty surplus fund and its special 
 reserve fund shall have together accumulated to an amount equal to its 
 said capital stock; and the entire surplus profits of such corporation, 
 above such annual dividend, shall be equally divided between and be 
 set apart to constitute the said funds, which shall be held and used as 
 hereinafter provided and not otherwise; and any such corporation 
 which shall declare or pay any dividend contrary to the provisions of 
 this section shall be liable to be proceeded against by the attorney- 
 general for its dissolution. In estimating such surplus profits for the 
 purpose of making a division thereof between said funds there shall be 
 deducted from the gross assets of the corporation, including for this 
 purpose the amount of the special reserve fund, the sum of the follow- 
 ing items: 
 
 (1) The amount of all outstanding claims. 
 
 (2) An amount sufficient to meet its liability for the unearned 
 premiums received on policies having less than one year to run from 
 date of policy and a pro rata proportion of the premiums received on 
 the policies having more than one year to run from date of policy, 
 which shall be known as the reinsurance liability. 
 
 (3) The amount of its guaranty surplus fund and of its special re- 
 serve fund. 
 
 (4) The amount of the capital of the corporation. 
 
 (5) Interest at the rate of seven per cent per annum upon the 
 amount of the capital for whatever time shall have elapsed since the 
 last preceding cash dividend; and the balance shall constitute such 
 divisible surplus. 
 
 Section 1910 is referred to in sections 1909, 1012. 
 
 Investment of surplus. 
 Section 1911. The said guaranty surplus fund shall be invested in 
 the same manner as capital or surplus accumulations may be, and shall 
 be held liable and applicable in the same manner as the capital stock 
 to the payment of the losses generally, and such special reserve fund 
 shall be invested only as capital stock may be, and shall be deposited 
 from, time to time as the same shall accumulate and be invested with 
 
1912 . 38 Ch. 89 
 
 the state treasurer, who shall permit said corporation to collect and 
 receive the interest or dividends upon such securities as the same may 
 accrue; but no such securities so deposited shall be withdrawn unless 
 others of equal amount and value are substituted therefor; and such 
 special reserve fund shall be deemed a fund contributed by the stock- 
 holders to protect such corporation and its policyholders, other than 
 claimants for losses already existing or then incurred, in cases of such 
 extraordinary conflagi'ations as are mentioned in the next section; and 
 said fund shall not be regarded as any part of the assets of said 
 corporation so as to be liable for any claims for losses except as here- 
 inafter provided. 
 
 Section I'.Hl is refei-red to in section 1909. 
 
 Application of reserve; discharge of company's liability; impaired 
 capital. 
 
 Sectiox 1912. In the event of an extensive conflagration whereby the 
 clafms upon any such corporation shall exceed the amount of the capital 
 stock and of its guaranty surplus fund, the corporation shall notify the 
 commissioner of insurance thereof, who shall then make, or cause to 
 be made, an examination of the corporation, and shall issue his certifi- 
 cate of the result in duplicate showing the amounts of capital, of guar- 
 anty surplus fund, of special reserve fund, of reinsurance liability and 
 of other assets, one copy to be given to the corporation and one to be 
 recorded in the insurance department; thereupon the said special 
 reserve fund shall be immediately held to protect all policyholders, 
 other than such as are claimants upon it at the time or such as become 
 claimants in consequence of such conflagration; and the amount of 
 such special reserve fund and an amount equal to the unearned premi- 
 ums of such corporation, to be ascertained as provided in section 1910, 
 shall constitute the capital and assets of such corporation for the pro- 
 tection of policyholders, other than such claimants, and for the further 
 conduct of its business; and such certificate of the commissioner shall 
 be binding and conclusive upon all parties interested, whether as stock- 
 holders, creditors or policyholders, and upon payment to the claimants 
 for losses or otherwise existing at the time of or caused by such general 
 conflagration of the amount to which they are respectively entitled, in 
 proportion to their several claims, of the full sum of the capital of such 
 corporation, its guaranty surplus fund and its assets, excepting only 
 such special reserve fund and an amount of its assets equal to its lia- 
 bility for unearned premiums as so certified, such corporation shall be 
 forever discharged from any and all further liability to such claimants 
 and to each of them; and the state treasurer shall, after issuing such 
 certificate by the commissioner, upon the demand of such corporation, 
 transfer to it all such securities as it shall have deposited with him 
 as such special reserve fund; and if the amount of such special reserve 
 fund be less than fifty per cent of the full amount of the capital of the 
 corporation a requisition shall be issued by the commissioner of insur- 
 ance upon the stockholders to make up such capital to that proportion 
 of its full amount in the manner provided by law in the case of cor- 
 
Ch. 89 ' 39 1914a 
 
 porations with impaired capitals; and any capital so impaired shall be 
 made up to at least the sum of two hundred thousand dollars; and in 
 case such corporation, after such requisition, shall fail to make up its 
 capital to at least said amount of two hundred thousand dollars as 
 therein directed, said special reserve fund shall still be held as security 
 and liable for any and all losses occurring upon policies of such corpo- 
 ration after such conflagration. 
 
 Section 1912 is referred to in section 1909. 
 
 Restoration of capital. 
 
 Section 1913. If at any time after said special reserve fund shall 
 have been set apart by any corporation it shall appear upon examina- 
 tion by the commissioner of insurance that the capital of such corpora- 
 tion has, without the occurrence of any such extensive conflagration, 
 become impaired so that he shall order a call upon the stockholders to 
 make up such impairment, the board of directors may either require 
 the necessary payment by the stockholders or at their option apply for 
 that purpose so much of said special reserve fund as will make such 
 impairment good. 
 
 Section 1913 is referred to in section 1909. 
 
 Scope of chapter. 
 
 Section 1914. All fire or fire and inland navigation or transportation 
 insurance companies organized under any law of this state shall be 
 subject to all the provisions of this chapter properly applicable thereto, 
 except that their capitals may continue of the amount and character 
 provided by their respective charters during the term authorized by 
 such charters, and their investments may remain as prescribed by 
 their charters, and they shall enjoy any peculiar privileges and powers 
 given in their charters not inconsistent with this chapter. 
 
 REINSURANCE CORPORATIONS 
 
 Organization and admission; fees and taxes. 
 Section 1914a. Any number of residents of this state, not less than 
 nine, may form a corporation for the purpose of transacting the busi- 
 ness of reinsurance; such reinsurance company shall transact business 
 only with authorized insurance companies and not through agents, and 
 such reinsurance may include all classes and kinds of insurance per- 
 mitted by the statutes, provided, however, that any reinsurance com- 
 pany, organized or admitted to transact more than one class or kind of 
 reinsurance, shall be required to have an aggregate capital equal to 
 the capital now required by law for each kind or class of insurance, and 
 shall be required to hold reserves in the same amount and manner as 
 now required for each such kind or class of insurance which by the 
 provisions of its charter, it is authorized to transact; such reinsurance 
 bo incorporated, and foreign reinsurance companies may be admitted to 
 transact business in this state, in the same manner as fire, life, casualty 
 
1915 40 Ch. 89 
 
 and surely corporations are now provided for and shall comply with 
 the same laws regulating such corporations so far as the same may be 
 applicable. Such reinsurance company shall pay the same fees and 
 taxes required to be paid by the fire insurance companies, and shall 
 within the month of January of each year, file an annual statement of 
 its business with the department of insurance, showing its condition 
 on the thirty-first day of December of the preceding year. 
 
 INSURANCE CORPORATIONS OF OTHER STATES AND 
 COUNTRIES 
 
 Admission of foreign companies; conditions. 
 Section 1915. 1. No company incorporated under the laws of any 
 other state or of any territory or of any foreign government or other 
 insurer having its home outside of this state shall, directly or indirectly, 
 take risks or transact any business of insurance in this state except 
 upon compliance with and maintenance of the following requirements: 
 
 (a) If a stock company, it shall be possessed of an actual paid-up 
 cash capital equal to that required of like companies organized under 
 the laws of this state. 
 
 (b) Mutual companies may be admitted subject to the same require- 
 ments as to solvency and the same limitations as to expenses as like 
 companies of this state. 
 
 (c) A Lloyds association, whereby each associate underwriter be- 
 comes liable for a proportionate part of the whole amount insured by a 
 policy, may be admitted to transact insurance, other than life insurance, 
 in the state, upon the same terms and conditions as insurance com- 
 panies of other states of the United States. (2) No capital stock shall 
 be required. (3) Each alien underwriter shall keep and maintain on 
 deposit at all times with the attorney or attorneys in fact for such 
 Lloyds association licensed in this state, a sum in cash or in securities 
 mentioned in section 1903, equal to three times the maximum amount 
 assured by such underwriter on any single risk, or in lieu thereof the 
 Lloyds association may comply with subsection 4 of this section. 
 (4) No underwriter shall assure any liability or any single risk in this 
 state (excluding reinsurance authorized by the laws of this state) in 
 excess of ten per centum of the net worth of such underwriter. (5) A 
 statement of such limit of single risk and of liability, and of such net 
 worth with the names, addresses and occupations of all individual un- 
 derwriters shall be filed with the application for admission, and with 
 each annual statement and oftener as required by the commissioner. 
 
 (d) Individual firms and corporations who make contracts of in- 
 surance among themselves on their own property or risks on the recip- 
 rocal or interinsurance plan, shall not be required to act through a 
 resident agent or use the standard fire policy, but any contract or 
 policy Insuring against loss by fire shall contain in substance the pro- 
 visions of the standard fire policy. 
 
Ch. 89 41 1915—3 
 
 Removal of cause; service of process. 
 
 2. (a) Any such company or other insurer shall first file a written 
 instrument, duly executed, declaring that it desires to transact the 
 business of insurance in this state and that it will accept a license 
 therefor according to the laws of this state, which shall cease and 
 terminate in case such insurer shall remove or make application to 
 remove into any court of the United States any action or proceeding 
 commenced in any court of this state upon a claim or cause of action 
 arising out of any business or transaction done therein, or in case it 
 shall violate or fail to comply with any provision of law applicable to 
 such insurer, or in case its capital shall be impaired to the extent of 
 twenty per cent, and shall not be made good within such time as the 
 commissioner of insurance shall require, if such commissioner shall, 
 in either case declare its license revoked therefor. 
 
 (b) Such insurer shall also appoint, in writing, the commissioner of 
 insurance and his successors in office to be its true and lawful attorney 
 upon whom all legal process in any action or proceeding against it 
 may be served, and in such writing shall agree that any legal process 
 against it which is served on said attorney shall be of the same legal 
 force and validity as if served on the insurer, and that such authority 
 shall continue in force so long as there is any liability outstanding 
 against the insurer in this state, whether the license of such insurer to 
 do business in this state shall remain in force or shall be revoked or 
 otherwise terminated. A copy of such writing, duly certified, shall be 
 filed in the office of the commissioner, and copies certified by him 
 shall be deemed sufficient evidence thereof. 
 
 (c) Service upon such attorney shall be deemed sufficient service 
 for all purposes upon the principal, and shall be as effectual for all 
 purposes as though made upon a corporation or other insurer existing 
 under the laws of this state. The service of such process shall be made 
 by leaving duplicate copies thereof in the hands or office of the com- 
 missioner of insurance and paying to him for the use of the state a 
 fee of two dollars. A certificate by the commissioner of insurance 
 showing such service and attached to the original or a third copy of 
 such process presented to him for that purpose shall be sufficient evi- 
 dence thereof. 
 
 (d) A record shall be kept by the commissioner showing the day 
 and hour when any such process has been so served. He shall also 
 immediately forward by mail a copy of such process to the secretary 
 or attorney in fact of the corporation or other insurer upon whom 
 service shall be so made, or in case of a corporation or other insurer 
 from a foreign country such copy shall be forwarded to the resident 
 manager or attorney in fact, if any, in this country. 
 
 Copy of charter and statement. 
 
 3. It shall file in the office of said commissioner a copy of its charter, 
 duly certified by its secretary, together with a statement verified by 
 the oath of the president, vice president or other chief officer and of 
 the secretary, containing the name of the corporation, place where 
 
1915—6 42 Ch. 89 
 
 located, amount of its capital stock, and a detailed statement of its 
 assets showing the amount of cash on hand and in bank, the amount 
 of real estate, and how much of the same is incumbered by mortgage 
 or otherwise, the number of shares of stock of every kind owned by it, 
 the par and market value of the same, the amount loaned on bond and 
 mortgage and other securities, stating the kind and amount loaned 
 on each, the estimated value of the whole amount of such securities 
 and all its other assets or property and the value thereof; also showing 
 the amount of its indebtedness, the amount of losses adjusted and un- 
 paid, the amount incurred and in process of adjustment, the amount 
 resisted as illegal or fraudulent and all other claims existing against 
 it; and a copy of the last report, if any, made under law of the state by 
 which it was incorporated. 
 
 Minimum limitation of capital; deposit; war. 
 
 4. No such corporation organized under the laws of any foreign 
 government shall take risks in this state unless it has a cash capital 
 of two hundred thousand dollars, and shall have made a deposit with 
 the treasurer of this state, or with the proper officer of some other 
 state of the United States of not less than two hundred thousand 
 dollars in securities authorized by law for investments of the capital 
 by fire insurance corporations, in trust for the benefit of its policy- 
 holders in the United States; and no policy issued by such company to 
 any citizen of this state shall be invalidated by the occurrence of 
 hostilities between the government of the United States and the gov- 
 ernment under the laws of which it was organized. 
 
 Copy of charter and annual reports. 
 
 5. Every such foreign insurance company shall, before admission to 
 do business in this state, furnish to the insurance commissioner a copy 
 of its charter or articles of association, of its last annual report made in 
 the country where it was organized, and the certificate of the officer 
 holding in trust said deposit of two hundred thousand dollars, stating 
 the manner in which the same is invested and the purposes for which 
 the same is held; and it shall furnish annually to the insurance com- 
 missioner a statement of the condition of its affairs in the United States, 
 in such form as he shall require. 
 
 "Capital" defined. 
 
 6. The capital of such foreign insurance company shall, for all the 
 purposes of the insurance laws of this state, be the aggregate value of 
 its money or securities deposited as aforesaid, and all sums loaned on 
 real estate security in any state in the United States, in conformity 
 with the laws of such state providing for the investment of the assets 
 of insurance companies therein, and all other assets In the United 
 States in which fire insurance companies may legally invest; provided, 
 that such real estate securities and assets shall be held in the United 
 States by trustees who are citizens of the United States approved by 
 the insurance commissioner, for the benefit of all its policyholders and 
 creditors in the United States, after making the same deduction from 
 
Ch. 89 43 1915m 
 
 such aggregate value for losses and liabilities in the United States, and 
 for unearned premiums upon risks therein not expired, as is authorized 
 or required by the laws of this state, or by the regulations of its insur- 
 ance department, with respect to fire insurance companies organized 
 under the laws of this state. Such capital shall never be less than 
 that required of domestic companies for the transaction of the 
 same kind or kinds of insurance. 
 
 Copy of resolution appointing trustees; examination. 
 
 7. The trustees referred to in subsection 6 of section 1915 shall be 
 appointed by the directors of such company, and a certified copy of the 
 resolution by which they are appointed and of the deed of trust shall 
 be filed in the office of the insurance commissioner; and he may 
 examine such trustees or the agents of such company, under oath, and 
 its assets, books, and accounts, in the same manner as he may examine 
 the oflicers, agents, assets, books, and accounts, of any company 
 authorized to do fire insurance business in this state. 
 
 Referred to in 2637. 
 
 Interlnsurance. 
 
 Section 1915m. 1. Individuals, partnerships, and corporations of 
 this state, hereby designated subscribers, are authorized to exchange 
 reciprocal or interlnsurance contracts with each other, or with the 
 individuals, partnerships, and corporations of other states and coun- 
 tries, providing indemnity among themselves from any loss which may 
 be insured against under other provisions of the laws excepting life 
 insurance. 
 
 2. Such contracts may be executed by an attorney, agent or other 
 representative herein designated attorney duly authorized and acting 
 for such subscribers. A corporation duly authorized by its charter so 
 to do may act as such attorney. 
 
 3. Such subscribers so contracting among themselves shall, through 
 their attorney, file v/ith the commissioner of insurance a declaration 
 verified by the oath of such attorney, or where such attorney is a cor- 
 poration, by. the oath of its duly authorized officers, setting forth: 
 
 (a) The name of the attorney and the name or designation under 
 which such contracts are issued which name or designation shall not 
 be so similar to any name or designation adopted by any attorney or by 
 an insurance organization in the United States prior to the adoption 
 of stich name or desgnation by the attoroney, as to confuse or deceive. 
 
 (b) The location of the principal office. 
 
 (c) The kind or kinds of insurance to be effected. 
 
 (d) A copy of each form of policy, contract or agreement under or 
 by which insurance is to lie effected. 
 
 (e) A copy of the form of power of attorney under which such in- 
 surance is to be effected. 
 
 (f) That applications have been made for indemnity or insurance 
 upon at least one hundred separate risks aggregating not less than one 
 and one-half million dollars represented by executed contracts or bona 
 fide applications to become concurrently effective; or in case of em- 
 
1915m 44 Ch. 89 
 
 ployers' liability or workmen's compensation insurance, covering a 
 total pay roll of not less than two and one-half million dollars. 
 
 (g) That there is in the possession of such attorney assets amount- 
 ing to not less than the sum required by subsection 6 of this section. 
 
 (h) A financial statement in form prescribed for the annual state- 
 ment. 
 
 (i) The instrument authorizing service of process as provided for 
 in this section. 
 
 4. Concurrently with the filing of the declaration provided for by 
 the terms of subsection 3 of this section, the attorney shall file with 
 the commissioner of insurance an instrument in writing executed by 
 him for said subscribers, conditioned that upon the issuance of certifi- 
 cate of authority provided for in subsection 10 of this section, service 
 of process may be had upon the commissioner of insurance in all suits 
 in this state arising out of such policies, contracts, or agreements, 
 which service shall be valid and binding upon all subscribers exchang- 
 ing at any time reciprocal or interinsurance contracts through such 
 attorney. Three copies of such process shall be served and the com- 
 missioner of insurance shall file one copy, forward one copy to said 
 attorney, and return one copy with his admission of service. 
 
 5. There shall be filed with the commissioner of insurance, by such 
 attorney, a statement, under the oath of such attorney, showing the 
 maximum amount of indemnity upon any single risk, and such attorney 
 shall, whenever and as often as the same shall be required, file with 
 the commissioner of insurance a statement verified by his oath to 
 the effect that he has examined the commercial rating of such sub- 
 scribers as shown by the reference book of a commercial agency having 
 at least one hundred thousand subscribers, and that from such examina- 
 tion, or from other information in his possession, it appears that no 
 subscriber has assumed on any single risk an amount greater than 
 ten per cent of the net worth of such subscriber. 
 
 6. The attorney in fact shall have on hand at all times assets in 
 cash or securities authorized by the laws of the state in which the 
 principal office of the exchange is located for the investment of funds 
 of insurance companies doing the same kind of business an amount 
 equal to one hundred per cent of the net unearned premiums or deposit 
 collected and credited to the account of subscribers, or fifty per cent of 
 the net annual advance premium or deposits collected and credited to 
 the account of subscribers on policies having one year or less to run, 
 and pro rata on those for a longer period. In addition to the foregoing 
 sum there shall be on hand at all times in cash or such securities assets 
 equal to all liabilities on account of outstanding losses and other ac- 
 crued obligations of such exchange. Net premiums or deposits as used 
 in this section shall be construed to mean the advance payments made 
 by subscribers before deducting therefrom the amount provided in the 
 subscriber's agreement for expenses, provided, however, that insurance 
 organizations subject to the provisions of this section collecting ex- 
 pense funds separate from other premiums or deposits shall carry such 
 a reasonable reserve on such expense items as may be required by the 
 
Ch. 89 45 1915m 
 
 commissioner of insurance in accordance with section 1899. If at any- 
 time the a.^sets on hand are less than the foregoing requirements or 
 less than ore hundred thousand dollars, whichever is the greater, when 
 the attorney in fact is exchanging contracts covering employers' liabil- 
 ity or workmen's compensation insurance, the subscribers or their at- 
 torney in fact for them shall make up the deficiency within thirty days 
 after notice from the commissioner of insurance so to do. Whenever 
 such assets are less than the amount above required, or less than fifty 
 thousand dollars, whichever is the greater, if the attorney in fact is 
 exchanging contracts other than those covering employers' liability or 
 workmen's compensation insurance, the subscribers or their attorney 
 in fact for them shall make up the deficiency within thirty days after 
 notice from the commissioner of insurance so to do. No obligation for 
 borrowed money shall be incurred on behalf of any exchange. 
 
 7. Such attorney shall, within the time limited for filing the annual 
 statement by insurance companies transacting the same kind of busi- 
 ness, make a report to the commissioner of insurance for each calen- 
 dar year showing the financial condition of affairs at the office where 
 such contracts are issued, and shall furnish such additional information 
 and reports as may be required; provided, however, that such attorney 
 shall not be required to furnish the names and addresses of any sub- 
 scribers nor the loss ratio. The business affairs and assets of such 
 organizations shall be subject to examination by the commissioner of 
 insurance. 
 
 8. Any corporation now or hereafter organized under the laws of 
 this state shall, in addition to the rights, powers and franchises speci- 
 fied in its articles of incorporation, have full power and authority to 
 exchange insurance contracts of the kind and character herein men- 
 tioned. The right to exchange such contracts is hereby declared to 
 be incidental to the purposes for which such corporations are or- 
 ganized and as much granted as the rights and powers expressly con- 
 ferred. 
 
 9. Any attorney who shall, except for the purpose of applying for a 
 certificate of authority as herein provided, exchange any contracts of 
 indemnity of the kind and character specified in this section, or directly 
 or indirectly solicit or negotiate any applications for same without 
 first complying with the foregoing provisions, shall be deemed guilty of 
 a misdemeanor, and upon conviction thereof shall be subject to a fine 
 of not less than one hundred dollars, nor more than one thousand 
 dollars. 
 
 10. Each attorney, by or through whom are issued any policies of or 
 contracts for indemnity of the character referred to in this section, 
 shall procure from the commissioner of insurance annually a certificate 
 of authority stating that all the requirements of this section have been 
 complied with, and upon such compliance and the payment of the fees 
 required by this section, the commissioner of insurance shall issue such 
 certificate. In case of a breach of any of the conditions imposed by 
 law, the commissioner of insurance may revoke the certificate of au- 
 thority issued hereunder. 
 
1916 46 Ch. 89 
 
 11. In lieu of all other taxes, liceuses, or fees whatever, state or 
 local, such attorney shall pay annually on account of the transaction 
 of such business in this state, a filing fee of twenty-five dollars, and 
 a license fee of two per cent upon the gross premiums or deposits 
 during the preceding calendar year, deducting all amounts returned to 
 subscribers or credited to their accounts other than for losses, except 
 that the fee shall be at the rate of two and three-eighths per cent upon 
 the same basis for the insurance mentioned in subsection 1 of section 
 1897, and that from such latter fees there shall be set apart the fire 
 department dues and the fire marshal tax mentioned in sections 1926 
 and 1946n, respectively. 
 
 12. The attorney in fact may purchase reinsurance upon the risk of 
 any subscriber at the exchange. No attorney in fact shall, however, 
 grant reinsurance upon any risk or risks insured by any other insurance 
 carrier. Any exchange operating in this state may however consolidate 
 with or reinsure its entire business in another exchange. If the prin- 
 cipal office of any exchange entering into such contract of consolidation 
 or reinsurance is located in this state the contract for such consoli- 
 dation or reinsurance shall be submitted to and approved by the com- 
 missioner of insurance of this state before being effective. 
 
 13. Failure of the attorney to file the appointment required in sub- 
 section 4 of section 1915m or failure on the part of any subscriber to 
 authorize the attorney to do so shall not invalidate any service made 
 by serving upon the commissioner of insurance. By accepting a license 
 to transact business in this state every such attorney in fact and each 
 of the subscribers shall be held to have appointed the commissioner 
 of insurance the agent and attorney for each of them to accept service 
 of summons or other process and such authority shall continue so long 
 a3 any liability remains unsatisfied against any of such members on any 
 contract or contracts issued by such attorney. Any judgment recovered 
 in any action where the summons or other process has been served 
 upon the commissioner of insurance shall be binding upon each of the 
 subscribers at such exchange the same as if personal service was had 
 upon each of such subscriTjers. 
 
 14. Subdivision (g) of subsection 3 and subsection 6 of section 
 1915m shall not apply to any attorney in fact or subscriber holding a 
 certificate of authority from the commissioner of insurance of this state 
 when this act is passed until the first day of July, 1917. 
 
 15. Except as herein provided, no law relating to fire insurance 
 shall apply to reciprocal or interinsurance contracts or the execution 
 thereof. 
 
 Issue and expiration of license. 
 Section 1916. 1. The cbmmissioner of insurance shall, upon being 
 satisfied that any such insurance corporation has fully complied with 
 all provisions of law applicable thereto, and that the interests of the 
 people of the state are not jeopardized by dealing with such corpora- 
 tion, deliver to such corporation a license to transact business in this 
 state as prescribed in these statutes, and shall renew the same from 
 
Ch. 89 47 1916—5 
 
 year to year so long as such corporation shall desire to do business In 
 this state, and shall have complied with all of the laws thereof, and its 
 capital, securities, and investments remain as required by law, and 
 shall give to every agent of such corporation a certificate that such 
 corporation has complied with all the provisions of law and is author- 
 ized to transact business in this state, which shall continue in force 
 unless sooner revoked in case of fire, marine, or inland navigation 
 or transportation and mutual hail corporations, until the thirty-first 
 day of January next after the date thereof, and in case of life or acci- 
 dent corporations until the first day of March next after the date there- 
 of, and shall be annually renewed. 
 
 Supervision of foreign corporations. 
 
 2. The commissioner of insurance shall have the same supervision 
 and make the same examination of the business and affairs of every 
 foreign insurance corporation doing business in this state, as of do- 
 mestic insurance corporations doing the same kind of business, and of 
 its assets, books, accounts, and general condition. Every such foreign 
 corporation and its agents and officers shall always be subject to and 
 be required to make the same statements and answer the same in- 
 quiries and be subject to tlie same examinations, and, in case of default 
 therein, to the same penalties and liabilities as domestic insurance cor- 
 porations doing the same kind of business, or any of the agents or 
 officers thereof, are or may be liable to under the laws of this state or 
 the regulations of the insurance department. 
 
 Visitation of foreign corporations. 
 
 3. The commissioner may, whenever he deems it necessary, either 
 in person or by a proper person appointed by him, repair to the general 
 office of such foreign corporation, wherever the same may be, and 
 make an investigation and examination of its affairs and conditions. 
 He may cancel and revoke the certificate of any such foreign corpora- 
 tion refusing or unreasonably neglecting to comply with the provisions 
 of this section or to allow the examination herein provided for to be 
 made, and prevent such corporation from further continuance in busi- 
 ness in this state. 
 
 Parity with domestic companies. 
 
 4. A foreign insurance corporation may transact in this state only 
 such kinds of business as, under the laws of this state, a like domestic 
 insurance corporation is authorized to transact. 
 
 Authority limited by certificate. 
 
 5. No such corporation shall transact any business in this state not 
 specified in the certificate of authority granted by the commissioner 
 of insurance. 
 
 Section 1916 is referred to in section 20.55 C3). 
 
1919 48 Ch. 89 
 
 Fee; conditions; revocation of license. 
 Section 1917. 1. No insurance corporation shall transact any insur- 
 ance business in this state without first having paid the license fees 
 and obtained the license therefor as required by law. 
 
 2. (a) If any such corporation shall remove or make application to 
 removo into any court of the United States any action or proceeding 
 commenced in any court of this state upon a claim or cause of action 
 arising out of any business or transaction done in this state; or (b) 
 if it shall violate or fail to comply with any provision of law applicable 
 thereto; or (c) in case its capital shall be impaired to the extent of 
 twenty per cent and shall not be made good within such time as the 
 commissioner of insurance shall require, according to law;'(d) it shall 
 be the imperative duty of the commissioner to revoke any and every 
 authority, license or certificate granted to such corporation or any 
 agent thereof to transact any business in this state, and no such cor- 
 poration or agent thereof shall thereafter transact any business of in- 
 surance in this state until again duly licensed. 
 
 3. In case such revocation shall be made because of the removal of 
 any action to any court of the United States no renewal, license or 
 certificate of authority shall be granted to such corporation for three 
 years after such revocation. 
 
 4. Whenever any such license shall be revoked the commissioner 
 shall give notice of such revocation by mail to every agent of such 
 corporation who shall have obi rained any certificate of authority there- 
 for and shall also publish notice thereof in the oflScial state paper. 
 
 License revocable as to any one kind of insurance. 
 
 5. If an insurance company shall hold a certificate of authority to 
 transact fnore than one kind of insurance, the commissioner shall have 
 power to annul or revoke such certificate as to one or more kinds of in- 
 surance authorized therein for the same cause and in the same manner 
 that he is authorized to annul or revoke such certificate for all kinds 
 of insurance authorized therein. 
 
 Withdrawal of securities. , 
 
 Sectiox 1918. Whenever any such foreign corporation shall elect to 
 discontinue business in this state and shall have risks unexpired on 
 property insured therein it shall, before withdrawing its bonds or other 
 securities deposited with the treasurer, reinsure in some good and 
 solvent corporation authorized to transact business in this state all 
 such unexpired risks to the satisfaction of the insured and the com- 
 missioner of insurance, and when so reinsured the said commissioner 
 shall certify the fact to the treasurer, who shall thereupon, and not 
 otherwise, surrender and deliver its bonds and other securities in 
 his custody. 
 
 Service of process. 
 Section 1919. If the license of any such corporation, not organized 
 under any other law of this state, shall be revoked or it shall cease 
 to transact business in this state the attorney last appointed and the 
 
Ch. 89 49 1919d 
 
 agents last designated as acting as such for it shall continue attorney 
 and agents for the purpose of serving process for commencing actions 
 upon any policy or liability incurred or contracted in this state while it 
 transacted business therein so long as any such liability shall exist. 
 
 Agents to be residents; exceptions; penalty. 
 Section 1919a. 1. No policy of insurance shall be issued or delivered 
 in this state by any company, except through an agent who shall be a 
 resident of this state and hold a certificate of authority under section 
 1976, for the kind of insurance effected by such policy. 
 
 2. In case of fire insurance, the agent shall countersign and enter 
 the policy in a permanent record to be kept by him for that purpose. 
 Such agent shall be paid the commission on the policy. 
 
 3. The books of every person transacting or purporting to transact 
 the business of an insurance agent shall at all times be open to the 
 inspection of the commissioner of insurance, his deputy or examiners, 
 and a refusal to permit such inspection shall be prima facie evidence 
 of a violation of this section. 
 
 4. This section shall not prevent any insurance placed in violation 
 thereof taking effect. 
 
 5. Any company or person soliciting or placing insurance without 
 complying with this section shall, in addition to other penalties pro- 
 vided by law, be liable personally upon such policy or contract of in- 
 surance to the same extent as the company issuing the same. 
 
 6. This section shall not apply to: 
 
 (a) Policies issued directly from the home office of any company 
 organized under the laws of this state. 
 
 (b) Policies covering property in transit while in the possession or 
 custody of any common carrier, or the rolling stock or other property 
 of any common carrier used and employed by it as a common carrier 
 of freight or passengers. 
 
 (c) Policies issued directly, by any mutual company or any associa- 
 tion doing business on the interinsurance or reciprocal plan, on which 
 no commissions are paid, except to a home office manager or an attor- 
 ney in fact for such company or association, as specifically authorized 
 by the insured. 
 
 7. Any company or agent violating this section shall be subject to 
 the penalty provided by subsection 5, of section 1955o. 
 
 Section WlOa is referred to in sections 1919g, 1919m. 
 Sections 1919b and 1919c. [Repealed by ch. 637, 1913]. 
 
 Report concerning reinsurance; effect of not making report. 
 Section 1919d. Every fire insurance company or association shall 
 annually and at such other times as the commissioner of insurance may 
 require, in addition to all returns now by law required of it or its 
 agents or managers, make a return to the commissioner of insurance 
 in such form and detail as may be prescribed by him, of all reinsur- 
 ance or cessions of risk or liability contracted for or effected by it, 
 
1919f 50 Ch. 89 
 
 whether by issue of policy, entry on bordereau, or general participation 
 agreement, or by excess loss reinsurance or in any other manner what- 
 soever, upon property located in this state, or covering, whether speci- 
 fied or otherwise, any risk or liability upon property so located, such 
 return to be certified by the oath of its president and secretary, if a 
 company or association of one of the United States, and, if a company 
 or association of a foreign country, by the oath of its managers in the 
 United States as to such reinsurance or cessions effected through its 
 branch office in the United States, and by the oath of its president and 
 secretary, or by officers corresponding thereto, at its home office 
 wherever located, as to reinsurance as aforesaid contracted for or 
 effected through the foreign office. The refusal of any such company 
 or association to make the returns herein required shall be presumptive 
 evidence that it is guilty of violating the provisions of section* 1919b, 
 and shall subject it to the penalties prescribed and imposed by sections 
 1919a to 1919g, inclusive. 
 
 Section 1919(1 is referred to in sec. 1919g. Compare sectiOTis 1905, 1919e. 
 'Repealed in 191S. 
 
 Penalty for violating lafw; nonpayment of judgment. 
 
 Sec'Tiox 1919e. Any insurance company or association wilfully vio- 
 lating or failing to observe and comply with any of the provisions of 
 sections 1919a to 1919g, inclusive, applicable thereto, shall be subject 
 to and liable to pay a penalty of five hundred dollars for each violation 
 thereof and for each failure to observe and comply with any of the 
 provisions of sections 1919a to 1919g, inclusive; such penalty may be 
 collected and recovered in an action brought in the name of the state 
 in any court having jurisdiction thereof. Any insurance company or 
 association which shall neglect and refuse for thirty days after judg- 
 ment in any such action to pay and discharge the amount of such 
 judgment shall have its authority to transact business in this state re- 
 voked by the commissioner of insurance and such revocation shall con- 
 tinue for at least one year from the date thereof, nor shall any Insur- 
 ance company or association whose authority to transact business in 
 this state shall have been so revoked, be again authorized or permitted 
 to transact business herein until it shall have paid the amount of any 
 such judgment and shall have filed in the office of the commissioner 
 of insurance a certificate signed by its president or other chief officer 
 to the effect that the terms and obligations of the provisions of sections 
 1919a to 1919g, inclusive, are accepted by it as a part of the conditions 
 of its right and authority to transact business in this state. 
 
 Referred to in 1919g. 
 
 Unauthorized Insurance; duty of commissioner. 
 Section 19l9f. Any company or person who shall solicit or place 
 insurance in a fire insurance company not authorized to do business In 
 this state shall, in the event of the failure of such unauthorized com- 
 pany to pay any claim or loss within the policy issued, be liable to the 
 Insured for the amount thereof to the extent that such company would 
 have been liable; and such company or agent shall, on satisfactory 
 
Ch. 89 51 1919m 
 
 proof of violation of either of the foregoing provisions made to the 
 commissioner of insurance, have its or his authority to transact busi- 
 ness in this state revoked for a period of not less than ninety days, 
 and shall not again be permitted to do business herein until all liability 
 for such violation shall be discharged and the provisions of these stat- 
 utes concerning the admission of foreign fire insurance companies to do 
 business in this state be complied with. Whenever said commissioner 
 shall receive notice of the violation of any provision of this section he 
 shall forthwith in person or by his deputy, visit the office of the com- 
 pany or any insurance agent charged with such violation, and demand 
 an inspection of the books and records thereof; and any company or 
 such agent refusing to permit such inspection shall be deemed guilty 
 of violating this section, and such commissioner shall enforce the 
 penalties herein provided against the same. 
 Referred to in 1919g. 
 
 Construction of foregoing provisions concerning reinsurance. 
 Section 1919g. Nothing contained in sections 1919a to 1919f, in- 
 clusive, shall be construed as preventing any insurance company which 
 has lawfully issued a policy of insurance upon property within this 
 state, from reinsuring said risk or any portion thereof, in any authorized 
 company without having said policy of reinsurance signed by a local 
 agent in this state. 
 
 Surplus lines, unauthorized companies; agents; bond; report; 
 penalty. 
 
 Section 1919m. 1. The commissioner of insurance, in consideration 
 of the yearly payment of fifteen dollars, and in cities having more than 
 one hundred thousand inhabitants, of fifty dollars, may issue to any 
 agent holding a certificate of authority under section 1976 a license 
 terminating on the thirty-first day of January next succeeding, revo- 
 cable at any time, permitting such agent to act as agent in procuring 
 policies of fire insurance from any corporations, associations, partner- 
 ships, or persons, herein called companies, which are not authorized 
 to do business in this state. 
 
 2. Before any insurance shall be procured under said license, there 
 shall be executed by the agent an affidavit which shall be filed with 
 the commissioner within thirty days after the date of the policy. Such 
 affidavit shall entitle the agent making it to effect unauthorized insur- 
 ance for one year succeeding the date thereof. Such affidavit shall set 
 forth that the agent is, after diligent effort, unable to procure the 
 amount of insurance required to protect the property described in said 
 affidavit, from the companies authorized and licensed to transact busi- 
 ness in this state. 
 
 3. The insured may in writing relieve the agent from the personal 
 liability imposed by section 1919a, which release shall affect all insur- 
 ance written within one year after the date thereof. 
 
1920 52 Ch. 89 
 
 4. The agent procuiing policies in any unauthorized company shall 
 keep a separate account thereof, open at all times to the inspection 
 of the commissioner, showing: 
 
 (a) The amount of such insurance; 
 
 (b) The gross premiums charged thereon; 
 
 (c) The return premiums on cancellation; 
 
 (d) In what company the insurance is placed; 
 
 (e) Date of the policy; 
 
 (f) The term thereof; 
 
 (g) A copy of the form of policy; and 
 
 (h) Separately, the cities, towns, and villages in which the insured 
 property is located. 
 
 5. Such agent shall annually, before the first day of February in 
 each year, make a report to the commissioner for the preceding cal- 
 endar year on such form as prescribed by him, of the facts required 
 by subsection 4, and pay to the state through the commissioner the tax 
 in the manner and at the time provided by section 1211 — 31. 
 
 6. Each agent receiving such license shall, before transacting busi- 
 ness thereunder, execute and deliver to the commissioner a bond to 
 the people of the state in the penal sum of one thousand dollars, with 
 such sureties as the commission shall approve, conditioned that the 
 said agent will faithfully comply with all the requirements of this 
 section. 
 
 7. In default of the payment to said commissioner of the tax herein 
 provided for, he may sue for the same in any court of record of this 
 state. 
 
 8. Any violation of this act shall subject the agent to a revocation 
 of his license. 
 
 REPORTS 
 
 When to be made; contents. 
 
 Section 1920. The president or vice-president and secretary of each 
 fire, inland navigation or transportation insurance corporation, except 
 mutual fire insurance corporations organized under the laws of this 
 state and licensed to do business therein, shall annually on or before 
 February twentieth, prepare and deposit in the office of the commis- 
 sioner of insurance a statement, verified by their oaths, of the business 
 of the corporation during the year and the condition thereof on the 
 thirty-first day of December then next preceding, exhibiting the fol- 
 lowing items: 
 
 First. The amount of the capital stock of the corporation. 
 
 Second. The property or assets of the corporation, specifying: 
 
 (1) The value, as near as may be, of the real estate held by such 
 corporation. 
 
 (2) The amount of cash on hand in such corporation's office and 
 also the amount deposited in bank to the credit of such corporation, 
 and specifying in what bank or banks the same is deposited. 
 
Ch. 89 53 1920 
 
 (3) The amount of loans secured by bonds or mortgages, constitut- 
 ing the first lien on real estate on which there shall be less than one 
 year's interest due or owing. 
 
 (4) The amount of loans on which interest shall not have been paid 
 within one year previous to such statement. 
 
 (5) The amount due the corporation on which judgments have been 
 obtained. 
 
 (6) The amount of stocks of this state, of the United States, of any 
 incorporated city of this state and of any other stocks owned by the 
 corporation, specifying the amount, number of shares and the par and 
 market value of each kind of stock so held. 
 
 (7) The amount of stocks held thereby as collateral security for 
 loans with the amount loaned on each kind of stock, its par value and 
 market value. 
 
 (8) The amount of the assessments on stocks or premium notes, 
 paid and unpaid. 
 
 (9) The amount of interest actually due and unpaid. 
 
 (10) The amount of premium notes on hand on which policies are 
 in fqrce. 
 
 (11) The amount and the manner of the investment of its guaranty 
 surplus fund, if any. 
 
 (12) The amount and manner of the investment of the special 
 reserve fund, if any. 
 
 Third. The liabilities of such corporation, specifying: 
 
 (1) The amount of losses due and unpaid. 
 
 (2) The amount of claims for losses resisted by the corporation. 
 .,;(3) The amount of losses incurred during the year, including those 
 claimed and not yet due and those reported to the corporation upon 
 which no action has been taken. 
 
 (4) The amount of dividends declared due and unpaid. 
 
 (5) The amount of dividends, either cash or scrip, declared not yet 
 due. 
 
 (6) The amount of money borrowed and security given for the pay- 
 ment thereof. 
 
 (7) The amount required to reinsure all outstanding risks. 
 
 (8) The amount of all other existing claims against the corporation. 
 
 Fourth. The income of the corporation during the preceding year, 
 specifying: 
 
 (1) The amount of interest money received. 
 
 (2) The amount of cash premiums received. 
 
 (3) The amount of notes received for premiums. 
 
 (4) The amount of income received from other sources. 
 
 (5) The amount received in cash premiums for insuring property in 
 this state. 
 
 (6) The amount received in premium notes, in cash notes, and the 
 amount received from other sources in this state. 
 
1921—1 54 Ch. 89 
 
 Fifth. The expenditures during the preceding year, specifying: 
 
 (1) The amount of losses paid during the year, stating how much 
 accrued prior and how much subsequent to the date of the preceding 
 statement. 
 
 (2) The amount of dividends paid during the year. 
 
 (3) The amount of expenses during the year, stating the amount 
 paid officers, salaries and fees; the amount paid agents, commissions 
 and fees, and the amount paid for office expenses and rent; the amount 
 paid for taxes, and the amount of all other payments and expenditures. 
 
 (4) The amount paid in this state for salaries, commissions to 
 agents and for losses. 
 
 Sixth. Any other items or facts which the commissioner of insurance 
 may require. 
 
 The statement of every such corporation whose capital is composed 
 in whole or in part of notes shall show the amount of notes originally 
 forming such capital and what portion of them is still held by such cor- 
 poration and considered capital. 
 
 The statement of any such foreign corporation shall set forth its busi- 
 ness and affairs in the United States, duly verified by its resident man- 
 ager in the United States. For any failure to make and deposit such 
 annual statement or to promptly reply in writing to any inquiry ad- 
 dressed by the commissioner of insurance in relation to the business 
 of any such corporation or for wilfully making any false statement 
 therein, every such corporation or officer so failing or making such 
 false statement shall forfeit and pay to the state the sum of five hun- 
 dred dollars, and for neglecting to file such annual statement an addi- 
 tional five hundred dollars for every month that such corporation shall 
 continue thereafter to transact any insurance business in this state 
 until such statement be filed. 
 
 Receivers, statement by. 
 
 Section 1921. All receivers and trustees of any such insurance cor- 
 poration shall, in the month of January in each year and at any other 
 time when requested by the commissioner of insurance, make and file 
 annual and other statements of their assets and liabilities and of their 
 income and expenditures in the same manner and form as the offic^ri; 
 of such corporations are required by law to do and under the same 
 penalties for a failure or neglect so to do. 
 
 COMPENSATION INSURANCE BOARD 
 
 "Company" defined. 
 SfXTioN 1921 — 1. The word "company" whenever used in this act 
 means any insurance carrier authorized, by license issued by the de- 
 partment of insurance, to transact the business of workmen's compensa- 
 tion insurance in this state. 
 
Ch. 89 55 1921—5 
 
 Compensation insurance board created. 
 
 Section 1921 — 2. There is hereby created a board to be known as the 
 "Compensation Insurance Board." Said board shall consist of the com- 
 missioner of insurance, one member of the industrial commission to be 
 chosen by that commission, and a third person to be appointed by the 
 governor. The member of the industrial commission shall serve at the 
 pleasure of that commission. The person appointed by the governor 
 shall be versed in the subject of workmen's compensation insurance 
 and in the making of rates therefor. His term shall be for five years 
 and his salary shall be fixed by the governor at a sum not exceeding 
 three thousand five hundred dollars per year. He shall take and file 
 with the secretary of state the constitutional oath of office before 
 entering upon the discharge of his duties. 
 
 Establishment of board. 
 Section 1921 — 3. The member of the industrial commission may ap- 
 point any other member of that commission to act in his place on said 
 board, and the person so appointed shall have all the rights, powers, and 
 obligations that said member would have if present in person. The 
 members of said board, except the person appointed by the governor, 
 shall serve without compensation other than that received in their 
 regular positions. A majority of said board shall constitute a quorum 
 for the transaction of business and the performance of the duties of the 
 board. The said board shall maintain an office in the department of in- 
 surance at the state capitol, but it may hold sessions or conduct investi- 
 gations at any place in the state other than the capitol when deemed 
 necessary to facil.tate the discharge of its duties. 
 
 Organization of board. 
 Section 1921 — 4. The compensation insurance board shall organize 
 by electing one of its members chairman and another of its members 
 secretary. The secretary shall keep full minutes of all hearings, 
 transactions, and proceedings by or before the said board. The board 
 shall have power to make all needful rules for the orderly perform- 
 ance of its duties, and to prescribe the procedure for the conduct of 
 hearings and other proceedings before it. The board shall also have 
 power to employ such persons as may be necessary for the proper 
 discharge of its duties. 
 
 Testimonial powers. 
 
 Section 1921 — 5. In all hearings before, or investigations conducted 
 by said board, any member thereof shall have power to issue sub- 
 poenas requiring the attendance of witnesses and the production of 
 books, records, and papers, and shall have power to administer oaths. 
 Any person who shall testify falsely in any material matter under con- 
 sideration by said board shall be guilty of and punished for perjury. 
 Subpoenas or other process issued by the said board shall be served as 
 a summons in the circuit court. In case any witness shall fail to obey 
 any summons to appear before the board or shall refuse to testify or 
 
1921—9 56 Ch. 89 
 
 answer any material question or to produce records, books, papers, or 
 documents when required so to do, such failure or refusal shall be 
 reported to the attorney-general, who shall thereupon institute pro- 
 ceedings in the proper circuit court to compel obedience to any sum- 
 mons or order of the board or to punish witnesses for any such neglect 
 or refusal. 
 
 Appointment of person to hold hearing. 
 Section 1921 — 6. Said board shall have power to appoint and author- 
 ize any person chosen by it to hold hearings, make investigations and 
 examinations with reference to any subject over which said board has 
 or may have jurisdiction. The person so appointed shall have all the 
 powers in relation to said hearing, investigation or examination that 
 such board would have if itself acting, but shall report in. writing the 
 result of such hearing, examination or investigation and any testimony 
 taken by him to the board. Whether such powers are specifically 
 enumerated or not, the said board shall have full power to perform 
 the duties conferred or imposed upon it by law. 
 
 Merit rating; pure premium; expense loading. 
 Section 1921 — 7. For the purpose of providing for the solvency of 
 companies writing workmen's compensation insurance in this state 
 the compensation insurance board shall approve a minimum adequate 
 pure premium for each classification under which such business is 
 written. The board shall, in approving such pure premium, make use 
 of the experience which may from time to time be available, and of 
 such other helpful information as may be obtainable. For the purpose 
 of uniformity and equality the board shall, after consultation with com- 
 panies, approve a system of schedule or merit rating for use in writ- 
 ing of such business in this state. No system of schedule or merit 
 rating except the one so approved shall be used in this state. The 
 board shall also approve maximum and minimum expense loadings to 
 be incorporated in premiums collected on such business in this state. 
 In the approval of rates and pure premiums the compensation insur- 
 ance board shall take into account the fluctuation resulting from the 
 use of schedule or merit rating. 
 
 Survey of risk. 
 Sectio.n 1921 — 8. The compensation insurance board may at any 
 time require a survey and report by the bureau herein provided for 
 of any risk regarding which complaint may have been made. Its ap- 
 proval of any premium rate or classification may be withdrawn by 
 the board upon ten days' notice to the parties interested. Premium 
 rates or systems of schedule or merit rating shall not take into account 
 the physical impairment of employes or experience rating. 
 
 Classification of risks. 
 Section 1921 — 9. No classification for compensation insurance pur- 
 poses shall be effective until approved as corroct by the compensation 
 
Ch. 89 57 1921—12 
 
 insui'ance board. No rule or regulation with reference to compensation 
 risks filed by any company or by the bureau herein provided shall be 
 effective until approved by such board. If it shall appear at any time 
 that reasonable doubt on the part of the compensation insurance board 
 as to the proper classification or rate for any risk exists, such risk 
 may be bound for insurance subject to rate and classification to be 
 established therefor. 
 
 Pay roll audit. 
 
 Section 1921 — 10. Pay roll audits by companies shall show division 
 by classification, if any, and shall be correct as to the amount and as to 
 such division and shall be reported to the industrial commission 
 through the compensation insurance board. The board may verify any 
 pay roll audit by a reaudit of the books of the employer or in such 
 other manner as may to it appear most expedient. Upon written com- 
 plaint stating facts sufficient to warrant action by it, said board shall 
 verify any pay roll audit reported to it. 
 
 Investigations; court review. 
 Section- 1921—11. The compensation insurance board shall have 
 power, upon its own motion or upon the written complaint of any per- 
 son having a direct interest, to review the acts of any company, bureau, 
 or agent subject to the provisions of this section, and to make findings 
 and orders requiring compliance with the provisions hereof. Such 
 review before the board shall be upon due notice to the parties inter- 
 ested, and its findings or orders sliall be made after a hearing before 
 it, and in all cases shall be subject to summary review by the circuit 
 court of Dane county. During such court review the operation of the 
 board's order shall be suspended, but in the event of final determina- 
 tion against an insurer, any overcharge made during the pendency of 
 such proceedings shall be refunded to the person entitled thereto. All 
 written complaints under this section shall be verified, and may be 
 upon information and belief of the person complaining. A copy of 
 such complaint shall be served upon the company, bureau, or person 
 against whom the complaint is directed, and each of such parties in 
 interest shall be entitled to at least ten days' notice of any hearing 
 thereon. When the action is upon the board's own motion any com- 
 pany or person affected shall be entitled to at least ten days' notice 
 of a hearing upon the matter to be inquired into. Any finding or 
 order made by the board as a result of an investigation upon its own 
 motion shall be subject to court review as herein provided. 
 
 Rating bureau. 
 
 Section 1921 — 12. Every company transacting the business of work- 
 men's compensation insurance in this state shall be a member of a 
 bureau to be maintained in this state for the following purposes: 
 
 1. To separate the industries of this state that are subjects of work- 
 men's compensation insurance into proper classes for compensation 
 insurance purposes; to make inspections of compensation risks and to 
 
1921—15 58 Ch. 89 
 
 apply thereto the schedule or merit rating system approved for use in 
 this state; to establish charges and credits under such system and to 
 make reports showing all facts affecting such risks as the subject 
 of compensation insurance. 
 
 2. To assist the compensation insurance board and companies In 
 approving rates, delerminrng hazards, and other material facts in con- 
 nection with compensation risks and to assist in promoting safety In 
 the industries. 
 
 Organization and government of rating bureau. 
 
 Sectio.n 1921 — 13. The bureau shall be organized by the companies 
 writing workmen's compensation insurance in this state within thirty 
 days after the passage and publication of this act. The commissioner 
 of insurance shall fix a time and place for the first meeting of repre- 
 sentatives of such companies to organize the bureau. Notice of such 
 meeting shall be given to each company authorized to write workmen's 
 compensation insurance in this state at least ten days before such 
 meeting. The bureau shall make by-laws for its government and for 
 the government of its members. Such articles and by-laws and all 
 amendments thereto shall be filed with and approved by the compen- 
 sation insurance board and shall not be effective until so filed and 
 approved. Such bureau shall admit to membership any company au- 
 thorized to transact workmen's compensation insurance in this state. 
 The charges and service of such bureau shall be equitable and non- 
 discriminatory as between member companies. 
 
 Assessment for operation expense of bureau. 
 Section 1921 — 14. Each company which is a member of such bureau 
 shall pay an equitable and nondiscriminatory share of the cost of 
 operating the bureau. If the members of the bureau cannot agree upon 
 an apportionment of cost, any member may, in writing, petition the 
 compensation insurance board to establish a basis for apportioning 
 such cost. If any member is aggrieved by an apportionment made by 
 the bureau it may, in writing, petition the board for a review of such 
 apportionment. The board shall, upon not less than five days' notice 
 to each member of the bureau, ho'.d a hearing upon any such petition, 
 at which all members shall be entitled to be present and be heard. 
 The board shall determine the matter and mail a copy of its decision 
 to each member of the bureau. The decision of the board shall be 
 final and binding upon all members of the bureau. 
 
 Representation in the bureau. 
 Section 1921 — 15. Each class of insurers, to- wit, stock companies, 
 mutual companies, and interinsurers which are members of such bu- 
 reau shall be represented in the bureau management and on commit- 
 tees as provided in the by-laws, but the participating and nonpartici- 
 pating companies shall have equal representation on the governing or 
 managing committee and also on the rating committee of the bureau. 
 One-half the members of each committee shall be chosen by the par- 
 
Ch. 89 59 1921-18 
 
 ticipating companies and one-half by the nonparticipating companies. 
 Each member company shall be entitled to one vote. In case of a tie 
 vote upon any committee the compensation insurance board shall cast 
 the deciding vote. 
 
 License of bureau. 
 
 Section 1921—16. The bureau shall procure annually from the com- 
 missioner of insurance a license to carry on its business. The license 
 year for such bureau shall be from March first to the last day of 
 February succeeding. The bureau shall pay to the state, through the 
 commissioner of insurance, an annual license fee of one hundred dol- 
 lars, such fee to be paid at the time of filing application for license. 
 The commissioner of insurance shall prescribe blanks and make needed 
 regulations governing the licensing of the bureau.. 
 
 Annual report of bureau; supervision. 
 Section 1921 — 17. The bureau shall annually on or before March 
 first, file with the compensation insurance board a statement covering 
 its activities for the year ending on the preceding thirty-first day of 
 December. Such report shall cover its financial transactions and also 
 other matters connected with its operation as required by the board. 
 The board shall prescribe the form of such report. The bureau shall 
 be subject to supervision and examination by the compensation in- 
 surance board or any examiner authorized by it. Examinations may 
 be made as often as deemed expedient. The expense of such examina- 
 tion shall be paid by the bureau. 
 
 Bureau classification and survey of risks. 
 
 Section 1921—18. The bureau shall on behalf of all its members 
 assign each compensation risk and subdivision thereof in this state 
 to its proper classification. Such determination as to the proper classi- 
 fication by the bureau shall be subject, however, to the approval of 
 the compensation insurance board as herein provided. The bureau 
 shall also on behalf of all members thereof inspect and make a writ- 
 ten survey of each risk to which the system of schedule or merit 
 rating approved for use in this state is applicable. It shall, on be- 
 half of all the members thereof, file with the compensation insurance 
 board its classification of risks and also the written surveys of all 
 risks inspected by it, showing charges and credits if any, and such 
 other facts as are material in the writing of insurance thereon. It 
 shall also file any subsequent proposed classification or later survey 
 and all rules and regulations which do or or may affect the writing of 
 such risks. Any company may file with the bureau and the board, 
 rules and regulations governing such company in its writings. The 
 bureau classification shall be binding upon all companies. The com- 
 pensation insurance board and also the bureau and its representatives 
 shall give all information as to classifications, rates, surveys and other 
 facts collected and intended for the common use of companies subject 
 to this act to all such companies at the same time. 
 
1921—22 60 Ch. 89 
 
 Bureau records; hearings; appeal to board. 
 Section 1921 — 19. The bureau shall keep a careful record of its pro- 
 ceedings. It shall furnish, upon his demand, to any employer upon 
 whose workmen's compensation risk a survey has been made, full in- 
 formation as to such survey including the charges and credits fixed 
 thereby. The bureau shall also provide such means as may be ap- 
 proved by the compensation insurance board whereby any member 
 company or any employer whose risk has been inspected by it may be 
 heard, either in person or by a representative, before its governing 
 or rating committee or other proper representative with reference to 
 any matter affecting such risk. Any company or employer may ap- 
 peal from a decision of the bureau to the compensation insurance 
 board. The bureau shall also make rules governing appeals, which 
 rules shall be filed with and approved by the compensation insurance 
 board. The bureau shall file with the compensation insurance board, 
 whenever it may call therefor, such information as it may have con- 
 cerning any matter connected with its activities. 
 
 Unfair discrimination. 
 SECTION 1921—20. No company shall make or charge any rate for 
 workmen's compensation insurance in this state which discriminates 
 unfairly between risks or classes, or which discriminates unfairly be- 
 tween risks in the application of like charges and credits in the plan 
 of schedule or merit rating in use; and no company shall discriminate 
 by granting to any employer insurance against other hazards at less 
 than its regu'.ar rates for such insurance, or otherwise. 
 
 Filing of rates. 
 Section 1921 — 21. Every company writing workmen's compensation 
 insurance in this state shall file with the compensation insurance board 
 its rates for such insurance and all additions thereto or changes there- 
 in. All rates so filed shall comply with the requirements of law and 
 shall not be effective or used until approved as to such compliance 
 by the compensation insurance board. A rate which is filed and ap- 
 proved shall not be changed until the substituted rate has been filed 
 for at least fifteen days and has been approved by the board. 
 
 Filing schedufe of expense loading. 
 Skction 1921 — 22. Every company writing workmen's compensation 
 insurance in this state shall file with the compensation insurance board 
 a schedule of the expense loading to be collected by it on workmen's 
 compensation business written in this state. Such loading shall be 
 approved by the board as to adequacy and as to compliance with the 
 orders of the board, and it shall not be effective until so approved. 
 All modifications or changes in such loading shall also be filed with 
 and approved by thr hoard before becoming effective. 
 
Ch. 89 61 1921—28 
 
 Minimum pure premium. 
 Section 1921 — 23. In fixing its rates no company shall use a pure 
 premium less than that approved as adequate by the compensation in- 
 surance board. Any company in fixing its rates may use a pure pre- 
 mium higher than that established by the compensation insurance 
 board. 
 
 Minimum rate. 
 Section 1921 — 24. No company shall write insurance at a rate other 
 than that approved for it as adequate by the compensation insurance 
 board; provided, however, that a rate may be reduced or increased by 
 the application to individual risks of the system of schedule or merit 
 rating which has been approved by the board. Such reduction or in- 
 crease shall be set forth in the policy or by an endorsement thereon. 
 
 Report of writings. 
 
 Section 1921 — 25. Every company writing workmen's compensation 
 insurance in this state shall report its writings to the compensation 
 insurance board. The board shall prescribe forms for and make rules 
 governing agents and companies in making such reports. Such re- 
 ports shall be checked by the board, and upon being approved as com- 
 plying with law, shall be filed with the industrial commission. No 
 information regarding the writings of any company shall be made pub- 
 lic by said board or any of its employes except as required by law. 
 
 Filing information concerning writings. 
 Section 1921 — 26. Every company insuring the liability of employers 
 for compensation shall file with the compensation insurance board 
 such information regarding insurance written by it on risks located in 
 this state as such board may from time to time require. 
 
 Ad interim filings. 
 Section 1921 — 27. The rates for workmen's compensation Insurance 
 filed with the industrial commission when this act goes Into effect 
 shall be binding upon the company filing them until revised or changed 
 under sections 1921 — 1 to 1921 — 29 inclusive, or by an order of the 
 compensation insurance board. 
 
 Penalty. 
 
 Section 1921 — 28. Any company, rating bureau agent, or other rep- 
 resentative or employe of any company or rating bureau failing to 
 comply with or which is guilty of a violation of any of the provisions 
 of sections 1921 — 1 to 1921 — 29, inclusive, or of any order or ruling 
 of the commissioner of insurance or of the compensation Insurance 
 board made hereunder, shall be punished by a fine of not less than 
 fifty nor more than five hundred dollars. In addition thereto, the 
 license of any company, agent, or broker guilty of such violation may 
 be revoked or suspended by the commissioner of insurance. 
 
1921—34 62 Ch. 89 
 
 Scope of statute. 
 
 Sectiox 1921 — 29. This act shall not apply to contractors' class mu- 
 tual companies where the premiums are fixed, assessed and collected 
 on the basis of the contract price of construction, building or repairing. 
 
 Unfair discrimination prohibited. 
 
 Section 1921 — 30. No company or other insurer licensed in this state 
 to write liability insurance shall unfairly discriminate in its writings 
 between risks or classes of risks, nor shall it use any schedule or 
 other system of rating or classifying the application of which results 
 in discrimination. No such company or other insurer shall grant in- 
 surance against hazards other than those covered by this act at rates 
 lower than its regular rates for such coverage for the purpose of evad- 
 ing the anti-discrimination provision of this section. No such company 
 or other insurer shall charge or collect unjust or unreasonable rates for 
 the kinds of insurance covered by this act. 
 
 Rates and classification to be filed. 
 Section 1921 — 31. Every company writing any kind of liability in- 
 surance in this state shall, before they are effective in this state, file 
 with the commissioner of insurance its rates and manual of classifica- 
 tion of risks for each kind of liability insurance written by it. All 
 subsequent changes or additions to such rates and manual of classi- 
 fication shall, before they are effective in this state, be filed with the 
 commissioner of insurance. 
 
 Same; investigation. 
 
 Section 1921 — 32. Any schedule or other system of rating and classi- 
 fying risks used in this state shall be filed with the commissioner of 
 insurance and no such schedule or plan shall be used until it is so 
 filed. The commissioner of insurance may upon his own motion or 
 upon the complaint of any interested person investigate the results 
 produced by the application of such schedule or plan and, if upon such 
 investigation he shall find that it produces unfair or discriminatory 
 results, he shall by order require the company filing it to modify the 
 schedule or plan as directed in such order. 
 
 Same. 
 Si'XTioN 1921 — 33. No such company shall in the writing of any risk 
 in this state use a rate or classification other than that filed with the 
 commissioner of insurance and properly applicable to the risk. 
 
 Remedy for unfair discrimination. 
 Section 1921 — 34. The commissioner of insurance shall have power 
 upon the written complaint of any person having a direct financial 
 Interest or upon his own motion to review any rate filed by any such 
 company for the purpose of determining whether the same is unrea- 
 sonable or discriminatory. If he shall find that the rate Is discrimina- 
 tory, he shall order the discrimination removed and a nondiscrhmina- 
 
Ch. 89 63 1922 
 
 tory rate substituted. If he shall find that the rate is unreasonable, 
 he shall establish a reasonable rate and by order require the com- 
 pany to make a rate for siich risk or class which shall not be higher 
 than the rate so established by him. Any review of rates before the 
 commissioner of insurance shall be upon notice to the parties interested 
 and his findings or orders shall be made after a hearing before him 
 and shall in all cases be subject to review by the circuit court of Dane 
 county. If the investigation is upon the commissioner's own motion 
 and results in a find which materially affects the interests of a com- 
 pany, a copy of such finding shall be served upon the company or 
 companies affected and they shall be entitled to a hearing before the 
 commissioner upon a request therefor made within ten days from 
 the service of such findings upon such company. No order or finding 
 of the commissioner made as a result of an investigation on his own 
 motion shall be effective until the expiration of the time within which 
 a request for a hearing may be made. 
 
 Company to report all information called for. 
 Sectton 1921 — 35. Every company subject to the provisions of this 
 act shall file with the commissioner of insurance such information 
 regarding its writings, practices and experience as he may from time 
 to time require. Every company subject to this act shall, on or before 
 the first day of May, 1920, and annually thereafter, report to the com- 
 missioner of insurance of this state, the amount of insurance written, 
 the amount of premiums received and the amount of losses paid during 
 the year ending on the preceding thirty-first of December and cover- 
 ing liability risks in the state of Wisconsin. Such report shall show 
 such experience by classes as may be required by the commissioner 
 of insurance. The commissioner shall prepare and supply each com- 
 pany subject to the provisions of this act with blanks upon which to 
 make such report. The experience of individual companies shall not 
 be made public. 
 
 Workmen's compensation not affected. 
 
 Sectiox 1921—36. Sections 1921—30 to 1921—35, both inclusive, 
 shall not apply to risks covered under the workmen's compensation 
 act nor to the rates, rating system or classification of such risks. 
 
 BOARDS OF FIRE UNDERWRITERS AND FIRE PATROL 
 
 May incorporate. 
 
 Section 1922. Any three or more agents or underwriters, lawfully 
 doing the business of fire insurance in any city of this state, may be 
 incorporated as a board of underwriters in such city under the provi- 
 sions of chapter 86 for the usual purposes for which such boards are 
 established. 
 
1925 64 Ch. 39 
 
 Fire patrol ; duties. 
 Section 1923. Any incorporated board of fire underwriters may 
 establish a fire patrol in any city wherein it is located, and for that 
 purpose may appoint and remove at pleasure a superintendent and 
 such number of patrols as they shall deem proper and provide suit- 
 able accommodations and apparatus for such patrol, and from time 
 to time make all needful rules and regulations for the government 
 and direction thereof; the duty of such patrol shall be to discover 
 and prevent fires and to save and preserve life and property at and 
 after fires, and for that purpose full power is given to such super- 
 intendent and patrol to enter any building on fire or which may be 
 exposed to or be in danger of taking fire from other burning buildings, 
 subject to the control of the chief of the fire department of the city, 
 and to remove such property or any part thereof at or immediately 
 after a fire and to guard and protect the same. 
 
 Annual meeting, when held. 
 Section 1924. For the purpose of establishing and defraying the 
 necessary expenses of such fire patrol there shall be a meeting of 
 the said board of fire underwriters in the month of January in each 
 year; prior notice of such meeting, specifying the time and place at 
 which it will be held, shall be inserted for at least ten days in one 
 dally newspaper published in the city where such board is located; 
 at such meeting each insurance corporation, agent or person doing a 
 fire insurance business in such city shall have the right to be present 
 and each corporation represented shall be entitled to one vote. Such 
 meeting may determine whether such fire patrol shall be established, 
 or continued if established, and fix the maximum amount of expenses 
 which shall be incurred therefor during the ensuing year; but such 
 maximum amount shall not in any one year exceed two per cent of 
 the aggregate amount of premiums for fire insurance received in such 
 city during such year. 
 
 Expenses of patrol. 
 Section 1925. On the first day of February in each year each insur- 
 ance corporation, underwriter or agent doing any fire insurance busi- 
 ness in such city shall furnish to said board a statement, verified by 
 affidavit, of the aggregate amount of premiums received for insuring 
 property in such city during the year ending on the next preceding first 
 day of January. Upon the statement so furnished said board shall 
 assess the amount fixed as aforesaid for the expenses of said fire 
 patrol for the current year upon the several corporations, underwriters 
 or agents, in proportion to the amount of the premiums returned as re- 
 ceived by each, and such assessments may be recovered by action in 
 the name of such board. If any such statements shall not be made as 
 above required, said board shall cause a demand in writing to be 
 served on the corporation, underwriter or agent so failing to make 
 such sworn statement. Such demand shall be served by leaving the 
 same during l)usiness hours at its or his oflice with the person in 
 
Ch. ^9 65 1926—4 
 
 charge thereof, and every such corporation, underwriter or agent 
 who shall wilfully make fa'.se statement or who shall, for fifteen days 
 after such demand, neglect to render such statement shall forfeit 
 fifty dollars and an additional fifty dollars for each day's neglect after 
 the expiration of said fifteen days, one-half to the use of said board, 
 when it shall prosecute therefor. 
 
 Dues to fire departments; liability of insured. 
 Section- 1926. 1. Every city or village or town containing an unin- 
 corporated village, having or maintaining a regularly organized fire 
 department, as hereinafter provided, shall be entitled, for the support 
 and maintenance of such fire department, to two per centum upon 
 the amount of all premiums which, during the year or part of a year 
 ending on the next preceding first day of January, shall have been 
 received by, or shall have been agreed to be paid to any company or 
 insurer, or agent thereof, for any insurance effected, or agreed to 
 be effected, or promised by such company, insurer or agent thereof 
 against loss or injury by fire in any such city or village, or within a 
 radius of one mile from the location of any fire department in any 
 town containing an unincorporated village; such dues to be payable 
 as provided in section 1926m. 
 
 2. No city, village or town shall be entitled to such dues unless it 
 shall have, support or maintain a fire department consisting, in case 
 of a voluntary department, of at least one fire engine or chemical fire 
 engine company with not less than ten active members, having at 
 least one good fire engine or one chemical fire engine with a capacity 
 of fifty gallons and not less than five hundred feet of sound rubber, 
 leather or other hose for a fire engine or not less than one hundred fifty 
 feet of such hose for a chemical fire engine, kept in an engine house fit 
 and ready at all times for actual service, and at least one hook and 
 ladder company, with not less than twelve active members, having a 
 good hook and ladder truck, and each such company shall hold a meet- 
 ing at least once a month, and in case of paid or partly paid fire de- 
 partment, the buildings, machinery and materials hereinbefore enumer- 
 ated and the necessary men, teams and equipments to constitute an 
 active and properly equipped department, ready for service at all times. 
 
 3. In case any city, village or town shall have and maintain a system 
 of waterworks with sufficient pressure for fire purposes, with one or 
 more hose companies of not less than ten active members, each having 
 not less than five hundred feet of sound rubber, leather or other hose, 
 with one or more hose carts kept fit and ready at all times for actual 
 service, such city, village or town shall not be required to maintain a 
 fire engine. 
 
 4. No city, village or town shall be paid any fire department dues 
 for any year unless the industrial commission shall have certified to 
 the commissioner of insurance that the requirements of section 19461 
 have been complied with as to such city, village or town, and any fire 
 department dues paid into the state treasury for any city, village or 
 
1926m t)G Ch. 89 
 
 town not entitled to receive the same may be expended by the in- 
 dustrial commission for making the necessary inspections within any 
 such city, village or town. In any case where such fire department 
 dues shall be withheld from any city, village or town Avhere, under 
 the statutes, the same shall be payable into any firemen's pension fund 
 or other special funds for the benefit of disabled or superannuated 
 firemen, an amount equal to the fire department dues so withheld shall 
 be paid into such pension fund from any fund of such city, village 
 or town available therefor, and if no such fund be so available, the 
 same shall be included in and paid out of the next taxes levied and 
 collected for any such city, village or town. 
 
 5. The owner of any property situated in any city, village or town ' 
 within this section who shall insure the same in any company not 
 authorized to do business in this state, or in any company authorized 
 to do business in this state which has not complied with the provisions 
 of this section in regard to the payment of fire department dues shall 
 be liable to the state for the percentage of premiums on the insurance 
 on such property, and such percentage may be recovered in a civil 
 action brought in the name of the state, and when recovered it shall 
 be payable to such city, village or town. 
 Section 1926 is referred to in 1211 — 37, 1915m (11), 1926m. 
 
 Fire department dues, lists of towns entitled; payment through 
 commissioner and state treasurer. 
 
 Section 1926m. 1. The state fire marshal shall annually or before 
 the first day of October, file with the commissioner of insurance a state- 
 ment containing the name of every city, village or town entitled to fire 
 department dues under section 1926. 
 
 2. The commissioner of insurance shall annually, on or before the 
 fifteenth day of December in each year, forward to every company or 
 insurer transacting the business of fire insurance within this state, a 
 list of all cities, villages and towns entitled to fire department dues 
 under section 1926. 
 
 3. Every company or insurer effecting any insurance against loss 
 or injury by fire in any city, village or town in this state, entitled to 
 any fire department dues under section 1926, shall, on or before the first 
 day of February in each year, file with the commissioner of insurance 
 a statement, showing the amount of premiums upon which any such 
 fire department dues shall be payable to any such city, village or 
 town, and pay to the state, through the commissioner, the total amount 
 of such fire department dues payable to all the cities, villages or towns 
 in the state entitled to the same. Return premiums, as defined in sec- 
 tion 1211 — 31, may be deducted in determining the premium on which 
 the dues are payable under section 1926. 
 
 4. The commissioner of insurance shall, on or before, the first day of 
 May in each year, compile the total amount of fire department dues 
 paid by all companies and insurers as herein required, and certify the 
 total amount for each city, village or town to the secretary of state; 
 
Ch. 89 ()7 ]927 
 
 and such amount shall, upon being audited by the secretary of state, 
 be paid by the state treasurer to the respective treasurers of the cities, 
 villages and towns entitled to the same. 
 
 5. The commissioner shall also transmit to the ti'easurer of each city, 
 village and town entitled to any such fire department dues, a state- 
 ment of the total amount of such dues payable to such city, village or 
 town, and he shall also furnish to the treasurer of any such city, village 
 or town, upon request, a list of the companies or other insurers paying 
 such dues and the amount paid by each. 
 
 6. [Repealed by ch. 66, 1917]. 
 
 TOWN INSURANCE COMPANIES 
 
 Organization. 
 
 Section 1927. 1. Any number of persons, not less than twenty-five, 
 residing in the same town or in adjoining towns, not exceeding thirty 
 in number, except in cases where any county contains a larger num- 
 ber, when all the towns therein may be included, who collectively own 
 insurable property of not less than twenty-five thousand dollars in 
 value which they desire to have insured, may form themselves into a 
 corporation for mutual insurance against loss or damage by fire or 
 lightning by complying with the following conditions, namely: They 
 shall sign articles of organization which shall be substantially in the 
 following form: 
 
 Articles; form. 
 
 2. The undersigned, residents of the town below named and owners 
 of more than twenty-five thousand dollars' worth of property therein 
 which we desire to insure, do hereby associate for the purpose of form- 
 ing a mutual fire insurance corporation to do such insurance in the 
 towns of (here insert the name of each town in which such corpora- 
 tion purposes to do business and the names of the counties in which 
 they are situated), under the provisions of sections 1927 to 1941, in- 
 elusive, of the Wisconsin statutes. The name of such corporation shall 
 
 be the (Give name at length). The officers 
 
 shall be a board of directors (insert number, not less 
 
 than five nor more than eleven), a president, secretary and treasurer 
 and such others as may be provided for in the by-laws of such corpora- 
 tion, and the office of such corporation shall be in the town from which 
 
 said directors shall elect their secretary, in the county of 
 
 The following named persons shall constitute the first board of direc- 
 tors and shall hold their respective offices for one year and until their 
 successors are elected (here insert the names). In witness whereof 
 
 we have hereunto subscribed our names, this day of 
 
 , A. D. 19 
 
1927—4 68 til. ^.'J 
 
 Filing articles; amendment; recording. 
 
 3. Such articles of organization shall be subscribed by at least 
 twenty-five persons, residents of the towns therein named, who are 
 owners of at least twenty-five thousand dollars' worth of property 
 which shall be insured by such corporation. 
 
 (a) Two copies of the original articles, each accompanied by the 
 affidavit of two of the signers thereof stating that they are personally 
 acquainted with the signers and know them to be the owners of prop- 
 erty to the amount stated in said articles, which may be insured for 
 said sum, and that such copy is a true and complete copy of the orig- 
 inal articles of organization, shall be forwarded to the commissioner 
 of insurance, and if approved by him and the attorney-general, the 
 former shall file one copy in his office and attach to the other copy , 
 his certificate of such filing. Such certified copy shall within thirty 
 days be recorded in the office of the register of deeds of the county 
 in which the greater number of the directors named in said articles 
 reside. The register of deeds shall forthwith transmit to the commis- 
 sioner of insurance his certificate stating the time and place when 
 such copy was recorded, and shall be entitled to i. fee of twenty-five 
 cents therefor to be paid by the person presenting the same for record. 
 Upon the receipt of such certificate the commissioner of insurance shall 
 Issue a certificate of incorporation. 
 
 (b) Thereupon the persons subscribing said articles, and such as 
 shall afterwards become insured thereby, shall be a corporation by the 
 name mentioned in said articles with the usual powers and subject to 
 the usual duties and liabilities of a corporation for the purpose here- 
 inafter mentioned. 
 
 (c) The articles of organization may be amended without notice by 
 a resolution adopted by two-thirds of the votes cast on the question 
 at any annual meeting. Such articles may also be amended by a reso- 
 lution adopted by two-thirds of the votes cast on the question at a 
 special meeting; provided, at least thirty days' notice thereof, reciting 
 the proposed amendment shall be given by mail to the members. The 
 secretary shall give such notice upon written request therefor by ten 
 or more members. Within ten days after the adoption of such amend- 
 ment two copies thereof with the affidavit of the president and secre- 
 tary showing compliance with the law, shall be forwarded to the com- 
 missioner of insurance, and if approved by him and by the attorney- 
 general, the former shall file one copy in his office and attach to the 
 other copy his certificate of such filing. Such certified copy shall be 
 recorded as provided for the articles of organization and a like cer- 
 tificate made by the register of deeds. Dissolution of a company may 
 be effected by an amendment of the articles in like manner. 
 
 Name. 
 
 4. The words "Town Insurance Company" shall form part of the 
 name of every such corporation hereafter organized, and no corpora- 
 tion not organized under this section shall be entitled to use a name 
 
Ch. 89 • 69 1928 
 
 embodying said words, except that corporations now existing may con- 
 tinue their present names. 
 
 Change of name. 
 
 5. Corporations organized under this section may change their name 
 to conform hereto. 
 
 Division of towns. 
 
 6. The subsequent division of the territory of the towns mentioned 
 in the articles into new towns shall not impair any power, duty or lia- 
 bility of such corporation. 
 
 Copies to commissioner. 
 
 7. A copy of the articles, by-laws, policy, and of each blank used by 
 any such company shall be furnished to and filed and preserved by the 
 commissioner of insurance. 
 
 Section 1927 is referred to in sections lS9Giii, VMlm, W.',la—3, 19iSni, 191,(>m. 
 
 Curative act; action of town mutuals. 
 Section 1927m. The action of any town mutual insurance company 
 organized under section 1927 of the statutes, taken prior to March 1, 
 1915, attempting to amend its articles of organization, is hereby vali- 
 dated. The commissioner of insurance and the attorney-general are 
 authorized to approve such amendments made prior to said day, and 
 the same may be filed and recorded as provided by law, notwithstand- 
 ing any informality or insufficiency in the petition, notice, time of meet- 
 ing, voting, or any other respect, or in the certification thereof, pro- 
 vided it shall appear by the certificate of the president and secretary 
 to the satisfaction of the commissioner of insurance and of the attor- 
 ney-general, expressed by their approval thereof under this section, 
 that notice of intention to amend the articles was given not less than 
 one week prior to action thereon, and that at such meeting or adjourned 
 session thereof, such amendment was duly voted upon and adopted 
 by four-fifths of the votes cast upon the question. 
 
 IVlanner of choosing directors; manner of voting; quorum; classi- 
 fication. 
 
 Sectiox 1928. 1. The directors, subsequent to the first board, shall be 
 chosen by ballot at the annual meeting of the corporation which shall 
 be held on the first Tuesday after the first Monday of January, unless 
 some other day be fixed therefor by a majority of the votes cast at 
 any annual meeting. * * * Ten or more policyholders present at 
 any annual or other regularly called meeting of the corporation shall 
 constitute a quorum for the transaction of business. 
 
 2. Each person insured shall have one vote for each two hundred 
 dollars for which he is insured, at such election and in the transac- 
 tion of all other business of the corporation. But no person shall vote 
 by proxy except women, and no person shall have the right to vote 
 more than one proxy. 
 
1931 70 Ch. 89 
 
 3. The corporation may by a two-thirds vote of the votes cast at any 
 annual meeting, adopt a resolution providing that its board of direc- 
 tors shall consist of nine persons; that they shall be divided into 
 three classes of three persons each, and be designated as the first, 
 second and third classes. Thereafter the directors of the first class 
 shall be elected for one year, those of the second class for two, and 
 those of the third class for three years, and in each case hold office 
 until their successors are qualified, and thereafter all elections shall 
 be for three years, except that vacancies shall be filled for the unex- 
 pired term. Provided, that any such corporation may, by a resolution 
 adopted by two-thirds of the votes cast at any annual meeting, elect to 
 give to each member one vote at such election and in the transaction 
 of all other business of the corporation. 
 
 Directors' terms; place of meeting. 
 Section 1929. The directors shall, unless the corporation otherwise 
 direct, in accordance with the preceding section hold their office for 
 one year and until their successors are elected. They shall choose 
 from their number a president, secretary and a treasurer, the latter 
 of whom may be chosen from members of the company, and keep a 
 record of all their proceedings in a book kept for that purpose together 
 with the names and places of residence of all persons insured and the 
 amount for which each is insured which shall be open for inspection 
 of all members of the corporation from nine o'clock in the forenoon 
 to four o'clock in the afternoon of such days of each week as may be 
 determined by its annual meeting. The board of directors may change 
 the place of the annual meeting of the corporation to any town inside 
 the boundary of its corporate limits notwithstanding its by-laws may 
 designate some particular town as the place for holding such meeting. 
 
 Treasurer's bond. 
 Section 1930. The treasurer, before entering upon the duties of his 
 office, shall execute to such corporation and file with the secretary a 
 bond conditioned for the faithful discharge of the duties of his office, 
 with two or more securities, in such sum, not less than five thousand 
 dollars, as the directors may order, such bond and sureties to be ap- 
 proved by the president and a majority of the directors. 
 
 Territory; property insured in cities and villages. 
 
 Section 1931. 1. (a) No such corporation shall Insure any property 
 outside of the territory described in its articles of incorporation or any 
 resolution adopted pursuant to the former law extending such territory, 
 or any amendment to its articles. 
 
 (b) Any city or incorporated village within or adjoining any town 
 belonging to such territory, may be included therein or added thereto, 
 the same as any other town, but such city or village shall not be 
 counted in determining the number of towns under which such corpora- 
 tion may do business. Any such company now transacting business 
 in any such city or village, now existing or hereafter organized, with- 
 
Ch. 89 71 1931—3 
 
 out the same being included in its territory, as hereinbefore specified, 
 may nevertheless continue to do business therein until the first day of 
 July, 1914, or until the second annual meeting after the organization 
 of such city or village. Unless the article be so amended to specifically 
 include such city or village, no insurance shall be effected therein after 
 the time above mentioned. 
 
 (c) No property shall be insured in any such city or village except 
 farm property or detached dwelling houses and contents, or barns or 
 outbuildings used in connection with such dwelling house and not 
 used for trade or manufacturing, and the contents of such barns or 
 outbuildings. 
 
 Risks; kind; single maximum. 
 
 2. No such corporation shall insure any property other than de- 
 tached dwellings and their contents, farn; buildings and their contents, 
 livestock in possession, use or running at large, farm products on 
 premises and farming tools, implements and machinery; providing that 
 it may, when its directors shall be so authorized at any annual meet- 
 ing, insure property in any of the following classes, in an amount not 
 exceeding five thousand dollars on any single risk, to wit: (1) country 
 stores, (2) schoolhouses, (3) town and society halls, (4) churches, 
 (5) county hotels, (6) water mills, (7) blacksmith shops, (8) cheese fac- 
 tories, (9) creameries, and the contents of any such buildings. 
 
 Motor vehicles. 
 
 2m. Such corporation may also insure automobiles and motor-driven 
 vehicles for any member having other property insured in such cor- 
 poration, against loss or damage by fire and lightning; provided, that 
 such automobilp or vehicle shall be separately mentioned and de- 
 scribed in the policy. No such insurance shall be effected until au- 
 thorized by the board of directors or by a by-law adopted at an an- 
 nual meeting or at a meeting specially called for that puiT)ose; pro- 
 vided, that any corporation heretofore effecting insurance upon auto- 
 mobiles or such vehicles may continue to do so until otherwise ordered 
 at any annual or special meeting, and such insurance heretofore ef- 
 fected is hereby legalized. 
 
 May assume cyclone risk. 
 
 3. And it may at such time authorize its directors to insure any 
 of the classes of property herein mentioned against damage or loss 
 by wind storms, cyclones and tornadoes, under the same rules and 
 restrictions as relate to insurance by it against damage or loss by fire; 
 provided, that a request in writing, signed by at least ten members 
 of the corporation, be filed with the secretary at least thirty-five days 
 before the next annual meeting of the corporation requesting that the 
 question of insuring against damage or loss by wind storms, cyclones 
 and tornadoes be submitted at such meetings, and that the secretary 
 
1933 72 Ch. ^9 
 
 give thirty days' notice by mail to each member ol: the corporation at 
 his post-office address, that said question will be submitted at such 
 meeting. 
 
 Limitation of recovery. 
 
 4. Such corporation may, by a provision contained in the policy, 
 limit the recovery as to any or all items of personal property insured 
 by the policy to not exceeding such proportion of the loss or damage, 
 as shall be specified in the policy. 
 
 Corporation may loan money. 
 
 5. In addition to the investments authorized by sections 1902 and 
 1903, any such corporation may loan money on notes due in one year 
 or less, signed by two persons who shall each own real estate, worth 
 the amount of the notes above exemptions, mortgages and other liens, 
 and located within the territory of such corporation. 
 
 Section 1931 is referred to in section 1932. 
 
 Reinsurance. 
 Sectiox 1931a. Any such corporation may, at any annual meeting 
 or special meeting thereof convened for that purpose, authoi-ize its 
 board of directors to effect reinsurance in some other town insurance 
 company of this state, doing business in the same or adjoining terri- 
 tory and in like manner to reinsure similar risks of any other such 
 corporation. 
 
 Terms of policies; approval of form. 
 Section 1932. The board of directors may issue policies, signed by 
 the president and secretary, agreeing in the name of the corporation 
 to pay the insured all loss or damage of and to the property mentioned 
 and described therein which may be occasioned by either of the causes 
 mentioned in section 1931, and providing for such conditions of insur- 
 ance as may be determined by the by-laws of such corporation or by 
 the resolutions of its annual meeting; but no such corporation shall 
 make or execute any policy until the blank form for the same have 
 been submitted to and approved by the commissioner of insurance; 
 provided, that no such company shall be required to use the standard 
 policy; and the said board or a committee of not less than three, at 
 least two of whom shall be dii-ectors, or the corporation may -classify 
 the property insured at the time of issuing policies thereon under dif- 
 ferent rates, corresponding as near as may be to the greater or less 
 risk which may attach to such property. 
 
 Liabilities of members. 
 Section 1933. Every person to whom any such policy is issued shall 
 be deemed a member of such corporation, and shall give his under- 
 taking, bearing even date with such policy, binding himself, his heirs 
 and assigns to pay his pro rata share to the corporation of all losses 
 or damages which may be sustained by any member thereof, and of 
 it.s necessary business expenses, together with all legal costs and 
 
Ch. S9 73 1935 
 
 charges incurred in case legal proceedings are commenced to collect 
 any assessment made upon him; and every such undertaking shall, 
 within ten days after its acceptance, be filed in the office of the secre- 
 tary and shall remain on file in such office except when required to be 
 produced in court as evidence. He shall also, at the time of effecting 
 such insurance, pay such percentage in cash and such reasonable sums 
 for a policy as may be required by the rules or by-laws. 
 
 Notice and adjustment of loss. 
 
 Section 1934. Every member of such corporation who may sustain 
 loss or damage from any cause insured against shall immediately notify 
 the president, or in his absence the secretary thereof, who shall forth- 
 with convene the directors, whose duty it shall be, when so convened, 
 to appoint a committee of not less than three nor more than five mem- 
 bers of such corporation, except in case the loss is supposed to be less 
 than three hundred dollars when the president and secretary may ap- 
 point such committee, to ascertain the amount of such loss or damage; 
 provided, that when any such loss or damage does not exceed one hun- 
 dred dollars the president and secretary may, in their discretion, ad- 
 just the same without the appointment of any such committee; and 
 provided further, that the board of directors may appoint a committee 
 of not less than three members of the corporation for the adjustment 
 of all losses that may occur during the year; and in case of the in- 
 ability of the parties to agree upon the amount of such loss or damage 
 the claimant may appoint one disinterested person on his part, and 
 upon receiving notice from such claimant of such appointment the 
 president of the corporation shall forthwith appoint a member of such 
 corporation, and the two persons so appointed shall forthwith proceed 
 to appoint a third person who shall be disinterested, and the three per- 
 sons so appointed shall constitute a committee of reference, who shall 
 have full authority to examine witnesses and determine all matters in 
 dispute, and shall make their award to the president, or in his absence 
 to the secretary of such corporation, which award thereon shall be 
 final. The said committee of reference shall each be allowed two dol- 
 lars per day for each day's service so rendered and five cents per mile 
 for each mile necessarily traveled in the discharge of such duties, 
 which shall be paid by the claimant, unless the award of said commit- 
 tee shall exceed the sum offered by the corporation in liquidation of 
 such loss or damage, in which case the said expense shall be paid by 
 said corporation. Before entering upon their duties each member of 
 said committee shall be duly sworn to faithfully and impartially dis- 
 charge the duties thereof. The secretary of any such corporation may 
 administer any oaths and take any acknowledgments necessary to ad- 
 just claims against his company; provided, that he shall receive no 
 compensation for such service. 
 
 Assessments; notices; nonpayment; borrowing money. 
 
 Section 1935. 1. Whenever the amount of any loss so ascertained 
 shall exceed the amount of the cash funds of the corporation the presi- 
 
1935—3 74 Ch. 89 
 
 dent shall convene the board of directors, who shall make an assess- 
 ment upon all property insured by it, at the time of the loss, in pro- 
 portion to the amount thereof and the rate under which it may have 
 been classified, sufficient at least to pay such loss; provided, that such 
 board may assess up to three and a half mills even if such loss should 
 not require such an amount. The board of directors may also levy an 
 assessment at any time for the purpose of carrying on the business of 
 the company, regardless of whether or not a loss has occurred. When 
 any assessment shall have been completed the secretary shall imme- 
 diately insert a notice in one or more newspapers printed in the county 
 or counties where such a corporation is doing business, stating therein 
 the time when such assessment was levied and the time when the same 
 becomes due. Such notice together with the proof of the publication 
 thereof shall be conclusive evidence of notice of such assessment to 
 every member of the corporation. The secretary shall also notify 
 every such member by letter or postal card sent to his usual post-office 
 address, of the amount of such loss, or assessment, and the sum due 
 from him as his share thereof, and the time when and to whom pay- 
 ment thereof is to be made, which time shall not be less than thirty nor 
 more than sixty days from the date of such notice. If the insurance 
 under any policy is payable to a mortgagee and the assessment thereon 
 is not paid within the time specified in the notice to the member, the 
 secretary shall within * * * thirty days after the expiration of such 
 time give like notice to the mortgagee. The mortgagee shall have 
 twenty days from the date of such notice to pay the assessment and 
 the policy, as to his interest, shall be in full force until the expiration 
 of that time. 
 
 2. The treasurer or person designated to receive such money may 
 demand and receive two per cent in addition to the amount of each 
 such assessment for his fees in receiving and paying over the same. 
 Such assessment, when collected, shall be paid to the person entitled 
 thereto according to the terms of the policy issued to him. The cor- 
 poration may borrow money without the levy of an assessment at the 
 time of such loan, on the condition that such money be used to pay 
 losses incurred on or after the first day of November preceding, and 
 that an assessment or assessments to cover such losses be levied be- 
 fore the first day of November following, upon all persons insured at 
 the time such losses were incurred. No such loan shall be renewed. 
 
 3. Every member who shall neglect or refuse to pay such assessment 
 aX the time specified in the notice sent to him, shall pay to such cor- 
 poration a fine of two per cent of the amount of such assessment for 
 each week or part thereof during which the same shall remain unpaid, 
 and no payment shall be made by any company upon the policy, of any 
 member, hereafter written, who shall sustain a loss, if such member, 
 at the time of such loss, shall be in default and shall have neglected 
 or refused to pay such assessment at the expiration of thirty days from 
 the time specified in said notice sent to him. 
 
Ch. 89 75 1939 
 
 Actions to collect assessments; directors' liability. 
 
 Section 1936. An action at law may be brought against any member 
 of such corporation who shall refuse or neglect to pay any such assess- 
 ment made upon his insured property. The directors of any such cor- 
 poration who shall wilfully neglect or refuse for thirty days to perform 
 the duties imposed upon them either in this or the next preceding sec- 
 tion shall be jointly and severally liable in their individual capacity 
 to the person sustaining such loss. 
 
 Withdrawal; cancellation. 
 Section 1937. Any member of such corporation may withdraw there- 
 from at any time by returning his policy with a request for its con- 
 cellation written thereon or by a notice in writing over his own signa- 
 ture properly witnessed (one witness) to the president or in his ab- 
 sence to the secretary thereof and paying his share of all claims then 
 existing against said corporation. And the directors, or a majority 
 thereof, or such and so many of them as they may have appointed as 
 a committee for such purpose, shall have power to annul any policy by 
 giving notice in writing to that effect to the holder thereof. 
 
 Secretary and treasurer's report. 
 Section 1938. The secretary of every such corporation shall annual- 
 ly prepare a statement showing its condition on the thirty-first day of 
 December preceding its annual meeting, which shall specify the whole 
 number of policies issued, the whole number then in force, the aggre- 
 gate amount then insured, the amount of losses paid during the year, 
 the amount of losses sustained and unpaid, if any, and all such other 
 matters as required by the by-laws. The treasurer of every such cor- 
 poration shall annually prepare a statement of its financial condition 
 on the thirty-first day of December preceding its annual meeting, 
 showing amount on hand January first preceding, amount received dur- 
 ing the year from premiums, amount received from each separate as- 
 sessment, amount received from any other sources, amount paid for 
 losses, amount paid for expenses, giving a detailed statement of every 
 item of expenses, and amount of cash on hand. Such statements or so 
 much thereof as said corporation, at its annual meeting, may, by reso- 
 lution or otherwise, agree upon shall be read to the members at such 
 meeting and entered at length upon the records. The company shall 
 also on or before the thirty-first day of January in each year make and 
 file such report for the preceding year with the commissioner of in- 
 surance. 
 
 Nonresident members. 
 Section 1939. A nonresident of any town, owning insurable property 
 therein, may become a member of any such corporation authorized to 
 insure property in such town and shall be entitled to all the rights and 
 privileges of such member. 
 
19ila—3 76 Ch. 89 
 
 Risks; territory; amendment to articles; exception. 
 Section 1940. Any such corporation may attach any adjoining town 
 or towns as part of its territory in which it may thereafter do business; 
 provided the town or towns so attached, together with those already 
 within its jurisdiction, shall not exceed thirty, except in cases where all 
 such towns shall be within the same county. No town or towns shall 
 be so attached except by amendment to the articles of organization; 
 provided nothing herein contained shall affect any company already do- 
 ing business outside of the county in which it is organized. 
 
 How brougiit in. 
 Section 1941. All town insurance corporations heretofore organized 
 under any law shall be deemed to be organized under and governed by 
 the provisions of the laws of this state; and such existing corpora- 
 tions shall, without reorganization, be authorized to insure in sucli 
 town or towns as they may have heretofore effected insurance in, not 
 exceeding in all twenty adjoining towns; but each such corporation de- 
 siring to extend its territory beyond the town or towns in which it 
 was originally organized shall, within six months after the adoption of 
 these statutes, file in the office of the county clerk of the county in 
 which its office is located a declaration signed by its president and sec- 
 retary and duly acknowledged by them, naming the town or towns in 
 which it has heretofore transacted the business of insurance and de- 
 claring its intention to continue its business in such towns thereafter. 
 
 Reinsurance mutuals; organization. 
 Section 1941a — 1. Any number of town mutual fire insurance com- 
 panies organized under the laws of this state, not less than nine in 
 number, who collectively carry fire insurance risks aggregating not 
 less than ten million dollars may form themselves into a corporation 
 for mutual reinsurance against loss or damage by fire or lightning. 
 
 Members; representatives. 
 Section 1941a — 2. Any town mutual fire insurance company may, at 
 its annual meeting, or at a special meeting called for that purpose, by 
 resolution duly adopted, vote to become a member of a reinsurance cor- 
 poration to be organized under this chapter. The secretary, or in case 
 of his inability the president, of such town company shall thereupon 
 be authorized to represent such town company in forming and organiz- 
 ing such reinsurance corporation; and shall in all matters represent 
 such town company in said reinsurance corporation. 
 
 Directors; risks. 
 
 Sectio.x 1941a — 3. The affairs of said reinsurance corporation shall 
 be managed by a board of nine directors who shall be chosen by the 
 representatives of the town companies composing such reinsurance 
 corporation from among their number. 
 
 Such reinsurance corporation shall have power to reinsure the risks 
 of any of the town mutual fire insurance companies composing^such re- 
 
Ch. 89 77 1941g 
 
 insurance corporation; and such town mutual fire insurance companies 
 are authorized to effect reinsurance of their risks in said reinsurance 
 corporation. 
 
 The provisions of sections 1927 to 1941, inclusive, of the statutes, 
 together with all amendments at any time made thereto, shall, so far 
 as applicable, apply to the organization, management, powers, rights, 
 privileges, duties and burdens of such reinsurance corporation and the 
 members thereof, and the relations of such members with each other 
 and with such reinsurance corporation, and the manner of withdrawal 
 of members therefrom. 
 
 Members; town mutuals. 
 
 Section 1941a — 4. After any reinsurance corporation shall have been 
 duly organized under the provisions of sections 1941a — 1 to 1941a — 4, 
 inclusive, any town mutual fire insurance company may become a mem- 
 ber thereof whenever such town insurance company shall, at its annual 
 meeting, or at any special meeting called for that purpose, vote to ap- 
 ply for insurance in such reinsurance corporation; and when such ap- 
 plication for insurance shall be accepted and approved as provided by 
 the by-laws of said reinsurance corporation, such town mutual fire in- 
 surance company shall thereupon be a member of said reinsurance cor- 
 poration. 
 
 Repeal; domestic stock and mutual companies; by-laws. 
 Section 1941g. 1. (a) Sections 1896, 1897, 1898, 1899, 1900, 1901 and 
 1907, of the statutes, relating to domestic fire and marine insurance 
 companies, are repealed; 
 
 (b) Sections 1941a, 1941b, 1941c, 1941d, 1941e and 1941f of the stat- 
 utes, relating to millers' mutuals, are repealed; 
 
 (c) Sections 1941—1, 1941— la, 1941—3, 1941—8 and 1941—13 of the 
 statutes, relating to village mutuals, are repealed; 
 
 (d) Sections 1941—14, 1941—15, 1941—16, 1941—17, 1941—18, 1941— 
 19, 1941—20, 1941—21 and 1941—22 of the statutes, relating to drug- 
 gists' mutuals, are repealed; 
 
 (e) Sections 1941— 22a, 1941— 22b, 1941— 22c, 1941— 22d, 1941— 22e, 
 1941— 22f, 1941— 22g, 1941— 22h, and 1941-221 of the statutes, relating 
 to plate glass mutuals, are repealed; 
 
 (f) Sections 1941—23, 1941—24, 1941—25, 1941—26, 1941—27, 1941— 
 27a, 1941—28, 1941—29, 1941—30, 1941—31 and 1941—32 of the statutes, 
 relating to church mutuals, are repealed ; 
 
 (g) Sections 1941—33, 1941—34, 1941—35, 1941—36, 1941—37, 1941— 
 38, 1941—39, 1941—40 and 1941—41 of the statutes, relating to lumber 
 dealers' mutuals, are repealed; 
 
 (h) Sections 1966—2, 1966—3, 1966—4, 1966—5, 1966—6, 1966—7, 
 1966—8, 1966—9, 1966—10, 1966—11 and 1966—12 of the statutes, relat- 
 ing to hail and cyclone mutuals, are repealed; 
 
 (i) Sections 1966—13, 1966—14, 1966— 15, 1966— 16, 1966—17, 1966— 
 19, 1966—20, 1966—21, 1966—22, 1966—23 and 1966—24 of the statutes, 
 relating to live stock mutuals, are repealed; 
 
I94In 78 Ch. 89 
 
 (j) Sections 1966—25, 1966—26, 1966—27, 1966—28, 1966—29, 1966— 
 30, 1966 — 31 and 1966 — 31a of the statutes, relating to domestic casualty 
 companies, are repealed; 
 
 (k) Sections 1966—41, 1966—43 and 1966—49 of the statutes, relating 
 to casualty companies, are repealed; 
 
 (1) Sections 1966—50, 1966—51, 1966—52, 1966—53 and 1966—54 of 
 the statutes, relating to live stock business mutuals, are repealed; 
 
 (m) Sections 1966—61, 1966—62, 1966—63, 1966—64, 1966—65, 1966— 
 66, 1966—67, 1966—68, 1966—69, 1966—70 and 1966—71 of the statutes, 
 relating to bicycle mutuals, are repealed; 
 
 (n) Sections 1966—81, 1966—82, 1966—83, 1966—84, 1966—85, 1966— 
 86, 1966—87 and 1966—88 of the statutes, relating to bankers' casualty 
 mutuals, are repealed; 
 
 (0) Sections 1941—2, 1941—4, 1941—5, 1941—6, 1941—7, 1941— 7m, 
 1941—9, 1941— 9m, 1941—10, 1941—11 and 1941—12 are repealed. 
 
 2. From and after the repeal of the foregoing sections, the said sec- 
 tions shall be considered as a part of the by-laws of the respective cor- 
 porations heretofore organized now doing business under the provisions 
 of said laws, and such by-laws shall remain in force except as hereby 
 or hereafter changed by law or by amendment hereafter adopted to the 
 by-laws by such corporation. 
 
 3. When no other provision is made for the amendment of the by- 
 laws of such corporation, such by-laws may be amended in the man- 
 ner provided in paragraph (b) of subsection 1 of section 1897c. 
 
 4. Every insurance corporation heretofore organized and now doing 
 business under the provisions of any law of this state is continued 
 without any limitation whatever upon the duration of its corporate 
 existence, notwithstanding any limitation heretofore imposed by law 
 or incorporated into its articles of organization. 
 
 Town mutuals; validating provision; filing articles. 
 Section 1941n. Any town insurance company organized, or attempted 
 to be organized under the provisions of sections 1927 to 1941, inclusive, 
 of the statutes, or the acts of which said sections are amendatory, if 
 doing business as such corporation at the time of the taking effect of 
 this act, notwithstanding the term of duration of its corporate exis- 
 tence has expired, the invalidity of any amendment to its articles of 
 organization, or any provision or provisions of law may not have been 
 complied with in such organization, shall be held and considered to be 
 a corporation duly organized and existing under the sections of the 
 statutes aforesaid, and the term of duration of any such corporation 
 is hereby extended without any limitation whatever; all provided, that 
 the said corporation shall file with the commissioner of insurance a 
 copy of its articles of organization and any amendments thereto, duly 
 verified as such by the affidavit of its president and secretary, and 
 within thirty days after such filing, record a copy thereof, duly certi- 
 fied by the commissioner of insurance, in the office of the register 
 of deeds of the county in which the home office of said corpora- 
 tion is located. Thereupon all acts of such corporation are validated. 
 
Ch. 89 79 lOilx 
 
 Any limitation of the term of duration of any corporation organized 
 under the sections of the statutes aforesaid, whether prescribed by 
 statute or in the articles of organization or any amendment thereto is 
 hereby abrogated and such corporation shall continue without any 
 limitation of its term of duration. 
 
 STANDARD FIRE INSURANCE POLICY 
 
 Preparation of form. 
 Section 1941x. The commissioner of insurance shall prepare and 
 file in his office a printed form in blank of a policy of fire insurance, 
 containing the provisions, agreements and conditions specified herein; 
 and such form shall be known as the "Standard Fire Insurance Policy 
 of the State of Wisconsin." Such policy form shall correspond in all 
 respects to the sample hereto attached. 
 
 No. 
 
 [Space for insertion of name of company or companies issuing the 
 policy and other matter permitted to be stated at the head of the 
 policy.] 
 
 Amount $ Rate Premium $ 
 
 In Consideration of the Stipulations herein named 
 
 and of Dollars Premium 
 
 does insure 
 
 and legal representatives, to the extent of the actual cash value (as- 
 certained with proper deductions for depreciation) of the property at 
 the time of loss or damage, but not exceeding the amount which it 
 would cost to repair or replace the same with material of like kind 
 and quality within a reasonable time after such loss or damage, with- 
 out allowance for any increased cost of repair or reconstruction by 
 reason of any ordinance or law regulating construction or repair and 
 without compensation for loss resulting from interruption of business 
 
 or manufacture, for the term of 
 
 from the day of 19 , at noon, 
 
 to the day of 19 , at noon, 
 
 against all DIRECT LOSS AND DAMAGE BY FIRE and by removal 
 from premises endangered by fire, except as herein provided, to an 
 
 amount not exceeding Dollars, 
 
 to the following described property while located and contained as de- 
 scribed herein, or pro rata for five days at each proper place to which 
 any of the property shall necessarily be removed for preservation from 
 fire, but not elsewhere, to wit: 
 
19Hx 80 Ch. 89 
 
 [Space for description of property.] 
 
 This policy is made and accepted subject to the foregoing stipula- 
 tions and conditions, and to the stipulations and conditions printed on 
 the back hereof, which are hereby made a part of this policy, together 
 with such other provisions, stipulations and conditions as may be en- 
 dorsed hereon or added hereto as herein provided. 
 
 In Witness Whereof, this Company has executed and attested these 
 presents. 
 
 [Space for date and for signatures and titles of officers and agent.] 
 
 1 This entire policy shall be void if the insured 
 
 2 Fraud, misrepre- j^^g concealed or misrepresented any ma- 
 g sentation, etc. terial fact or circumstance concerning this 
 
 4 insurance or the subject thereof; or in case of any fraud or false 
 
 5 swearing by the insured touching any matter relating to this 
 
 6 insurance or the subject thereof, whether before or after a loss. 
 
 7 This policy shall not cover accounts, bills, 
 
 8 Uninsurable currency, deeds, evidences of debt, money, 
 
 9 ^""^ notes or securities; nor, unless specifically 
 
 10 Excepted property named hereon in writing, bullion, manu- 
 
 11 scripts, mechanical drawings, dies or patterns. 
 
 12 This Company shall not be liable for loss 
 
 13 Hazards not ^^, (j^mage caused directly or indirectly by 
 
 14 covered invasion, insurrection, riot, civil war or 
 
 15 commotion, or military or usurped power, or by order of any 
 
 16 civil authority; or by theft; or by neglect of the insured to use 
 
 17 all reasonable means to save and preserve the property at and 
 
 18 after a fire or when the property is endangered by fire in 
 
 19 neighboring premises. 
 
 20 This entire policy shall be void, unless otherwise provided 
 
 21 by agreement in writing added thereto, 
 
 22 (a) if the interest of the insured be other than 
 
 23 Ownership, etc. unconditional and sole ownership; or (b) if 
 
 24 the subject of insurance be a building on ground not owned by 
 
 25 the insured in fee simple; or (c) if, with the knowledge of the 
 
 26 insured, foreclosure proceedings be commenced or notice given 
 
 27 of sale of any property insured hereunder by reason of any mort- 
 
 28 gage or trust deed; or (d) if any change, other than by the death 
 
 29 of an insured, take place in the interest, title or possession of 
 
 30 the subject of insurajice (except change of occupants without 
 
 31 increase of hazard) ; or (e) if this policy be assigned before a loss. 
 
 32 Unless otherwise provided by agreement in writing added 
 
 33 hereto this Company shall not be liable for loss or damage 
 
 34 occurring 
 
 35 (a) while the insured shall have any other 
 gg Other Insurance, contract of insurance, whether valid or not, 
 
 37 on property covered in whole or in part by this policy; or 
 
 38 (b) while the hazard is increased by any 
 
Ch. S9 81 1941x 
 
 39 Increase of hazard, means within tlie control or knowledge of 
 
 40 the insured; or 
 
 41 Repairs, etc. (c)while mechanics are employed in building, 
 
 42 altering or repairing the described premises 
 
 43 beyond a period of fifteen days; or 
 
 44 (d) while illuminating gas or vapor is gener- 
 
 45 ^^ osives, g^^gij Qj^ |.j^g described premises; or while 
 
 46 ^^^' ® *'■ (any usage or custom to the contrary not- 
 
 47 withstanding) there is kept, used or allowed on the described 
 
 48 premises fireworks, greek fire, phosphorus, explosives, benzine, 
 
 49 gasoline, naphtha or any other petroleum product of greater in- 
 
 50 flammability than kerosene oil, gunpowder exceeding twenty- 
 
 51 five pounds, of kerosene oil exceeding five barrels; or 
 
 52 _ (e) if the subject of insurance be a manufac- 
 
 53 Factories. turing establishment while operated in 
 
 54 whole or in part between the hours of ten P. M. and five A. M., 
 
 55 or while it ceases to be operated beyond a period of ten days; or 
 
 56 (f) while a described building, whether in- 
 __ Unoccupancy. ^^ j j * u 4. ^ - 
 
 57 f J tended for occupancy by owner or tenant, is 
 
 58 vacant or unoccupied beyond a period of ten days; or 
 
 59 . (g) by explosion or lighting, unless fire 
 
 60 ^^ osion, ensue, and, in that event, for loss or dam- 
 g^ Lightning. ^^^ ^^ ^^^ ^^j^ 
 
 62 Unless otherwise provided by agreement in 
 
 go Chattel mortgage, ^j-iting added hereto this Company shall 
 
 64 not be liable for loss or damage to any property insured here- 
 
 65 under while incumbered by a chattel mortgage, and during the 
 
 66 time of such incumbrance this Company shall be liable only 
 
 67 for loss or damage to any other property insured hereunder. 
 
 68 _ If a building, or any material part thereof, 
 
 69 '^^" °^ building, ^^jj except as the result of fire, all insurance 
 
 70 by this policy on such building or its contents shall immediately 
 
 71 cease. 
 
 72 The extent of the application of insurance 
 ^3 Added clauses. ^^^^^^, ^-^^^ policy and of the contribution to 
 
 74 be made by this Company in case of loss or damage, and any 
 
 75 other agreement not inconsistent with or a waiver of any of 
 
 76 the conditions or provisions of this policy, may be provided for 
 
 77 by agreement in writing added hereto. 
 
 78 . No one shall have power to waive any pro- 
 Wsi vGr 
 
 79 ■ vision or condition of this policy except such 
 
 80 as by the terms of this policy may be the subject of agreement 
 
 81 added hereto, nor shall any such provision or condition be held 
 
 82 to be waived unless such waiver shall be in writing added hereto, 
 
 83 nor shall any provision or condition of this policy or any for- 
 
 84 feiture be held to be waived by any requirement, act or proceed- 
 
 85 ing on the part of this Company relating to appraisal or to any 
 
 86 examination herein provided for; nor shall any privilege or per. 
 
 6 
 
194 Ix 82 Ch. 89 
 
 87 mission affecting the insurance hereunder exist or be claimed by 
 
 88 the insured unless granted herein or by rider added hereto. 
 
 89 . This policy shall be cancelled at any time 
 
 90 Cancellation ^^ ^^^ request of the insured, in which case 
 
 91 policy. j.j^g Company shall, upon demand and sur- 
 
 92 render of this policy, refund the excess of paid premium above 
 
 93 the customary short rates for the expired time. This policy 
 
 94 may be cancelled at any time by the Company by giving to the 
 
 95 insured a five days' written notice of cancellation with or with- 
 
 96 out tender of the excess of paid premium above the pro rata 
 
 97 premium for the expired time, which excess, if not tendered, 
 
 98 shall be refunded on demand. Notice of cancellation shall state 
 
 99 that said excess premium (if not tendered) will be refunded on 
 
 100 demand. 
 
 101 This Company shall not be liable for a 
 
 102 ° ""^^^ liability. gj-eater proportion of any loss or damage 
 
 103 than the amount hereby insured shall bear to the whole 
 
 104 insurance covered the property, whether valid or not and 
 
 105 whether collectible or not. 
 
 106 The word "noon" herein means noon of 
 
 107 ■ standard time at the place of loss or damage. 
 
 108 If loss or damage is made payable, in whole 
 
 109 Mortgage ^j. j^ part, to a mortgagee not named herein 
 
 110 interests. ^g ^^^e insured, this policy may be cancelled 
 
 111 as to such interest by giving to such mortgagee a ten days' 
 
 112 written notice of cancellation. Upon failure of the insured to 
 
 113 render proof or loss such mortgage shall, as if named as insured 
 
 114 hereunder, but within sixty days after notice of such failure, ren- 
 
 115 der proof of loss and shall be subject to the provisions hereof as 
 
 116 to appraisal and times of payment and of bringing suit. On pay- 
 
 117 ment to such mortgagee of any sum for loss or damage here. 
 
 118 under, if this Company shall claim that as to the mortgagor or 
 
 119 owner, no liability existed, it shall, to the extent of such pay- 
 
 120 ment be subrogated to the mortgagee's right of recovery and 
 
 121 claim upon the collateral to the mortgage debt, but without 
 
 122 impairing the mortgagee's right to sue; or it may pay the mort- 
 
 123 gage debt and require an assignment thereof and of the mortgage. 
 
 124 Other provisions relating to the interests and obligations of such 
 
 125 mortgagee may be added hereto by agreement in writing. 
 
 126 The insured shall give immediate notice, in 
 J27 Requirements in writing, to this Company, of any loss or 
 
 128 ^^^^ °^ '°^®- damage, protect the property from further 
 
 129 damage, forthwith separate the damaged and undamaged 
 
 130 personal property, put it in the best possible order, furnish a 
 
 131 complete inventory of the destroyed, damaged and undamaged 
 
 132 property, stating the quantity and cost of each article and the 
 
 133 amount claimed thereon; and, the insured shall, within sixty 
 
 134 days after the fire, unless such time is extended in writing by 
 
Ch. 89 83 1941x 
 
 135 this company, render to this company a proof of loss, signed 
 
 136 and sworn to by the insured, stating the knowledge and belief 
 
 137 of the insured as to the following: the time and origin of the fire, 
 
 138 the interest of the insured and of all others in the property, the 
 
 139 cash value of each item thereof and the amount of loss or damage 
 
 140 thereto, all incumbrances thereon, all other contracts of in- 
 
 141 surance, whether valid or not, covering any of said property, 
 
 142 any changes in the title, use, occupation, location, possession, or 
 
 143 exposures of said property since the issuing of this policy, by 
 
 144 whom and for what purpose any building herein described and 
 .145 the several parts thereof were occupied at the time of fire; and 
 
 146 shall furnish a copy of all the descriptions and schedules in all 
 
 147 policies and if required, verified plans and specifications of any 
 
 148 building, fixtures or machinery destroyed or damaged. The 
 
 149 insured, as often as may be reasonably required, shall exhibit 
 
 150 to any person designated by this Company all that remains of 
 
 151 any property herein described, and submit to examinations 
 
 152 under oath by any person named by this Company, and 
 
 153 subscribe the same; and, as often as may be reasonably 
 
 154 required, shall produce for examination all books of account, 
 
 155 bills, invoices, and other vouchers, or certified copies thereof, 
 
 156 if originals be lost, at such reasonable time and place as may 
 
 157 be designated by this Company or its representatives, and shall 
 
 158 permit extracts and copies thereof to be made. 
 
 159 In case the insured and this Company shall 
 
 160 Appraisal. ^.^^j ^^ agree as to the amount of loss or 
 
 161 damage, each shall, on the \vTitten demand of either, select 
 
 162 a competent and disinterested appraiser. The appraisers 
 
 163 shall first select a competent and disinterested umpire; and 
 
 164 faiUng for fifteen days to agree upon such umpire then, on 
 
 165 request of the insured or this Company, such umpire shall be 
 
 166 selected by a judge of a court of record in the state in which 
 
 167 the property insured is located. The appraisers shall then 
 
 168 appraise the loss and damage stating separately sound value 
 
 169 and loss or damage to each item; and failing to agree, shall 
 
 170 submit their differences only, to the umpire. An award in 
 
 171 writing, so itemized, of any two when filed with this Company 
 
 172 shall determine the amount of sound value and loss or 
 
 173 damage. Each appraiser shall be paid by the party selecting 
 
 174 him and the expenses of appraisal and umpire shall be paid 
 
 175 by the parties equally. 
 
 176 It shall be optional with this company to 
 
 177 Company's ^^-^^ ^^^^ ^^ ^^^ p^^.^ ^^ ^^^ articles at the 
 
 178 options. agreed or appraised value, and also to 
 
 179 repair, rebuild, or replace the property lost or damaged with 
 
 180 other of like kind and quality within a reasonable time, on 
 
 181 giving notice of its intention so to do within thirty days 
 
 182 after the receipt of the proof of loss herein required; but 
 
1941—62 84 Ch. S9 
 
 183 there can be no abandonment to this Com- 
 
 jg4 Abandonment. ^^^^ ^^ ^^^ property. 
 
 185 .... . The amount of loss or damage for which 
 When loss , ^ ^ ,. ,^, ^ ,, ^ 
 
 186 . . this Company may be liable shall be pay- 
 payable 
 
 187 able SiXty days after proof of loss, as herein 
 
 188 provided, is received by this Company and ascertainment of 
 
 189 the loss or damage is made either by agreement between the 
 
 190 insured and this Company expressed in writing or by ihe 
 
 191 filing with this Company of an award as herein provided. 
 
 192 No suit or action on this policy, for the 
 
 193 ®"'*" recovery of any claim, shall be sustainable 
 
 194 in any court of law or equity unless all the requirements of 
 
 195 this policy shall have been complied with, nor unless com- 
 
 196 menced within twelve months next after the fire. 
 
 197 This Company may require from the insured 
 
 198 Subrogation. ^^ assignment of all right of recovery 
 
 199 against any party for loss or damage to the extent that pay- 
 
 200 ment therefor is made by this Company. 
 
 Standard Fire Insurance Policy of the State of 
 
 Expires 
 
 Property 
 
 Amount $ 
 
 Premium - - - % 
 
 No 
 
 It is important that the written portions of all policies covering the 
 same property read exactly alike. If they do not they should be made 
 uniform at once. 
 
 Sections 1941—42 to 1941—60. [Repealed 62/ cli. 127, 1917]. 
 
 Other conditions. 
 Section 1941 — 61. If this policy be made by a mutual or other com- 
 pany having special regulations lawfully applicable to its organization, 
 membership, policies or contracts of insurance, such regulations shall 
 apply to and form a part of this policy as the same may be written or 
 printed upon, attached or appended hereto. 
 
 Section I'Jffl — 61 is referred to in sees. HK'il — 6'-}, 19it — Go. 
 
 Lightning clause. 
 
 Section 1941 — 62. Every fire insurance policy issued in this state 
 shall have attached thereto a clause providing that the policy to which 
 it is attached will cover the property insured against damage result- 
 ing from lightning whether fire ensues or not. Failure to attach such 
 clause shall not relieve the company issuing the policy from liability 
 for such damage. 
 
Ch. 89 85 1941—64 
 
 Forms. 
 
 Section 1941—63. (Indorsements.) 
 
 Assignment of Interest by Insured. 
 
 The interest of as owner of property covered by this 
 
 policy is hereby assigned to subject to the consent of 
 
 (name of company). 
 
 j)ated Signature of the insured. 
 
 Note. — To secure mortgages, if desired, the policy should be made 
 payable on its face to such mortgagee, as follows: Loss, if any, pay- 
 able to John Doe, mortgagee. 
 
 Consent by Company to Assignment of Interest. 
 
 (name of company) hereby consents that the interest of 
 
 as owner of the property covered by this policy be assigned to 
 
 j)a^(-e(j Signature for company. 
 
 Expires 
 
 Property 
 
 Am't $ Premium $ 
 
 No 
 
 It is important that the written portions of all policies covering the 
 same property read exactly alike. If they do not they should be made 
 uniform at once. 
 
 Part of fire premiums held as trust fund. 
 Section 1941— 63s. Unless otherwise specified in an indorsement on 
 the policy, which is hereby authorized, the company shall hold as a 
 deposit in trust for the insured, for which he shall have a preferred 
 claim, a pro rata part of the premiums paid on every standard fire in- 
 surance policy. 
 
 Standard policy form exclusive; exceptions. 
 Section 1941—64. 1. No fire insurance company, corporation or as- 
 sociation, except township mutual insurance companies, their officers 
 or agents, shall make, issue, use or deliver for use any fire insurance 
 policy on property in this state, other than such as shall conform in 
 all particulars as to blanks, size of type, context, provisions, agree- 
 ments and conditions with the printed forms of contract or policy so 
 filed in the office of the commissioner of insurance as provided for in 
 sections * * * lOJflx and 19^1—61 to 19U—G5, all inclusive, and no 
 other or different provision, agreement, condition of clause shall in 
 any manner be made a part of said contract or policy, or be indorsed 
 thereon or delivered therewith except as follows, to-wit: 
 
1941—64 86 Ch. 89 
 
 Other matter permitted, 
 a. (1) The name of the company, (2) its location or place of busi- 
 ness, (3) the date of its incorporation or organization and the state 
 or country under which the same is organized, (4) the amount of 
 paid-up capital stock, (5) whether it is a stock or mutual company, 
 (6) the name of its officers, (7) the number and (8) date of the 
 policy, and, (9) if it be issued through a manager or agent of the com- 
 pany, the words "this policy shall not be valid until countersigned 
 
 by the duly authorized manager or agent of the company at ," 
 
 may be printed on policies issued on property in this state. 
 
 Schedules; conditions. 
 Section 1941 — 64. 2. Printed or written forms of description and 
 specifications or schedules of the property covered by any particular 
 policy, and any other matter necessary to clearly express all the facts 
 and conditions of insurance on any particular risk (which facts or con- 
 ditions shall in no case be inconsistent with or a waiver of any of the 
 provisions or conditions of the standard policy herein provided for), 
 may be written upon or attached or appended to any policy issued on 
 property in this state. Nothing in this section shall be construed as 
 prohibiting the attachment to said policy of a clause or agreement 
 insuring against consequential loss or damage including loss of rents, 
 leasehold interests, profits or commission or loss resulting from inter- 
 ruption of business or manufacture due to fire. 
 
 Other provisions required by law. 
 
 3. A company, corporation or association organized or incorporated 
 under and in pursuance of the laws of this state or elsewhere, if en- 
 titled to do business in this state, may, with the approval of the com- 
 missioner of insurance, if the same is not already included in the 
 standard form as provided for in said sections, print on its policies 
 any provision, which it is required by law to insert therein, if such 
 provisions be not in conflict with the laws of this state or of the 
 United States, or of the provisions of the standard form provided for 
 herein, but any such provision shall be printed apart from the other 
 provisions, agreements or conditions of the policy, and in t>'pe not 
 smaller than the body of the policy, and under a separate title as 
 follows: "Provisions required by law to be stated in this policy," and 
 be a part of said policy. 
 
 Agent's name and place of business. 
 
 4. There may be indorsed on the outside of any policy herein pro- 
 vided for the name, with the word "agent" or "agents" and place of 
 business of any insurance agent or agents, either by writing, printing, 
 stamping or otherwise. 
 
 Joint policies; several policies. 
 
 5. Where two or more companies (each having previously complied 
 with the law of this state) unite to issue a joint policy there may be 
 
Ch. 59 87 1943 
 
 expressed (a) in the heading of such policy, the fact of the severalty of 
 the contract; (b) the proportion of premium to be paid to each com- 
 pany, (c) the proportion of liability which each company agrees to 
 assume, and (d) in the printed conditions of such policy the necessary 
 change may be made from the singular to the plural number, when 
 reference is had to the companies issuing such policy. 
 Section 191tl — 6^ is referred to in sec. I'Jkl — So. 
 
 Unauthorized insurance void. 
 
 Section 1941 — 64m. 1. All future contracts of insurance against the 
 risk of loss or damage by fire or lightning upon property in this state 
 shall be held to be made and effected within this state. 
 
 2. No unauthorized fire insurance company or other unauthorized 
 insurer shall hereafter make or issue, directly or indirectly, any policy 
 of insurance on property in this state, except as specifically authorized 
 by law. All such contracts are declared to be unlawful, void, and un- 
 enforcible, and no action in law or equity shall be maintained on any 
 such contract in any court. 
 
 Violation of law; bound by contract. 
 
 Section 1941 — 65. Any insurance company, its officers or agents or 
 either of them, violating any provision of sections 1941x and 1941 — 61 
 to 1941—65, inclusive, by making, issuing, delivering or offering to 
 deliver any policy of fire insurance on property in this state, except 
 as herein before provided, shall be guilty of a misdemeanor and upon 
 complaint made by the commissioner of insurance or any citizen of 
 this state shall, upon conviction thereof, be punished by a fine of not 
 less than fifty dollars nor more than one hundred dollars for the first 
 offense, and of not less than one hundred dollars nor more than two 
 hundred and fifty dollars for each subsequent offense ; but any policy so 
 made, issued and delivered shall, nevertheless, be binding upon the 
 . company issuing the same, and such company shall thereafter be dis- 
 qualified from doing any insurance business in this state. 
 Section I'JJfl — 65 is referred to in 19i3a. 
 
 MISCELLANEOUS PROVISIONS RELATING TO FIRE INSURANCE 
 
 Policies; what to show. 
 Section 1942. Every insurance corporation doing business on the 
 mutual plan shall contain in its name, which shall be upon the first 
 page in every policy or renewal receipt, the word mutual, and if doing 
 business as a cash stock corporation it shall, upon the face of its poli- 
 cies, express that it is a stock policy. 
 
 Valued policy. 
 
 Section 1943. Whenever any policy of insurance is written to insure 
 
 real property and the property insured is wholly destroyed, without 
 
 criminal fault on the part of the insured or his assigns, the amount of 
 
 the insurance written in such policy shall be taken conclusively to be 
 
J943Tn 88 Ch. 89 
 
 the true value of the property when insured and the true amount of 
 loss and measure of damages when destroyed. 
 
 Coinsurance clauses. 
 
 Section 1943a. Except as otherwise provided by law, no fire insur- 
 ance company shall issue any policy in this state containing any pro- 
 vision limiting the amount to be paid in case of loss below the actual 
 cash value of the property, if within the amount for which the pre- 
 mium is paid, unless, at the option of t^e insured, a reduced rate shall 
 be given for the use of a coinsurance clause made a part of the policy. 
 The rate for the insurance, with and without the coinsurance clause, 
 shall be specified upon every policy. Any company may, by so provid- 
 ing in the policy, distribute the total insurance in the manner and 
 upon as many items as specified therein, or limit the amount recoverable 
 upon any single item, article, or animal to an amount not exceeding 
 the cost thereof, or to an amount specified in the policy. Any company, 
 officer, or agent violating any provision of this section shall * * * 
 upon conviction thereof, be punished by a fine of not less than one hun- 
 dred dollars nor more than five hundred dollars and the license of such 
 agent and company viay be suspended for a period not exceeding one 
 year. 
 
 Establishment of rates. 
 
 Section 1943b. No fire, fire and marine, or marine and inland in- 
 surance company or association, its agent or representative doing busi- 
 ness in this state shall, either directly or indirectly, enter into any con- 
 tract, agreement, combination or compact with any other such com- 
 pany or companies or its or their agents or representatives for the 
 purpose of establishing and maintaining a fixed schedule or schedules 
 of rates; except such agreements as are specifically authorized by 
 statutes, or such as may be filed with and approved by the commis- 
 sioner of insurance. Any such approval by the commissioner of in- 
 surance may be withdrawn at any time. 
 
 Section 19J,3b is refei-red to in B'fi — 11. 
 
 Section 1943f. [Repealed by ch. 461, 1917]. 
 
 Authorized fire insurance adjusters. 
 
 Section 1943m. 1. No person, other than an agent holding a cer- 
 tificate of authority under section 1976, shall make any adjustment of 
 loss or damage under an insurance policy covering hazard described 
 in subsections 1, 2, 11, 12, and 14 of section 1897, unless he shall hold 
 a certificate of authority from the commissioner of insurance under 
 this section or after making the first adjustment within any license 
 year, ma'ce application for such certificate of authority as provided in 
 this section. 
 
 2. A certificate of authority as a fire insurance adjuster, expiring 
 January thirty-first following, may be issued to any person filing an 
 application on a form prescribed and furnished to him and upon the 
 payment of a license fee of one dollar. 
 
Ch. S9 89 1943m 
 
 3. Such certificate of authority shall be revoked by the commissioner 
 of insurance, if after due investigation and hearing had either before 
 himself or a salaried employe of the insurance department designated 
 by him, whose report he may adopt, he determines that the holder of 
 such certificate has violated any provision of the law relating to in- 
 surance. No person whose certificate of authority is so revoked shall 
 be granted any other such certificate of authority under this section 
 for a period of one year thereafter, nor shall he until again so author- 
 ized, act as employe or participate in the profits of any fire insurance 
 adjuster. 
 
 4. A person shall not be held to violate this section by making his 
 first adjustment during a license year prior to obtaining such certificate 
 of authority, provided that he shall, within two days after entering 
 upon such adjustment, make application therefor, and shall in all other 
 respects comply with this section. 
 
 5. Upon the completion of each adjustment of loss or damage by fire 
 a report thereof upon a form prescribed by the commissioner of in- 
 surance shall be made and signed by each adjuster participating therein 
 and by the insured or some one authorized thereto on his behalf and 
 shall be filed with the chief of the fire department as deputy fire mar- 
 shal* or if none, then with the state fire marshal. A duplicate thereof 
 shall be filed with each inspection bureau of which the companies effect- 
 ing such insurance are members. 
 
 *Chiefs of fire departments are constitued deputies of the industrial com- 
 mission by ch. SOI, 1917. 
 
 6. No loss shall be paid by any company unless the report of the 
 adjustment signed by the adjuster shall show that the report and the 
 duplicates required by this section have been filed. 
 
 7. The deposit of such report in the mails, properly sealed, addressed 
 and postpaid shall be a sufficient filing. 
 
 8. This section shall apply to and include all persons who act in 
 the capacity as specified in subsection 1 for any insurance company 
 or insured and to all persons who act as advisory to or adjusters for 
 the insured for compensation in case of loss or damage by fire, except- 
 ing persons acting as attorneys in the ordinary relation of attorney and 
 client. 
 
 9. No compensation which shall be based on the excess of recovery 
 over a stipulated sum, or on a percentage upon the amount of recovery 
 in excess of five per cent of the amount of such recovery, plus actual 
 transportation charges and hotel bills, shall be paid or agreed to be 
 paid for the services of any fire insurance adjuster, and any contract 
 for compensation in violation of the within mentioned conditions shall 
 be void. 
 
 10. Subsection 1 of this section shall not apply to adjusters for town 
 mutual companies organized under section 1927 of the statutes. The 
 reports of adjustment may be made in such form and at such time or 
 times as prescribed by the commissioner of insurance. 
 
 11. Any person convicted of violating any of the provisions of this 
 section shall be subject to a fine of not more than five hundred dollars 
 
1945c 90 Ch. 89 
 
 for each violation or imprisonment in the county jail for a period not 
 exceeding six months. 
 
 Premium notes; how made; defenses. 
 Section 1944. Every promissory note or obligation, except ordinary 
 notes received in payment of premiums for policies issued on the cash 
 basis, taken by any fire insurance corporation doing business in this 
 state or by any agent thereof, for which the consideration in whole or 
 in part shall be the issuing of a policy of insurance, shall have written 
 in the body thereof the words "given in payment for a policy of in- 
 surance, and if transferred either before or after maturity shall re- 
 main subject to all defenses." Such notes or obligations shall be sub- 
 ject to all defenses the maker thereof may or could have against the 
 original promisee in whosesoever hands the same may be; and if any 
 such corporation or agent thereof shall take any such note or obliga- 
 tion not so written such corporation shall forfeit its license to do busi- 
 ness in this state. 
 
 When void. 
 
 Section 1945. Every note or obligation given in payment of any 
 premium for any policy of insurance issued by any fire insurance cor- 
 poration shall, if before the expiration of such policy such corporation 
 shall become insolvent or bankrupt, become utterly void in whosoever 
 hands the same may be, so far as the premium for which the same was 
 given was unearned at the time of such insolvency or bankruptcj . 
 
 Action to collect assessment. 
 
 Section 1945b. No action shall be brought in any court of this state 
 by the receiver, trustee or other officer or person exercising the func- 
 tions of a receiver to recover any assessment made by a foreign mutual 
 fire, life or accident insurance company, for any money due any such 
 company as and for dues or fees on account of insurance therein, 
 whether such assessment be made by the company or the receiver, 
 trustee or other officer or person unless such action be begun within 
 six months after such assessment is made or the liability to pay such 
 dues or fees accrued. 
 
 Risks domestic companies may assume. 
 Section 1945c. Any corporation organized under the laws of this 
 state for the insurance of property against loss or damage by fire may 
 also insure the same classes of property, subject to the limitations pre- 
 scribed by the law under which it was organized or is governed as to 
 the amount of any single risk, against loss or damage by lightning, 
 hail, windstorms, tornadoes, cyclones, hurricanes, earthquake, bom- 
 bardment, invasion, insurrection, riot, civil war, military or usurped 
 power, leakage of sprinklers or sprinkler systems, installed or main- 
 tained for the purpose of protection against fire and by explosions, 
 whether fire ensues or not, including insurance upon automobiles and 
 vehicles and the accessories and other property transported upon and 
 
Ch. 89 91 1946—1 
 
 used in connection therewith against loss by collision and against loss 
 by legal liability for damage to property resulting from the mainten- 
 ance and use of such automobiles or vehicles and against loss by 
 burglary or theft or both and against any risk mentioned in sub- 
 sections 1, 2, 5 or 10 of section 1897 which said company may assume 
 under its license; provided the same shall be clearly expressed in the 
 policy, but nothing herein shall be construed to empower such com- 
 panies to insure against loss or damage to persons or property result- 
 ing from explosions of steam boilers. 
 
 Classification of directors. 
 Section 1945f. Any fire insurance company organized under any 
 special law of this state may classify its directors so that a proportion- 
 ate number of them shall hold for one, two and three years respectively. 
 
 Liability of directors of mutual companies. 
 
 Section 1945h. The directors of every mutual fire insurance corpo- 
 ration shall be personally liable for all dues owing and assessments 
 made on policies written upon property in any other state, territory or 
 foreign country in which the corporation has not been duly admitted to do 
 business and wherein such policies have been issued in violation of the 
 law of such state, territory or foreign country; provided, this section 
 shall not apply to church mutual insurance companies. 
 
 Assessment by foreign company. 
 
 Section 19451. The secretary or some other oflBcer of every foreign 
 mutual fire company licensed to do business in this state shall, imme- 
 diately after making an assessment upon any of its members herein, 
 notify the commissioner of insurance thereof and accompany such 
 notice with a statement of the condition of the company, setting forth 
 therein in particular the facts showing the necessity for each assess- 
 ment made. No such company shall make or increase any such assess- 
 ment because of its inability to collect assessments from its members 
 in states or territories in which it was not authorized to do business 
 and wherein its policies were written in violation of the laws thereof; 
 provided, that this section shall not apply to church mutual insurance 
 companies. 
 
 Section 1946. IRepealed in 1913'i. 
 
 INSURANCE RATE-MAKING 
 
 Insurers must be members of rating bureau. 
 Section 1946 — 1. Every company or other insurer licensed to effect 
 insurance against the risk of loss or damage by fire, lightning, wind- 
 storm, or sprinkler leakage in this state, shall be a member of a rating 
 bureau. No such insurer shall be a member of more than one bureau for 
 the purpose of making a rate on any class of risks for the same hazard. 
 
1946—5 92 Ch. 89 
 
 Organization of rating bureau. 
 Section 1946 — 2. A rating bureau, for the purpose of complying with 
 the requirements of section 1946—1, may be organized by five or more 
 insurers. Such bureau shall admit to membership, any licensed insurer 
 applying for membership therein. The expenses of the bureau, in- 
 curred in connection with "Wisconsin business, shall be borne by the 
 companies, in proportion to the direct premiums received during the 
 year from business written on property in this state, less return pre- 
 miums and returns or dividends to policyholders on mutual or par- 
 ticipating policies. A reasonable annual membership fee may also be 
 charged. Each member of the bureau shall be entitled to one vote. 
 Each class of companies or insurers, members of such bureau, shall 
 have representation on its managing committee. 
 
 Office in state. 
 Section 1946 — 3. Every bureau rating risks located in Wisconsin 
 shall maintain an office in this state. 
 
 License of rating bureau. 
 Section 1946 — 4. Every bureau making rates on risks located in this 
 state shall annually procure from the commissioner of insurance a 
 license to carry on such business. The license year for such bureau 
 shall be from February first to January thirty-first succeeding. Each 
 bureau shall pay to the state, through the commissioner of insurance, 
 an annual license fee of one hundred dollars, such fee to be paid at 
 the time of filing application for license. The commissioner of insur- 
 ance shall prescribe blanks and make needed regulations governing 
 the licensing of bureaus. The license of any bureau may be revoked 
 by the commissioner of insurance for failure to comply with the re- 
 quirements of law or rulings of the department of insurance. Such 
 revocation shall not take place until the bureau has had a hearing 
 before the commissioner upon at least ten days' notice. 
 
 Regulation of bureaus; filing articles, contracts, schedules and 
 forms. 
 
 Section 1946—5. 1. Each bureau shall file with the commissioner 
 of insurance, a copy of its articles of association, and its by-laws. It 
 shall also file with the said commissioner, copies of all contracts or 
 agreements entered into with its members or subscribers. All regula- 
 tions or rules of any such rating bureau, shall be filed with the com- 
 missioner of insurance, and no such regulations or rules shall be in 
 force before such filing, nor, in any case, after a written order by the 
 commissioner of insurance, disapproving such regulation or rules. 
 
 2. No regulation or rule shall be adopted which shall limit or pro- 
 hibit the exercise, by any company, of its right to make a different 
 rate, as provided in section 1946 — 9. 
 
 3. The commissioner of insurance may address inquiries to any indi- 
 vidual or bureau, which is engaged in making rates, upon property in 
 this state, in relation to its organization, maintenance or operation, or 
 
Ch. 89 93 1946—9 
 
 any other matter connected with its transactions. He may also re- 
 quire a survey of any risk or group of risks at any time, and also re- 
 quire the filing of schedules, written reports of surveys in individual 
 cases, rates, forms, rules, regulations and other information; and it 
 shall be the duty of every individual, association or bureau to comply 
 promptly with his request. 
 
 Examination of rating bureaus. 
 
 Sectiox 1946 — 6. The commissioner of insurance shall have the right 
 to examine any rating bureau making rates on property located in this 
 state as often as he deems it expedient to do so, and shall do so not 
 less than once in every three years. The expenses of examining a bu- 
 reau shall be paid by the bureau. A report covering each examination 
 shall be filed in the department of insurance. The commissioner of in- 
 surance may waive such examination upon a report of an examination 
 made by another insurance department or supervising officer within a 
 period of three years being filed with him. 
 
 Surveys of risks. 
 Section 1946^7. Every rating bureau engaged in making rates on 
 property located in this state shall inspect every risk specifically rated 
 by it upon schedule, and shall make a written survey of such risk 
 which shall be filed as a permanent record in the Wisconsin office of 
 such bureau. Rates for insurance upon all property rated upon a flat 
 rate basis shall also be filed in such office. Such survey shall show the 
 base rate and also the charges and credits. A copy of such survey 
 shall be furnished to the owner upon request. All such rates shall also 
 be filed with the stamping office or offices to which reports of writings 
 are made. Classifications of risks and rating schedules shall be uniform 
 for all Insurers and rating bureaus operating in this state. 
 
 Rates to be reasonable. 
 
 Section 1946—8. No company or other insurer against the risk of 
 fire, lightning, windstorm, or sprinkler leakage, and no rating bureau 
 shall fix or charge any rate for insurance upon property located in this 
 state which is unreasonable or which discriminates unfairly between 
 risks in the application of like charges and credits, or which discrim- 
 inates unfairly between risks of essentially the same hazard and having 
 essentially the same degree of protection. 
 
 Deviation from schedule rates. 
 Section 1946 — 9. Any company or other insurer may make a rate 
 different from the bureau rate upon any class of risks. Every com- 
 pany or other insurer which determines to make a rate different from 
 that made by the bureau, shall at least fifteen days in advance of the 
 date on which such rate is to become effective, file with the Wisconsin 
 office of the bureau of which it is a member, the stamping office to 
 which it reports its writings, and the commissioner of insurance, a 
 schedule showing such variation and the date upon which the varied 
 
1946—11 94 Ch. 89 
 
 rate is to be effective. Every such variation shall be uniform for all 
 risks in the class for which the variation is made. If any insurer makes 
 a lower rate on any class of property than that fixed by the rating bu- 
 reau of which it is a member or subscriber, such rate shall not be in- 
 creased by such insurer until one year has elapsed except when such 
 increase is approved by the commissioner of insurance. 
 
 Discrimination, how removable. 
 Section 1946 — 10. No discrimination shall be removed by increasing 
 the rate at which any risk or class of risks is written after this act 
 takes effect, unless it shall be made to appear to the commissioner of 
 insurance that such rate was made by unintentional error or that an 
 increase is justifiable and a certificate to that effect is made by the 
 commissioner of insurance and filed in his office. 
 
 Commissioner to establish rates; complaints; reviews. 
 Section 1946 — 11. The commissioner of insurance shall have power, 
 upon the written complaint of any person having a direct financial in- 
 terest, or upon his own motion, to review any rate fixed by a bureau 
 or insurer for insurance upon any risk or classification in this state 
 for the purpose of determining whether the same is unreasonable or 
 discriminatory. If he shall find that the rate is discriminatory, he 
 shall order the discrimination removed and a nondiscriminatory rate 
 substituted. If he shall find that the rate is unreasonable, he shall 
 establish a reasonable rate and by order require any bureau making a 
 rate upon such risk or class of risks to fix a rate which shall not be 
 higher than the rate so established by him. Any review of such rate 
 or rates before the commissioner shall be upon due notice to the par- 
 ties interested, and his findings or order shall be made after a hearing 
 before him, and in all cases shall be subject to summary review by 
 the circuit court of Dane county. During such court review the oper- 
 ation of the commissioner's order shall be suspended, but in the event 
 of final determination against any insurer, any overcharge made during 
 the pendency of such proceedings shall be refunded to the person or 
 persons entitled thereto. All written complaints under this section 
 shall be verified, and may be upon information and belief of the person 
 or persons complaining. The complaint shall show in substantial 
 detail the grounds upon which it is based, and shall be sufficient to 
 enable the commissioner to determine whether there is probable cause 
 therefor. A copy of such complaint shall be served upon the company, 
 bureau, or person against whom the complaint is directed, and each 
 of such parties in interest shall be entitled to at least ten days' notice 
 of any hearing thereon. An agent who has placed the business shall 
 be deemed to have a direct financial interest under this section. If the 
 Investigation is upon the commissioner's own motion and results in a 
 finding materially affecting any interest or practice" of any bureau, 
 insurance carrier, or agent or representative of either, a copy of such 
 finding shall be served upon the person or organization affected, and 
 he or it shall be entitled to a hearing thereon before the commissioner. 
 
Ch. 89 95 1946—13 
 
 if such hearing is requested within ten days from the date of service. 
 No order or finding of the commissioner, made as a result of an investi- 
 gation upon his motion, shall be effective until the expiration of the 
 time within which a request for a hearing may be made. Any finding or 
 order of the commissioner in an investigation upon his own motion 
 shall be subject to court review the same as if made after hearing upon 
 complaint as herein provided. 
 
 Report of bureau memberships. 
 Section 1946 — 12. Every company or other insurer shall, in its an- 
 nual application for license, specify each rating bureau, making rates 
 upon property located in this state, of which it is a member or to 
 which it is a subscriber, and during the year shall give written notice 
 to the commissioner of insurance as to any other rating bureau of 
 which it may become a member or to which it may become a sub- 
 scriber or from which it has withdrawn. 
 
 Stamping office. 
 
 Section 1946 — 13. All companies or other insurers subject to this 
 act shall maintain in this state a "stamping office," which shall be 
 under the management of a "chief examiner." The expense of such 
 office shall be equitably apportioned between the companies and in- 
 surers reporting thereto on the basis of direct receipts from business 
 written in this state less return premiums and returns or dividends to 
 policyholders. All of the writings of such companies and insurers upon 
 property located in this state shall be reported to said stamping office 
 when the insurance is placed. The stamping office shall be subject to 
 visitation and examination by the commissioner of insurance. The 
 "chief examiner" of such stamping off.ce shall furnish to the commis- 
 sioner of insurance, upon request, information regarding any of the 
 work or activities of such office. No employe of such office shall dis- 
 close any fact as to any business reported thereto except in compliance 
 with law. 
 
 Any violation of the provisions of this act shown by reports of 
 writings made to the stamping office shall be brought to the attention 
 of the agent and company writing such business, with a direction that 
 the violation be corrected within a period of not exceeding fifteen 
 days and satisfactory proof of the correction given to the said office. 
 Any violation not corrected and reported to the stamping office within 
 the time required by it, shall be reported at once to the commissioner 
 of insurance by the "chief examiner" of such office. Such office shall 
 keep no record of the name of the assured, the property covered, or 
 the date of commencement or expiration of the policy except in case 
 of a report showing a violation of this act. When such violation is 
 finally disposed of by correction or by order of the commissioner of 
 insurance, such record shall be destroyed. In the management of such 
 office each company or other insurer shall be entitled to one vote. 
 
1946—16 96 Ch. 89 
 
 Mutual companies, Lloyds and interinsurers, or any of them, may 
 organize and operate a separate stamping office, subject to all the 
 provisions of this section. 
 
 Temporary rates. 
 Section 1946 — 14. Until a new bureau rate is made, the rates or 
 estimates for rates published and in force on the taking effect of this 
 section, for companies which are members of a bureau, shall' be the 
 bureau rates for such bureau; provided that the rate which is being 
 charged by any company upon any risk on the taking effect of this 
 section shall be the bureau rate as to such risk for such company and 
 for any other company electing to accept the same until a new rate is 
 made; provided also that prior to a resurvey by the bureau of any 
 risk specifically rated, no company shall charge any other rate upon 
 any risk than that charged on a policy in force upon such risk on the 
 taking effect of this section except as specifically authorized by this 
 section; and provided, also, that where a flat rate has been made upon 
 a risk which is lower than the rate being charged in any policy in 
 force on the taking eilect of this section t'ae flat rate shall in such 
 case be the bureau rate. Any rate referred to in this section may be 
 changed by an order of the commissioner of insurance. 
 
 Riders for extra hazards to be filed. 
 Section 1946 — 15. Any rider attached to a policy of any insurer sub- 
 ject to this act, which permits an increase of the hazard not contem- 
 plated in the bureau rate in effect for such risk, shall be charged for at 
 a rate fixed by the rating bureau. All riders affecting hazards for 
 which no charge is to be made shall, before being used in this state, 
 be filed with and approved by the commissioner of insurance. 
 
 Classification and filing of risks; information not public. 
 
 Section 1946 — 16. 1. The commissioner of insurance shall establish 
 and file in his office, a classification of risks for fire insurance. On or 
 before the first day of January, 1919, every such rating bureau, shall 
 classify every risk rated by it upon schedule, according to such classi- 
 fication, as fixed and ordered by the commissioner of insurance. There- 
 after, the classification number shall be written or stamped upon the 
 survey of every risk rated by such bureau. The bureau, when quoting 
 a rate upon any risk, shall give the classification number for that 
 risk. Every fire insurance company, insuring any risk, shall enter the 
 proper classification number upon each daily report or other report or 
 document relating to the insurance. 
 
 2. Every fire insurance company or other insurer, shall compile and 
 file with the commissioner of insurance, annually, under regulations 
 prescribed by him, a statement of the net amount of insurance written, 
 the net premiums received and the net losses paid, for each class in 
 this state. All such data shall be preserved as permanent records in 
 
Ch. 89 97 1946h 
 
 the office of the commissioner of insurance. The details of the state- 
 ment of individual companies shall not be made public. 
 
 Penalty for violation. 
 Section 1946 — 17. Any company or other insurer, rating bureau, 
 stamping office, agent, or other representative of any company or other 
 insurer, stamping office, or rating bureau failing to comply with or 
 guilty of a violation of any of the 'provisions of section 1943b or sec- 
 tions 1946 — 1 to 1946 — 18 or of any order or ruling of the commis- 
 sioner of insurance made hereunder, shall be punished by a fine of not 
 less than fifty nor more than five hundred dollars. In addition thereto, 
 the license of any fire insurance company or other insurer, bureau, 
 agent, or broker, guilty of such violation may be revoked or suspended 
 by the commissioner of insurance. 
 
 Towns mutuals excepted. 
 Section 1946 — 18. The provisions of this act shall not apply to town 
 mutual companies nor to domestic mutual cyclone insurance companies 
 operating on the assessment plan. 
 
 PROVISIONS APPLICABLE TO DIFFERENT CLASSES OF 
 INSURANCE COMPANIES 
 
 Representation as to assets. 
 Section 1946a. It shall not be lawful for any company, corporation, 
 association, individual or individuals, now transacting or which may 
 transact the business of insurance within this state, to state or repre- 
 sent by advertisement in any form any funds as assets to be in its, 
 his or their possession and not so actually possessed and available for 
 the payment of losses and held for the protection of the holders of 
 policies of insurance; and such statement shall also show the amount 
 available and held in the United States. 
 
 Section Idlfia is referred to in 19Jf6e. 
 
 Same as to capital and surplus. 
 Section 1946b. Every advertisement or public announcement and 
 every sign, cii-cular or card hereafter made or issued by any company, 
 corporation, association, individual or individuals, or any officer, agent, 
 manager or legal representative thereof, which is or may be authorized 
 to transact the business of insurance within this state which shall pur- 
 port to make known the financial standing of any such company, cor- 
 poration, association, individual or individuals shall exhibit the capital 
 actually paid in cash and the amount of its, his or their net surplus 
 of assets over all liabilities actually available for the payment of losses 
 and held for the protection of holders of their policies of insurance, 
 including in such liabilities capital actually paid in and the fund re- 
 served for reinsurance of outstanding risks, and shall correspond with 
 
J 946c 98 Ch. 89 
 
 the verified statement made by the company, corporation, association, 
 individual or individuals making or issuing the same to the insurance 
 department of this state next preceding the making or issuing of the 
 same; but in policies or renewals thereof there may be stated a single 
 item showing the amount of authorized capital. 
 Section liUGb is referred to in 19lfie. 
 
 Misrepresentation as to risks; 'evidence; penalty. 
 Section 1946c. It shall be unlawful for any company, association or 
 corporation transacting the business of insui-ance in this state to pub- 
 lish or cause to be published, or permit to be published by any of its 
 agents or with the knowledge or consent of any of them, any state- 
 ment which shall represent said company, association or corporation 
 as writing risks different in nature or class from those actually writ- 
 ten by it, or shall represent said company, association or corporation 
 as confining its business to a particular class of risks when it is in 
 reality writing risks of another class. The distribution of any cards 
 or other documents by any such agent containing such deceptive rep- 
 resentations, or the existence of any sign exposed to public view con- 
 taining them and belonging to any such company, association or cor- 
 poration or any agent thereof, or the existence of any advertisement 
 or card or statement containing any such deceptive representations 
 in any newspaper published in any town, callage or city in which said 
 company, association or corporation has an agent transacting business 
 or soliciting insurance shall be prima facie evidence of the violation of 
 this section by said company, association or corporation. In addition 
 to the penaUy provided in section 1946, which is hereby made applicable 
 to this section, the commissioner of insurance shall revoke the license 
 of any company, association or corporation which shall be convicted 
 of violating this section, and the licenses of all its agents for the trans- 
 action of the business of insurance within this state, immediately upon 
 the filing of a certified copy of the record of such conviction with said 
 commissioner. Whenever there shall be filed with him an affidavit con- 
 taining a statement of facts constituting prima facie evidence of the 
 violation of this section by any such company, association or corpora- 
 tion the commissioner shall immediately notify it of such filing and 
 require such company, association or corporation to show cause before 
 him, within thirty days from such notification why its license should 
 not be revoked; and if such company, association or corporation shall 
 fail within the time specified to establish to the satisfaction of said 
 commissioner that it has not vio'ated this section in the manner alleged 
 in such affidavit he shall immediately revoke the license of said com- 
 pany, association or corporation and the license of all its agents for 
 the transaction of the business of insurance within this state. No li- 
 cense to transact such business within this state shall be granted to 
 any company, association or corporation or to any agent thereof for 
 said company, association or corporation for one year from the date 
 when its license was so revoked. 
 
 Hecti-on lOHir i.s referred to in l!>i<lr. 
 
Ch. 89 99 1946d 
 
 Cancellation of policy. 
 
 Section 1946d. Any company, association or corporation transacting 
 the business of insuring property against loss or damage from any 
 cause except steam boiler, fly wheel or elevator insurance shall, except 
 as is otherwise provided by any provision applicable to any class of in- 
 surance companies, cancel any policy at any time, by request of the 
 party insured or his assignee, and return to said party the amount of 
 premium paid, less the earned premium for the expired portion of the 
 full term for which the policy has been issued as specified in the fol- 
 lowing tables: 
 
1946d 
 
 100 
 
 Ch. 89 
 
 TABLE A 
 
 PERCENTAGES OF THE ANNUAL PREMIUMS TO BE CHARGED OR RETAINED 
 FOR PERIODS LESS THAN ONE YEAR 
 
 
 Per 
 
 : 
 
 Per 
 
 
 Per 
 
 
 Per 
 
 j 
 
 Per 
 
 
 Per 
 
 Days 
 
 Cent 
 
 Days 
 
 i 
 
 Cent 
 
 Days 
 
 Cent 
 
 Days 
 
 Cent 
 
 Days 
 
 Cent 
 
 Days 
 
 Cent 
 
 1 
 
 1 
 
 2.10 
 
 61 
 
 31.17 
 
 121 
 
 i 50.33 
 
 181 
 
 70.17 
 
 241 
 
 80.17 
 
 301 
 
 90.17 
 
 2 
 
 3.86 
 
 62 
 
 32.10 
 
 122 
 
 50.67 
 
 182 
 
 70.34 
 
 242 
 
 80.34 
 
 302 
 
 90.34 
 
 S 
 
 B.25 
 
 63 
 
 32.80 
 
 123 
 
 1 51.00 
 
 183 
 
 70. 5U 
 
 243 
 
 80.. 50 
 
 303 
 
 90.50 
 
 4 
 
 6.26 
 
 64 
 
 33.27 
 
 124 
 
 51.33 
 
 184 
 
 70.67 
 
 244 
 
 80.67 
 
 304 
 
 90.67 
 
 5 
 
 7.00 
 
 65 
 
 33.50 
 
 125 
 
 51.67 
 
 185 
 
 70.84 
 
 245 
 
 80.84 
 
 305 
 
 90.84 
 
 6 
 
 8.00 
 
 66 
 
 34.32 
 
 126 
 
 52.00 
 
 186 
 
 71.00 
 
 246 
 
 81.00 
 
 306 
 
 91.00 
 
 7 
 
 8.80 
 
 67 
 
 34.97 
 
 ) 127 
 
 52.33 
 
 187 
 
 71.17 
 
 247 
 
 81.17 
 
 307 
 
 91.17 
 
 8 
 
 9.40 
 
 ! 68 
 
 35.46 
 
 128 
 
 52.67 
 
 188 
 
 71.34 
 
 248 
 
 81.34 
 
 308 
 
 91.34 
 
 9 
 
 9.80 
 
 1 69 
 
 35.79 
 
 129 
 
 53.00 
 
 189 
 
 71.50 
 
 249 
 
 81.50 
 
 309 
 
 91.50 
 
 10 
 
 10.00 
 
 1 70 
 
 35.95 
 
 130 
 
 53.33 
 
 190 
 
 71.67 
 
 250 
 
 81.67 
 
 310 
 
 91.67 
 
 11 
 
 11.33 
 
 71 
 
 36.30 
 
 131 
 
 53.67 
 
 191 
 
 71.84 
 
 251 
 
 81.84 
 
 311 
 
 91.84 
 
 12 
 
 12.40 
 
 72 
 
 36.58 
 
 132 
 
 54.00 
 
 192 
 
 72.00 
 
 252 
 
 82.00 
 
 312 
 
 92.00 
 
 13 
 
 13.20 
 
 73 
 
 36.79 
 
 133 
 
 54.33 
 
 193 
 
 72.17 
 
 253 
 
 82.17 
 
 313 
 
 92.17 
 
 14 
 
 13.73 
 
 74 
 
 36.93 
 
 134 
 
 54.67 
 
 194 1 
 
 72.34 
 
 254 
 
 82.34 
 
 314 
 
 92.34 
 
 15 
 
 14.00 
 
 75 
 
 37.00 
 
 135 
 
 55.00 
 
 195 1 
 
 72.50 
 
 255 
 
 82.50 
 
 315 
 
 92.50 
 
 16 
 
 15.00 
 
 76 
 
 37.50 
 
 136 
 
 55.33 
 
 196 
 
 72.67 
 
 256 
 
 82.67 
 
 ■ 316 
 
 92.67 
 
 17 
 
 15.80 
 
 77 
 
 37.90 
 
 137 
 
 55.67 
 
 197 
 
 72.84 
 
 257 
 
 82.84 
 
 317 
 
 92.84 
 
 18 
 
 16.40 
 
 78 
 
 38.20 
 
 138 
 
 ."iO.OO 
 
 198 
 
 73.00 
 
 258 
 
 83.00 
 
 318 
 
 93.00 
 
 19 
 
 16.80 
 
 79 
 
 38.40 
 
 139 
 
 56.33 
 
 199 
 
 73.17 
 
 259 
 
 83.17 
 
 319 
 
 93.17 
 
 20 
 
 17.00 
 
 80 
 
 38.50 
 
 140 
 
 56.67 
 
 200 
 
 73.34 
 
 260 
 
 83.34 
 
 320 
 
 93.34 
 
 21 
 
 17.70 
 
 81 
 
 38.85 
 
 141 
 
 57.00 
 
 201 
 
 73.50 
 
 261 
 
 83.50 
 
 321 
 
 93.50 
 
 22 
 
 18.26 
 
 82 
 
 39.13 
 
 142 
 
 57.33 
 
 202 
 
 73.67 
 
 262 
 
 83.67 
 
 322 
 
 93.67 
 
 23 
 
 18.68 
 
 83 
 
 39.34 
 
 143 
 
 57.67 
 
 203 
 
 73.84 
 
 1 263 
 
 83.84 
 
 323 
 
 93.84 
 
 24 
 
 18.96 
 
 84 
 
 39.48 
 
 144 
 
 58.00 
 
 204 • 
 
 74.00 
 
 264 
 
 84.00 
 
 324 
 
 94.00 
 
 25 
 
 19.10 
 
 85 
 
 39.55 
 
 145 
 
 58.33 
 
 205 
 
 74.17 
 
 265 
 
 84.17 
 
 325 
 
 94.17 
 
 26 
 
 19.40 
 
 86 
 
 39.70 
 
 146 
 
 58.67 
 
 206 1 
 
 74.34 
 
 1 266 
 
 84.34 
 
 326 
 
 94.34 
 
 27 
 
 19.64 
 
 87 
 
 39.82 1 
 
 147 
 
 59.00 
 
 207 1 
 
 74.50 
 
 267 
 
 84.50 
 
 327 
 
 94.50 
 
 28 
 
 19.82 
 
 88 
 
 39.91 i 
 
 148 
 
 59.33 
 
 208 
 
 74.67 
 
 268 
 
 84.67 
 
 328 
 
 94.67 
 
 29 
 
 19.94 
 
 89 
 
 39.97 1 
 
 149 
 
 59.67 
 
 209 
 
 74.84 
 
 269 
 
 84.&4 
 
 329 
 
 94.84 
 
 30 
 
 20.00 
 
 90 
 
 40.00 
 
 150 
 
 60.00 
 
 210 
 
 75.00 
 
 270 
 
 85.00 
 
 330 
 
 95.00 
 
 31 
 
 21.17 
 
 91 
 
 40.33 
 
 151 
 
 60.33 
 
 211 
 
 75.17 
 
 271 
 
 85.17 
 
 331 
 
 95.17 
 
 32 
 
 22.10 
 
 92 
 
 40.67 
 
 152 
 
 60.67 
 
 212 
 
 75.34 
 
 272 
 
 85.34 
 
 332 
 
 95.34 
 
 33 
 
 22.80 
 
 93 
 
 41.00 
 
 153 
 
 61.00 
 
 213 
 
 75. .50 
 
 273 
 
 85.50 
 
 333 
 
 95.50 
 
 34 
 
 23.27 
 
 94 
 
 41.33 
 
 154 
 
 61.33 
 
 214 
 
 75.67 
 
 274 
 
 85.67 
 
 334 
 
 95.67 
 
 35 
 
 23.50 
 
 95 
 
 41.67 
 
 155 
 
 61.67 
 
 215 
 
 75.84 
 
 275 
 
 85.84 
 
 335 
 
 95.84 
 
 36 
 
 24.32 
 
 96 
 
 42.00 
 
 156 
 
 62.00 
 
 210 
 
 76.00 
 
 276 
 
 86.00 
 
 336 
 
 96.00 
 
 37 
 
 24.97 
 
 97 
 
 42.33 1 
 
 157 
 
 62.33 
 
 217 
 
 76.17 
 
 277 
 
 86.17 
 
 337 
 
 96.17 
 
 38 
 
 25.46 
 
 98 
 
 42.67 
 
 158 
 
 62.67 
 
 218 
 
 76.34 , 
 
 278 
 
 86.34 
 
 338 
 
 96.34 
 
 39 
 
 25.79 
 
 99 
 
 43.00 
 
 159 
 
 63.00 
 
 219 
 
 76.50 
 
 279 
 
 86.50 
 
 339 
 
 96.50 
 
 40 
 
 25.95 
 
 100 
 
 43.33 
 
 160 
 
 63.33 
 
 220 
 
 76.67 
 
 280 
 
 86.67 
 
 340 
 
 96.67 
 
 41 
 
 26.30 
 
 101 
 
 43.67 
 
 161 
 
 63.67 
 
 221 
 
 76.84 
 
 281 
 
 86.84 
 
 341 
 
 96.84 
 
 42 
 
 26.68 
 
 102 
 
 44.00 
 
 162 
 
 64.00 
 
 222 
 
 77.00 
 
 282 
 
 87.00 
 
 342 
 
 97.00 
 
 43 
 
 26.79 
 
 103 
 
 44.33 
 
 163 
 
 64.33 
 
 223 
 
 77.17 
 
 283 
 
 87.17 
 
 343 
 
 97.17 
 
 44 
 
 26.93 
 
 104 
 
 44.67 ! 
 
 164 
 
 64.67 
 
 224 1 
 
 77.34 
 
 284 
 
 87.34 
 
 344 
 
 97.34 
 
 45 
 
 27.00 
 
 105 
 
 45.00 ! 
 
 165 
 
 65.00 
 
 225 
 
 77.50 
 
 285 1 
 
 87.50 
 
 345 
 
 97.50 
 
 46 
 
 27.50 
 
 106 
 
 45.33 
 
 166 
 
 65.33 
 
 226 
 
 77.67 
 
 286 
 
 87.67 
 
 346 
 
 97.67 
 
 47 
 
 27.90 ' 
 
 107 
 
 45.67 
 
 167 
 
 65.67 
 
 227 
 
 77.84 
 
 287 
 
 87.84 
 
 347 
 
 97.84 
 
 48 
 
 28.20 j 
 
 108 
 
 46.00 
 
 168 
 
 66.00 
 
 228 
 
 78.00 
 
 288 
 
 88.00 
 
 318 
 
 98.00 
 
 49 
 
 28.40 ! 
 
 109 
 
 46.33 
 
 169 
 
 66.33 
 
 229 
 
 78.17 
 
 289 
 
 88.17 
 
 349 
 
 98.17 
 
 50 
 
 28.50 I 
 
 110 
 
 46.67 
 
 170 
 
 66.67 
 
 230 
 
 78.34 
 
 290 
 
 88.34 
 
 350 
 
 98.34 
 
 51 
 
 28.85 
 
 111 
 
 47.00 1 
 
 171 
 
 67.00 
 
 231 ' 
 
 78.50 
 
 291 
 
 88.50 
 
 351 
 
 98.50 
 
 52 
 
 29.13 
 
 112 
 
 47.33 
 
 172 
 
 67.33 
 
 232 ' 
 
 78.67 
 
 292 
 
 88.67 
 
 352 
 
 98.67 
 
 53 
 
 29.34 
 
 118 
 
 47.67 
 
 173 
 
 67.67 
 
 233 
 
 78.84 
 
 293 
 
 88.84 
 
 353 
 
 98.84 
 
 54 
 
 29.48 '■ 
 
 114 
 
 48.00 
 
 174 
 
 68.00 
 
 234 
 
 79.00 
 
 294 
 
 89.00 
 
 354 
 
 99.00 
 
 55 
 
 29.55 i 
 
 115 
 
 48.33 
 
 175 
 
 68.33 
 
 235 
 
 79.17 
 
 295 
 
 89.17 
 
 355 
 
 99.17 
 
 56 
 
 29.70 
 
 116 
 
 48.67 
 
 176 
 
 68.67 
 
 236 
 
 79.34 
 
 296 
 
 89.34 i 
 
 356 
 
 99.34 
 
 57 
 
 29.82 
 
 117 
 
 49.00 
 
 177 
 
 69.00 
 
 237 
 
 79.50 
 
 297 1 
 
 89.50 
 
 357 
 
 99.50 
 
 58 
 
 29.91 
 
 118 
 
 49.33 
 
 178 
 
 09.33 
 
 238 
 
 79.67 
 
 298 i 
 
 89.67 ; 
 
 358 
 
 99.67 
 
 59 
 
 29.97 
 
 119 
 
 49.67 
 
 179 
 
 69.67 
 
 239 
 
 79.84 
 
 299 
 
 89.84 ; 
 
 359 
 
 99.84 
 
 60 
 
 30.00 
 
 120 
 
 60.00 j 
 
 180 
 
 70.00 
 
 240 
 
 1 
 
 80.00 
 
 300 1 
 
 90.00 
 
 360 ' 
 
 lOO.Of 
 
Ch. 89 
 
 101 
 
 1946d 
 
 TABLE B 
 
 PlfRCKNTA&ES OF PREMIUMS TO BE CHARGED OR RETAINED AS EARNED 
 PREMIUMS ON POLICIES WRITTEN FOR PERIODS MORE THAN ONE YEAR. 
 
 Time 
 
 2-year 
 
 3-year 
 
 4-year 
 
 5-year 
 
 Months 
 
 Policy 
 
 Policy 
 
 Policy 
 
 Policy 
 
 1 - 
 
 11% 
 
 8% 
 
 6% 
 
 5% 
 
 2.— - 
 
 17 
 
 12 
 
 9 
 
 8 
 
 3 
 
 23 
 
 16 
 
 12 
 
 10 
 
 4 
 
 29 
 
 20 
 
 15 
 
 13 
 
 5 
 
 34 
 
 24 
 
 18 
 
 15 
 
 6 
 
 40 
 
 28 
 
 22 
 
 18 
 
 7 — 
 
 43 
 
 30 
 
 23 
 
 19 
 
 8 — 
 
 46 
 
 32 
 
 25 
 
 20 
 
 9 1 
 
 49 
 
 34 
 
 26 
 
 21 
 
 10 - 
 
 51 
 
 36 
 
 28 
 
 23 
 
 11 — - 
 
 54 
 
 38 
 
 29 
 
 24 
 
 12- 
 
 57 
 
 40 
 
 31 
 
 25 
 
 13- - 
 
 61 
 
 43 
 
 33 
 
 27 
 
 14 
 
 64 
 
 45 
 
 ^ 
 
 28 
 
 15 . 
 
 68 
 
 48 
 
 37 
 
 30 
 
 16— 
 
 71 
 
 50 
 
 38 
 
 31 
 
 17 
 
 75 
 
 53 
 
 40 
 
 33 
 
 18 
 
 79 
 
 55 
 
 42 
 
 34 
 
 19 
 
 82 
 
 58 
 
 44 
 
 36 
 
 20 - - — - 
 
 86 
 
 60 
 
 46 
 
 38 
 
 21— 
 
 89 
 
 63 
 
 48 
 
 39 
 
 22 
 
 93 
 
 65 
 
 50 
 
 41 
 
 23 - 
 
 96 
 
 68 
 
 52 
 
 42 
 
 
 100 
 
 70 
 
 54 
 
 44 
 
 
 
 25 
 
 
 73 
 
 56 
 
 45 
 
 26 
 
 
 75 
 
 58 
 
 47 
 
 27 
 
 
 78 
 
 60 
 
 48 
 
 28 
 
 
 SO 
 
 62 
 
 50 
 
 
 
 83 
 
 63 
 
 52 
 
 30— - — 
 
 -_- 
 
 85 
 
 65 
 
 53 
 
 31 
 
 
 S8 
 
 67 
 
 55 
 
 32 
 
 
 go 
 
 69 
 
 55 
 
 33 
 
 
 93 
 
 71 
 
 58 
 
 34 
 
 
 95 
 
 73 
 
 59 
 
 35— 
 
 
 98 
 
 75 
 
 61 
 
 
 — 
 
 100 
 
 77 
 
 63 
 
 
 
 37 - 
 
 
 
 79 
 
 64 
 
 38 
 
 
 
 81 
 
 66 
 
 
 
 " " 
 
 83 
 
 67 
 
 40 
 
 
 
 85 
 
 69 
 
 41 
 
 
 _.. 
 
 87 
 
 70 
 
 42 - .. 
 
 — 
 
 — 
 
 88 
 
 72 
 
 
 
 43 
 
 
 
 90 
 92 
 
 73 
 
 75 
 
 44 
 
 — 
 
 — , 
 
 45 
 
 
 
 94 
 
 77 
 
 46— .... 
 
 
 
 96 
 
 78 
 
 47 
 
 
 
 98 
 
 80 
 
 48 - 
 
 .-. 
 
 — 
 
 100 
 
 81 
 
 49 
 
 
 
 
 83 
 
 50. — - - 
 
 
 
 
 
 
 84 
 
 51 
 
 
 
 
 86 
 
 52 
 
 
 
 
 
 
 88 
 
 53 
 
 
 
 
 89 
 
 54 - - 
 
 — 
 
 
 
 91 
 
 55 .- — 
 
 — 
 
 
 — 
 
 92 
 
 56 -- - -. 
 
 94 
 
 57 .. . - 
 
 95 
 
 58 
 
 97 
 
 59 
 
 98 
 
 
 lOO 
 
 
 
1946f 102 Ch. 89 
 
 PRO RATA POLICIES WRITTEN FOR MORE THAN ONE YEAR. 
 
 On policies written for more than one year at pro rata of the annual 
 rate and upon which the elapsed time is less than one year, short rates 
 of the full annual premiums must be charged as provided in the short 
 rate table for other than term risks. Policies written for more than 
 one year at pro rata of the annual rate and upon which the elapsed 
 time is one year or more than one year must be cancelled pro rata. 
 Penalties. 
 
 Sectiox 1946e. Any violation of any provision of sections 1946a, 
 1946b or 1946c shall, for the first offense, subject the company, corpora- 
 tion, association or individual so violating to a penalty of five hundred 
 dollars, to be sued for and recovered in the name of the state, with 
 costs and expenses of such prosecution, by the district attorney of any 
 county in which the company, corporation, association, individual or 
 individuals shall be located or may transact business or in any county 
 where such offense may be committed; and such penalty, when recov- 
 ered, shall be paid into the treasury of such county for the benefit of 
 the school fund. Every subsequent violation shall subject the company, 
 corporation, association, individual or individuals guilty of such viola- 
 tion to a penalty of not less than one thousand dollars, which shall be 
 sued for, recovered and disposed of in like manner as for the first 
 offense. 
 
 False use of name of insurance company. 
 Section 1946em. No insurance company, or department, or general 
 agency of an insurance company, doing business in this state, or its 
 officers or agents, shall issue any false or misleading advertisements or 
 representations tending to conceal or misrepresent the true identity of 
 the insurer or insurance company issuing any policy in or upon any 
 property or risk in this state. 
 
 2. No insurance company or department or general agency of an in- 
 surance company, doing business in this state, shall issue any contract, 
 advertisement or representations of any character giving the appear- 
 ance of a separate or independent insuring organization upon the part 
 of any department or general agency, and the type of letter used in 
 any contract, advertisement or representation shall set forth the name 
 of the company or organization assuming the risk more conspicuously 
 than that of any department or general agency. Nothing herein con- 
 tained shall be construed to prevent any representative of an insurance 
 company from advertising his own individual business without specific 
 mention of the name of the company or companies which he may rep- 
 resent. 
 
 3. Any violation of this section shall be punished by a fine not ex- 
 ceeding five hundred dollars. 
 
 Life insurance policies and circulars; penalty for misrepresentations. 
 Section 1946f. 1. No life insurance corporation doing business in 
 this state, and no officei", director, or agent thereof, shall issue or circu- 
 late, or cause or permit to be issued or circulated, any estimate, illua- 
 
Ch. 89 103 1946h 
 
 tratioji, circular or statement of any sort misrepresenting the terms 
 of any policy issued by it, or advantages promised thereby, or the divi- 
 dends or share of surplus to be received thereon, or shall use any title 
 of any policy or class of policies, misrepresenting the true nature 
 thereof, and no life insurance company, its officers, directors or agents, 
 shall issue or circulate or cause or permit to be issued or circulated, any 
 written circular or statement of any sort, wilfully misrepresenting any 
 other company, the nature or terms of its policy or policies, its premium 
 charge or dividends allowed or returned by such other company. 
 
 2. No figures used in any statement or illustration of future dividends 
 or of future net cost shall be issued or used by any company or agent 
 or other representative of any company (or other insurer) unless the 
 same shall be a mathematical calculation based upon assumptions of 
 the policy and dividend scale in actual use, nor unless each edition 
 thereof shall be numbered serially and a copy thereof has been filed 
 with the commissioner of insurance. 
 
 3. No life or health and accident insurance company, association or 
 fraternal society, or any officer, director, agent or deputy thereof, shall 
 make any misrepresentations, oral, written or otherwise, to any person 
 for the purpose of inducing or tending to induce such person to take 
 out a policy of insurance, or for the purpose of inducing or tending to 
 induce a policyholder in any other company or society to lapse, forfeit 
 or surrender his insurance therein. 
 
 4. Any officer, director or agent or deputy aforesaid, found guilty of 
 violating any of the provisions of this section, shall be punished by a 
 fine of not less than twenty-five dollars nor more than three hundred 
 dollars, or by imprisonment in the county jail for a term not exceeding 
 six months. 
 
 THE STATE FIRE MARSHAL 
 
 Assistant; deputies; duties. 
 
 Section 1946h. The commissioner of insurance shall be ex officio 
 state fire marshal. He is hereby empowered and required to appoint 
 one chief assistant fire marshal and such deputy fire marshals, clerical 
 and stenographic assistants as are needed for the carrying out of the 
 duties of the office. The deputy commissioner of insurance may be ap- 
 pointed chief assistant fire marshal and his salary apportioned by the 
 commissioner of insurance between the appropriation to the department 
 of insurance and the appropriation to the state fire marshal. The 
 duties of said chief assistant and deputies shall be to assist the state 
 fire marshal. The state fire marshal shall have power to retain and 
 assign to their duties any or all of the officers, subordinates and clerks 
 of the state fire marshal's department. In the event of a vacancy in 
 the office of the state fire marshal, or during the absence or disability 
 of that officer, the chief assistant shall perform the duties of the office. 
 
 Referred to in 20.55 (I,). 
 
1946i 104 Ch. 89 
 
 Causes of fires; investigating authorities. 
 Section 1946i. 1. The state fire marshal and the chief of the fire 
 department of every city or village in which a fire department is estab- 
 lished, and the mayor of every incorporated city, and the president of 
 the village board of every incorporated village in which no fire depart- 
 ment exists, and the town clerk of every organized township without 
 the limits of any organized city or village shall investigate or cause to 
 bo investigated the cause, origin and circumstances of every fire occur- 
 ring in such city, village or town by which property has been destroyed 
 or damaged when the damage exceeds twenty-five dollars, except that 
 all fires of unknown origin shall be reported, and shall especially make 
 investigation as to whether such fire was the result of carelessness, 
 accident or design. 
 
 Investigations. 
 
 2. Such investigation shall be begun within two days of the occur- 
 rence of such fire, and the state fire marshal shall have the right to 
 supervise and direct such investigation whenever he deems it expedient 
 or necessary. 
 
 FiVe reports and records. 
 
 3. The officer making investigation of fires occurring in cities, vil- 
 lages and towns shall forthwith notify said state fire marshal and shall 
 within one week of the occurrence of the fire, furnish to the said state 
 fire marshal a written statement of all the facts relating to the cause 
 and origin of the fire, and such further information as may be called for 
 by the blanks furnished by said state fire marshal. The state fire mar- 
 shal shall keep in his office a record of all fires occurring in the state, 
 together with all facts, statistics and circumstances including the 
 origin of the fires, which may be determined by the investigations pro- 
 vided by sections 1946h to 1946q, inclusive; such statistics shall be at 
 all times open to the public inspection. 
 
 Section 19iGi is referred to in sees. 19J,(Jm, 19.',i>n, 19',6o, 19iGq. 
 
 Reports of fires. 
 
 5. The occupant and owner of any premises upon which any fire shall 
 occur shall immediately give written notice thereof, specifying the 
 time, place, amount of damage, and cause so far as known, to the chief 
 of the fire department when the property is located where there is a fire 
 department, or if there be none, then to the state fire marshal at Madi- 
 son, Wisconsin. Such notice may be sent by mail. No proof of loss 
 under any policy of insurance shall be made until such notice has been 
 given by or in behalf of such occupant or owner, and a notice given by 
 one shall be sufficient for both the owner and occupant. A form for 
 such notice, approved by the state fire marshal, reciting this subsection, 
 shall be attached to every policy of fire insurance issued in this state. 
 
Ch. 89 105 1946k 
 
 Arson; prosecution; attorney's duties. 
 Section 1946j. 1. The state fire marshal shall, when in his opinion 
 further investigation is necessary, take or cause to be taken the testi- 
 mony on oath of all persons supposed to be cognizant of any facts or 
 to have any means of knowledge in relation to the matter as to which 
 an examination is herein required to be made, and if he shall be of the 
 opinion that there is evidence sufficient to charge any person with the 
 crime of arson, he shall cause such person to be arrested and charged 
 with such offense, and shall furnish to the proper prosecuting attorney 
 all such evidence, together with the copy of all names of witnesses and 
 all the information obtained by him, including a copy of all pertinent 
 and material testimony taken in the case. 
 
 2. The attorney-general shall aid and assist district attorneys in the 
 prosecution of all arson cases in all courts of the state, and the actual 
 expenses of the attorney-general or his assistants in preparation for and 
 attendance upon such prosecutions under this section shall be paid out 
 of the state treasury and charged to the appropriation for commissioner 
 of insurance as ex officio state fire marshal. 
 
 3. The attorney-general and district attorney shall make such re- 
 ports to the state fire marshal, of the proceedings and result of all 
 prosecutions for arson as reciuired by him. 
 
 4. For this purpose the attorney-general is hereby authorized to 
 employ such assistants as may be necessary for carrying out the pro- 
 visions of this section. The attorney in the state fire marshal's depart- 
 ment shall, without further examination, be eligible for employment 
 under this subsection. Salaries, compensations and expenses of such 
 assistants shall be charged to the appropriation for commissioner of 
 insurance as ex officio state fire marshal. 
 
 Section 19i6j is referred to in sees. 20.55, I'JJfGi, WJfGn, 19Jfio, 19Jfiq. 
 
 Persons and papers; witness fees; inquisitions, private and separate. 
 
 Section 1946k. 1. The state fire marshal, chief assistant marshal, 
 and deputy state fire marshals shall each have the power in any county 
 of the state of Wisconsin, to summon and compel the attendance of 
 witnesses before them, or either of them, to testify in relation to any 
 matter which is by the provisions of this act, a subject of inquiry and 
 investigation, and may require the production of any book, paper or 
 document deemed pertinent thereto by them or either of them. Such 
 witness shall be subpoenaed in the same manner as witnesses in circuit 
 court. They shall receive the same compensation, which shall be paid 
 out of the general fund, upon vouchers signed by the state fire marshal, 
 chief assistant fire marshal, or deputy fire marshal, before whom any 
 witnesses shall have attended, and such officer shall at the close of 
 the investigation wherein such witness was subpoenaed certify to the 
 attendance and mileage of such witness, which certificate shall be filed 
 in the office of the state fire marshal. Payments for compensation 
 under this section shall be charged to the appropriation for the state 
 fire marshal. All investigations held by or under the direction of said 
 state fire marshal, or his subordinates, may, in his discretion, be 
 
Jf)46n 106 Ch. 89 
 
 private, and persons other than those required to be present by the 
 provisions of this act, may be excluded from the place where such In- 
 vestigation is held, and witnesses may be kept separate and apart from 
 each other, and not allowed to comnuxnicate with each other until 
 they have been examined. 
 Referred to in 20.55 (i) (c). 
 
 Oaths; perjury, 
 2. Said state fire marshal, chief assistant fire marshal, deputy state 
 fire marshals, and assistant state fire marshals are hereby authorized 
 and empowered to administer oaths and affirmations to any persons ap- 
 pearing as witnesses before them; and false swearing in any matter 
 or proceeding aforesaid shall be deemed perjury and shall be punished 
 as such. 
 
 Entry to buildings after fires. 
 
 4. Said state fire marshal and his subordinates, or either of them, 
 shall have the authority at all reasonable hours in performance of 
 the duties imposed by the provisions of this act, to enter upon and 
 examine any building or premises where any fire has occurred, and 
 other buildings or premises adjoining or near the same. 
 
 Section 19.>,6k (,s referred to in sees. l<JJ,i>i. Ji)J,(Jn, 19^60, lOJiGq. 
 
 Entry of buildings generally. 
 Section 19461. 1. The state fire marshal, his chief assistant and 
 deputies, upon complaint of any person, or without any complaint pre- 
 viously entered, shall have a right at all reasonable hours, for the 
 purpose of examination, to enter into and upon all buildings and prem- 
 ises within their jurisdiction. 
 
 Officers' neglect of duty; Penalty. 
 Section 1946m. Any officer referred to in section 19461, who neglects 
 to comply with any of the requirements of this act shall upon conviction 
 be punished by a fine of not less than twenty-five dollars nor more than 
 two hundred dollars for each neglect or violation. 
 
 Salaries and fees. 
 SixTio.N 1946n. 1. All officers who shall perform any service at the 
 request of any such state fire marshal, chief assistant fire marshal, or 
 deputy fire marshal, shall receive the same fees as officers in justice 
 courts, and such fees shall be paid out of the general fund in the same 
 manner as witnesses testifying under sections 1946h to 1946q, inclusive. 
 Such fees shall be charged to the appropriation for the state fire 
 marshal. 
 
 5. The state fire marshal sliall keep on file in his office an itemized 
 statement of all expenses incurred by his department, and shall ap- 
 prove all vouchers issued therefor, before the same are submitted to the 
 secretary of state for payment, which said voucher shall be allowed and 
 paid in the same manner as other claims against the state. 
 
 Srf/ioM l'.l.',€n Ut referred to in 20.55 (!,) (e). ■£(1.55, 1915m (It), lU.ilU, lUiGo. lUiCj. 
 
Ch. 89 107 1946x 
 
 Not to engage in other business. 
 
 Section 1946o. The state fire marshal shall not engage in any other 
 business, and he or one of his chief subordinates shall at all times be in 
 the office of the fire marshal ready for such duties as are required by 
 sections 1946h to 1946q, inclusive. 
 
 Section 19lfio is referred to in 19.'tCn, l'J46n, 19Jt6q. 
 
 Annual report. 
 Section 1946p. The fire marshal shall submit annually as early as 
 consistent with full and accurate preparation, a detailed report of his 
 official actions to the governor, such report to cover the year ending 
 December thirty-first preceding. Such report may be combined with 
 the report of the commissioner of insurance on fire and marine in- 
 surance. 
 
 Section 19J,6p is refey-red to in lf<J,Gi, lO^Gn, 19J,6o, 1946q. 
 
 Fees to municipal officers for reporting fires. 
 
 Section 1946q. 1. There shall be paid to the chiefs of the fire depart- 
 ments, and to mayors of cities, who do not receive to exceed fifty 
 dollars annually as compensation for their services as such chief, and 
 mayors, and to presidents of the village boards and to the township 
 clerk of every organized township, who are by sections 1946h to 1946q, 
 inclusive, required to report fires to the state fire marshal, the sum of 
 one dollar for each fire reported to the satisfaction of the state fire 
 marshal, and in addition thereto, mileage at the rate of ten cents per 
 mile for each mile traveled to and from the place of the fire. Said 
 allowance shall be paid by the state fire marshal at the close of each 
 fiscal year out of any funds that may be appropriated for the use of 
 the office of said state fire marshal. 
 
 Salaried chiefs and mayors excepted. 
 
 2. All chiefs of departments who receive a stated salary and devote 
 their entire time to the duties of chief of the department, and those 
 mayors of cities who receive a stated salary exceeding fifty dollars, as 
 such officer, shall be precluded frofti receiving any extra allowance for 
 the report herein mentioned. 
 
 Section 19Jfiq is referred to in l'.)J,(ii. J9J,6n 19i6o. 
 
 LIFE INSURANCE 
 
 Life insurance, words and phrases. 
 
 Section 1946x. Unless the context of any statute or law relating to 
 life insurance indicates otherwise, the following words and phrases 
 shall be understood in the sense herein set forth and defined: 
 
 (1) The "amount at risk," in any policy year, is the difference 
 between the sum insured in such policy year and the terminal reserve 
 for such policy year. 
 
 (2) "Beneficiary," is the person in whose favor a policy is written. 
 
 (3) "Company," includes all corporations, associations, partnerships 
 or individuals, engaged as principals in the business of life insurance. 
 
1947 108 Ch. 89 
 
 except fraternal or beneficiary corporations, societies, orders or associa- 
 tions for the relief of members or beneficiaries, orders or associations 
 for the relief of members on the mutual or assessment plan. 
 
 (4) "Deposit," is the terminal reserve on a policy discounted to 
 the beginning of the policy year at the rate of interest assumed. 
 
 (5) "Domestic company," is any company organized or incorporated 
 under the laws of this state. 
 
 (7) "Foreign company," is any company not organized or incorpo- 
 rated under the laws of this state. 
 
 (8) "Insured," is the person upon whose life the contract of insur- 
 ance is written. 
 
 (9) "Mortality charge," is the provision at the beginning of the 
 policy year for the mortality on account of such policy year, according 
 to the table of mortality adopted and the rate of interest assumed. 
 
 (10) "Policy," is the contract issued by the company to the insured. 
 
 (11) "Policy anniversary," is any anniversary of the date of the 
 policy, unless otherwise specified in the policy. 
 
 (12) "Policy year," is the year beginning with the date of the policy 
 or any anniversary thereof, unless otherwise specified in the policy. 
 
 (13) "Premium," is the payment stipulated in the policy to be made 
 by the insured to the company during any one policy year. 
 
 (14) The "reserve," at any time within the policy year is the deposit 
 for such year improved at the assumed rate of interest to such time 
 within the policy year together with the proportional unused part of 
 the mortality charge for such year. 
 
 (15) The "sum insured," under a policy in any policy year is the 
 value of the guaranteed payments and benefits stipulated to be made or 
 granted if it should mature within such policy year. 
 
 (16) The "terminal reserve," is the reserve at the end of the policy 
 year, and is the sum sufficient, with the net premiums coming due, to 
 provide for the future mortality charges, and mature the policy accord- 
 ing to its terms, all computed upon the table of mortality adopted and 
 the rate of interest assumed. 
 
 Domestic life insuranct companies; membership and capital. 
 Skction 1947. 1. Any number of residents of this state, not less than 
 nine, may form a corporation either with or without capital stock for 
 the purpose of granting insurance upon the lives of persons. 
 Contents of articles. 
 2. Such persons shall make, sign and file in the office of the com- 
 missioner of insurance articles of organization stating: 
 
 (a) That they associate for the purpose of forming a corporation to 
 transact the business of insurfng lives, stating the nature and kind 
 thereof; 
 
 (b) The name of the corporation and the place where the principal 
 office for the transaction of the business shall be located; 
 
 (c) The capital stock, if any, the number of shares thereof and the 
 amount of each share; 
 
 (d) The designation of the general officers, and the number of di- 
 rectors, which shall not be less than seven; 
 
Ch. 89 109 1947-3 
 
 (e) The mode and manner of electing directors, filling vacancies in 
 their number, and their terms of office; 
 
 (f ) The period for the commencement and termination of their fiscal 
 year ; 
 
 (g) Such other provisions or articles not inconsistent with law as 
 they may deem proper to be inserted therein for the interests of such 
 corporation or the accomplishment of the purposes thereof, or to define 
 the manner in which the corporate powers granted by law shall be 
 exercised. 
 
 Conditions precedent to doing business; risks, minimum number; 
 maximum single; special guaranty fund; capital stock; fee. 
 
 3. No such corporation shall transact any business of insurance, 
 until all the following conditions shall be complied with: 
 
 (a) If organized without capital stock at least two hundred persons 
 shall have subscribed for not less than one thousand dollars of insur- 
 ance each and passed a prescribed medical examination and shall have 
 each paid one full annual premium in cash upon the insurance sub- 
 scribed for, amounting in the aggregate to at least twenty thousand 
 dollars. Or, in lieu of such subscriptions for insurance, the company 
 shall provide and hold a special guaranty fund of at least twenty-five 
 thousand dollars in cash or invested as prescribed in section 1951 of 
 the statutes, to be used for no purpose other than the payment of death 
 losses, until the largest policy in force, deducting any reinsurance 
 thereon in authorized companies, shall not exceed one-half of one per 
 centum of the total insurance in force, deducting all such reinsurance. 
 Such company may borrow a sum of money sufficient to provide the 
 amount to be held as a special guaranty fund and an additional sum to 
 defray the expenses of organization not exceeding ten thousand dollars. 
 This loan shall not be a liability and the agreement therefor shall so 
 provide and that the principal and interest thereon shall only be repaid 
 from assets in excess of all liabilities. The agreement shall also pro- 
 vide for interest at a rate not exceeding eight per centum per annum 
 and after the release of the special guaranty fund the principal shall be 
 repaid in the discretion of the board of directors or at such times as 
 fixed in said agreement. Solicitation of subscriptions for insurance 
 under this section may be made by agents holding a certificate of 
 authority to be issued by the commissioner of insurance. Every appli- 
 cation for such insurance shall contain a statement that the Issuance 
 of the policy is contingent upon the completion of the organization of 
 the company. 
 
 (b) If organized with capital stock, until a capital stock of at least 
 one hundred thousand dollars and a special surplus of at least twenty- 
 five thousand dollars shall have been subscribed for and fully paid in 
 and is held in cash or invested as provided in section 1951 of the 
 statutes. No part of such special surplus shall be used for any purpose 
 other than the payment of death losses while the largest policy in force, 
 deducting any reinsurance thereon in authorized companies, shall ex- 
 ceed one-half of one per centum of the total insurance in force, deduct- 
 ing all such reinsurance. 
 
1947—3 110 Ch. 89 
 
 (c) There shall have been paid to the insurance commissioner in 
 case of a corporation organized without capital stock, a fee of one hun- 
 dred dollars, and in case of a corporation organized with capital stock, 
 a fee equal to that required upon the incorporation of other corpora- 
 tions under chapter 86 of the statutes, but no such fees shall be re- 
 quired to be paid until at the time of the issuing of the certificate of 
 authority under subsection (d). 
 
 (d) A certificate shall have been made and filed by the commis- 
 sioner of insurance in his office setting forth that such corporation has 
 complied with all the provisions of the law and is authorized to transact 
 the business of life insurance. 
 
 Election of directors to fill vacancies created by sale or transfer of 
 stock. 
 
 (6) Every such life insurance company organized with a capital 
 stock, licensed to transact business in this state, as a condition pre- 
 cedent to license or relicense to transact business, shall file with the 
 department of insurance a full and complete record of its stockholders, 
 shares of stock and transfers— the form of such record to be prescribed 
 by the commissioner of insurance, which shall be subject only to official 
 or judicial inspection — and no transfer of any shares of the stock of 
 any such company shall become effective and the stockholder of record 
 released from personal liability until notice of such transfer has been 
 filed with the commissioner of insurance and such transfer of interest 
 recorded in such stockholder's record on file in the department of 
 insurance. 
 
 No such company shall have authority to issue any new certificates 
 representing any shares of its capital stock in exchange or transfer of 
 shares of stock heretofore issued, or any new or additional shares, or 
 permit the voting on any question by the holder of any such new or 
 transferred stock, or permit the election of any holder of such new or 
 transferred stock as a member of the board of directors or officer of 
 such company, where such election is conditioned as qualifying as a 
 stockholder, until notice of the transfer, exchange or new issue of such 
 capital stock certificates or shares has been filed with the commissioner 
 of insurance and the receipt of such notice and the entry thereof in the 
 stockholders' record in the department of insurance acknowledged 
 by the commissioner. 
 
 All vacancies on the board of directors of any such life insurance 
 company caused by or due to any sale, transfer or exchange of shares 
 or certificates of the capital stock shall be filled only by election at the 
 regular meeting of the stockholders of the company, or at a special 
 meeting of the stockholders called for such purpose, of which meeting 
 not less than twenty days' notice shall be given to each stockholder 
 and a copy of such call filed with the commissioner of insurance not 
 less than fifteen days prior to the date of such election. 
 
 No person qualifying as a stockholder at a meeting of the stock- 
 holders of the company by reason of new, transfeiTed or exchanged 
 shares of the capital stock, shall, within one year from the date of 
 
Ch. 89 111 1947—4 
 
 recording such new, transferred or exchanged shares of certificates, be 
 permitted to act or vote as the representative of any other shares or 
 certificates of stock than such as are recorded in his name. 
 
 Whenever a majority of all of the shares or certificates are involved 
 in the sale or transfer of the capital stock of a company, it shall be the 
 duty of the commissioner of insurance to examine into all the condi- 
 tions and details of such transaction and to authorize the recording of 
 such sale or transfer of the shares or certificates conveying control only, 
 if all requirements of law have been complied with and the interests 
 of the policyholders properly safeguarded; and provided further, that 
 whenever the sale or transfer of such control involves the transfer or 
 reinsurance of the business of the company, the policyholders of the 
 company shall first be given an opportunity by a direct vote, under the 
 supervision of the commissioner of insurance, to mutualize the com- 
 pany by the purchase of the shares or certificates of the capital stock 
 by the company at the same price, before any transfer of shares or 
 certificates of the capital stock shall otherwise be recorded and ac- 
 knowledged by the commissioner of insurance, or a reinsurance of the 
 business of the company permitted. 
 
 Failure to comply with the provisions of this section shall make 
 it the imperative duty of the commissioner of insurance to refuse li- 
 cense or reiicense or to revoke any and every certificate of authority 
 of the company to transact business in this state, and such non-com- 
 pliance shall subject the members of the board of directors, and the 
 stockholders of record of the stock transferred or exchanged or issued 
 in violation of these provisions, to personal liability for any losses sus- 
 tained by the company or its policyholders by reason of any violation 
 01 this section. 
 
 General corporation laws applicable; insurance commissioner's 
 functions. 
 
 4. The provisions of chapter *86 of the statutes and the acts amend- 
 atory thereof relating to corporations under the general law shall apply 
 to all corporations mentioned in this section except so far as the same 
 are inconsistent with the provisions of the law relating to life insurance 
 companies. The manner of filing articles of incorporation shall be 
 the same, except that such articles shall be filed with the fees paid 
 to the commissioner of insurance. The manner of filing amendments 
 and the fee upon the filing of any amendment shall be the same, except 
 that such amendment shall be filed with and the fees paid to the com- 
 missioner of insurance. In case the corporation is formed without 
 capital stock the signers of the articles shall, subject to the approval of 
 the commissioner of insurance, fix the time and place for the first meet- 
 ing for the election of officers, which time and place shall be specified 
 In the certificate of authority to do business heretofore mentioned; but 
 the signers of such articles shall give written notice thereof by mail to 
 each person subscribing for insurance at least twenty days prior to 
 the holding of such meeting. 
 
1947a 112 Ch. 89 
 
 Licenses requisite for alt life insurance; revocation for removal of 
 actions. 
 
 5. No life insurance corporation whatever shall do any business in 
 this state, nor shall any person act as agent or otherwise within this 
 state in receiving or procuring applications for life insurance or in any 
 manner aid in transacting such business for any such corporation until 
 it shall have first procured a license from said commissioner authorizing 
 it to issue policies of insurance in this state and have paid therefor the 
 license tee required to be paid by section 76.34, provided, that in 
 case any such life insurance corporation organized under the laws of 
 any other state or country, having procured license as herein pro- 
 vided, shall remove or make application to remove into any court of the 
 United States any action or proceeding begun in any court of this state 
 upon a claim or cause of action arising out of any business or trans- 
 action done in this state it shall be and is hereby made the imperative 
 duty of the commissioner to revoke any and every authority, license or 
 certificate granted to such corporation or any agent thereof to transact 
 any business in this state, and no such corporation or agent thereof 
 shall thereafter transact any business of insurance in this state, till 
 again duly authorized, and no renewal, license or certificate of authority 
 shall be granted to such corporation for three years after such revo- 
 cation; and, provided further, that if the license of any such corporation 
 shall be revoked as aforesaid, the attorney last appointed and the 
 agent last designated as acting as such for it shall continue attorney 
 and agent for the purpose of serving process for beginning actions upon 
 any policy or liability incurred or contracted in this state, while it 
 transacted business therein so long as any such liability shall exist. 
 
 * Chapter 86 includes sections 1772 to 177^n. 
 Section 19i7 is refen-ed to in (3), 1947a. 
 
 Personal, accident and health insurance. 
 Section 1947a. Any life insurance company incorporated under the 
 laws of this state, may engage in the business of personal, accident 
 and health insurance, as its articles of association shall provide, and 
 may issue such contracts either independently of or in conjunction with 
 its life or endowment policies; provided, that no accident, health or 
 disability benefits except total and permanent disability benefits may be 
 incorporated in its life or endowment policies and that when the total 
 and permanent disability benefits are incorporated in, or contained in 
 contracts issued in conjunction with its life or endowment policies and 
 when accidental death benefits are contained in separate and distinct 
 contracts issued in conjunction with such policies and valued under the 
 provisions of subsection 3 of section 1950d, paragraph (g) of subsection 
 1 of section 1950 and section 1960, except paragraph (2) of subsection 
 12, shall not apply. Any foreign life insurance company, by complying 
 with this section, may also be licensed to transact such business, if 
 authorized so to do by its charter or articles of organization * * ♦ 
 and by the state in which it is incorporated. 
 
Ch. 89 113 1947d 
 
 Mutual life insurance elections; equality of policyholders; as- 
 signees; terms of directors. 
 
 Section 1947c. At every general election of directors or trustees in 
 any domestic mutual life insurance company, whether incorporated by 
 special act or general law and anything to the contrary in its charter, 
 certificate, articles of incorporation or by-laws, notwithstanding, every 
 policyholder whose insurance shall be in force, and shall have been 
 in force for at least one year prior thereto, shall be entitled to one 
 vote without other qualification. Every policyholder entitled to vote 
 shall have the same number of votes irrespective of the number of 
 policies or the amount of insurance held by him, and shall have one 
 vote for each director to be elected, and may cast all such votes for one 
 candidate or distribute them among the number as he may elect. Un- 
 less a policy shall have been assigned more than six months prior to 
 the election by an assignment absolute on its face to an assignee other 
 than the company which shall have issued the policy, the person upon 
 whose application the policy shall have been issued, and if the applica- 
 tion be signed by more than one person, each person whose life is in- 
 sured shall be deemed to be a policyholder entitled to vote as afore- 
 said. In case the policy shall have been assigned as aforesaid, the 
 assignee shall be deemed to be a policyholder entitled to vote, provided 
 his signature, either attested by the assignor or acknowledged in like 
 manner as in case of a deed to be recorded in this state, shall have 
 been filed at the home office of the company. Any policyholder entitled 
 to vote at any election shall be qualified to fill any office to be voted 
 for at any such election. Such a general election shall be held at inter- 
 vals of not more than two years. At each such election not less than 
 one-fourth of the total number of directors provided for in the charter 
 or articles shall be elected. No appointment or selection of a director 
 to fill a vacancy other than when made by general election shall extend 
 beyond the next general election. 
 
 Section 19i7c is referred to in lOJftj. 
 
 Indeoendent tickets; directors to furnish lists of voters. 
 
 Section 1947d. Upon written request, filed with the company, at the 
 time of making the nomination, and within thirty days thereafter, the 
 company shall, at its own expense, furnish to the policyholders making 
 nomination of an independent ticket a full and complete printed list of 
 the names and last known post-office addresses of all policyholders 
 whose insurance was in force twelve months prior to the day fixed for 
 an election. Such list shall be made separately for each state, terri- 
 tory and country and shall be classified by post-office addresses and the 
 names shall be arranged alphabetically. The company shall mail to 
 each such policyholder one list, and no more, for each state, territory 
 or country requested by him as above provided. Such list shall be 
 returned to the home office of the company within ten days after such 
 election. 
 
 Section 19Ji7(l is referred to hi lOJiTj. 
 
 8 
 
1947 f 114 Ch. 89 
 
 Directors to name election inspectors and administration ticket. 
 Section 1947e. 1. At least three months prior to the date of any 
 general election of directors or trustees in any such company, the 
 directors or trustees thereof shall appoint three qualified voters, who 
 are not directors or trustees, as inspectors of election, who shall be 
 paid by the company, and such directors or trustees shall suggest the 
 name of a person as candidate for every vacancy to be filled at the 
 ensuing election, and shall file with the commissioner of insurance a 
 certificate thereof, giving the names, occupations and addresses of 
 the inspectors so appointed, and the persons whose names have been so 
 suggested. 
 
 But name no other candidates, and use no money; penalty. 
 
 2. Any officer, trustee, agent or employe of such company who shall 
 directly or indirectly nominate or assist or encourage the nomination 
 of any other candidate or candidates for the office of director other 
 than those on the administi'ation ticket, or who shall use or expend any 
 of the property or funds of the company in promoting the election of 
 any nominee, candidate or person except as directed or authorized in 
 this act, shall be guilty of a misdemeanor. 
 
 Policyholders' nominations. 
 
 3. Any one hundred or more qualified voters of such company may 
 also suggest the name of a person as a candidate for one or more of 
 the vacancies to be filled at any such ensuing election, by filing with 
 the commissioner of insurance, and with the secretary of the company, 
 at its home office, not more than ninety nor less than sixty days prior 
 to such election, a certificate signed and acknowledged by them, 
 giving the names, occupations, and addresses of the persons so sug- 
 gested as candidates, together with a written statement signed by said 
 candidates, together with a written statement signed by said candidates 
 that they will accept such office if elected. 
 
 Vacancies in tickets. 
 
 4. In case of the death or resignation or incapacity of any person 
 so suggested as a candidate, a majority of the board of directors or 
 trustees, or a majority of the persons suggesting the name of such- 
 nominee, may suggest the name of another person as a candidate in 
 his place, by filing prior to the day set for the election a like certificate 
 with that required for the original nominations. If such certificate be 
 filed more than fifty days prior to the election, the name of such 
 person suggested as a candidate shall be inserted on the ballot here- 
 inafter mentioned. 
 
 Section l'.)!,Tc is referred to in I'JJflj. 
 
 Voting by mail; ballot form and distribution. 
 Skciion l!t47f. In case any nominal ion otlun- than the directors' 
 nomination shall be made the company shall not less than forty-five 
 nor more than seventy-five days from the oloction cause to be mailed 
 
Ch. 89 115 1947g 
 
 in a sealed and postpaid envelope, to each policyliolder wliose name 
 shall be on the list and whose policy shall still be in force at his last 
 known post-office address, a suitable, gummed return envelope ad- 
 dressed to the home office of the company and marked "Ballot for 
 Directors," together with a ballot containing in two columns the names 
 of candidates nominated as hereinbefore provided, arranged alphabet- 
 ically. One column designated, "Directors' Nominees" shall contain 
 the names of the candidates nominated by the directors or trustees. 
 Another column designated "Independent Nominees'' shall contain the 
 names of candidates nominated by the policyholders. Where any other 
 question is to be submitted to the policyholders the same shall be 
 voted upon at such general election and a separate ballot shall be pro- 
 vided and mailed with the other ballots. Such separate ballot shall 
 state the question concisely and contain space for voting, thus: 
 
 FOR n AGAINST Q 
 
 No other papers or written or printed matter shall be enclosed with 
 such ballot and envelope and specimens of the ballot return envelope 
 and sealed envelope shall be filed with the commissioner of insurance 
 before being so mailed, one duplicate of such ballot shall, prior to the 
 election, be promptly furnished by mail by the company to any policy- 
 holder applying therefor. 
 
 Section 19l,lf is referred to in ISlflj. 
 
 Domestic mutual; elections; ballot; form. 
 
 Section 1947g. 1. The provisions contained in the following instruc- 
 tions to policyholders shall apply to and govern in all such elections. 
 All votes shall be by ballot, but any ballot complying with said instruc- 
 tions may be used. No ballot shall be received or counted unless pre- 
 pared and voted substantially as herein provided. 
 
 2. The ballot shall be in the following form: 
 Ballot for election of directors. 
 
 For (name of company, home office, post-office address). 
 To succeed the directors whose terms expire as follows: 
 
 Instructions to Policyholders. 
 
 The policyholder is entitled to the same number of votes irrespective 
 of the number of policies and amount of insurance held by him, and is 
 
 entitled to one vote for each of the directors to be elected, 
 
 and may cast all such votes for one candidate or distribute them among 
 the number as he may elect. Votes shall be indicated by a numeral 
 placed after the name of the person voted for thus: "John Doe, 
 Farmer, Madison, Wisconsin, (1)." 
 
 No fractional vote will be recognized. On any ballot recording a 
 
 greater number than authorized only the first votes will be 
 
 recognized. 
 
J94Ti 
 
 lib 
 
 Ch. 89 
 
 The ballot shall specify the number of at least one policy held by the 
 policyholder, to be signed by him, and his signature attested by a 
 subscribing witness and shall be inclosed in a sealed and postpaid 
 envelope marked on the address side, "Ballot for Directors," addressed 
 to said company at its home office without any mark or designation to 
 indicate the identity of the voter mailing the same, and mailed by him 
 
 in person so as to be delivered before four P. M. on , 
 
 192 
 
 The ballot prepared in like manner, without being postpaid, may 
 between ten A. M. and four P. M. in said day, be voted in person by 
 the policyholder at the home office of the company. 
 
 Directors' Nominations 
 
 Independent Nominations 
 
 (John Doe, 
 farmer, 
 
 Madison. Wis.) 
 
 Vote 
 here. 
 
 (Richard Roe, 
 banker, 
 
 Milwaukee, Wis.) 
 
 Vote 
 here. 
 
 
 
 
 Attested by Signed by 
 
 P. O. Address 
 
 P. O. Address Policy No 
 
 3. Provided that this section shall not apply to any election of 
 trustees where no nomination other than that of the trustees' nomina- 
 tion shall have been made. 
 
 4. And provided further that no vote shall be valid or counted by 
 the inspectors if the same shall have been cast for any person other 
 than one suggested as a candidate in the certificate or certificates of 
 nomination filed with the commissioner of insurance. 
 
 Place and hours of election. 
 
 SiicnoN 1947h. All elections of the company shall be held at its 
 home office and the polls shall be open from ten o'clock in the forenoon 
 until four o'clock in the afternoon of the day of the election, at which 
 time it shall be closed and after which time no ballot shall be received. 
 
 Section lUlfl is referred to in lil',7j. 
 
 Ballot envelopes; delivery. 
 SixTioN 19471. 1. All envelopes received at the home office of the 
 company before the polls are closed on the day of election marked sub- 
 stantially as "ballot for directors (or trustees)" shall be preserved 
 intact without opening, and before the polls are closed shall be de- 
 livered to the inspectors of election. 
 
Ch. 89 117 1947J 
 
 Penalty for concealing or breaking. 
 
 2. Any person concealing or withholding, or participating in the 
 concealment or withholding from the inspectors or opening or being 
 privy to the opening of any such envelope containing such ballot, 
 except as authorized by law, shall be guilty of a misdemeanor. 
 
 Canvass; preservation. 
 
 3. All ballots voted and received by mail or otherwise, or delivered 
 by the policyholder in person at the office of the company, shall be 
 received by the inspectors subject to verification and ascertainment 
 of the validity thereof, and of the qualification of the voter; and, im- 
 mediately upon the closing of the polls the inspectors shall proceed 
 to open the envelopes containing such ballots and to the examination 
 thereof, and shall canvass all the votes lawfully cast. The canvass 
 shall proceed from day to day, and the inspectors shall verify the result 
 to the company as soon as it is completed. Any nominee at such elec- 
 tion may be present during the casting and canvass of the vote. All 
 ballots and envelopes received by said inspectors shall immediately 
 upon completion of the canvass be placed in sealed packages and 
 preserved by them until four months from the date of the election, 
 subject to the order of any court having jurisdiction of any proceeding 
 relating thereto. 
 
 Returns; tie votes. 
 
 4. The inspectors shall sign and file with the secretary of the com- 
 pany and commissioner of insurance a certificate of the result of the 
 election stating the names of all persons for whom votes have been 
 cast and the number cast for each, which shall be arranged in the 
 order of the number of votes cast for each person, the highest being 
 placed first, the next highest second and so on, the lowest being placed 
 last. In case iwo or more persons shall have secured the same number 
 of votes the inspectors shall decide by lot which shall stand highest 
 upon such list. 
 
 Terms of elected candidates. 
 
 5. The person or persons standing highest on such list to the num- 
 ber of directors to be chosen for the longest term at such election shall 
 be elected to such longest term. The person or persons standing next 
 highest on such list, to the number of directors to be chosen for the 
 next longest term, at such election, shall be elected to such next longest 
 term, and so on until the number of directors voted for at such elec- 
 tion has been elected. 
 
 Section ISlili is referred to in lOJ/Tj. 
 
 Mailing of ballot not to validate policy. 
 Section 1947J. The mailing by the corporation of the said ballot, 
 to any person under the provisions of sections 1947c to 1947k, in- 
 clusive, shall not be construed as an admission by the corporation of 
 the validity of any policy, or of the fact that such person was a policy- 
 
J947o 118 Ch. 89 
 
 holder of said company; and no such mailing shall be competent evi- 
 dence against the corporation in any action or proceeding, in which 
 the question of the validity of any policy or of any claim under it, is 
 involved. 
 
 Trustees; quarterly meeting; forfeit for absence. 
 
 Skction 1947k. The trustees or directors of every domestic mutual 
 life insurance company aforesaid, shall hold regular meetings at least 
 once each quarter upon such dates as shall be designated in its 
 charter or articles of incorporation, or by the by-laws of said company. 
 Any trustee who shall absent himself from three consecutive meetings 
 shall forfeit his office and shall not be eligible to election again for a 
 period of six months. 
 
 Section I'J^'ik is referred to in X!>.',7j. 
 
 Mutual life accumulations; policyholders' full right to partici- 
 pate in. 
 
 Sfx'tion 1947o. 1. After the year 1907, no domestic mutual life in- 
 surance company and no domestic stock life insurance company here- 
 after issuing or professing to issue any participating policies, shall 
 issue any policies except annuities, which do not, by their terms, give 
 to the holders thereof full right to participate in the accumulations of 
 such company as provided by the laws of this state. 
 
 2. After the year 1907, no foreign mutual life insurance company 
 and no foreign stock life insurance company issuing or professing to 
 issue, after such date, any participating policies, shall issue within 
 this state any policies except annuities, which do not, by their terms, 
 g've to the holders thereof full right to participate as aforesaid. 
 
 3. After the year 1912, no foreign mutual life insurance company 
 and no foreign stock life insurance company issuing or professing to 
 issue, after such date, any participating policies, shall transact busi- 
 ness in this state, if it shall issue any policies except annuities, which 
 do not, by their terms, give to the holders thereof full right to partici- 
 pate as aforesaid. 
 
 4. This section shall not apply to paid-up or temporary and pure 
 endowment insurance issued or granted in exchange for lapsed or sur- 
 rendered policies. 
 
 5. This section shall not apply to any company which keeps and 
 transacts its participating and nonparticipating business in separate 
 departments, and keeps separate accounts and maintains a complete 
 separation between the two departments; and which shows a surplus 
 in each department after deducting any funds accumulated for the pay- 
 ment of dividends under section 1952f, and which shall file with the 
 commissioner of insurance an agreement for the benefit of all policy- 
 holders now or hereafter residing in the state of Wisconsin, that, in 
 consideration of being permitted to issue nonparticipating insurance in 
 this state, no part of the funds accumulated or belonging to the partici- 
 pating department shall ever be transferred to the nonparticipating 
 department, except such as the existing charter of the company or 
 its policies require. 
 
Ch. 89 119 1948 
 
 Foreign life companies; required statements; commissioner may 
 refuse license. 
 
 Sectiox 1947p. Every stock company doing life insurance business 
 on the participating plaii shall, when applying to do business in this 
 state, and before any license or certificate of authority shall be is- 
 sued, file with the commissioner of insurance a statement under oath 
 of the president and secretary, stating: 
 
 (a) The amount of the unassigned surplus of such company; 
 
 (b) The amount of said surplus belonging to the policyholders; 
 
 (c) The amount of such surplus belonging to the stockholders; 
 
 (d) The method of ascertainment and the action upon the part of 
 the stockholders of such company determining the rights of such poli- 
 cyholders and stockholders respectively. 
 
 No license, certificate or authority to transact business in this state 
 shall be issued to any such stock company until such statement is 
 made, and the commissioner of insurance is satisfied that the respec- 
 tive rights of such po.icyholders are fully and legally determined. 
 
 Mutual life companies; salary maximum. 
 Section 1947r. No domestic life insurance company transacting a 
 mutual or participating business shall incur or expend in any one 
 year for any salary, compensation or emolument to any officer, trustee, 
 director or salaried employe of such company, either directly or indi- 
 rectly, any sum in excess of twenty-five thousand dollars, unless in 
 each case such greater sum shall be fixed by the unanimous vote of the 
 board of trustees or directors at any regular meeting thereof, or unless 
 a greater maximum shall have been fixed by a majority vote of the 
 policyholders voting at any regular election of directors. Notice of 
 the submission of such question shall be given by mail to each policy- 
 holder at the same time as the notice of election is required to be 
 given. 
 
 Life insurance companies; license requisite; asset conditions. 
 
 Section 1948. No company shall transact business in this state until 
 it shall have obtained a license therefor from the commissioner of 
 insurance. 
 
 No such license shall be issued until the company has complied with 
 all the requirements of the laws of this state, nor until after such ex- 
 amination as he may require, the commissioner is satisfied that its 
 assets are properly and safely secured and exceed its liabilities, valu- 
 ing its policies as provided by the laws of this state. 
 
 Such value shall be computed according to the face or nominal sum 
 named in such policies or certificates of membership, whether payment 
 thereof is absolute and provided for by the collection of fixed pre- 
 miums or is contingent upon assessments to be levied upon and col- 
 lected from the members of such corporation or company. 
 
1948m 120 Ch. 89 
 
 Form of life policy. 
 Section 1948f. 1. On and after the first day of January, 1912, no 
 policy of life or disability insurance as defined in subsections 3 and 4 
 of section 1897, shall be issued or delivered in this state until the same 
 has been approved by the commissioner of insurance, or until there 
 has been filed with him at least thirty days: 
 
 (a) A copy of the form of such policy; 
 
 (b) A copy of any table of rates or statement of benefits furnished 
 to agents or to insurants or to the public in this state; 
 
 (c) In case of life insurance, a separate statement on the basis of 
 one thousand dollars of insurance for each age at which policies are 
 to be issued, stating in dollars and cents, for each year. 
 
 (1) the premium; 
 
 (2) the reserve; provided that the reserve need not be extended 
 beyond the first twenty policy years until such policies have been in 
 force for twenty years, and provided further that the reserve for an- 
 nuity provisions contained in continuous Income or survivorship con- 
 tracts need not be filed; and (3) The value at the end of each policy 
 year of any and all benefits promised upon surrender, lapse, or any 
 change in the policy, except that such value need not be extended be- 
 yond the first twenty years. 
 
 (d) In lieu of including in such statment the reserve mentioned in 
 paragraph (c) hereof, with the approval of the commissioner, a refer- 
 ence may be made to any book, pamphlet, or document on file with 
 and approved by the commissioner containing such figures. If any such 
 statment for any age shall not, as to such reserve, refer to figures 
 so on file with the commissioner, but shall give figures which do not 
 correspond therewith, the company filing the same shall pay for 
 verifying the same a fee of ten dollars for each age for which such 
 statement shall fail to correspond, which shall be paid into the state 
 treasury. 
 
 2. No such policy shall be issued or delivered in this state after the 
 making of an order by the commissioner giving reasons for the dis- 
 approval thereof, or of the copy or statement required to be filed 
 therewith, and notice thereof shall have been given to the company. 
 
 Policy Provisions; industrial excepted. 
 Sk( TioN 1948m. After the year 1909 no policy, other than a policy 
 of industrial insurance where the premiums are payable monthly or 
 oftener, shall be issued or delivered in this state, unless it contains in 
 substance the following provisions: 
 
 Mortality table; interest rate. 
 (1) Specifying the table of mortality and rate of interest and method 
 upon which the reserve on such policy is to be computed, provided 
 that the method may be omitted if the policy be issued on the net 
 level premium basis, and when no method is specified the policy shall 
 he presumed to he issued on tlip net level premium basis. 
 
Ch. 89 121 1949 
 
 Premium, separate; application may contain. 
 
 (2) Specifying separately the premium charged for any benefit 
 promised in the policy other than lile or endowment insurance, pro- 
 vided that any company, required by the laws of the state wherein it 
 is organized to issue a standard form of policy, may omit provisions 
 1 and 2 from its policy and insert the same in the application, if a 
 copy thereof shall be attached to the policy when issued. 
 
 Nonpayment, loan; premium loans; automatic, when. 
 
 (3) That upon the nonpayment of any premium when due, after 
 payment of premiums for (insert number not exceeding three) full 
 years, the same shall be paid by being charged as a loan against the 
 policy at the same rate of interest as therein specified for other policy 
 loans. Such loan shall be payable at any time at the option of the 
 insured, and shall become due and payable only when the total of all 
 ioans and interest shall equal the reserve less the surrender charge 
 specified .n the policy. In such case each premium receipt shall show 
 the total indebtedness on such policy to the company at the date of 
 such receipt. 
 
 Extended insurance; paid-up insurance; benefits equivalents. 
 
 (4) That upon the nonpayment of any premium when due, after pay- 
 ment of premiums for (insert a number not exceeding three) full 
 years, the insured shall be granted as specified in the policy either ex- 
 tended insurance or paid-up insurance, the net single premium on 
 which, computed on the mortality and interest assumptions of the 
 policy, shall at any time equal the reserve less the surrender charge 
 specified therein, and less any existing indebtedness to the company 
 on or secured by the policy. Provisions 3 and 4 shall not be required 
 in term insurance of twenty years or less, and either may be auto- 
 matic, and either may be omitted. The reserve to be used for cal- 
 culating the benefits after the nonpayment of any premium when due 
 provided for in this section, may exclude the reserve held by the 
 company to provide for total and permanent disability benefits, if any. 
 
 Excess of liabilities over assets; business to discontinue. 
 
 Section 1949. Whenever the assets of any life insurance company 
 shall not equal its liabilities computed as provided by section 1948, 
 the commissioner of insurance shall give notice to such company and 
 its agents to discontinue issuing new policies within this state until 
 such time as its assets have become equal to its liabilities computed as 
 aforesaid. Any officer or agent who, after such notice has been given, 
 issues or delivers a new policy for and on behalf of such corporation 
 before its funds shall have been examined by the commissioner and 
 a new certificate of authority issued shall forfeit for each offense 
 not less than one hundred dollars nor more than one thousand dollars. 
 
1950—1 122 Ch. 89 
 
 Valuation of policies; basis, method. 
 Section 1950. i. Every life insurance company doing business in 
 this state or having in force in this state, policies issued therein, shall 
 hold funds properly and safely secured to provide for its reserve lia- 
 bility over and above all its other liabilities, which reserve liability 
 shall be determined by the state as follows: 
 
 (a) All policies issued by a domestic company after the year 1909 
 shall be valued according to the expense charges assumed, the table 
 of mortality adopted, and the rate of interest assumed. 
 
 (b) Any policies issued by a foreign company after the year 1909 
 may be valued as provided in subsection (a), provided the assumptions 
 as to mortality and interest shall conform to the requirements of sub- 
 sections 1 and 2 of section 1950c, and provided the aggregate liability 
 shall not be less than that resulting from a valuation under the laws 
 of the state or country where the home office of said company is lo- 
 cated. 
 
 (c) All policies issued before the year 1910, on any plan not pro- 
 viding in every year for full net level premium reserves may be val- 
 ued upon such plan and on the basis of either the American Experi- 
 ence or the Actuaries Table of Mortality, and a rate of interest not 
 higher than that assumed nor higher than four and one-half per centum 
 per annum. 
 
 (d) All policies for which no other method of valuation is provided 
 shall except as hereafter provided be valued on a net level premium 
 reserve basis computed on either the American Experience or Actuaries 
 Table of Mortality and a rate of interest, for policies issued before 
 the year 1910, not higher than that assumed nor higher than four 
 and one-half per centum per annum, and for policies issued after the 
 year 1909, not higher than that assumed nor higher than four per 
 centum per annum. 
 
 (e) Any policies mentioned in subsections (b)," (c), and (d) may 
 be valued to produce aggregate reserve liabilities in excess of those 
 required by said subsections but not greater than such as would result 
 from valuing the same on the basis of the table of mortality adopted 
 with interest at three per cent per annum. 
 
 (f) The commissioner of insurance may vary the standards of in- 
 terest and mortality in the case of corporations of foreign countries as 
 to contracts issued by such corporations in other countries than the 
 United States and in particular cases of invalid lives and other extra 
 hazards, and value policies in groups and use approximate averages 
 for fractions of a year. 
 
 Reserve basis; total and permanent disability benefits. 
 
 (g) The reserve liability for the total and permanent disability pro- 
 vision incorporated in policies of life or endowment insurance shall be 
 calculated on the basis of "Hunter's Disability Table." or on any table 
 based upon disability experience approved by the commissioner of in- 
 surance, with interest at not exceeding three and one-half per cent per 
 
Ch. 89 123 1950—7 
 
 annum; provided, that in no case shall the reserve in any policy year 
 be less than the proportional unused part of the net annual premium 
 calculated by such table for the disability benefit. 
 
 Liability; premium; deficient. 
 
 2. In every case in which the actual premium charged for an in- 
 surance is less than the net premium for such insurance, required ac- 
 cording to the table of mortality adopted and rate of interest assumed, 
 the company shall also be charged with the present value of an an- 
 nuity, the amount of which shall equal the deficiency by reason of the 
 premium charged being less than the net premium required. 
 
 Liability, expense charge, when. 
 
 3. In every case where the premium stipulated in any policy shall 
 provide for an expense charge exceeding in any year the provision for 
 expenses in such year the valuation shall include a liability computed 
 on the basis of the excess of such expense charge. 
 
 Valuation; department of foreign state. 
 
 4. The valuation annually made and accepted by the insurance de- 
 partment of any other state of the United States or any other coun- 
 try of any policies of a company located in such other state or coun- 
 try, if such valuation shall be certified as true and correct by the in- 
 surance commissioner, or like officer, of such state or country, shall 
 be received and accepted by the commissioner of insurance of this 
 state, and no further valuation shall be required or be made by him 
 for the year for which such valuation shall be so certified, provided 
 that the aggregate liability so determined shall not be less than the 
 liability resulting from a valuation made under the laws of this state. 
 
 Valuation; department of commerce and labor. 
 
 5. The valuation by the department of commerce and labor of the 
 United States, authorized by any law thereof, of any policies of a 
 company located outside of this state, if conforming to the aforesaid 
 provisions as to valuation by the commissioners or like officers of 
 such other states or countries, shall be received and accepted in like 
 manner. 
 
 Valuation; commissioner to make. 
 
 6. Except as aforesaid the commissioner of insurance shall annu- 
 ally make or cause to be made valuations of all outstanding policies, 
 additions thereto, and other obligations of every such company men- 
 tioned in subsection 1. 
 
 Valuation; commissioner to certify. 
 
 7. The commissioner of insurance shall, annually, after the year 
 1909, upon the request of any domestic company, without additional 
 charge or expense to it, make one additional valuation of such policies 
 according to such standard, as it shall specify. Any valuation made 
 
1950c 124 Ch. 89 
 
 by him shall, upon request, be certified to the commissioner of insur- 
 ance or like officer of any other state or country. 
 
 Valuation; records of. 
 8. All valuations made by the state shall be tabulated and preserved 
 as a part of the records of the department of insurance. Each valua- 
 tion shall be accompanied by a statement of the tables of mortality 
 used, the rates of interest assumed, and the method of computation 
 employed. 
 
 Section 1050 is referred to in section liUla (S), 1959 (22). 
 
 Valuation; fee. 
 Section 1950a. There shall be paid by every life insurance company 
 organized in this state and by every life insurance company organized 
 under the laws of some other state or foreign country, if no certified 
 valuation has been furnished as herein provided, by way of compen- 
 sation for the valuation of Its policies one cent on every one thousand 
 dollars insured by it, which shall be paid by the commissioner of in- 
 si!rance into the state treasury. 
 
 From foreign countries; valuation; deposit. 
 Section 1950b. Whenever any life insurance company, organized 
 under the laws of any foreign country, shall have been admitted, it 
 shall also be the duty of the commissioner of insurance to annually 
 and separately value all policies written in, or on, the lives of resi- 
 dents of this state, and it shall be the duty of such company, as one 
 of the conditions of renewal of license, to invest, and at all times 
 keep invested, the aggregate net value of such policies, in such securi- 
 ties as provided for under the laws of this state, and deposit such ag- 
 gregate amount in such securities at their book value, with the state 
 treasurer; every such company depositing such securities shall have 
 the right to receive the income thereof, and to exchange the same from 
 time to time for like securities of like value, and may withdraw such 
 deposit when the commissioner of insurance shall certify that all lia- 
 bility arising under all policies or contracts issued in or on the lives 
 of residents of this state has been satisfied, and that there is no 
 further necessity for such deposit. 
 
 Valuation; mortality table; interest rate. 
 Se( HON 1950c. 1. The table of mortality adopted, if other than the 
 American Experience, the Actuaries, or the American Experience 
 Select (on the basis that the rate of mortality during the first five 
 years after the date of insurance shall be calculated according to the 
 following percentages of the rate shown by the American Experience 
 Table of Mortality, to-wit: First year of insurance fifty per centum 
 thereof, second year of insurance sixty-five per centum thereof, third 
 year of insurance seventy-five per centum thereof, fourth year of in- 
 surance eighty-five per centum thereof, fifth year of insurance ninety- 
 five per centun) thereof, and for each year thereafter one hundred per 
 
Ch. 89 125 1950f 
 
 centum thereof), shall not exhibit at any age a lower death rate than 
 that shown at the corresponding age and duration by the British Offices 
 Select O (M) Mortality Table. 
 
 2. The rate of interest assumed in computing premiums and re- 
 serves shall not be less than three, nor more than four per centum per 
 annum. 
 
 Industrial policies; valuation; annuities; reserves; exceptions. 
 
 Section 1950d. 1. Policies of industrial insurance on which the pre- 
 miums are payable monthly or oftener shall be valued to produce re- 
 serves not :ess than those computed on the "Standard Industrial Mor- 
 tality Table" and the "Substandard Industrial Mortality Table" based 
 on the experience of the Metropolitan Life Insurance Company, with 
 interest at three and one-half per centum per annum. 
 
 2: Annuities shall be valued to produce reserves not less than those 
 computed on "McClintock's Tables of Mortality Among Annuitants," 
 with interest at three and one-half per centum per annum; provided 
 that any table not exhibiting at any age a higher death rate than that 
 shown at the corresponding age and duration by the "British Offices 
 Annuity Tables 1893," may be used. Annuities granted in any policy 
 of life insurance' may be valued in like manner except that annuities 
 deferred for ten years or more may be valued on the table of mor- 
 tality used for computing the premiums. 
 
 Valuat^n; disability. 
 
 3. The reserve liability on account of policies insuring against ac- 
 cidental death or disability because of sickness or accident, or on' 
 account of provisions for total and permanent disability insurance 
 supplemental to or incorporated in policies of life or endowment in- 
 surance, shall be computed on the basis of the "British Friendly So- 
 ciety Table 1876 to 1880," with interest at three and one-half per 
 centum per annum, or such other higher standard or standards as the 
 company may have adopted and as may be approved by the commis- 
 sioner of insurance; but the reserve liability for provisions insuring 
 against total and permanent disability, shall be computed on the basis 
 of "Hunter's Disability Table," or any similar table approved by the 
 commissioner of insurance; provided, that in no case shall the reserve 
 be less than the proportional unused part of the net annual premium, 
 computed as above, for the disability benefit. The commissioner may 
 vary the standards in cases where the use of such table is imprac- 
 ticable, and may also require additional reserves in case of hazardous 
 occupations. 
 
 4. This section shall not apply to any policies issued prior to 1907. 
 
 American Experience Table. 
 Section 1950f. The American Experience Table of Mortality with 
 Craig's Extension below age ten is as follows: 
 
195Gf 
 
 126 
 
 Ch. 89 
 
 AMERICAN EXPERIENCE TABLE OP MORTALITY 
 
 Age 
 
 0. 
 1. 
 2. 
 3. 
 4. 
 5. 
 6. 
 7. 
 8. 
 9. 
 10. 
 
 n. 
 
 12. 
 13. 
 14. 
 15. 
 16. 
 17. 
 18. 
 19. 
 20. 
 21. 
 22. 
 23. 
 24. 
 25. 
 26. 
 27. 
 28. 
 29. 
 30. 
 31. 
 32. 
 33. 
 34. 
 35 
 36. 
 37. 
 38. 
 39. 
 40. 
 41. 
 42. 
 43. 
 44. 
 45. 
 46. 
 47. 
 48. 
 49. 
 50. 
 ■51. 
 52. 
 53. 
 54. 
 55. 
 56. 
 57. 
 58. 
 59. 
 60. 
 61. 
 62. 
 63. 
 64. 
 65. 
 66. 
 67. 
 68. 
 69. 
 70. 
 
 Number living 
 
 at beginning 
 
 of year 
 
 143,819 
 121,570 
 113,851 
 109,809 
 107,184 
 105,287 
 103,855 
 102,674 
 101,673 
 100,796 
 100,000 
 99,251 
 98,506 
 97.762 
 97,022 
 96,285 
 95,550 
 94,818 
 94,089 
 93,362 
 92,637 
 91,914 
 91,192 
 90,471 
 89,751 
 89,032 
 88,314 
 87,596 
 86.878 
 86,160 
 85,441 
 84,721 
 84,000 
 83,277 
 82,551 
 81.822 
 81, ('90 
 80,353 
 79,611 
 78,862 
 78,106 
 77,341 
 76,567 
 75,782 
 74.985 
 74,173 
 73.345 
 72,497 
 71,627 
 70,731 
 69,804 
 68,842 
 67,841 
 66,797 
 65,706 
 64,563 
 63,364 
 62,104 
 60,779 
 59,385 
 57.917 
 56,371 
 54,743 
 53.030 
 51.230 
 49.341 
 47.361 
 45.291 
 43.133 
 40.890 
 38.569 
 
 Number dying 
 
 within the 
 
 year 
 
 22,249 
 
 7,719 
 
 4,042 
 
 2,625 
 
 1,897 
 
 1,432 
 
 1,181 
 
 1,001 
 
 877 
 
 796 
 
 749 
 
 746 
 
 743 
 
 740 
 
 737 
 
 735 
 
 732 
 
 729 
 
 727 
 
 725 
 
 723 
 
 722 
 
 721 
 
 720 
 
 719 
 
 718 
 
 7JS 
 
 718 
 
 718 
 
 719 
 
 720 
 
 721 
 
 723 
 
 726 
 
 729 
 
 732 
 
 737 
 
 742 
 
 749 
 
 756 
 
 765 
 
 774 
 
 785 
 
 797 
 
 812 
 
 828 
 
 818 
 
 870 
 
 896 
 
 %7 
 
 962 
 
 1,001 
 
 1,044 
 
 1,091 
 
 1,]43 
 
 1,199 
 
 1,260 
 
 1,325 
 
 1,394 
 
 1,468 
 
 1,546 
 
 1,628 
 
 1,713 
 
 1,800 
 
 1,889 
 
 1,980 
 
 2,070 
 
 2,158 
 
 2,243 
 
 2,321 
 
 2,391 
 
 Number dying 
 during year 
 per 100,000 
 
 15,470 
 6,349 
 3.550 
 2,890 
 1,769 
 1,360 
 1,137 
 974 
 862 
 789 
 749 
 752 
 754 
 757 
 760 
 763 
 766 
 769 
 773 
 777 
 781 
 786 
 791 
 796 
 801 
 807 
 813 
 820 
 826 
 835 
 843 
 851 
 861 
 872 
 
 909 
 923 
 941 
 959 
 979 
 1,001 
 1,025 
 1,052 
 1,083 
 1,116 
 1,156 
 1,200 
 1,251 
 1,311 
 1,378 
 1,454 
 1,539 
 1,633 
 1,740 
 1,857 
 1,989 
 2,134 
 2,294 
 2,472 
 2,669 
 2,888 
 3,129 
 3,394 
 3,687 
 4,013 
 4,371 
 4,765 
 5,200 
 5,676 
 6,199 
 
Ch. 89 127 
 
 AMERICAN EXPERIENCE TABLE OF MORTALITT-Continued. 
 
 1950m 
 
 Age 
 
 71. 
 72.. 
 73.. 
 74.. 
 75. 
 76. 
 77. 
 78- 
 79. 
 
 Number living' Number dying Number dymg 
 at beginning within the durmg year 
 of year year 1 per 100,000 
 
 178 
 30 
 243 
 738 
 237 
 761 
 330 
 961 
 670 
 474 
 383 
 419 
 603 
 iSS 
 ,485 
 193 
 079 
 146 
 402 
 847 
 462 
 216 
 79 
 21 
 3 
 
 2,448 
 
 2,487 
 
 2,505 
 
 2,501 
 
 2,476 
 
 2,431 
 
 2,369 
 
 2,291 
 
 2,196 
 
 2,091 
 
 1,964 
 
 1,816 
 
 1,648 
 
 1,470 
 
 1,292 
 
 1,114 
 
 933 
 
 744 
 
 555 
 
 385 
 
 246 
 
 137 
 
 58 
 
 18 
 
 3 
 
 6.767 
 7,373 
 8,018 
 8,703 
 9,437 
 10,231 
 11,106 
 12,083 
 13,173 
 14,447 
 15,861 
 17,430 
 19,156 
 21,136 
 23,555 
 26,568 
 30,302 
 34,669 
 39,586 
 45,455 
 53,247 
 63,426 
 73,418 
 85,714 
 100,000 
 
 Life insurance premium; limit of expense charges. 
 
 Section 1950m. 1. After the year 1907 no foreign life insurance 
 company shall issue or deliver any policy in this state, and no domes- 
 tic life insurance company shall issue or deliver any policy, wherein 
 the present value of the premiums stipulated to be paid shall exceed 
 the sum of: 
 
 (a) The net single premium which will mature the policy according 
 to its terms (exclusive of the provisions mentioned in subdivision 
 (b) ), such present value and net single premium to be computed on 
 the basis of the table of mortality adopted and the rate of interest 
 assumed; and 
 
 (b) An amount as a provision for expenses and contingencies equal 
 to one-third of the net single premium on an ordinary life policy in- 
 suring the same sum and issued at the same age, computed according 
 to the American Experience Table of Mortality with interest at three 
 per centum per annum. 
 
 2. The amount provided for expenses and contingencies, referred 
 to in section 1950n as the "expense charge," for any policy year shall 
 not exceed: 
 
 (1) In the first year the sum of (a) the maximum level provision 
 for expenses and contingencies for such year permitted for the policy 
 in question under subdivision (b) of subsection 1 of this section, not, 
 however, to exceed the actual level loading contained in the premium 
 on such policy, (b) the excess, if any, of the first year's premium over 
 the largest subsequent annual premium on the policy, and (c) the net 
 level premium computed for a twenty annual premium payment life 
 
J950n 128 Ch. 89 
 
 policy iusuring the same sum and issued at the same age and upon the 
 table of mortality adopted and rate of interest assumed, less the mor- 
 tality charge computed on the basis of no reserve for such year; pro- 
 vided, the first year's expense charge on any policy, other than a term 
 policy, shall not exceed the difference between the premium and the 
 said mortality charge, and in case of a term policy shall not exceed 
 the difference between the premium and the mortality charge for such 
 year computed according to the American Select Table of Mortality. 
 
 (2) In any one of the four succeeding years, one and one-half times 
 the amount which would be available under a level distribution of the 
 maximum provision under subdivision (b), over the premium paying 
 period of the policy, computed upon the American Experience Table 
 of Mortality with interest at three per centum per annum. 
 
 (3) In any year after the fifth year, the amount which would be 
 available under a level distribution of the remainder of the maximum 
 provision under subdivision (b), over the premium paying period of 
 the policy, computed upon the American Experience Table of Mortality 
 with interest at three per centum per annum. 
 
 3. The foregoing limitation shall not prevent the addition to any 
 premium payable in installments during. the year of a sum not exceed- 
 ing six per centum of the corresponding annual premium. 
 
 4. The foregoing expense charges may be used irrespective of the 
 method of loading or valuation adopted by the company. 
 
 5. This section shall not apply to policies of industrial insurance. 
 
 Section I'jSOm is referred to in section 1950n. 
 
 Life insurance companies to report expense charges and expenses 
 annually. 
 
 Section 1950n. Every foreign life insurance company doing busi- 
 ness in this state or having in force any policies issued in this state, 
 and every domestic life insurance company, shall, beginning with the 
 first day of March, 1916, and on the first day of March each year there- 
 after, make a report in writing to the commissioner of insurance in 
 such form as he may require, of the expense charges and expenses 
 on all business transacted during the calendar year preceding, exclud- 
 ing industrial business, if any, stating: 
 
 1. For the first year of insurance: — (a) the total expense charges 
 provided for the first year of insurance as defined in section 1950m; 
 and (b) the actual expenses for (1) commissions on first year's pre- 
 miums, (2) advances to agents, (3) the expenses of medical examina- 
 tions and inspections of risks less the savings on mortality, and (4) 
 the due proportion of all other expenses, properly chargeable to first 
 year's busin«^ss, exclusive of investment expenses, taxes, fees and li- 
 censes, which said other expenses shall be classified to show separately 
 agency supervision, home oflUce expenses and other items; provided, 
 that in case a company make direct payment for agency supervision 
 or the conduct of branch offices, or any part thereof, by salaries or 
 otherwise instead of exclusively, by commissions, a deduction may be 
 made from such other expenses, corresponding to the smaller renewal 
 
Ch. 89 129 mOr 
 
 commissions payable by such company, and the apportionment made 
 by the company under this subsection shall be final, unless written 
 notice of disapproval shall be given to the company by the commis- 
 sioner of insurance within sixty days after the report is filed. 
 
 2. For the total business: (c) The total expense charges becoming 
 available during the calendar year, and (d) the total expenses, less 
 expenses of medical examinations and inspections of risks not exceed- 
 ing savings on mortality, and also less fees, licenses, taxes and invest- 
 ment expenses. 
 
 Section 195071 is referred to in section 1950m. 
 
 Fi'-st year; expenses not to exceed expense charges. 
 
 Section 1950o. No company mentioned in section 1950n, shall incur 
 or expend or permit any person, firm or corporation to incur or expend 
 on its behalf, or under any agreement with it, during any calendar 
 year, for the purposes specified in subdivision (b), in section 1950n, 
 an amount exceeding in the aggregate the total expense charges speci- 
 fied in subdivision (a), in section 1950n. 
 
 Section 1950o is refei~red to in section 1950t. 
 
 Total business; expenses not to exceed expense charges. 
 
 Section 1950p. No company mentioned in section 1950n shall in 
 any calendar year make or incur any expense, or permit any expenses 
 to be made or incurred on its behalf or under any agreement with it, 
 for all purposes (exclusive of such expenses for medical examinations 
 and inspections of risks as are actually paid from the gains on mor- 
 tality and of such investment expenses, taxes, fees and licenses as are 
 actually paid from the savings on interest and the contingency re- 
 serve), in an amount exceeding in the aggregate the total expense 
 charges specified in subdivision (c) in section 1950n. 
 
 Section 1950p is referred to in section 1950t. 
 
 Agents; commissions and advances; limitation. 
 
 Section 1950q. No company mentioned in section 1950n shall in 
 any calendar year, on account of any policy, make or incur any ex. 
 pense or permit any expense to be made or incurred on its behalf or 
 under any agreement with it for commissions and advances to agents, 
 greater than the expense charge becoming available on such policy in 
 such calendar year. 
 
 Section 1950q is referred to in section 1950t. 
 
 Compensation of agents. 
 Section 1950r. No such company, nor any person, firm or corpora- 
 tion on its behalf, or under any agreements with it, shall pay or allow 
 to any agent, broker or other person, firm or corporation, for procur- 
 ing an application for life insurance, for collecting any premium 
 thereon or for any other service performed in connection thei-ewith, 
 any compensation other than that which has been determined in ad- 
 vance. 
 
 Section 1950r is referred to in section 1950t. 
 
1951 130 Ch. 89 
 
 Bonuses and prizes prohibited; exception. 
 Section 1950s. Except as hereinafter provided, all bonuses, prizes 
 and rewards and all increased or additional commissions or compen- 
 sations of any sort, based upon the volume of any new or renewed 
 business, or upon the aggregate of policies written or paid for, or 
 upon any other contingency, are prohibited. This shall not prohibit 
 the institution of contests or competitions among agents with the 
 awarding of tokens of small intrinsic value, given not as compensation 
 but as a bona fide recognition of merit. A statement of the value of 
 each such article or token of greater value than ten dollars and of the 
 total amount expended within and without this state in any such 
 competition or contest shall be filed with each annual statement. Any 
 company may condition renewal commissions, or compensation after 
 the first insurance year in whole or in part in lieu of renewal com- 
 missions, upon the efficiency of service of the agent receiving the same, 
 or upon the amount and quality of the business renewed under his 
 supervision, but in no case shall the aggregate sum so paid in any 
 year exceed the expense limitations imposed by law. No such com- 
 petition or contests shall be instituted, or any such conditions imposed 
 on renewal commissions or other compensation after the first insur- 
 ance year, as affecting any business written in this state, unless the 
 plan, with a full statement thereof, has first been filed with the com- 
 miss.oner of insurance. 
 
 Section 1950s is referred to in section 1950t. 
 
 Nonparticipating and industrial policies excepted. 
 Section 1950t. Sections 1950o. 1950p, 1950q, 1950r, and 1950s, shall 
 not apply to stock corporations, issuing and representing themselves 
 as issuing nonparticipating policies exclusively, nor to industrial 
 policies. 
 
 Investments, domestic life companies; other business prohibited. 
 Section 1951. 1. Every life insurance company organized under the 
 laws of this state may invest its assets as follows: 
 
 (a) In the lawfully authorized bonds or other evidences of indebt- 
 edness of the United States or of any state of the United States, or of 
 the District of Columbia, or of the Dominion of Canada, or of any 
 province or city thereof. 
 
 (b) In the lawfully authorized bonds or other evidences of indebt- 
 edness of any county, city, town, village, or school district; or of any 
 other governmental or civil division having a population of fifty thou- 
 sand or more, within the United States, or the District of Columbia 
 which shall be a direct obligation of the county, city, town, village or 
 school district, or other governmental or civil divisioii issuing the 
 same. 
 
 (c) In loans * * * secured by mortgages upon unincumbered and 
 wholly or partly improved real property in any state of the United 
 States, or in the District of Columbia, or * * * upon leasehold estates 
 
Ch. 89 131 ^951 
 
 in improved real property therein for a term of fifty years or more 
 where twenty-five years or more of the term is unexpired and where 
 sucli leasehold estate is unincumbered except by rentals accruing there- 
 from to the owner of the fee, and where the mortgagee is entitled to be 
 subrogated to all the rights * * * of the lessee; * * * provided that 
 real property shall not be deemed to be incumbered within the mean- 
 ing of this section by reason of the existence of unpaid assessments and 
 taxes not delinquent, outstanding leaseholds, mineral, oil, or timber 
 rights, easements or rights of way for public highways, private roads, 
 railroads, telegraph, telephone, electric light and power lines, drains, 
 sewers, or other similar easements or rights of way, liens for service 
 and maintenance of loater rights when not delinquent, party wall 
 agreements, building restrictions, or other restrictive covenants; and 
 provided further that no such loan shall exceed fifty per cent of the 
 then faiY market value in excess of existing incumbrances of the real 
 property or leasehold estate, including buildings, if any, mortgaged to 
 secure the same; and provided, further that * * * if the value of 
 buildings constitutes any part of the security, such buildings must be 
 kept insured to an amount which, together with one-half the value of 
 the land, or the leasehold estate, shall equal or exceed the loan, and 
 the policy or policies of insurance thereon be assigned to and held 
 by said corporation as collateral to such loan. 
 
 (d) In * * * bonds or other evidences of indebtedness of terminal, 
 belt line, and railroad companies in the United States * * * or Can- 
 Qda, adequately secured by mortgage or pledge of property of the cor- 
 poration issuing them, or held in trust for its use and benefit and upon 
 which no default in payment of interest has * * * occurred within 
 three years of the date of the investment therein, or since issuance if 
 such bonds were issued less than three years prior to the date of in- 
 vestment therein. 
 
 (e) In * * * bonds of any * * * street or interurban railway 
 corporation, or corporation engaged in furnishing to the public heat, 
 light, power or water, operating in * * * o city in * * * the United 
 States of not less than * * * twenty-five thousand * * * inhabitants, 
 which * * * bonds are adequately secured by mortgage upon the 
 franchises and property oivned and used by such corporation in its 
 business and upon lohich interest has been paid for not less than 
 three years prior to the date of investment therein; or in bonds issued 
 to refund the same. 
 
 (f) In the mortgage bonds of the farm loan banks authorized under 
 the federal farm loan act, and in obligations secured by mortgages or 
 trust deeds authorized in subdivision (c) of this section. 
 
 (g) In loans upon collateral security of any of the foregoing secur- 
 ities, not exceeding ninety per cent of the market value of such se- 
 curities. 
 
 (h) In loans upon the security of its own policies to an amount 
 which with other indebtedness and unpaid installments of the annual 
 premium and interest to their next policy anniversary shall not exceed 
 the surrender value specified in the policy. 
 
1952 132 Ch. 89 
 
 (ij In evidences of indebtedness not hereinbefore specifically author- 
 ized, provided the same are eligible for discount, rediscount, purchase 
 or sale by Federal Reserve banks and provided further that such in- 
 vestments shall not at any time exceed one-third of its unapportioned 
 surplus or contingency reserve as defined in section 1952a of th(f 
 statutes, as shown by the last annual statement of such corporation 
 filed with the commissioner of insurance as provided in section 195.'f 
 of these statutes, and that no such investment shall be made by a 
 company that has not unassigned surplus to the amount of one million 
 dollars. 
 
 2. No domestic life insurance company shall make * * * any in- 
 vestment not authorized by law; provided, however, that nothing in 
 this * * * section shall * * * be construed as prohibiting a com- 
 pany from taking any action deemed necessary or expedient for the 
 protection of investments made by it or from accepting in good faith, 
 to protect its interests, securities or property * * * not herein * * * 
 mentioned in payment of or to secure debts due * * * to it. 
 
 Life insurance investments; amortization valuation authorized. 
 Section 1951f. All bonds or other evidences of debt having a fixed 
 term and rate held by a life insurance company or fraternal benefit 
 society authorized to do business in this state may, if amply secured 
 and not in default as to principal and interest, be valued as follows: 
 If purchased at par, at the par value; if purchased above or below 
 par, on the basis of the purchase price adjusted so as to bring the 
 value to par at maturity and so as to yield in the meantime the effec- 
 tive rate of interest at which the purchase was made; provided that 
 the purchase price shall in no case be taken at a higher figure than 
 the actual market value at the time of purchase; and, provided further, 
 that the commissioner of insurance shall have full discretion in de- 
 termining the method of calculating values according to the foregoing 
 rule, and the values found by him in accordance with such method 
 shall be final and binding, provided, also, that any such corporation 
 may return such bonds or other evidence of debt at their market value 
 or their book value, but in no event at an aggregate value exceeding 
 the aggregate of the values calculated according to the foregoing rule. 
 
 Surplus in mutual life companies. 
 Section 1952. Every life insurance corporation doing business in 
 this state upon the principal of mutual insurance, or the members of 
 which are entitled to share in the surplus funds thereof may make 
 distribution of such surplus as they may have accumulated annually, or 
 once in two, three, four or five years as the directors thereof may from 
 time to time determine. In determining the amount of the surplus to 
 be distributed there shall be reserved an amount not less than the ag- 
 gregate net value of all the outstanding policies, said value to be com- 
 puted by the American Experience Table of mortality with interest not 
 exceeding four and one-half per cent. Nothing in this section shall be 
 
Ch. 89 133 1952c 
 
 construed to hereafter permit any such corporation to defer the dis- 
 tribution, apportionment or accounting of surplus to policyholders for 
 a longer period than five years, and on all policies, hereafter outstand- 
 ing, under the conditions of which the actual distribution is provided 
 for at a definite or fixed period, the apportioned surplus shall be carried 
 as a liability to the class of policies on which the same was accumu- 
 lated. 
 
 Mutual life insurance surplus to be apportioned annually to policies. 
 
 Section 1952a. Every life insurance company having in force any 
 policy of insurance issued or delivered in this state upon the mutual 
 or participating plan, shall annually, as of the thirty-first day of De- 
 cember, ascertain and determine the excess of its assets over all re- 
 serve liabilities and all other liabilities constituting its profits, sav- 
 ings, earnings or surplus, and also the amount of unapportioned sur- 
 plus which it will retain therefrom as a contingency reserve. After 
 setting aside such unapportioned surplus, such sums as may be re- 
 quired for the payment of authorized dividends upon the capital stock, 
 if any, and such sums as may properly be held for account of existing 
 deferred dividend policies, the remaining surplus shall be apportioned 
 equitably to all other policies entitle^ to share therein. 
 
 Section 1952 is referred to in 1952c. 
 
 Participating policies to share surplus annually; exceptions. 
 
 Section 1952b. On all participating policies of life insurance here- 
 tofore or hereafter issued in this state, excepting policies of industrial 
 insurance or of paid-up or temporary and pure endowment or other 
 stipulated form of insurance issued or granted in exchange for lapsed 
 or surrendered policies, and policies under the conditions of which the 
 distribution of profits, savings, earnings or surplus is deferred for more 
 than one year from the date of the policy, and contingent upon the 
 policy being in force and the insured living at the completion of the 
 period for which such distribution is deferred, the company shall 
 annually ascertain and credit the share of each such policy in the 
 profits, savings, earnings or surplus. 
 
 Section 1952h is referred to in 1952c, 1952d. 
 
 Surplus, interest and accretions a separate liability. 
 Section 1952c. 1. The amount of profits, savings, earnings or sur- 
 plus so ascertained to be due to each such policy, together with the in- 
 terest 'earnings and accretions thereto, shall be carried as a distinct 
 and separate liability to such policy and shall, except as otherwise pro- 
 vided in contracts heretofore issued, be paid or applied or be subject to 
 be withdrawn in each policy year, or be paid upon the maturity or termi- 
 nation of the policy; provided, this shall not require the payment of a 
 dividend if none has accrued upon the policy, nor if the policy be 
 changed or terminated other than by maturity prior to the policy an- 
 niversary; and provided further that if a dividend is made payable on 
 
1952f 134 Ch. 89 
 
 an anniversary of the policy preceding the third, its payment may be 
 conditioned on the payment of the succeeding year's premium. 
 
 Share of policies between distributions. 
 
 2. Policies which have become payable before the time when the 
 next distribution would have been made, and after the date of the last 
 previous distribution, shall share in the same equitably and propor- 
 tionally. 
 
 Annual accounting to commissioner. 
 
 3. The company shall annually, on or before the first day of March, 
 after the year 1915, file with the commissioner of insurance in such 
 form as he may require, a statement verified by the secretary and 
 actuary, showing the amounts respectively of the unapportioned sur- 
 plus, unpaid dividends, deferred dividend surplus mentioned in section 
 1952a and other surplus; and showing fully and in detail the method 
 of ascertainment and apportionment of profits, savings, earnings or sur- 
 plus on the policies within the provisions of section 1952b; the factors 
 used in making such ascertainment and apportionment, and the rate of 
 interest at which dividends left to accumulate have been improved. 
 
 Dividends; statement to insured; form. 
 Section 1952d. Not less than fifteen days prior to the date of dis- 
 tribution of the dividend on any annual dividend policy in any year 
 every company having in force in this state any such policy shall mail 
 to the insured at his last known post-office address, a statement of the 
 apportionment of surplus to such policy according to the last divi- 
 dend ascertainment, showing the total dividend and policy number, 
 and shall upon request furnish to the insured a statement giving the 
 following information: (a) policy number, (b) mortality table, (c) in- 
 terest basis, (d) gains from interest, mortality, expenses and other 
 sources stated separately or in such comb nation as will conform to the 
 company's method of distribution, (e) total dividend for year, (f) gross 
 per cent and net per cent interest earned by company, (g) per cent mor- 
 tality gain actually experienced by the company during the year, and 
 (h) a memorandum of existing dividend credits or additions; provided, 
 that the aforesaid percentages may be approximated where the state- 
 ment of the apportionment of surplus shall contain the following 
 clause: "A statement of apportionment of dividend in accordance with 
 section 1952d Wisconsin Statutes will be furnished on request." This 
 section shall not apply to policies ol" industrial insurance. 
 
 Life insurance; deferred surplus to be annually set apart. 
 Section 1952f. On all policies of life insurance heretofore or here- 
 after Issued by any company doing business in this state, under the 
 conditions of which the distribution of profits, savings, earnings or 
 surplus is deferred for more than one year from the date of the policy, 
 and contingent upon the policy being in force and the insured living 
 
Ch. 89 135 1953h 
 
 at the completion of the period for which such distribution is deferred, 
 the company shall, as of the thirty.first day of December in each year, 
 ascertain and set apart as to such policies as a class the amounts of 
 profits, savings, earnings, or surplus then accumulated to prov.de for 
 the apportionment and distribution agreed upon in such policy con- 
 tracts. 
 
 Not afterwards diverted. 
 
 Section 1952g. No part of the amount of profits, savings, earniilgs 
 or surplus so ascertained and set apart to such class of policies under 
 section 1952f, nor of the interest earnings or accretions thereto, shall 
 be diverted for dividends, expenses or surplus on account of any other 
 class or classes of policies. 
 
 Annual accounting. 
 Section 1952h. The company shall, on or before the first day of 
 March, in each year after the year 1908, file with the commissioner ot 
 insurance, a statement verified by the secretary and actuary showing 
 fully and in detail the method of ascertainment of such profits, sav- 
 ings, earnings or surplus, the amount accumulated at the end of the 
 preceding year, the additions thereto during the year, and the sources 
 from which derived; the deductions, if any, made during the year, and 
 the purposes thereof, and the amount accumulated at the end of the 
 year; and a statement showing the number of such policies and the 
 amount of insurance in force at the beginning of the year, the number 
 and amount respectively issued, revived and terminated during the 
 year, specifying the different modes of termination, and the number 
 and amount of such policies in force at the end of the year. 
 
 Deferred dividends; statement to policyholder on request. 
 
 Section 19521. Not less than fifteen days prior to the end of the 
 dividend period provided for in the policy, every company having in 
 force in this state any policy mentioned in section 1952f shall forward 
 by mail to the insured under any such policy residing in this state at 
 his last known post-office address, a statement showing the amount of 
 the deferred dividend to be apportioned to the policy, the date such 
 dividend is payable and the options available, if any. 
 
 Refei~red to in 2637 (11). 
 
 Life policy application; holder's demand for copies. 
 
 Section 1953b. Every person within the state holding a policy of 
 insurance issued by any life insurance company doing business in this 
 state, shall be furnished by such company with a copy of the applica- 
 tion upon which policy was issued, upon demand made for such copy 
 by the holder of such policy or by any person upon whose life such 
 policy was issued. 
 
 If such company wilfully neglect or fail for thirty days from the 
 time of such demand, to furnish such person a copy of such applica- 
 
J953n 136 Cli. 89 
 
 tion, it shall be forever barred from setting up by way of defense to 
 any suit on such policy of insurance, any error, incorrectness, fraud or 
 misrepresentation of the person making the same, or any mistake 
 therein; and such application shall thereafter be taken and held, so far 
 as the same may affect any claim under such policy, or any gain se- 
 cured thereby, to be in all respects true and correct. 
 
 Life insurance; political contributions, statements precedent to 
 license. 
 
 Section 1953d. As a condition precedent to the issuance of a license 
 to transact life insurance business in this state, every life insurance 
 company shall file M^ith the commissioner of insurance a statement 
 verified by its president and secretary, setting forth a schedule show- 
 ing in detail, the moneys, property and other consideration paid or con- 
 tributed, directly or indirectly, or used or offered or agreed to be paid 
 in aid of any political party, company or organization, or for and in 
 aid of any corporation, joint stock or other organization organized or 
 maintained for political purposes or for or in aid of any candidates for 
 political office or for nomination for such office, or for the reimburse- 
 ment or indemnification of any person for property so used ; the names 
 and addresses of parties, companies or organizations to whom paid, 
 the time, place and amount so disbursed or paid, and that such dis- 
 bursements have been truly entered upon the books of the company, 
 together with such other information in relation thereto, as the com- 
 missioner of insurance maj' require. 
 
 Life insurance; lobbying expenses; statement precedent to license. 
 Section 1953e. As a condition precedent to the issuing of a license 
 to transact life insurance business in this state, every life insurance 
 company shall file with the commissioner of insurance a statement 
 verified by its president and secretary, setting forth a schedule show- 
 ing in detail: (a) the bills opposed or promoted by it during the pre- 
 ceding year; (b) the state in which such legislation was pending; (c) 
 names and addresses of parties engaged as counsel or othei'wise; (d) 
 the consideration paid each of them; (e) and the expenses of adver- 
 tising, traveling, etc., and to whom paid; (f) and that such disburse- 
 ments and expenses have been tnily entered upon the books of the 
 company, together with such other information in relation thereto, as 
 the commissioner of insurance may requii'e. 
 
 Annual reports; gains and losses; unlicensed companies; penal- 
 ties. 
 
 Section 1953n. 1. Every life insurance company doing business in 
 this state, or having in force any policies issued or delivered therein, 
 shall on or before the first day of March in each year file in the office 
 of the commissioner of insurance the annual statement required by 
 section 1954 and include as a part thereof an exhibit of the gains and 
 losses separately for its participating and nonparticipating business 
 and its ordinary and industrial business, and separately as to each for 
 the first year's business and for the total business of the company; 
 
Ch. 89 137 1954—5 
 
 provided, that this shall not require separate statements as to partici- 
 pating and nonparticipating business where a company is issuing only 
 participating policies, or a separate statement as to the first year's 
 industrial business. 
 
 2. Such statement shall be upon or in conformity with blanks pre- 
 pared by the commissioner in substantially the form heretofore re- 
 quired. 
 
 3. Where a separate account of any items required on such state- 
 ment shall not be kept as to the participating and nonparticipating 
 or ordinary and industrial business of any company, such statement 
 shall state what proportion of such items is apportioned to each kind 
 of such business. 
 
 4. Such company shall also furnish such other information in regard 
 to said matters as the commissioner of insurance may require. 
 
 5. Provided that any such company theretofore licensed in this state 
 but not licensed therein at the time, in lieu of filing the annual state- 
 ment required by subsection 1 hereof, may file the annual statement 
 required by the law in force in this state during the year preceding the 
 last year during which such company was so licensed. 
 
 6. Every such company failing to file every such statement at the 
 time required by law shall forfeit five hundred dollars and an addi- 
 tional five hundred dollars for each month elapsing thereafter while 
 such company shall have in force any policies issued or delivered in 
 this state until such statement be filed. 
 
 7. Every such company and every such officer, agent, or employe 
 thereof, wilfully making any false statement in any such statement, 
 shall forfeit five hundred dollars. 
 
 Annual reports of life insurance companies to commissioner; facts 
 and items; penalty for failure or falsity; publication. 
 
 Section 1954. Every life insurance company doing business in this 
 state shall on or before the first day of March in each year, file in the 
 ofiice of the commissioner of insurance an annual statement giving a 
 complete and accurate exhibit of its business and financial condition 
 signed and verified by the affidavits of the president and secretary, or 
 if a foreign corporation by its resident managing officer in the United 
 States, and covering the year ending on the preceding thirty-first day 
 of December, and its business for that year, and exhibiting the follow- 
 ing facts and items: 
 
 (1) The name of the comnany. 
 
 (2) Where located. 
 
 (3) When incorporated and for what period. 
 
 (4) Amount of capital stock or guaranty fund. 
 
 (5) All the real property held by the corporation, the dates of ac- 
 quisition, the names of the vendors, the actual cost, the value at which 
 it is carried on the company's books, the market value, the amounts 
 expended during the year for repairs and improvements, the gross and 
 net income from each parcel, and if any portion thereof be occupied 
 
1954—24 ■ 138 Ch. 89 
 
 by the company the rental value thereof, a statement of, and all pur- 
 chases and sales made since the last annual statement, with particu- 
 lars as to dates, names of vendors and vendees, and the considera- 
 tion. 
 
 (6) The amount of existing loans upon the security of real property, 
 stating the amount loaned upon property in each state and foreign 
 country. 
 
 (7) The moneys loaned by the corporation to any person other than 
 loans upon the security of real property above mentioned and other 
 than loans upon policies the actual borrowers thereof, the maturity and 
 rate of interest of such loans, the securities held therefor, and all 
 substitutions of securities in connection therewith, and the same par- 
 ticulars with reference to any loans made or discharged since the last 
 annual statement. 
 
 (8) All other property owned by the company or in which it has any 
 interest (including all securities, whether or not recognized by the law 
 as proper investments), the dates of acquisition, from whom acquired, 
 the actual cost, the value at which the property is carried upon the 
 books, the market value, the interest or dividends received thereon, 
 during the year; also all purchases and sales of property other than 
 real estate made since the last annual statement, with particulars as 
 to dates, names of purchasers and sellers, and the consideration; and 
 also the income received and outlays made in connection with all such 
 property. 
 
 ( 9 ) Cash in office and in bank. 
 
 (10) Premium notes and loans on policies in force. 
 
 (11) Outstanding and deferred premiums on policies in force. 
 
 (12) All other loans, investments and property. 
 
 (13) All outstanding losses and policy claims. 
 
 (14) All other liabilities and claims against the company. 
 
 (15) Cash received for premiums. 
 
 (16) Cash received for interest and rents. 
 
 (17) Income from all other sources. 
 
 (18) Paid for losses and claims. 
 
 (19) Dividends of surplus to policyholders. 
 
 (20) Paid for expenses. 
 
 (21) All other expenditure. 
 
 (22) All commissions paid to any persons in connection with loans 
 or purchases or sales of any property, and a statement of all payments 
 for legal expenses, giving particulars as to date, amounts and names 
 and addresses of payees. 
 
 (23) All moneys expended in connection with any matter pending 
 before any legislative body or any officer or department of govern- 
 ment, giving particulars as to dates, amounts, names and addresses of 
 payees, the measure or proceeding in connection with which the pay- 
 ment was made, and the interest of the corporation therein. 
 
 (24) The names of the officers and directors of the company, tlu> 
 proceedings at tho last annual election, giving the names of candidates 
 
Ch. 89 139 19550 
 
 and the number of votes cast for each and whether in person, by proxy 
 or by mail. 
 
 (25) The salary, compensation and emoluments received by officers, 
 directors or employes and where the same amounts to more than three 
 thousand dollars, also salary, compensation and emoluments of three 
 thousand dollars or over received by any person, firm or corporation, 
 with particulars as to dates, payees and the authority by which the 
 payment was made; also all salaries paid to any representative either 
 at the home office, or at any branch office or agency, for agency super- 
 vision, also the commissions received by each general agent stated 
 separately as to first year and renewal commissions, the amount paid 
 to subagents, the amount paid out in expenses of the agency and the 
 net compensation of the general agent. 
 
 (26) The largest balances carried in each bank or trust company 
 during each month of the year. 
 
 (27) All death claims resisted or compromised during the year, with 
 particulars as to sums insured, sums paid and reasons assigned for re- 
 sisting or compromising the same in each case. 
 
 (28) The rates of annual dividends declared during the year for all 
 plans of insurance and all durations and for ages at entry twenty-five 
 thirty-five, forty-five and fifty-five and the precise methods and factors 
 by which such dividends have been declared. 
 
 (29) A statement of any and all reserve or surplus funds held by the 
 company and for what purpose they are claimed respectively to be 
 held. 
 
 (30) Number and amount of policy loans and rate of interest charged 
 on such loans. 
 
 (31) Number of policies and amount of insurance lapsed on which 
 loans had been granted, giving net value of policies and amount of 
 loans. 
 
 (32) Amount separately paid insurance departments for examination 
 and valuation fees and all other payments, not including statutory 
 fees, licenses and taxes payable to the various states. 
 
 (33) Amount of statutory fees, licenses and taxes paid for privilege 
 of transacting business, separately; Company licenses, agents' licenses, 
 filing and department fees, advertising, retaliatory taxes, state taxes 
 on premiums or income, local license or privilege tax. 
 
 (34) Number and amount of Wisconsin policy loans. 
 
 (35) Number and amount of loans on Wisconsin real estate. 
 
 Life insurance; no rate discrimination. 
 
 Sp:ctiotv^ 19550. 1. No life insurance company doing business in this 
 state shall make or permit any distinction or discrimination in favor of 
 individuals between insurants of the same class and equal expectation 
 of life in the amount or payment of premiums or rates charged or in 
 any return of premium, dividends or other advantages. 
 
19550—2 140 Ch. 89 
 
 No contract other than policy. 
 2. (a) No insurance company or any agent thereof shall make any 
 contract or agreement as to such contract other than as plainly ex- 
 pressed in the policy issued pursuant thereto. 
 
 Rebating. 
 
 (b) No insurance company, or any officer, agent, director or employe 
 thereof, doing business in this state, shall pay, allow or give or offer 
 to pay, allow or give, nor shall any person receive, any rebate or 
 premium payable on the policy, or any special favor or advantage 
 whatever in the dividends or other benefits to accrue thereon, or any 
 valuable consideration or inducement whatever not specified in the 
 policy. 
 
 Own risk. 
 
 (c) No person shall as agent receive any compensation for effecting 
 insurance upon his own property, life or other risk, unless during the 
 twelve months preceding, as the agent for the company assuming such 
 risk, he shall have effected other insurance therein, the premium on 
 which shall exceed the premium on the insurance so effected on his 
 own risk. 
 
 Exceptions. 
 
 (d) Neither this section, sections 1919a, 1976, nor any other law of 
 this state, shall prevent the payment of the whole or any part of any 
 commission to a domestic corporation, of which the agent writing the 
 insurance shall be an officer or salaried employe, except that no 
 commission shall be so paid where any officer or stockholder of 
 such corporation shall be interested in the property or risk, the in- 
 surance on which produces such commission, otherwise than as an 
 agent authorized under section 1976, nor shall the corporation of which 
 such agent is an officer or salaried employe be prohibited by law from 
 collecting and remitting premiums and keeping account thereof, pro- 
 vided, however, that every such corporation other than those required 
 to report to some other state department shall on or before the 
 twentieth day of February of each year, report in writing to the com- 
 missioner of insurance the amount of insurance premiums on which 
 such commission is produced, and the names of the officers and em- 
 ployes licensed as insurance agents. 
 
 Division of commissions. 
 
 (e) Any agent may pay the whole or any part of his commissions 
 to: 
 
 (1) An agent, other than a life agent, holding a certificate of author- 
 ity under section 1976 for writing the kind of insurance for which such 
 commissions are paid. 
 
Ch. 89 141 19550—3 
 
 (2) A nonresident insurance agent, or any insurance company author- 
 ized in this state, as to insurance upon property owned by nonresidents 
 or located wholly outside of this state. 
 
 (3) A nonresident agent of the fidelity or surety company paying 
 such commissions. Except as aforesaid, no agent shall pay the whole 
 or any part of the commissions upon any policy to any other person. 
 
 Dividends; schedules. 
 
 (f) Provided, that any company may make distribution of savings, 
 earnings or surplus to any class of policyholders, without having speci- 
 fied such dividends or distribution in the policy, where a schedule is 
 first filed with the commissioner of insurance. 
 
 .Assistance to reduce risk not rebate. 
 (h) Provided, that the furnishing of information, advice or service 
 by any company, officer, agent, director or employe thereof, with re- 
 gard to any risk or for the purpose of reducing the loss or liability to 
 loss, shall not be a violation of this section. 
 
 Deferred payment of first premium. 
 
 (i) The extension of credit to the insured upon a premium without 
 interest for not exceeding sixty days from the time the insurance is 
 written, or thereafter with interest at not less than the legal rate, as 
 agreed upon in writing, shall not be a violation of this section. 
 
 Deductions for service on advisory board and contracts for sale ot 
 stock prohibited. 
 
 3. No insurance company or any agent thereof shall at the time of 
 soliciting insurance or issuing a policy, or at any time in consideration 
 of or in connection with a policy issued or proposed to be issued, make 
 or offer to make any contract or agreement whatever for any deduction 
 from any premium or any addition to any dividend or other benefit 
 whatever, on account of services rendered or to be rendered by the 
 applicant for the policy or any person interested therein, either as an 
 advisor of the company or as a member of an advisory or similar board 
 or body or in any other capacity or manner whatever; nor contract 
 for, sell or offer for sale any stock of such insurance company or any 
 stocks, bonds or other certificates representing any interest or prop- 
 erty in any organized company or corporation which shall at the time 
 be under any contract or agreement whatever with such insurance 
 company, or own or control any of the stock thereof, or in any case 
 where any part of the stocks, bonds or certificates of indebtedness of 
 such company or corporation shall be owned or held by such insurance 
 company. No person shall so contract with any such company or agen1 
 thereof, or receive any such favor, privilege or advantage whatever 
 within the meaning of this section. 
 
19550 142 Ch. 89 
 
 Policy void in proportion to rebate. 
 
 4. (a) Notwithstanding any violation of' this section the policy shall 
 be valid, but the insured, having knowingly and wilfully violated any 
 provision of this section, shall be entitled to recover from the company 
 only such proportion of the amount otherwise payable under the policy 
 or contract of insurance as the amount of the premium or premiums 
 which have become payable, according to the terms of the poLcy, de- 
 ducting any rebate and the value of any special favor or advantage or 
 consideration or inducement in violation of this section, bears to the 
 amount of such premium or premiums. 
 
 Penalty. 
 
 (b) Any company, officer, director, agent or employe thereof violat- 
 ing this section and any other person knowingly and wilfully violating 
 this section shall be punished by a fine of not less than fifty dollars nor 
 more than three hundred dollars, or by imprisonment in the county 
 Jail for a term not exceeding six months, or by both such fine and im- 
 prisonment. 
 
 License, revocation. 
 
 5. Whenever it shall appear to the satisfaction of the commissioner 
 of insurance after a hearing before him upon notice, that any company, 
 officer, agent, subagent, helper's agent, broker or solicitor has violated 
 any provision of this section, he shall revoke the license of any such 
 company or person to transact business in this state, and no other 
 license shall be issued to any such company or person within three 
 years after such revocation. 
 
 Effect of revocation. 
 5m. The commissioner of insurance may in his order of revocation 
 of the license of any officer, agent, subagent, helper's agent, broker or 
 solicitor fix a less time than said three years, but not less than six 
 months after such revocation for the withholding of any license from 
 such person. 
 
 Commissioner's demand for forms; service response, forfeit. 
 
 6. Any such corporation, company, officer or agent of such corpora- 
 tion or company shall, upon demand in writing by the commissioner 
 of insurance, furnish said commissioner with the form or forms of all 
 Insurance policies, the form or forms of all contracts for insurance and 
 the form or forms of any other paper or papers pertaining to any con. 
 tract of insurance or the maintenance of the same, issued or used or 
 authorized to be issued or used by said corporation or company or by 
 its agents or representatives in or about the business of life insurance 
 carried on by said corporation or company. Upon the failure on the 
 part of such corporation or company or its agents or representatives 
 to fully comply with such demand, within a period of fifteen days after 
 the service of the same, the commissioner shall forthwith revoke the 
 
Ch. 89 143 19550-5 
 
 authority of siichi corporation or company, or the license of such agent 
 to do business in this state. Service of such demand upon an agent of 
 such corporation or company within this state, or a deposit of the 
 same registered and addressed to the home office of such corporation 
 or company shall be sufficient service. 
 
 Self-criminating plea; no excuse from testifying. 
 
 7. No person, officer or agent of any corporation within the purview 
 of this act shall be excused from attendance, testifying or producing 
 books, papers, contracts, agreements or documents or privileged from 
 testifying in relation to anything herein prohibited before the com- 
 missioner of insurance or any court, or in obedience to the subpoena 
 of any court having jurisdiction of the offense herein prohibited, on 
 the ground or for the reason that the testimony or evidence, documen- 
 tary or otherwise required of him, may tend to criminate him or sub- 
 ject him to a penalty or forfeiture. 
 
 No liability save for perjury. 
 
 8. But no person shall be liable in any suit or prosecution, civil or 
 criminal, for or on account of any transaction, matter or thing concern- 
 ing which he may testify or produce evidence, documentary or other- 
 wise before said commission or said court, or in obedience to the 
 subpoena of said court or the demand of said commissioner or in any 
 such case or procedure; provided that no person so testifying or pro- 
 ducing such books, papers, contracts, agreements or documents shall be 
 exempt from prosecution and punishment for perjury committed in so 
 testifying. 
 
 Evidence. 
 
 9. No evidence of any violation of the provisions of this section shall 
 be received in any action brought against the company upon any 
 policy after the death of the insured. 
 
 Penalty for violation of insurance laws. 
 
 Section 1955o — 5. Any corporation violating any of the provisions 
 of the laws of this state relating to insurance shall, where no other 
 penalty is prescribed, be punished by a fine of not more than five thou- 
 sand dollars and any person violating any of the provisions of the laws 
 of this state relating to insurance shall, where no other penalty is pre- 
 scribed, be punished by a fine of not more than one thousand dollars, 
 or by imprisonment in the county jail not exceeding one year, or by 
 both such fine and imprisonment. 
 
1955y—2 144 Ch. 89 
 
 ASSESSMENT LIFE INSURANCE 
 New assessment life companies not admitted; valuations. 
 
 Section 1955y — 1. 1. No life insurance company or association, other 
 than fraternal beneficiary associations, which issue contracts, the per- 
 formance of which is contingent upon the payment or assessments or 
 calls made upon its members, shall do business within this state except 
 such companies or associations as are now authorized to do business 
 within this state and which shall value their assessment policies or 
 certificates of membership as yearly renewal term policies according 
 to the standard valuation of life insurance policies precribed by the 
 laws of this state. 
 
 Valuation. 
 
 2. (a) Provided, that where the stipulated premium or periodical 
 call upon the members of any domestic or foreign company shall ex- 
 ceed the net one-year term premium according to the mortality table 
 used in computing or establishing said premiums or periodical calls, 
 or the American Experience Mortality Table, if none has been used, 
 and interest at a rate not exceeding four per cent per annum, the mem- 
 bers shall be credited with the premiums paid, together with interest 
 thereon, at such rate, as nearly as may be practicable, as the company 
 may have earned from year to year, less the policyholder's share of 
 losses and expenses. 
 
 (b) Said losses shall be actuarially computed in accordance with the 
 mortality table used in computing the premium rates as aforesaid, with 
 due allowance for any savings on account of favorable mortality ex- 
 perience. 
 
 (c) The values or equities so determined shall be carried to the 
 credit of the individual members, and in case of lapse of any policy 
 hereafter issued in this state, the amount shall be applied as a net 
 single premium to purchase extended insurance for a term computed 
 upon the table of mortality and rate of interest aforesaid. 
 
 Reserve. 
 
 3. Every such company shall hold assets sufficient to meet its lia- 
 bilities on account of all values of policies as ascertained under this 
 section, in addition to all other liabilities. 
 
 Statement to policyholders. 
 
 4. A statement of the credits to any policyholders shall, after the 
 year 1911, be furnished to any such policyholder upon request. 
 
 Reincorporation as legal reserve companies; valuation of policies. 
 Section 1955y — 2. 1. Any existing domestic assessment company or 
 association may, with the written consent of the insurance commis- 
 sioner of this state, upon a majority vote of its trustees or directors. 
 
Ch. 89 . 145 1955-22 
 
 amend its articles of incorporation and by-laws in such manner as to 
 transform itself into a legal reserve or level premium company, and 
 upon so doing and upon procuring from the insurance commissioner a 
 certificate of authority, as provided by law to transact business in this 
 state as a legal reserve or level premium company, shall incur the ob- 
 ligations and enjoy the benefits thereof, the same as though originally 
 thus incorporated, and such corporation, under its charter as thus 
 amended, shall be a continuation of such original corporation, and the 
 officers thereof shall serve through their respective terms as provided 
 in the original charter, but their successors shall be elected and serve 
 as in such amended articles provided; but such amendment or rein- 
 corporation shall not affect existing suits, rights or contracts. 
 
 2. Any assessment company reincorporated to transact life insurance 
 business, shall value its assessment policies or certificates as yearly 
 renewable term policies according to the standard of valuation of life 
 insurance policies prescribed by the laws of this state. 
 
 Section 1955y— 3. (a) Assessment health and accident associations 
 may be incorporated as provided in sections 1896 to 1901, inclusive. 
 
 (b) Before such association shall be licensed to transact business at 
 least five hundred persons shall have made application in writing for 
 membership in such proposed association and shall each have deposited 
 the premium for one year of insurance. 
 
 (c) No such association shall be formed for the purpose of engaging 
 in any other kind of insurance than that specified in subdivision (4) 
 of section 1897. 
 
 (d) Every policy or certificate issued by any corporation or associa- 
 tion transacting business under this section shall have conspicuously 
 printed on the face of such policy or certificate the words "assessment 
 system." 
 
 REINSURANCE; DOMESTIC LIFE, ACCIDENT OR HEALTH COM- 
 PANIES, AND FRATERNAL BENEFIT SOCIETIES 
 
 Scope of enactment. 
 
 Section 1955 — 21. No company organized under the laws of this 
 state to do the business of life, accident or health insurance, either on 
 the stock, mutual stipulated premium, assessment, or fraternal plan, 
 shall consolidate with any other company, or reinsure its risks, or any 
 part thereof with any other company, or assume or reinsure the whole 
 of, or any portion of the risks of any other company, except as herein- 
 after provided; but nothing herein contained shall prevent any such 
 company, organized on the stock or mutual plan, from reinsuring a 
 fractional part of any single risk. 
 
 See section 1914a. 
 
 Petition to commissioner. 
 
 Section 1955 — 22. When any such company shall propose to consoli- 
 date with any other company, or to enter into any contract of reinsur- 
 
 10 
 
1955—24 146 • Ch. 89 
 
 ance, it shall present its petition to the commissioner of insurance of 
 this state, setting forth the terms and condit.ons of such proposed con- 
 solidation or reinsurance, and praying for the approval or of any modi- 
 fication thereof, which the commission hereinafter provided for may 
 approve. 
 
 Section J955 — 22 is referred, to in 1908m, 1955 — 2Sm. 
 
 Notice to policyholders. 
 Section 1955 — 23. The commissioner of insurance shall thereupon 
 issue an order, requiring notice to be given by mail to each policy- 
 holder of such company, of such petition, and the time and place at 
 which hearing thereon will be held, and shall publish the said notice in 
 at least two newspapers, once in each week, for at least two weeks be- 
 fore the time appointed for the hearing upon said petition. 
 
 Reinsurance; disability company; notice; hearing. 
 
 Section 1955 — 23m. In lieu of proceeding under sections 1955 — 22 
 and 1955 — 23, any accident or health company, may consolidate and 
 enter into a contract of reinsurance with any other company by filing 
 with the commissioner of insurance a copy of such contract and all 
 papers relating thereto, which consolidation and reinsurance shall take 
 effect upon such filing and the mailing to each person hold.ng a policy 
 so reinsured a notice thereof. Provided, that if the holders of not less 
 than five per cent of such policies so reinsured shall within thirty days 
 thereafter file a petition with the commissioner of insurance for a hear- 
 ing on the question of such reinsurance, the commissioner shall, and 
 without such petition may, order a hearing as provided in section 1955 
 — 24, notice of which shall be given by the company by mail to each 
 holder of such policy, so reinsured at least ten days before such hear- 
 ing, and thereupon proceedings shall be had as provided in sections 
 1955—24 and 1955—25. 
 
 Section 1955 — 23m is referred to in section 19087n, 1955 — 25. 
 
 Commission to hear petition. 
 Section 1955 — 24. The governor, or in event of his inability to act, 
 some competent person resident of the state to be appointed by him, 
 the attorney-general, and the commissioner of insurance of the state, 
 shall constitute a commission to hear and determine upon said petition. 
 At the time and place fixed in said notice, or at such time and place 
 as shall be fixed by adjournment, the commission shall proceed with 
 the hearing, and may make or order such examination into the affairs 
 and condition of said company as it may deem proper. The commis- 
 sioner of insurance shall have the power to summon and compel the 
 attendance and testimony of witnesses and the production of books and 
 papers before said commission. Any policyholder or stockholder of 
 the company or companies so petitioning may appear before said com- 
 mission and be heard in reference to said consolidation or reinsurance. 
 Said commission, if satisfied that the interest of the policyholders of 
 such company or companies are properly protected, and that no reason- 
 
oil. S9 147 1956 
 
 able objection exists thereto, may approve and authorize the proposed 
 consolidation or reinsurance, or may modify or change the terms and 
 conditions thereof as may seem best for the interests of the policy- 
 holders, and said commission may make such order with reference to 
 the distribution and disposition of the surplus assets of any such com- 
 pany thereafter remaining, as shall be just and equitable to the policy- 
 holders. Such consolidation or reinsurance shall only be approved by 
 the consent of all the members of said commission, and it shall be the 
 duty of said commission to guard the interests of the policyholders of 
 any such company or companies proposing to consolidate or reinsure. 
 Section 1955 — 2i is refei-red to in section 1955 — 23in. 
 
 Expenses; compensation prohibited. 
 Section 1955 — 25. All actual expenses and costs incident to pro- 
 ceedings under the provisions of this act shall be paid by the company 
 or companies bringing said petition, or effecting such reinsurance, and 
 an itemized statement of the expenses and costs shall be filed in the 
 department of insurance with a certified copy of the decision of the 
 commission. Provided, that in the discretion of the commission the 
 petitioners under section 1955— 23m may be ordered to pay all or a 
 part of such expenses and costs. No officer of any such company or 
 companies, except as fully expressed in the contract of reinsurance, and 
 no member of said commission, or employe of the state, shall receive 
 any compensation, gratuity or otherwise, directly or indirectly for in 
 any manner aiding, promoting or assisting in such consolidation or 
 reinsurance. 
 
 Section 1955 — 25 is referred to in section 1908m, 1955 — 23m. 
 
 Penalty. 
 
 Section 1955—26. Any officer, director or stockholder of any such 
 company or companies, or any member of such commission or employe 
 of the state, violating or consenting to the violation of the provisions 
 of this act shall be punished by a fine of not less than ten thousand 
 dollars and by imprisonment for not less than one year, nor more than 
 ten years. 
 
 Section 1955 — 26 is referred to in 190Sm. 
 
 FRATERNAL OR IVIUTUAL BENEFIT SOCIETIES 
 Definition. 
 Section 1956. 1. Any corporation, society, order or voluntary as- 
 sociation, without capital stock, organized and carried on solely for 
 the mutual benefit of its members or their beneficiaries, and having a 
 lodge system with ritualistic form of work and representative form 
 of government, and which makes provision for the payment of death 
 or disability benefits, or for both, is hereby declared to be a "fraternal 
 benefit society," which shall be held to be synonymous with a "mutual 
 benefit society." Domestic societies licensed to do business in this 
 state as fraternal benefit societies on the first day of May, 1911. shall 
 be considered within this subsection. 
 
 Section 1956 i.s referred to in sec. 1958 (15). 
 
1956—5 148 Ch. 89 
 
 Lodge system defined. 
 
 2. Any such society having a supreme governing or legislative body, 
 and subordinate lodges or branches by whatever name known, into 
 which members shall be elected, initiated, and admitted in accord- 
 ance with its constitution, laws, rules, regulations, and prescribed 
 ritualistic ceremonies, which subordinate lodges or branches shall be 
 required by the laws of such society to hold regular or stated meet- 
 ings at least once in each month, shall be deemed to be operating on 
 the lodge system. 
 
 Representative form of government. 
 
 3. (a) Any such society shall be deemed to have a representative 
 form of government when it shall provide in its constitution and laws 
 for a supreme legislative or governing body, composed of representa- 
 tives elected either by the members or by delegates elected directly or 
 indirectly by the members, together with such other members as may- 
 be prescribed by its constitution and laws: (1) Provided that the elec- 
 tive members shall constitute a majority in number, and have not less 
 than two-thirds of the votes nor less than the votes required to amend 
 its constitution and laws; and (2) Provided, further, that the meeting 
 of the supreme or governing body and the election of officers, repre- 
 sentatives, or delegates shall be held as often as once in four years. 
 
 (b) The members, officers, representatives, or delegates of a frater- 
 nal benefit society shall not vote by proxy. 
 
 (c) Provision may be made for voting by mail. 
 
 Associations and orders excepted, 
 
 4. Unless express reference is made to this subsection, no law now 
 in force or hereby or hereafter enacted shall include or apply to: 
 
 (a) Societies which limit their membership to any one hazardous 
 occupation. 
 
 (b) Nor to an association of local lodges of a society now doing 
 business in this state which provides: (1) death benefits not exceeding 
 three hundred dollars to any one person; (2) disability benefits not 
 exceeding three hundred dollars in any one year to any one person; 
 (3) or both. 
 
 (c) Nor to any contracts of reinsurance business on such plan in 
 
 this state. 
 
 (d) Nor to domestic societies which limit their membership to the 
 employes of: (1) a particular city or town; (2) a designated firm, 
 business house, or corporation. 
 
 (e) Nor to domestic lodges, orders, or associations of a purely- re- 
 ligious, charitable, and benevolent description, which do not provide: 
 (1) for a death benefit of more than one hundred dollars; (2) or for 
 disability benefits of more than one hundred and fifty dollars to any 
 one person in any one year. 
 
 5. But, (a) any such order or society which, (1) has more than five 
 hundred members, (2) and provides for death or disability benefits; 
 
Ch. 89 
 
 149 
 
 195', 
 
 (b) and any such lodge, order, or society which issues to any person 
 a certificate providing for the payment of benefits; shall not be exempt 
 by the provision of this section, but shall comply with all the require- 
 ments of the law relating to fraternal benefit societies. 
 
 Commissioner may require information. 
 6 The commissioner of insurance may require from any socie y 
 such information as will enable him to determine whether such society 
 is exempt from the provisions of the laws relating to insurance or to 
 fraternal benefit societies. 
 
 Accident societies. . 
 
 8 Any fraternal benefit society, heretofore organized and mcorpor- 
 porated and operating within the definition set forth in -^^1^^^^^^}' 
 2 and 3 of this section, (a) providing for benefits m case of death 
 o'r disability resulting solely from accidents, (b) but which does no 
 obligate itself to pay death or sick benefits, may be licensed under the 
 provisions of the law relating to fraternal benefit societies and shall 
 have all the privileges and shall be subject to all the provisions and 
 regulations of such law, except that the provisions of such law requir- 
 ing medical examinations, valuations of benefit certificates, and that 
 the certificate shall specify the amount of benefits, shall not apply to 
 such society. 
 
 Exemption from general laws. 
 
 9 Unless express reference is made to this subsection or unless ex- 
 pressly designated therein, no law now in force or hereafter enacted, 
 shall apply to any fraternal benefit society or mutual benefit society. 
 
 Definitions. 
 
 10 The word "assessment," as used in any law applicable to any 
 fraternal benefit society, shall mean that the usual method employed 
 by any organization within such provisions to meet its death losses 
 is by assessments upon its surviving members, or that the amount 
 estimated or required to meet such losses shall not be limited to a 
 fixed sum. The word "organization," as so used, shall mean all such 
 fraternal benefit societies. 
 
 Memberships, age limits, medical examination. 
 Section 1957 3 (a) No fraternal benefit society shall admit to 
 beneficial membership any person less than sixteen or more than sixty 
 
 years of age. 
 
 (b) Nor until he has been examined by a legally qualified physician 
 and such examination has been supervised and approved in accordance 
 with the laws of the society. 
 
 (c) Any person who shall apply for a certificate providing for dis- 
 ability benefits only, need not be required to pass a medical examina- 
 tion therefor. 
 
7.955 150 Ch. 89 
 
 (d) General or social members may be accepted at other ages than 
 herein specified. 
 
 See section 19S8 (IS J. 
 
 Beneficiaries. 
 5. Any member of such society, order or association may name as 
 his beneficiary any person or persons natural or artificial permitted 
 by the laws of such society, order or association or if the laws 
 thereof permit, his insurance may be made payable to his estate. Any 
 member may change the beneficiary named in his certificate or policy 
 without the consent of such beneficiary, by complying with the by-laws 
 of the society, order or association which issued the same. 
 
 Deferred dividends prohibited. 
 5m. No fraternal benefit society doing business in this state shall 
 enter into or issue any certificate, policy, or other contract in this 
 state in which the accounting, apportionment, and distribution of any 
 profits, savings, earnings, or surplus, or surplus shall be deferred for a 
 longer period than one year. 
 
 Investments, home office. 
 
 10. Every society shall invest its funds only in securities permitted 
 by the laws of this state for the investment of the assets of life in- 
 surance companies; provided that any foreign society permitted or 
 seeking to do business in this state, which invests its funds in ac- 
 cordance with the laws of the state in which it is incorporated, shall 
 be held to meet the requirements of this act for the investment of 
 funds; and provided that a part thereof, not exceeding twenty per 
 centum of its assets, may be invested in a building for use and occu- 
 pancy by the society as its home office. 
 
 Expenses limited to stated purposes. 
 
 11. (a) Every provision of the laws of a fraternal benefit society for 
 payment by members of such society, in whatever form made, shall 
 distinct.y state the purpose of the same and the proportion thereof 
 which may be used for expenses. 
 
 (b) No part of the money collected for mortuary or disability pur- 
 poses, or to mature the policies, or of the net accretions thereto, shall 
 be used for expenses. 
 
 (c) Savings on mortality may be used to pay the expenses of med- 
 ical examinations and inspections of risks. 
 
 (d) Investment expenses may be paid from gains on interest. 
 
 Fraternal benefit society, organization. 
 
 Section 1958. 1. (a) Fraternal beneficiary or mutual benefit so- 
 cieties may be incorporated as provided in sections 1S96 to 1901m, 
 inclusive. 
 
 (b) Before such society shall be licensed to transact business at 
 least five hundred persons shall have made application in writing for 
 membership in such proposed corporation. 
 
Ch. S9 
 
 151 
 
 1958—2 
 
 (c) In case of life insurance, each shall have been examined and rec- 
 ommended as insurable by a reputable physician, and shall have de- 
 posited the premium for one year of insurance, out of which there 
 shall be pledged for the payment of death losses a sufficient sum to 
 pay the largest possible single death c]aim. 
 
 Rates, reserves, mortality table, disability benefits, policy provi- 
 sions, benefits on lapse. 
 
 2. (a) No fraternal beneficiary order or society not authorized or 
 licensed to transact business within this state on the twelfth day of 
 July, 1907, shall be Incorporated within this state or be licensed or 
 permitted to transact business within this state, unless its laws re- 
 quire the regular payment and co'.lection of rates of assessment under 
 whatsoever plan of business it has adopted not lower than those de- 
 duced from the National Fraternal Congress Mortality Table com- 
 puted upon an interest assumption of four per centum per annum, 
 nor unless it shall hold assets sufficient to provide for its other liabil- 
 ities and its reserve liability, upon its own plan and assumptions 
 within the foregoing limitations. 
 
 (b) The National Fraternal Congress Mortality Table is as follows: 
 
 Age 
 
 20- 
 21. 
 22- 
 23- 
 
 24. 
 25. 
 26. 
 27., 
 28- 
 29-, 
 30- 
 31-, 
 32- 
 33. 
 34- 
 35., 
 36- 
 37-, 
 38-, 
 39. 
 40-. 
 41-. 
 42- 
 43- 
 44.. 
 45- 
 46- 
 47- 
 48_, 
 49- 
 50. 
 51. 
 52- 
 53- 
 54- 
 55- 
 56- 
 57. 
 58. 
 59- 
 
 Number 
 living 
 
 Number } Proba- 
 dying bility of 
 dying 
 
 100,000 
 99,500 
 98.999 
 98,497 
 97,994 
 97,489 
 96,982 
 96.472 
 95,959 
 95,442 
 94,920 
 94,393 
 93,860 
 93,320 
 92,772 
 92.215 
 91,648 
 91.070 
 90.479 
 89,873 
 89.251 
 88.611 
 87,951 
 87,268 
 86,560 
 85,826 
 85,065 
 84.275 
 83.453 
 82.596 
 81.702 
 80.767 
 79.786 
 78.757 
 77.674 
 76.534 
 75.332 
 74,062 
 72.720 
 71.302 
 
 500 
 501 
 502 
 503 
 505 
 5(i7 
 510 
 513 
 517 
 522 
 527 
 533 
 540 
 548 
 557 
 567 
 578 
 591 
 606 
 622 
 640 
 660 
 683 
 708 
 734 
 761 
 790 
 822 
 857 
 894 
 935 
 981 
 1,029 
 1,083 
 1.140 
 1,202 
 1,270 
 1.342 
 1.418 
 1,501 
 
 .0050000 
 .0(150352 
 .0050708 
 .0051U68 
 .0051535 
 .0052006 
 .0052587 
 .0053176 
 .0063877 
 .0054693 
 .0055520 
 .0056466 
 .0,57532 
 .0058723 
 .0060040 
 .0061487 
 .0063067 
 .0(164895 
 .0066977 
 .0069209 
 .0071708 
 .0074483 
 .0077657 
 .0081129 
 .0084797 
 
 .0092870 
 .0097538 
 .0102693 
 .01.18238 
 .0114440 
 .0121460 
 .0128970 
 .0137512 
 .0146767 
 .0157054 
 .0168587 
 .0181200 
 .0194994 
 .0210513 
 
 Age 
 
 Number 
 living 
 
 69,801 
 
 68.213 
 
 66.532 
 
 64,754 
 
 62,874 
 
 60.889 
 
 58,795 
 
 56,589 
 
 54,271 
 
 51,841 
 
 49,302 
 
 46.657 
 
 43.913 
 
 41,081 
 
 38,172 
 
 35,203 
 
 32,194 
 
 29,168 
 
 26,152 
 
 23,175 
 
 21), 270 
 
 17,471 
 
 14,812 
 
 12,327 
 
 10,047 
 
 7,997 
 
 6,197 
 
 4,658 
 
 3,381 
 
 2.358 
 
 1.570 
 
 991 
 
 587 
 
 323 
 
 162 
 
 73 
 
 29 
 
 10 
 
 3 
 
 Number ' Proba- 
 dying bility of 
 dying 
 
 1,588 
 
 1,681 
 
 1,778 
 
 1,880 
 
 1,985 
 
 2,094 
 
 2.206 
 
 2,318 
 
 2,430 
 
 2,539 
 
 2.645 
 
 2,744 
 
 2,832 
 
 2,909 
 
 2,969 
 
 3,009 
 
 3,026 
 
 3,016 
 
 2,977 
 
 2,905 
 
 2.799 
 
 2,659 
 
 2,485 
 
 2,280 
 
 2.050 
 
 1,800 
 
 1,539 
 
 1,277 
 
 1,023 
 
 788 
 
 579 
 
 404 
 
 264 
 
 161 
 
 89 
 
 44 
 
 19 
 
 1 
 
 3 
 
 .0227504 
 .0246434 
 .0267240 
 .0290330 
 .0315711 
 .034,S904 
 .0375202 
 .0409620 
 .0447753 
 .0489767 
 .0536489 
 .0588122 
 .0644912 
 .0708113 
 .0777795 
 .0854757 
 .0939927 
 .1034010 
 .1138345 
 .1253506 
 .1380858 
 .1521951 
 .1677694 
 .1849599 
 .2040410 
 .2250844 
 .2483460 
 .2741520 
 .3025732 
 .3341815 
 .3687898 
 .41176690 
 .4497445 
 .4984520 
 .5493827 
 .6027397 
 .6551724 
 .7000000 
 l.OOOOOOff 
 
1958—2 152 Ch. 89 
 
 (c) The payment of any disability benefits promised or rendered by 
 any such society or order hereafter organized or admitted to this 
 state that are not provided for in the rates deduced from said table 
 of mortality as is herein required must be amply provided for in ad- 
 dition to the rates of assessments as herein required. 
 
 (d) Every contract or certificate of insurance Issued or delivered 
 by any fraternal benefit society, hereafter organized or admitted in 
 this state, shall have attached thereto a copy of any application re- 
 ferred to therein and shall contain: 
 
 (1) A statement of the table of mortality or other basic table and 
 rate of interest and method upon which the reserve on such con- 
 tract is to be computed. 
 
 (2) A statement in the body of the contract or as a rider made a 
 part thereof and affixed thereto, giving in dollars and cents for each 
 age during the possible history of the contract, the mortality charge or 
 cost of insurance and the reserve upon the foregoing assumptions. 
 
 (3) In the case of every society issuing all its contracts, as provided 
 in this subsection, such last mentioned statement shall also provide 
 that upon any forfeiture or change in the contract, one or more bene- 
 fits shall be given to the insured or beneficiary, or both, as specified 
 therein, the present value whereof shall equal the reserve less a sur- 
 render charge, if any, not exceeding one per centum on the amount 
 of the insurance specified in the contract. One of said benefits shall 
 be either (a) an automatic loan to cover any unpaid premium or 
 assessment, with interest at a specified rate, until the reserve (less 
 the surrender charge, and indebtedness, if any) is exhausted, or (b) 
 extended or paid-up insurance to the amount the reserve (less the 
 surrender charge and indebtedness, if any) will purchase as a net 
 single premium on the table and rate specified, the duration or amount 
 of which extended or paid-up insurance shall be specified in such 
 statement. 
 
 (e) Provided that this section shall not be construed to prevent the 
 organization of a society, and its transaction of business, on a plan 
 set forth in the contract which provides for sufficient contributions by 
 each member in each year to pay his share of the actual death claims 
 of the year through the collection of assessments graded according to 
 the aforesaid mortality table, or to any other mortality table recognized 
 by law, without any reserve, or with such reserve as may accumulate 
 from overpayments of individual members, in which case each mem- 
 ber shall each year be informed of his credit and of the charge for 
 his cost of insurance. 
 
 (f) Any domestic fraternal benefit society authorized to transact 
 business in this state may establish and maintain two or more sep- 
 arate classes of members subject to the conditions and restric- 
 tions following and to such as may be prescribed in its articles or 
 by-laws. The proceeds of assessments, other than for expense pur- 
 poses, and the apportioned funds or reserves maintained for each 
 such class of members, shall be kept irrevocably separate and apart 
 from other assets or funds of any other class of members or of the 
 
Ch. 89 153 1958—3 
 
 society, and all claims on certificates held by members in any class 
 shall be paid only from funds belonging to such class; provided, that 
 such transfer of gains from interest or investments, or of savings in 
 mortality, or of gains from forfeitures may be made between classes 
 of members as is authorized in the by-laws; and, provided further, 
 that for the purpose of apportioning death losses to the various classes, 
 the mortality may be merged as is authorized in the by-laws. Pursuant 
 to such provisions as may be made in the by-laws, any member may 
 be permitted to transfer from a lower to a higher rate class, and to 
 have transferred with him to such other class such part of any accumu- 
 lated funds held for such member as provided in the by-laws. No such 
 classification shall be rescinded or discontinued. The foregoing condi- 
 tions and restrictions shall not apply to classes heretofore established, 
 nor to accident insurance transacted by a fraternal benefit society. 
 
 Old members, license for, special license, separate funds. 
 
 3. (a) Any fraternal beneficiary or mutual benefit society having 
 members residing in this state on the first day of May, 1911, shall, 
 without complying with the requirements of subsection 2 hereof, but 
 upon complying with the other requirements of law relating to such 
 societies, be entitled to transact the business of insurance with such 
 members and with members who shall thereafter come into this state 
 after having become such members. 
 
 (b) Provided that such society not complying with the requirements 
 of subsection 2 hereof shall not be entitled to solicit," receive, or accept 
 new members within this state, until it shkll have received the license 
 of the commissioner therefor, which shall only be issued after exami- 
 nation by the commissioner if it appears and due proof if filed with 
 him, that such society has lawfully adopted and incorporated into its 
 charter, articles, or by-laws a valid and binding provision that from 
 such date new members be solicited, received, or accepted within this 
 state only according to the provisions of said subsection 2, and that 
 the amount of funds necessary to meet the reserve liability on each 
 policy or certificate of such new members shall be kept separate and 
 apart from the other funds of the society in trust for each such member 
 and shall be used only for the purpose of maintaining such reserve 
 and maturing such policies or certificates, and that a policy or certifi- 
 cate shall be issued to each member reciting the foregoing conditions 
 and specifying the premium, and that assessments, if any, shall be 
 levied only in the manner and for the specific purposes therein enum- 
 erated. 
 
 (c) Provided that when such society shall in all respects as to all its 
 members have complied with the requirements of subsection 2 of this 
 section, it shall no longer be required to keep such funds separate as 
 required by paragraph (b) of this subsection. 
 
1958—5 154 Ch. 89 
 
 Security deposit by accident associations. 
 
 4. In case of an accident association before license is issued, it shall 
 deposit with the state treasurer a security for the payment of claims 
 against said corporation in case of voluntary dissolution or the winding 
 up of its affairs, good, interest-bearing securities to be approved by the 
 commissioner of insurance in the amount in par value, exclusive of in- 
 terest, of not less than one thousand dollars; such securities shall be 
 retained by the state treasurer so long as said corporation shall con- 
 tinue to do business. Provided that said corporation may at any time 
 upon the approval of the commissioner of insurance, substitute other 
 securities of equal value; the interest on said securities shall be pay' 
 able to the said corporation, and in case of the dissolution of said cor- 
 poration or the winding up of Its affairs, the said securities shall be 
 delivered to the duly appointed receiver of the said corporation or to 
 the corporation itself, upon the certificate of the commissioner of In- 
 surance. 
 
 Deposit in another state. 
 
 5. In case of associations already organized and doing business under 
 the provisions of this act, the securities herein above provided for, 
 shall be deposited with the state treasurer in the same manner, for 
 the same purpose and to the same effect as above provided, on or be- 
 fore the first day of January, 1902. Provided, however, that when by 
 the statutes of any other state, mutual benefit associations doing an 
 accident or health business organized or doing business therein, are 
 required to keep on deposit with the state treasurer or other state 
 officer, securities for the protection of policyholders generally and any 
 such company shall furnish to the commissioner of insurance of this 
 state the certificate of the proper officer of such other state, showing 
 the amount and character of the securities so deposited with him and 
 it shall appear therefrom that the said securities are equal in market 
 value and availability to one thousand dollars, and that said securities 
 consist of stock or bonds of the United States or of this state or of 
 any city or county in this state authorized by act of legislature to issue 
 the same or of state, county or city bonds or of stocks of the state 
 where such company or association is organized or of bonds and 
 mortgages on improved real estate, worth double the sum loaned there- 
 on, and it shall further appear from the laws of such other state that 
 the securities so deposited are subject to be made available to satisfy 
 judgments of policyholders in any manner corresponding to that pro- 
 vided for the care of securities deposited under this act, the commis- 
 sioner of insurance shall thereupon be authorized to issue to such com- 
 pany an authority or license to transact the business of accident and 
 health insurance within this state, without any such deposit of securi- 
 ties with the state treasurer of this state as is above provided. 
 
Ch. 89 155 1958—15 
 
 Limit of liability not to exceed one-tenth of assets. 
 
 6. No casualty or accident insurance company, association, society, 
 order or corporation, now or at any time hereafter transacting business 
 within this state, shall assume a greater liability in its contracts of 
 insurance to any one person, payable in case of death of the assured, 
 than one-tenth of the amount of its assets reported to the commissioner 
 of insurance, and in actual existence at the time of the last preceding 
 annual report to the said commissioner of insurance. 
 
 Mutual benefit societies; articles, amendment, notice. 
 
 7. The articles of organization of any fraternal or beneficiary cor- 
 poration, society, order, or association may be amended as prescribed 
 herein, whether organized under this chapter or chapter 86 of the stat- 
 utes. In case of any corporation having subordinate lodges or other 
 denominated divisions, after the proposed amendment has been filed 
 with the department or departments where the original articles are 
 filed and a copy thereof with notice of the manner and the time and 
 place of voting has been mailed to each member at least thirty days 
 prior thereto, the vote on such amendment may be taken at the usual 
 meeting place of such lodges or other denominated divisions and the re- 
 sults returned and canvassed in such uniform manner as the board of 
 directors or other governing officers with like powers may prescribe 
 In such notice. The time and place of voting may be specified by re- 
 ferring generally to a stated meeting of such subordinate lodge or other 
 denominated division in such manner as to fully inform the members. 
 
 Vote on amendments. 
 
 8. An amendment acted upon as provided in subsection 7 may be 
 adopted by a vote of a majority of the members voting thereon. 
 
 License, expiration, revocation, name, existing contracts, reports. 
 15. (a) No fraternal benefit society shall transact any business 
 herein without a license from the commissioner of insurance. 
 
 (b) Societies which are now or shall be hereafter authorized to trans- 
 act business in this state may continue such business until the first day 
 of April next succeeding the taking effect of this section, or the grant- 
 ing of such license, and the authority of such societies may thereafter 
 be renewed annually to terminate on the first day of the succeeding 
 April, provided that the license shall continue in force and effect until 
 the new license be issued or specifically refused. 
 
 (c) A certified copy of such license shall be prima facie evidence 
 that the licensee is a fraternal benefit society within the meaning of 
 section 1956. 
 
 (e) No license shall be issued to any society, hereafter organized 
 or applying for admission, having a name so similar to the name of 
 any society theretofore licensed in this state as to mislead the public. 
 
 (f) Nothing in this or any other section of the statutes, shall be 
 construed as preventing any such society from continuing in good 
 
1958—17 15(j Ch. 89 
 
 faith all contracts issued or delivered in this state during the time 
 such society was legally authorized to transact business herein; pro- 
 vided, such society shall, so long as any contract remains in force In 
 this state, make such annual reports as required by law during the 
 year previous to the last year of its being licensed, or at its option 
 as thereafter required by law. 
 
 Admission, foreign society, conditions, examination, statement. 
 
 16. (a) Any foreign fraternal benefit society which is not now 
 authorized to transact business in this state, may be licensed to 
 transact business in this state, upon an examination by or under the 
 direction of the commissioner of insurance of this state, which shall 
 verify and be made after the filing with him of: 
 
 (1) a duly certified copy of its charter or articles of association; 
 
 (2) a copy of its by-laws and of any other constitution and laws, cer- 
 tified by its secretary or corresponding officer; 
 
 (3) a power of attorney to the commissioner as herein provided; 
 
 (4) a certificate from the proper official in its home state, province, 
 or country that the society is legally organized and licensed to trans- 
 act business therein; 
 
 (5) a copy of each of its contracts which must each show that bene- 
 fits are provided for by periodical or other payments by persons hold- 
 ing similar contracts; 
 
 (6) a statement of its business under oath of its president and sec- 
 retary or corresponding officers, in the form required by the commis- 
 sioner, showing that it complies with all the provisions of law relating 
 to like domestic societies; 
 
 (7) such other information as he may deem necessary to a proper 
 exhibit of its business and plan of working; 
 
 (8) a statement signed by its president and secretary, or correspond- 
 ing officers, including a copy of a reso'ution of its board of directors 
 or other governing body, authorizing the same; 
 
 (a) That it will annually file, as long as any contracts Issued or de- 
 livered in this state remain in force therein, its annual report as re- 
 quired by subsection 15 of this section, and 
 
 (b) that it will accept a license which shall immediately terminate 
 upon its removal, or making an application to remove to any court 
 of the United States, any action or proceeding begun in any court of 
 this state, upon any such contract or upon any business or transaction 
 had in this state. 
 
 Attorney for service of process. 
 
 17. (a) Every society, whether domestic or foreign, not heretofore 
 having done so, shall before being licensed, by any Instrument in writ- 
 ing duly authorized and executed, appoint the commissioner of insur- 
 ance and his successors its true and lawful attorney upon whom all 
 legal process in any action or proceeding against It shall be served, 
 and therein agree that any lawful process against it, which may be 
 served upon such attorney, shall be of the same force and validity 
 as if served upon the society, and that this authority shall continue In 
 
Ch. 89 157 1958—18 
 
 force irrevocably so long as any liability of tbe society remains out- 
 standing in this state. 
 
 (b) The service of such process shall be made by leaving the same, 
 in duplicate, in the hands or office of the commissioner. 
 
 (c) One of the duplicates of such instruments, certified by the com- 
 missioner as having been served upon him, shall be deemed sufficient 
 evidence thereof, and service upon such attorney shall be deemed 
 service upon the principal. 
 
 (d) When legal process is served upon the commissioner as at- 
 torney for any society, he shall forthwith forward one of the dupli- 
 cate copies of process served on him to its secretary, or corresponding 
 officer, or to such other person as may have been previously designated 
 by the society by written notice filed in the office of the commissioner. 
 
 (e) As a condition of valid and effective service and of the duty of 
 the commissioner in the premises, the plaintiff in each such process 
 shall pay to the commissioner, at the time of service thereof, the sum 
 of two dollars, which the said plaintiff shall recover as taxable costs, 
 if he prevails in the suit. 
 
 (f) The commissioner shall keep a record of all such processes, 
 which shall show the day and hour of service. 
 
 (g) Legal process shall not be served upon any such society except 
 In the manner and upon the attorney provided herein. 
 
 (h) Any society so served shall have thirty days from the date 
 of such service in which to serve its answer, pleading, or defense. 
 Fraternal benefit societies may insure children. 
 
 18. (a) Any fraternal benefit society authorized to do business in 
 this state, and operating on the lodge plan, may provide in its con- 
 stitution and by-laws, in addition to other benefits provided for therein, 
 for the payment of death or annuity benefits upon the lives of chil- 
 dren between the ages of two and eighteen years at next birthday, for 
 whose support and maintenance a member of such society is respon- 
 sible. Provided, Jioivever, that any society wJiich collects rates of as- 
 sessments not less than those required l)y paragraph (a) of subsection 2 
 of section 1958 and maintaining legal reserves as provided in said 
 section or has a class operating on such rates and maintaining such 
 reserves, may admit any children betxceen the ages of two and eighteen 
 years at next birthday. Any such society may, at its option, organize 
 and operate branches for such children and membership in local lodges 
 and initiation therein shall not be required of such children, nor shall 
 they have any voice in the management of the society. The total 
 benefits payable as above provided shall in no case exceed the follow- 
 ing amounts at ages at next birthday at time of death, respectively, as 
 follows: Two, thirty-four dollars; three, forty dollars; four, forty- 
 eight dollars; five, fifty-eight dollars; six, one hundred forty dollars; 
 seven, one hundred sixty-eight dollars; eight, two hundred dollars; 
 nine, two hundred forty dollars; ten, three hundred dollars; eleven, 
 three hundred eighty dollars; twelve, four hundred sixty dollars; 
 thirteen to fifteen, five hundred twenty dollars; and sixteen to 
 eighteen, where not otherwise authorized by law, six hundred dollars. 
 
1958—18 158 Ch. 89 
 
 (b) No benefit certificate as to any child shall take effect until after 
 medical examination or inspection, in accordance with the laws of 
 the society, nor shall any such benefit certificate be Issued unless the 
 society shall simultaneously put in force at least five hundred such 
 certificates, on each of which at least one assessment has been paid, 
 nor where the number of lives represented by such certificate fa'.ls 
 below five hundred. The death benefit contributions to be made upon 
 such certificate shall be based upon the "Standard Industrial Mor- 
 tality Table" or the "English Life Table Number Six" and a rate of 
 interest not greater than four per cent per annum, or upon a higher 
 standard; provided that contributions may be waived or returns may 
 be made from any surplus held in excess of reserve and other liabilities, 
 as provided in the by-laws; provided that a surplus fund of at least 
 one thousand dollars shall be maintained to guarantee the payment 
 of the death benefits forthwith upon proof of death, and, provided 
 further that extra contributions shall be made if such surplus or the 
 reserves hereafter provided for become impaired. 
 
 (c) Any society entering into such insurance agreements shall main- 
 tain on all such contracts the reserve required by the standard of mor- 
 tality and interest adopted by the society for computing contributions 
 as provided in subdivision (b), and the funds representing the benefit 
 contributions and all accretions thereon shall be kept as separate and 
 distinct funds, independent of the other funds of the society, and shall 
 not be liable for nor used for the payment of the debts and obligations 
 of the society other than the benefits herein authorized. A society may 
 provide that when a child reaches the minimum age for initiation into 
 membership in such society, any benefit certificate issued hereunder 
 may be surrendered for cancellation and exchanged for any other form 
 of certificate issued by the society, if such surrender will not reduce 
 the number of lives insured in the branch below five hundred, and 
 upon the issuance of such new certificate any reserve upon the 
 original certificate herein provided for shall be transferred to the 
 credit of the new certificate. " Neither the person who originally 
 made application for benefits on account of such child, nor the bene- 
 ficiary named in such original certificate, nor the person who paid the 
 contributions, shall have any vested right in such new certificate, the 
 free nomination of a beneficiary under the new certificate being left 
 to the child so admitted to benefit membership. 
 
 (d) An entirely separate financial statement of the business trans- 
 actions and of assets and liabilities arising therefrom shall be made 
 In its annual report to the insurance commissioner by any society 
 availing Itself of the provisions hereof. The separation of assets, funds 
 and liabilities required hereby shall not be terminated, rescinded, or 
 modified, nor shall the funds be diverted to any use other than as speci. 
 fled in subdivision (c), as long as any certificates issued hereunder re- 
 main in force, and this requirement shall be recognized and enforced 
 in any liquidation, reinsurance, merger, or other change in the condi- 
 tion of the status of the society. 
 
Ch. 89 159 1959 
 
 (e) Any society shall have the right to provide in its laws and the 
 certificate issued hereunder for specified payments on account of the 
 expense or general fund, which payments shall or shall not be mingled 
 with the general fund of the society as its constitution and by-laws may 
 provide. 
 
 (f) In the event of the termination of membership in the society by 
 the person responsible for the support of any child, on whose account 
 a certificate may have been issued as provided herein, the certificate 
 may be continued for the benefit of the estate of the child, provided 
 the contributions are continued, or for the benefit of any other person 
 responsible for the support and maintenance of such child, who shall 
 assume the payment of the required contributions. 
 
 Admission of fraternal companies. 
 
 19. Any fraternal or mutual benefit society, corporation or associa- 
 tion with a lodge system of membership, ritualistic form of work and 
 representative form of government, organized and existing under the 
 laws of this state or of any other state or country, which had a total 
 membership of not less than five hundred holding certificates of in- 
 surance, with a local lodge of not less than ten of such members located 
 in the state of Wisconsin on or before the first day of July, 1907, and 
 has continued to maintain such active lodge or lodges in this state . 
 since such date, but for any reason has not secured a license to 
 transact business in this state under any law of the state in effect 
 since July 1, 1907, shall be entitled to apply for a license to continue 
 doing business in this state, upon complying with the requirements of 
 any law in effect in this state on July 1, 1907, and of any law becoming 
 effective subsequent thereto, except that it shall not be obligatory to 
 comply with the requirements of subsections 2 and 3 of section 1958 of 
 the statutes; provided, however, that application for the aforesaid 
 license shall be made on or before January 1, 1918, to the proper 
 authority of this state. The license of any society admitted under the 
 provisions of this subsection shall not be renewed on or after April 1, 
 1919, unless all members admitted in this state on and after that date 
 are placed in an adequate rate class or classes of members. The rates 
 of assessment on such class or classes shall be at least as high as those 
 computed on the National Fraternal Congress Table of Mortality and 
 four per cent Interest assumption. The reserves of such class or 
 classes of members shall be segregated from the other funds of the 
 society and shall be used for the benefit of the members of these 
 classes only. 
 
 Valuation of certificates; annual report. 
 
 Section 1959. 22. (a) As a part of its annual statement every 
 fraternal benefit society shall report a valuation of its certificates in 
 force as of the end of each year, beginning with December 31, 1912. 
 
 (b) Such valuation shall be certified by a competent accountant or 
 
1959— 22m 160 Ch. 89 
 
 actuary, or at the request and expense of the society, verified by the 
 actuary of the department of insurance of the home state of the 
 society. 
 
 (c) The time for filing such valuation may be extended by the com- 
 missioner not exceeding ninety days. 
 
 (d) The legal minimum standard of valuation for all certificates, 
 except for disability benefits, shall be the National Fraternal Congress 
 table of mortality specified by law, or at the option of the society, any 
 higher table or any table authorized by section 1950, or, at its option, 
 ii may use a table based upon the society's own experience of at least 
 twenty years and covering not less than one hundred thousand lives 
 with an interest assumption of not more than four per centum per 
 annum, which ever mortality table is adopted. 
 
 (e) Each valuation report shall set forth clearly and fully the mor- 
 tality and interest basis and the method of valuation. 
 
 (f) Any society providing for disability benefits shall keep the net 
 contributions for such benefits in a fund separate and apart from all 
 other benefit and expense funds and the valuation of all other business 
 of the society; provided that where a combined contribution table is 
 used by a society for both death and permanent total disability bene- 
 fits, the valuation shall be according to tables of reliable experience 
 approved by the commissioner of insurance, and in such case a separa- 
 tion of the funds shall not be required. 
 
 (g) The valuation herein provided for shall not be considered or re- 
 garded as a test of the financial solvency of the society, but each so- 
 ciety shall be held to be legally solvent so long as the funds in its 
 possession are equal to or in excess of its matured liabilities. 
 
 (h) Beginning with the year 1914 a report of such valuation and an 
 explanation of the facts concerning the condition of the society there- 
 by disclosed shall be printed and mailed by the society to each bene- 
 ficiary member of the society not later than the first of each year, 
 or, in lieu thereof, such report of valuation and showing of the society's 
 condition as thereby disclosed may be published in the society's offi- 
 cial paper and the issue containing the same mailed to each beneficiary 
 member of the society. 
 
 (1) This subsection shall not apply to any foreign society issuing 
 no certificate in excess of five hundred dollars and licensed in this 
 state before January 1, 1911. 
 
 Valuation, basis. 
 
 22m. (1) (a) In lieu of the valuation requirements of subsection 
 22 of this section, any society accepting in its laws the provisions of 
 this section may value its certificates on a basis, herein designated 
 "accumulation basis," by crediting each member with the net amount 
 contributed for each year and with interest at approximately the net 
 rate earned, and by charging him with his share of the losses for each 
 year, herein designated "cost of insurance," and carrying the balance, 
 if any, to his credit. 
 
Ch. 89 161 1959— 22m 
 
 (b) The charge for the cost of insurance may be according to the 
 actual experience of the society applied to a table of mortality recog- 
 nized by the law of this state, and shall take into consideration the 
 amount of risk during each year, which shall be the amount payable 
 at death less the credit to the member. 
 
 (c) Except as specifically provided in its articles or laws of contracts, 
 no charge shall be carried forward from the first valuation hereunder 
 against any member for any past share of losses exceeding the contribu- 
 tions and credit. 
 
 (d) If, after the first valuation, any member's share of losses for 
 any year exceeds his credit including the contribution for the year, 
 the contribution shall be increased to cover his share of the losses. 
 
 (e) Any such excess share of losses chargeable to any member may 
 be paid out of a fund or contributions especially created or required 
 for such purpose. 
 
 (2) Any member may transfer to any plan adopted by the society 
 with net rates on which tabular reserves are maintained, and on such 
 transfer shall be entitled to make such application of his credit as pro- 
 vided in the laws of the society. 
 
 (3) Certificates issued, rerated, or readjusted on a basis providing 
 for adequate rates with adequate reserves to mature such certificates 
 upon assumptions for mortality and interest recognized by the law 
 of this state, shall be valued on such basis, herein designated the 
 "Tabular basis;" provided that if on the first valuation under this 
 section a deficiency in reserve shall be shown for any such certificate, 
 the same shall be valued on the accumulation basis. 
 
 (4) (a) Whenever in any society having members upon the tabular 
 basis and upon the accumulation basis the total of all costs of insur- 
 ance provided for any year shall be insufficient to meet the actual death 
 and disability losses for the year the deficiency shall be met for the 
 year from the available funds after setting aside all credits in the 
 reserve, or from increased contributions or by an increase in the num- 
 ber of assessments, applied to the society as a whole or to classes of 
 members, as may be specified in its laws. 
 
 (b) Savings from a lower amount of death losses may be returned 
 in like manner as may be specified in its laws. 
 
 (5) If the laws of the society so provide, the assets representing the 
 reserves of any separate class of members may be carried separately 
 for such class as if in an independent society, and the required reserve 
 accumulation of such class so set apart shall not thereafter be mingled 
 with the assets of other classes of the society. 
 
 (6) A table showing the credits to individual members for each age 
 and year of entry and showing opposite each credit the tabular reserve 
 required on the whole life or other plan of insurance specified in the 
 contract, according to assumptions for mortality and interest recognized 
 
1959-23 162 Ch. 89 
 
 by the laws of the state and adopted by the society, shall be filed by 
 the society with each annual report and also be furnished to each 
 member before July first of each year. 
 
 (7) In lieu of the aforesaid statement there may be furnished to 
 each member within the same time a statement giving the credit for 
 such member and giving the tabular reserve and level rate required for 
 a transfer carrying out the plan of insurance specified in the contract. 
 No table or statement need be made or furnished where the reserves 
 are maintained on the tabular basis. 
 
 (8) For this purpose individual bookkeeping accounts for each 
 member shall not be required and all calculations may be made by 
 actuarial methods. 
 
 (9) Nothing herein contained shall (a) prevent the maintenance 
 of such surplus over and above the credits on the accumulation basis 
 and the reserves on the tabular basis as the society may provide by 
 or pursuant to its laws; (b) nor be construed as giving to the indi- 
 vidual member any right or claim to any such reserve or credit other 
 than in manner as expressed in the contract and its laws; (c) nor 
 as making any such reserve or credits a liability in determining the 
 legal solvency of the society. 
 
 Society may request valuation. 
 
 22n. Any domestic fraternal benefit society may request the com- 
 missioner of insurance to have a valuation of its outstanding certifi- 
 cates and an apportionment of its surplus made by the insurance de- 
 partment. Such society shall pay to the commissioner of insurance 
 a fee not to exceed ten dollars per day for the time actually spent by 
 each employee in making a valuation and apportionment of its surplus. 
 The commissioner of insurance shall pay such valuation fees into the 
 state treasury. 
 
 Referred to in 20.55 (S). 
 
 Annual report. 
 23. Every such organization authorized to do business in this state 
 shall, on or before the first day of March of each year, make and file 
 with the commissioner of insurance a report of its affairs and its oper- 
 ations during the year ending on the preceding thirty-first day of 
 December. Such report shall be upon blank forms to be provided by 
 such commissioner, and shall be verified under oath by the proper 
 officers thereof and be published, or the substance thereof, in the report 
 of the commissioner under a separate part, entitled "Mutual benefit 
 societies, orders or associations," and shall show: 
 
 (1) Number of certificates issued during the year or members ad- 
 mitted. 
 
 (2) Amount of indemnity effected thereby. 
 
 (3) Number of losses or benefit liabilities. 
 
 (4) Number of losses or benefit liabilities paid. 
 
 (5) The amount received from each assessment in each class for the 
 year. 
 
Ch. 89 163 1959—23 
 
 (6) Total amount paid members, beneficiaries, legal representatives 
 and heirs. 
 
 (7) Number and kind of claims for which assessments have been 
 made. 
 
 (8) Number and Icind of claims compromised or resisted, and brief 
 statements of reasons. 
 
 (9) Does society charge annual or other periodical dues or admis- 
 sion fees? 
 
 (10) How much on each one thousand dollars annually or per capita, 
 as the case may be? 
 
 (11) Total amount received, from what sources, and disposition 
 thereof, 
 
 (12) Total amount of salaries paid to oflScers. 
 
 (13) Does society guarantee in its certificate fixed amount to be 
 paid, regardless of amount realized from assessments, dues, admis- 
 sion fees and donations? 
 
 (14) If so, state amount guaranteed and the security of such guar- 
 anty. 
 
 (15) Has the society a reserve fund? 
 
 (16) If so, how is it created, and for what purpose, the amount 
 thereof, and how invested. 
 
 (17) Has the society more than one class? 
 
 (18) If so, how many, and the amount of indemnity In each. , 
 
 (19) Number of members in each class. 
 
 (20) If organized under the laws of this state, under what law, and 
 at what time. 
 
 (21) If organized under the laws of any other state or territory, the 
 District of Columbia or any foreign country, state such fact and the 
 date of organization, giving chapter and year and date of passage of 
 the act. 
 
 (22) Number of certificates of membership in force at beginning 
 and end of year; if more than one class, number of each. 
 
 (23) Number of certificates of membership lapsed during the year. 
 
 (24) Number of certificates of membership in force In this state at 
 the beginning and end of year; if more than one class, number of 
 each. 
 
 (25) Number of certificates of membership in this state lapsed dur- 
 ing the year. 
 
 (26) Number of deaths in this state during the year. 
 
 (27) Number and amount of claims paid in this state during the 
 year; if more than one class, number and amount paid in each. 
 
 (28) Have all claims been paid in full? If not, why not? 
 
 (29) Approximate maximum and average age of membership in each 
 class. 
 
 (30) Liabilities, assets, contingent liabilities, contingent assets. 
 
 (31) A schedule giving the number of members in groups according 
 to attained ages, the amount of insurance in force, the amount received 
 in premiums or mortuary assessments during the year, the number of 
 deaths and the amount of death losses incurred during the year in each 
 group at attained age; provided, however, that the commissioner of in- 
 
1959—28 164 Ch. 89 
 
 surance may waive the requirements for furnishing the information 
 for this schedule In the case of societies which operate on adequate 
 rates of assessment and maintain adequate reserves; and in the case 
 of adequate rate classes of members for whom adequate reserves are 
 segregated and trusteed in accordance with law. 
 
 Examinations. 
 
 24. The commissioner of insurance, or any person he may ap- 
 point, shall have the power of visitation and examination into the 
 affairs of any domestic or foreign society. He may employ assistants 
 for the purpose of such examination, and he, or any person he may 
 appoint, shall have free access to all the hooks, papers, and documents 
 that relate to the business of the society and may summon and qualify 
 as witnesses under oath and examine its officers, agents, and employes 
 or other persons in relation to the affairs, transactions, and condition 
 of the society. The expense of such examination shall be paid by the 
 society examined, upon statement furnished by the commissioner of 
 insurance, and the examination shall be made at least once in three 
 years. 
 
 Foreign examination. 
 
 25. The commissioner of insurance may, in his discretion, in lieu 
 of examining such foreign society, accept the examination of the in- 
 surance department of the state, territory, district, province, or country 
 where such society is organized. 
 
 Examination on request. 
 
 26. The commissioner of insurance shall, at the request of any or- 
 ganization doing business under these provisions, make an examina- 
 tion thereof and furnish a certificate of the result, showing all its as- 
 sets, how invested, and such other particulars as may be deemed 
 necessary to show the character and condition of the organization; and 
 the necessary expense of the said examination shall be paid by it. 
 
 Statements during examination. 
 
 27. Pending, during, or after an examination or Investigation of any 
 such society, either domestic or foreign, the commissioner of insur- 
 ance shall make public no financial statement, report, or finding, nor 
 shall he permit to become public any financial statement, report, or 
 finding affecting the status, standing or rights of any such society, 
 until a copy thereof shall have been served upon such society, at its 
 home office, nor until such society shall have been afforded a reason- 
 able opportunity to answer any such financial statement, report, or 
 finding and to make such showing in connection therewith as it may 
 desire. 
 
 License revocation; hearing; order; review. 
 
 28. When the commissioner of insurance on investigation is satis- 
 fied that any domestic or foreign society transacting business as a 
 
Ch. 89 165 1960 
 
 fraternal benefit society has exceeded its powers, or has failed to 
 comply with any provisions of the laws relating to fraternal benefit 
 societies or is soliciting business by the use or circulation of any 
 printed matter or advertisement misrepresenting its contracts or 
 conditions or is otherwise conducting business fraudulently, or In 
 any way hazardous to its members, creditors or the public, or is not 
 carrying out its contracts in good faith, or shall fail to file with him 
 a copy of any form of its contract before it shall be issued or deliv- 
 ered in this state, he shall notify the society of his findings, and 
 state in writing the grounds for his dissatisfaction, and after reason- 
 able notice, require said society, on a date named, to show cause why 
 its license should not be refused or revoked. If on the date named in 
 said notice such objections have not been removed to the satisfaction 
 of the said commissioner, or the society does not present good and 
 sufficient reasons why its authority to transact business in this state 
 should not at that time be refused or revoked, he may refuse to renew 
 or revoke the authority of the society to continue business in this 
 state. All decisions and orders of the commissioner of insurance 
 relating to fraternal benefit societies may be reviewed as provided 
 for the review of orders relating to insurance companies. 
 
 Violation of law. 
 
 29. The commissioner of insurance shall revoke the license of any 
 organization which fails to comply with the requirements of law; and 
 all necessary expenses incurred by him and by the attorney-general 
 in enforcing such requirements or in prosecuting violations thereof 
 shall be paid out of the general fund, on being certified to the secre- 
 tary of state that they were actually and necessarily incurred for the 
 purpose stated. 
 
 Taxation; exemption; fees. 
 
 30. Every fraternal benefit society organized or licensed in this 
 state shall be exempt from all and every state, county, district, 
 municipal, and school taxes or fees, but shall be required to pay all 
 taxes and special assessments on its real estate and office equipment, 
 and the same fees for filing its articles or amendments and annual re- 
 port and for certified copies, as provided by section 1972. 
 
 Referred to in 20.55. 
 
 HEALTH, ACCIDENT, AND HEALTH AND ACCIDENT INSURANCE 
 
 Standard accident and health policy. 
 Section 1960. 1. On and after the first day of January, 1914, no 
 policy of insurance against loss or damage from the sickness, or the 
 bodily injury or death of the insured by accident shall be issued or de- 
 livered to any person in this state until a copy of the form thereof and 
 of the classification of risks and the premium rates pertaining thereto 
 
1960—3 166 Ch. 89 
 
 have been filed with the commissioner of insurance; nor shall it be so 
 issued or delivered until the expiration of thirty days after it has been 
 80 filed unless the said commissioner shall sooner give his written ap- 
 proval thereto. If the said commissioner shall notify, in writing, the 
 company, corporation, association, society or other insurer which has 
 filed such form that it does not comply with the requirements of law, 
 specifying the reasons for his opinion, it shall be unlawful thereafter 
 for any such insurer to issue any policy in such form. 
 
 Conditions. 
 
 2. No such policy shall be so issued or delivered (1) unless the en- 
 tire money and other considerations therefor are expressed in the 
 policy; nor (2) unless the time at which the insurance thereunder 
 takes effect and terminates is stated in a portion of the policy preced- 
 ing its execution by the insurer; nor (3) if the policy purports to in- 
 sure more than one person; nor (4) unless every printed portion 
 thereof and of any endorsements or attached papers shall be plainly 
 printed in type of which the face shall not be smaller than ten-point; 
 nor (5) unless a brief description thereof be printed on its first page 
 and on its filing back in type of which the face shall be not smaller 
 than fourteen-point; nor (6) unless the exceptions of the policy be 
 printed with the same prominence as the benefits to which they apply, 
 provided, however, that any portion of such policy which purports, by 
 reason of the circumstances under which a loss is incurred, to reduce 
 any indemnity promised therein to an amount less than that provided 
 for the same loss occuring under ordinary circumstances, shall be 
 printed in bold-face type and with greater prominence than any other 
 portion of the text of the policy. 
 
 Standard provisions. 
 
 3. Every such policy so issued shall contain certain standard pro. 
 visions, which shall be in the words and in the order hereinafter set 
 forth and be preceded in every poacy by the caption "Standard Pro- 
 visions." In each such standard provision wherever the word "in- 
 surer" is used there shall be substituted therefor "company" or "cor- 
 poration" or "association" or "society" or such other word as will 
 properly designate the insurer. Said standard provisions shall be: 
 
 Reduction of indemnity. 
 (1) A standard provision relative to the contract which may be In 
 either of the following two forms: Form (A) to be used in policies 
 which do not provide for reduction of indemnity on account of change 
 of occupation, and Form (B) to be used in policies which do so provide. 
 If Form (B) is used and the policy provides idemnity against loss 
 from sickness, the words "or contracts sickness" may be inserted 
 therein immediately after the words "in the event that the insured is 
 injured." (A) : — (1) This policy includes the endorsements and at- 
 tached papers, if any, and contains the entire contract of insurance. 
 
Ch. 89 167 1960—3 
 
 No reduction shall be made in any indemnity herein provided by reason 
 o£ change in the occupation of the insured or by reason of his doing 
 any act or thing pei'taining to any other occupation. (B) : — (1) This 
 policy includes the endorsements and attached papers, if any, and con- 
 tains the entire contract of insurance except as it may be modified by 
 the insurer's classification of risks and premium rates in the event 
 that the insured is injured after having changed his occupation to one 
 classified by the insurer as more hazardous than that stated in the 
 policy, or while he is doing any act or thing pertaining to any occu- 
 pation so classified, except ordinary duties about his residence or while 
 engaged in recreation, in which event the insurer will pay only such 
 portion of the indemnities provided in the policy as the premium 
 paid would have purchased at the rate but within the limits so fixed 
 by the insurer for such more hazardous occupation. If the law of 
 the state in which the insured resides at the time this policy is issued 
 requires that prior to its issue a statement of the premium rates and 
 classification of risks pertaining to it shall be filed with the state 
 oflicial having supervision of insurance in such state then the premium 
 rates and classification of risks mentioned in this policy shall mean 
 only such as have been last filed by the insurer in accordance with 
 such law, but if such filing is not required by such law when they shall 
 mean the insurer's premium rates and classification of risks last made 
 effective by it in such state prior to the occurrence of the loss for 
 which the insurer is liable. 
 
 Changes in contract. 
 
 (2) A standard provision relative to changes in the contract, which 
 shall be in the following form: 
 
 (2) No statement made by the applicant for insurance not included 
 herein shall avoid the policy or be used in any legal proceeding here- 
 under. No agent has authority to change this policy or to waive 
 any of its provisions. No change in this policy shall be valid unless 
 approved by an executive officer of the insurer and such approval is 
 endorsed hereon. 
 
 Reinstatement after lapse. 
 
 (3) A standard provision relative to reinstatement of policy after 
 lapse which may be in either of the three following forms: Form (A) 
 tD be used in policies which insure only against loss from accident; 
 Form (B) to be used in policies which insure only against loss from 
 sickness; and Form (C) to be used in policies which insure against 
 loss from both accident and sickness. 
 
 (A) : — (3) If default be made in the payment of the agreed premium 
 for this policy, the subsequent acceptance of a premium by the Insurer 
 or by any of its duly authorized agents shall reinstate the policy, but 
 only to cover loss resulting from accidental injury thereafter sustained. 
 
 (B) : — (3) If default be made in the payment of the agreed premium 
 for this policy, the subsequent acceptance of a premium by the insurer 
 
1960—3 168 Ch. 89 
 
 or by any of its duly authorized agents shall reinstate the policy but 
 only to cover such sickness as may begin more than ten days after 
 the date of such acceptance. 
 
 (C) : — (3) If default be made in the payment of the agreed premium 
 for this policy, the subsequent acceptance of a premium by the insurer 
 or by any of its duly authorized agents shall reinstate the policy but 
 only to cover accidental injury thereafter sustained and such sickness 
 as may begin more than ten days after the date of such acceptance. 
 
 Time of notice of claim. 
 (4) A standard provision relative to time of notice of claim which 
 may be in either of the three following forms: Form (A) to be used 
 in policies which insure only against loss from accident; Form (B) to 
 be used in policies which insure only against loss from sickness, and 
 Form (C) to be used in policies which insure against loss from both 
 accident and sickness. If Form (A) or Form (C) is used the insurer 
 may at its option add thereto the following sentence: "In event of acci- 
 dental death immediate notice thereof must be given to the insurer." 
 
 (A) : — (4) Written notice of injury on which claim may be based 
 must be given to the insurer within twenty days after the date of the 
 accident causing such injury. 
 
 (B) : — (4) Written notice of sickness on which claim may be based 
 must be given to the insurer within ten days after the commencement 
 of the disability from such sickness. 
 
 (C) : — (4) Written notice of injury or of sickness on which claim 
 may be based must be given to the insurer within twenty days after 
 the date of the accident causing such injury or within ten days after 
 the commencement of disability from such sickness. 
 
 Sufficiency of notice. 
 (5) A standard provision relative to sufficiency of notice of claim 
 which shall be in one of the following forms and in which the insurer 
 shall insert in the blank space such office and its location as it may 
 desire to designate for such purpose of notice: 
 
 (A) : — (5) Such notice given by or in behalf of the insured or bene- 
 ficiary, as the case may be, to the insurer at or to any author- 
 ized agent of the insurer, with particulars sufficient to identify the in- 
 sured, shall be deemed to be notice to the insurer. Failure to give 
 notice within the time provided in this policy shall not invalidate 
 any claim if it shall be shown not to have been reasonably possible 
 to give such notice and that notice was given as soon as was reasonably 
 possible. 
 
 (B) : — (5) The foregoing paragraph may be changed by inserting 
 in lieu of the words "any authorized agent of the insurer," the following 
 
 " agent of the insurer at " and by filling the blank 
 
 before the word "agent" with a designation or name of an agent, and 
 by filling the blank after the word "at" with a post-office address, both 
 to be sufficient to assure the delivery of mail to such agent. 
 
Ch. 89 169 1960—3 
 
 Forms for filing proof of loss to be furnished. 
 
 (6) A standard provision relative to furnishing forms for the con- 
 venience of the insured in submitting proof of loss as follows: 
 
 (6) The insurer upon receipt of such notice, will furnish to the 
 claimant such forms as are usually furnished by it for filing proofs 
 of loss. If such forms are not so furnished within fifteen days after 
 the receipt of such notice the claimant shall be deemed to have com- 
 plied with the requirements of this policy as to proof of loss upon 
 submitting within the time fixed in the policy for filing proofs of loss, 
 written proof covering the occurence, character and extent of the loss 
 for which claim is made. 
 
 Filing proof of loss. 
 
 (7) A standard provision relative to filing proof of loss which shall 
 be in such one of the following forms as may be appropriate to the 
 indemnities provided: 
 
 (A) : — (7) Affirmative proof of loss must be furnished to the in- 
 surer at its said ofllce within ninety days after the date of the loss 
 for which claim is made. 
 
 (B) : — (7) Affirmative proof of loss must be furnished to the in- 
 surer at Its said office within ninety days after the termination of the 
 period of disability for which the company is liable. 
 
 (C) : — (7) Affirmative proof of loss must he furnished to the in- 
 surer at its said office in case of claim for loss of time from disability 
 within ninety days after th6 termination of the period for which the 
 insurer is liable, and in case of claim for any other loss, within ninety 
 days after the date of such loss. 
 
 Examination of insured. 
 
 (8) A standard provision relative to examination of the person of 
 the insured and relative to autopsy which shall be in the following 
 form: 
 
 (8) The insurer shall have the right and opportunity to examine the 
 person of the insured when and so often as it may reasonably require 
 during the pendency of claim hereunder, and also the right and oppor- 
 tunity to make an autopsy in case of death where it is not forbidden 
 by law. 
 
 Time within which payment to be made. 
 
 (9) A standard provision relative to the time within which payments 
 other than those for loss of time on account of disability shall be 
 made, which provision may be in either of the following two forms 
 and which may be omitted from any policy providing only indemnity 
 for loss of time on account of disability. The insurer shall insert 
 in the blank space either the word "immediately" or appropriate lan- 
 guage to designate such period of time, not more than sixty days, as 
 it may desire; Form (A) to be used in policies which do not provide 
 indemnity for loss of time on account of disability and Form (R) to 
 be used in policies which do so provide. 
 
1960—3 170 Ch. 89 
 
 (A) : — (9) All indemnities provided in this policy will be paid 
 after receipt of due proof. 
 
 (B) : — (9) All indemnities provided in this policy for loss other 
 
 than that of time on account of disability will be paid after 
 
 receipt of proof. 
 
 Periodical payments of indemnity. 
 (10) A standard provision relative to periodical payments of indem- 
 nity for loss of time on account of disability, which provision shall be 
 in the following form, and which may be omitted from any policy not 
 providing for such indemnity. The insurer shall insert in the first 
 b'.ank space of the form, appropriate language to designate the pro- 
 portion of accrued indemnity it may desire to pay, which proportion 
 may be all or any part not less than one-half, and in the second blank 
 space shall insert any period of time not exceeding sixty days: 
 
 (10) Upon request of the insured and subject to due proof of loss 
 
 accrued indemnity for loss of time on account of disability 
 
 will be paid at the expiration of each during the' continuance 
 
 of the period for which the insurer is liable and any balance remaining 
 unpaid at the termination of such period will be paid immediately upon 
 receipt of due proof. 
 
 Indemnity payments. 
 
 (11) A standard provision relative to indemnity payments which may 
 be in either of the two following forms: Form (A) to be used in policies 
 which designate a beneficiary and Form (B) to be used in policies 
 which do not designate any beneficiary other than the insured: 
 
 (A) : — (11) Indemnity for loss of life of the insured is payable to 
 the beneficiary if surviving the insured, and otherwise to the estate of 
 the insured. A\] other indemnities of this policy are payable to the 
 insured. 
 
 (B) : — (11) All the indemnities of this policy are payable to the 
 insured. 
 
 Cancellatlcn. 
 
 (12) A standard provision providing for cancellation of the policy 
 at the instance of the insured which shall be in the following form: 
 
 (12) If the insured shaF, at any time change his occupation to one 
 classified by the insurer as less hazardous than that stated in the 
 policy, the insurer, upon written request of the insured, and surrender 
 of the policy, will cancel thf same and return to the insured the un- 
 earned premium. 
 
 Rights of beneficiary. 
 
 (13) A standard provision relative to the rights of the beneficiary 
 under the policy which shall be in the following form and which may 
 be omitted from any policy not designating a beneficiary: 
 
 (13) Consent of the beneficiary shall not be requisite to surrender 
 
Ch. 89 
 
 171 1960- 
 
 or assignment of this policy, or to change of beneficiary, or to any 
 other changes in the policy. 
 
 Time limit; suit. 
 
 (14) A standard provision limiting the time within which suit may 
 be brought upon the policy as follows: 
 
 (14) No action at law or in equity shall be brought to recover on 
 this policy prior to the expiration of sixty days after proof of loss has 
 been filed in accordance with the requirements of this policy, nor shall 
 siich action be brought at all unless brought within two years from 
 the expiration of the time within which proof of loss is required by the 
 policy. 
 
 Time limitation, notice of claim. 
 
 (15) A standard provision relative to time limitations of the policy 
 as follows: 
 
 (15) If any time limitation of this policy with respect to giving notice 
 of claim or furnishing proof of loss is less than that permitted by the 
 law of the state in which the insured resides at the time this policy is 
 issued, such limitation is hereby extended to agree with the minimum 
 period permitted by such law. 
 
 Conditions prohibited. 
 
 4. No such policy shall be so issued or delivered which contains any 
 provision (1) relative to cancellation at the instance of the insurer; 
 or, (2) limiting the amount of indemnity to a sum less than the amount 
 stated in the policy and for which the premium has been paid; or, (3) 
 providing for the deduction of any premium from the amount paid in 
 settlement of claim; or, (4) relative to other insurance by the same 
 insurer; or, (5) relative to the age limits of the policy; unless such 
 provisions which are hereby designated as optional standard provisions, 
 shall be in the words and in the order in which they are hereinafter set 
 forth, but the insurer may at its option omit from the policy any such 
 optional standard provision. Such optional standard provisions if in- 
 serted in the policy shall immediately succeed the standard provisions 
 named in subsection 3 of this section. 
 
 Optional standard provisions; cancellation by insurer. 
 (1) An optional standard provision relative to cancellation of the 
 policy at the instance of the insurer as follows: 
 
 (16) The insurer may cancel this policy at any time by written 
 notice delivered to the insured or mailed to his last address as shown 
 by the records of the insurer together with cash or the insurer's check 
 for the unearned portion of the premiums actually paid by the insured, 
 and such cancellation shall be without prejudice to any claim orig- 
 inating prior thereto. 
 
1960—4 172 Ch. 89 
 
 Other insurance. 
 
 (2) An optional standard provision relative to reduction of the 
 amount of indemnity to a sum less than that stated in the policy as 
 follows: 
 
 (17) If the insured shall carry with another company, corporation, 
 association or society other insurance covering the same loss without 
 giving written notice to the insurer, then in that case the insurer 
 shall he liable only for such portion of the indemnity promised as the 
 said indemnity bears to the total amount of like indemnity in all 
 policies covering such loss, and for the return of such part of the 
 premium paid as shall exceed the pro rata for the indemnity thus 
 determined. 
 
 Deduction of premium upon settlement of claims. 
 
 (3) An optional standard provision relative to deduction of premium 
 upon settlement of claim as follows: 
 
 (18) Upon the payment of claim hereunder any premium then due 
 and unpaid or covered by any note or written order may be deducted 
 therefrom. 
 
 Other insurance by same insurer. 
 
 (4) An optional standard provision relative to other insurance by 
 the same insurer which shall be in such one of the following forms as 
 may be appropriate to the indemnities provided, and in the blank 
 spaces of which the insurer shall insert such upward limits of indem- 
 nity as are specified by the insurer's classification of risks, filed as 
 required by this act. 
 
 (A) : — (19) If a like policy or policies, previously issued by the 
 insurer to the insured be in force concurrently herewith, making the 
 
 aggregate indemnity in excess of $ the excess insurance shall 
 
 be void and all premiums paid for such excess shall be returned to the 
 insured. 
 
 (B) : — (19) If a like po'.icy or policies, previously issued by the 
 insurer to the insured be in force concurrently herewith, making the 
 aggregate indemnity for loss of time on account of disability in excess 
 
 of $ weekly, the excess insurance shall be void and all premiums 
 
 paid for such excess shall be returned to the insured. 
 
 (C) : — (19) If a like policy or poMcies, previously issued by the 
 insurer to the insured be in force concurrently herewith, making the 
 aggregate indemnity for loss other than that of time on account of 
 
 disability in excess of $ , or the aggregate indemnity for loss of 
 
 time on account of disability in excess of $ weekly (or substitute 
 
 the word "monthly") the excess insurance of either kind shall be 
 void and all premiums paid for such excess shall be returned to the 
 insured. 
 
Ch. 89 173 1960—9 
 
 Age limits. 
 
 (5) An optional standard provision relative to the age limits of the 
 policy which shall be in the following form and in the blank spaces 
 of which the insurer shall insert such number of years as it may elect: 
 
 (20) The insurance under this policy shall not cover any person 
 
 under the age of years nor over the age of years. 
 
 Any premium paid to the insurer for any period not covered by this 
 policy will be returned upon request. 
 
 Contradictory provisions prohibited. 
 5. No such policy shall be so issued or delivered if it contains any 
 provision contradictory, in whole or in part, of any of the provisions 
 hereinbefore in this act designated as "Standard Provisions" or as 
 "Optional Standard Provisions;" nor shall any indorsements or at- 
 tached papers vary, alter, extend, be used as a substitute for, or in 
 any way conflict with any of the said "Standard Provisions" or the said 
 "Optional Standard Provisions;" nor shall such policy be so issued 
 or delivered if it contains any provision purporting to make any portion 
 of the charter, constitution or by-laws of the insurer a part of the 
 policy unless such portion of the charter, constitution or by-laws shall 
 be set forth in the policy, but this prohibition shall not be deemed to 
 apply to any statement of rates or classification of risks filed with the 
 commissioner of insurance in accordance with the provisions of this 
 act. 
 
 Waiver of rights. 
 
 7. The acknowledgment by an insurer of the receipt of notice given 
 under any policy covered by this act, or the furnishing of forms for 
 filing proofs of loss, or the acceptance of such proofs, or the investi- 
 gation of any claim thereunder shall not operate as a waiver of any 
 o? the rights of the insurer in defense of any claim arising under such 
 policy. 
 
 Alteration. 
 
 8. No alteration of any written application for insurance by erasure, 
 insertion or otherwise, shall be made by any person other than the 
 applicant without his written consent, and the making of any such 
 alteration without the consent of the applicant shall be a misdemeanor. 
 If such alteration shall ^be made by any officer of the insurer, or by any 
 employe of the insurer with the insurer's knowledge or consent, then 
 such act shall be deemed to have been performed by the insurer there- 
 after issuing the policy upon such altered application. 
 
 Other forms valid. 
 
 9. A policy Issued in violation of this act shall be held valid but 
 shall be construed as provided in this act and when any provision in 
 such policy is in conflict with any provision of this act the rights. 
 
1960—12 174 Ch. 89 
 
 duties and obligations of ttie insurer, the policyholder and the bene- 
 ficiary shall be governed by the provisions of this act. 
 
 Reciprocal provisions as to foreign forms. 
 10. The policies of insurance against accidental bodily injury or 
 sickness issued by any insurer not organized under the laws of this 
 state may contain, when issued in this state, any provision which 
 the law of the state, territory or district of the United States under 
 which the insurer is organized, prescribes for insertion in such policies, 
 and the policies of insurance against accidental bodily injury or sick- 
 ness issued by an insurer organized under the laws of this state may 
 contain, when issued or delivered in any other state, territory, district 
 or country, any provision required by the laws of the state, territory, 
 district or country in which the same are issued, anything in this act 
 to the contrary notwithstanding. 
 
 Liability and workmen's compensation insurance excepted; sup- 
 plemental life contracts; fraternals; railroad ticket policies. 
 
 12. (1) Nothing in this act, however, shall apply to or affect any 
 policy of liability or workmen's compensation insurance or any general 
 or blanket policy of insurance issued to any municipal corporation 
 o: department thereof, or to any corporation, copartnership, associa- 
 tion or individual employer, police or fire department, underwriter's 
 corps, salvage bureau, or like associations or organizations, where the 
 ofiicers, members or employes or classes or departments thereof are 
 insured for their individual benefit against specified accidental bodily 
 injuries or sickness while exposed to the hazards of the occupation 
 or otherwise in consideration of a premium intended to cover the 
 risks of ail the persons insured under such policy. 
 
 (2) Nothing in this act shall apply to or in any way affect contracts 
 of life or endowment insurance or contracts supplemental thereto, 
 where such contracts or supplemental contracts contain no provisions 
 relating to accident or health insurance except accidental death 
 benefits and except such as operate to safeguard such insurance 
 against lapse, or to give a special surrender value or an annuity pro- 
 viding for payments not exceeding one per cent per month of the 
 face amount of the policy during the lifetime of the Insured, with or 
 without reduction of the sum insured, in the event that the insured 
 shall be totally and permanently disabled from any cause; provided 
 that no such supplemental contract shall be issued or delivered to 
 any person in this state unless and until a copy of the form thereof 
 has been submitted to and approved by the commissioner of insurance, 
 under such reasonable rules and regulations as he shall make con- 
 cerning the provisions in such contracts and their submission to and 
 approval by him. 
 
 (3) Nothing in this act shall apply to or in any way affect fraternal 
 benefit societies. 
 
Ch. 89 175 1966—33 
 
 (4). The provisions of this act contained in clause (5) of subsection 
 2 and clauses (2), (3), (8) and (12) of subsection 3 may be omitted 
 from railroad ticket policies sold only at railroad stations or at railroad 
 ticket offices by railroad employes. 
 
 Referred to in lS97a (S). 
 
 Penalty. 
 
 13. Any company, corporation, association, society or other insurer 
 or any officer or agent thereof, which or who issues or delivers to any 
 person in this state any policy in wilful violation of the provisions of 
 this act shall be punished by a fine of not more than one hundred 
 dollars for each offense, and the commissioner of insurance may re- 
 voke the license of any company, corporation, association, society or 
 other insurer of another state or country, or of the agent thereof, 
 which or who wilfully violates any provision of this act. 
 
 Approval by commissioner of insurance. 
 
 14. Any policy covered by this act, the form of which has received 
 the approval of the commissioner of insurance may be issued or deliv- 
 ered in this state on and after the first day of October, 1913. 
 
 Extension for domestic policy forms. 
 
 15. Any form of policy which shall have been filed as required by 
 law and used in this state by any domestic insurance company on or 
 before the first day of May, 1913, may be issued in this state up to the 
 first day of July, 1915. 
 
 Referred to in 2637. 
 
 CASUALTY OR SURETYSHIP COMPANIES 
 
 Powers of suretyship company. 
 
 Section 1966 — 33. Whenever any bond, recognizance, obligation, 
 stipulation or undertaking is by law or the rules or regulations of 
 any board, body or organization required or permitted to be made, 
 given, tendered or filed for the security or protection of any person, 
 persons, corporation, state, county, municipality or other organization 
 whatsoever, conditioned for the doing or not doing of any thing in 
 any such instrument specified, any and all heads of departments, 
 public officers, state, county, town or municipal, and any and all 
 boards, municipalities, committees thereof, courts and judges now or 
 hereafter required or permitted to accept or approve the sufficiency 
 of any such bond, recognizance, obligation, stipulation or undertaking 
 may accept and approve the same whenever the same is executed or 
 the conditions thereof are guaranteed solely by a corporation author- 
 ized to guarantee the fidelity, of persons holding places of public or 
 private trust and the performance of contracts, other than of in- 
 surance, and to execute and guarantee bonds and undertakings re- 
 quired or permitted in actions or proceedings or by law allowed; and 
 
1966— 33b 176 Ch. 89 
 
 whenever any such bond, recognizance, obligation, stipulation or un- 
 dertaking is so required or permitted to be made, given, tendered or 
 filed with one surety or with two or more sureties the execution of 
 the same or the guaranteeing of the performance of the conditions 
 thereof shall be sufficient when executed or guaranteed solely by 
 such corporation so authorized, and shall be in all respects a full and 
 complete compliance with every requirement of every law, ordinance, 
 rule or regulation that such bond, undertaking, recognizance, obliga- 
 tion or stipulation shall be executed or guaranteed by one or more 
 sureties, or that such sureties shall be residents, householders or free- 
 holders; and any and all heads of departments, courts, judges, boards, 
 municipalities or committees thereof, and any and all public officers, 
 state, county, town or municipal, whose duty it may be to accept or 
 approve the sufficiency of any such instrument, may accept and approve 
 the same when executed or guaranteed solely by such a corporation; 
 and all such corporations may execute or guarantee such bonds, recog- 
 nizances, stipulations, obligations or undertakings, whether given 
 under the laws of this state or of the United States, or of any other 
 state or country. 
 
 Section J966 — 33 is refeiTed to in section 1966 — 35. 
 
 Corporation to guarantee personal fidelity. 
 Section 1966 — 33a. A corporation authorized by law and by its 
 charter so to do may transact the business of guaranteeing the fidelity 
 of or becoming surety for (a) persons holding positions of public or 
 private trust, (b) the performance of any act, duty or obligation or 
 the refraining from any act, (c) the performance of any contract other 
 than one of insurance, (d) insurance companies on bonds required 
 by states or municipalities as a condition of transacting business 
 therein, (e) Indemnifying banks, bankers, brokers, financial or 
 moneyed associations, or financial or moneyed corporations, against 
 the loss of any bills of exchange, notes, drafts, acceptance of drafts, 
 bonds, securities, evidence of debt, credits, deeds, mortgages, docu- 
 ments, currency and money, except as against loss caused by marine 
 risks or risks of transportation or navigation, (f) guaranteeing any 
 federal land bank against loss by reason of defective title to or en- 
 cumbrances on real property on which any such federal land bank 
 may make a loan secured by a mortgage; and may execute bonds, 
 undertakings and indemnities required or permitted or by law al- 
 lowed. Such a corporation may also reinsure against loss arising out 
 of such obligations. Such obligations shall be known and treated as 
 suretyship obligations, and such business shall be known as the 
 surety business. 
 
 Guarantees need not be under seal; how authenticated. 
 
 Section 1966 — 33b. Whenever a suretyship obligation is required 
 
 or permitted or by law allowed, such obligation may be executed by 
 
 a corporation authorized by the laws of this state and by its charter 
 
 to execute such obligation; and such corporations are authorized and 
 
Ch. 89 177 1966— 33d 
 
 empowered to execute all such obligations, which, however, need not 
 be under the seal of such corporations unless by law specially required; 
 and the execution by any such corporation of such obligation by an 
 officer, attorney-in-fact or other representative authorized to execute 
 the same shall be sufficient and shall be accepted as and be a full 
 compliance with every requirement that such obligation be executed 
 by a surety or sureties, or that such surety or sureties be residents, 
 householders or freeholders, or possess any other qualification; and, 
 the certificate of the commissioner of insurance authorizing such 
 corporation to transact the surety business in this state, while in 
 force and unrevoked, shall be conclusive evidence of the solvency of 
 such corporation and of its sufficiency as surety and of the propriety 
 of accepting and approving it as such, and be in lieu of any justifica- 
 tion by such corporation. 
 
 Domestic corporations, capital and surplus required. 
 Section 1966 — 33c. No domestic corporation hereafter organized 
 shall be authorized to commence the transaction of the surety busi- 
 ness in this state unless it has a capital stock of at least two hun- 
 dred and fifty thousand dollars and a surplus of at least one hundred 
 and twenty-five thousand dollars, both fully paid in cash. No domestic 
 insurance corporation authorized in this state to transact other 
 classes of insurance shall hereafter be authorized to transact the 
 surety business unless in addition to the capital stock and surplus 
 requirements for the classes of insurance being transacted by such 
 corporation, it shall also have a capital of at least two hundred and 
 fifty thousand dollars and a surplus of at least one hundred and twen- 
 ty-five thousand dollars. 
 
 Foreign corporation, capital and surplus required. 
 Section 1966 — 33d. 1. No corporation organized under the laws of 
 any other state, district, territory or possession of the United States 
 shall hereafter be authorized to transact the surety business in this 
 state unless at the time of its organization it had the capital and 
 surplus required of a similar domestic corporation, or, subsequent to 
 its organization and prior to its application to transact the surety 
 business in this state, it had acquired a capital and surplus equal to 
 that required of a similar domestic corporation, and unless at the 
 time of its application for admission in this state it has an unimpaired 
 capital at least equal to that required of a similar domestic corpora- 
 tion. No corporation organized under the laws cf a country other 
 than the United States shall hereafter be authorized to transact the 
 surety business in this state unless it shall satisfy the commissioner 
 of insurance of this state that it has on deposit with American trustees, 
 or with the proper officer or officers of a state or states of the United 
 States, or both, satisfactory securities equal in value to the total of 
 the capital and surplus required of a similar domestic corporation at 
 the time of its first authorization in this state, and that such securities 
 
1966— 33e 178 Ch. 89 
 
 are held in trust for the fulfillment by such company of all its obliga- 
 tions within the United States. 
 
 2. Each such foreign corporation, when applying for admission to 
 transact the surety business in this state, shall file with the commis- 
 sioner of insurance (a) a copy of its charter or deed of trust or 
 settlement, (b) a verified detailed statement of all the items, matter 
 and other information in regard to its affairs required by law to be 
 stated in the annual report of a similar domestic corporation made as 
 the commissioner may require, (c) an agreement, signed by the 
 proper officers of the corporation, that it will not, while authorized to 
 do business in this state, transact any business therein which a similar 
 domestic corporation is prohibited from transacting, (d) a written 
 appointment of the commissioner of insurance to be the true and 
 lawful attorney of such corporation in and for this state, upon whom 
 all lawful process in any action or proceeding against the corporation 
 may be served to the same effect as if it were a domestic corporation. 
 It shall be the duty of the commissioner of insurance to transmit 
 forthwith to such corporation at its home office or its principal ofllce 
 in the United States a true copy of any process so served. 
 
 3. No such foreign corporation shall begin the transaction of its 
 business until the commissioner of insurance shall issue to such cor- 
 poration a certificate of authority specified in section 1966 — 33f of 
 this act. 
 
 Domestic and foreign corporation required to deposit securities. 
 
 Section 1966 — 33e. 1. No domestic corporation shall hereafter be 
 authorized to transact the surety business in this state unless it shall 
 deposit and keep on deposit with the commissioner of insurance sat- 
 isfactory securities worth, at their market value, noi less than one 
 hundred thousand dollars, and, in case such corporation transacts 
 such business in one or more other states, it shall deposit other 
 securities, so that its total deposit shall be worth, at their market 
 value, at least two hundred and fifty thousand dollars. No corpora- 
 tion incorporated under the laws of any other state, district, territory 
 cr possession of the United States shall be authorized to transact the 
 surety business in this state unless such corporation shall satisfy 
 the commissioner of insurance that it has on deposit with the proper 
 officer or officers of a state or states, district, territory or possession 
 of the United States, satisfactory securities worth, at their market 
 value, at least two hundred and fifty thousand dollars. The securities 
 so deposited in this state or elsewhere shall be held in trust for the 
 fulfillment by the depositing corporation of all of its obligations within 
 the United States. No deposit shall be required of any such corpora- 
 tion organized under the laws of any other country, other than the 
 deposit required by section 1966 — 33d hereof. 
 
 2. No additional or different deposit shall be required of an insur- 
 ance company transacting the surety business and other classes of 
 insurance as a condition of its engaging in the surety business, pro- 
 vided that the sureties deposited in this state or elsewhere shall be 
 
Ch. 89 179 1966—33/ 
 
 worth, at their market value, the sum herein specified — dependent on 
 the doing of business in this or one or more other states, and such 
 securities are held in trust for the fulfillment by the depositing corpor- 
 ation of all of its contracts, whether of insurance or of suretyship, 
 within the United States. 
 
 3. The securities deposited pursuant to this section shall, except 
 as herein otherwise provided, be held, exchanged, withdrawn, dis- 
 posed of and the interest therefrom be paid to the corporation making 
 the deposit provided the securities substituted for those exchanged or 
 disposed of shall not decrease the total market value of the securities 
 on deposit below the sum of one hundred thousand dollars, or below 
 the sum of two hundred fifty thousand dollars, as the case may be. 
 
 Certificate or license to do business. 
 Section 1966 — 33f. When the commissioner of insurance shall be 
 satisfied, either by the papers filed or by such examination as he 
 shall make, that any corporation having the power to transact the 
 surety business has fully complied with and that it has the capital 
 and surplus, earned or paid in, specified in the preceding sections 
 of this act, he shall issue to it a certificate under his hand and of- 
 ficial seal authorizing it to transact in this state the business of 
 corporate suretyship as defined in section 1966 — 33a hereof, and 
 certifying that it is qualified to become and be accepted as surety 
 or guarantor on all bonds, undertakings or other obligations speci- 
 fied in section 1966 — 33a of this act; provided, however, that if such 
 corporation is also authorized to exercise insurance powers, author- 
 ity to exercise such powers and suretyship powers may be included 
 in one certificate. 
 
 2. The certificate issued to such a corporation not organized under 
 the laws of this state shall not remain in force for a longer period 
 than one year and all such certificates shall expire on the 30th day 
 of April next following the date of issue. 
 
 3. The statements required by subdivision two of section 1966 — 33d 
 of this act to be filed in the office of the commissioner of insurance 
 before a certificate of authority is granted to such a corporation. 
 Such certificate may be renewed from year to year in such manner 
 as the commissioner of insurance may require; and the commissioner 
 of insurance shall have the same power to refuse to issue any renewal 
 certificate that he has to an original certificate. 
 
 4. Whenever, in the judgment of the commissioner of insurance, 
 it will best promote the interests of the people of this state, he may, 
 after a hearing on not less than thirty days' notice, revoke a certi- 
 ficate issued to such a domestic or foreign corporation prior to its 
 expiration under this section; provided that the action of the com- 
 missioner of Insurance In revoking such certificate shall not take 
 effect until thirty days after the service of notice of such revocation 
 at its home office or principal office in the United States. The action 
 of the commissioner of insurance in refusing to issue or renew, or in 
 revoking, a certificate of authority, as provided in this section, shall 
 
1966— 33g 180 Ch. 89 
 
 be subject to review by the courts; with, if so ordered, a suspension 
 of the effect of such refusal or revocation pending decision on such 
 review. 
 
 Persons and corporations authorized to make rates must file proof 
 of authority. 
 
 Section 1966 — 33g. 1. Every corporation, association or bureau 
 which now exists or hereafter may be formed, and every person who 
 maintains or hereafter may maintain a bureau or oflSce, for the pur- 
 pose of suggesting, approving or making rates on suretyship obliga- 
 tions to be effective in this state and to be used by more than one 
 corporation, shall file with the commissioner of insurance a copy of 
 the articles of agreement, association or incorporation, and the by- 
 laws and all amendments thereto under which such person, corpor- 
 ation, association or bureau operates or proposes to operate, to- 
 gether with his or its business address and a list of members repre- 
 sented by him or it, as well as such other information, concerning 
 such rating organization and its operations as may be required by 
 the commissioner. 
 
 2. Every such person, corporation, association or bureau, "whether 
 before or after the filing of the information specified in the last pre- 
 ceding paragraph, shall be subject to the visitation, supervision and 
 examination of the commissioner of insurance, who shall cause to 
 be made an examination thereof as often as he deems it expedient, 
 and at least once in three years. 
 
 3. Every such person, corporation, association, bureau or any cor- 
 poration authorized to transact surety business in this state, shall 
 file with the commissioner of insurance, whenever he may call there- 
 for, any and every schedule of rates or such other information con- 
 cerning such rates as may be suggested, approved or made by any 
 such rating organization or surety corporation. 
 
 4. Any two or more corporations transacting the surety business in 
 this state, may jointly employ for the computing or making of sched- 
 ules of rates and the amendments thereto, the services of such expert 
 or experts as they may deem advisable for such purpose. 
 
 5. No such person, corporation, association or bureau, or any cor- 
 poration authorized to transact the surety business in this state, 
 shall fix or make any rate or schedule of rates, or charge a rate on 
 suretyship obligations which discriminates unfairly between risks 
 within this state of essentially the same hazard. Whenever it is 
 made to appear to the satisfaction of the commissioner of insurance 
 that such discrimination exists, he may, after a full hearing either 
 before himself or before a salaried employe of the insurance depart- 
 ment whose report he may adopt, order such discrimination removed; 
 and all such persons, corporations, associations or bureaus affected 
 thereby shall immediately comply therewith; nor shall such persons, 
 corporations, associations or bureaus remove such discrimination by 
 
Ch. 89 181 1966— 33h 
 
 increasing the rate on any risk or class of risks affected by such 
 order unless it is made to appear to the satisfaction of the commis- 
 sioner of insurance that such increase is justifiable. 
 
 6. No officer, agent or other representative of such a corporation, 
 authorized to transact the surety business in this state, and no surety 
 broker, shall, as to any such surety|hip obligation effective or to be 
 effective in this state and as an inducement to securing the same, or 
 after such an obligation has been executed, whether with or without 
 the knowledge of such corporation, pay, allow or give, or offer to pay, 
 allow or give, directly or indirectly, any rebate, discount or reduction 
 from the premium rate fixed in compliance with the next preceding 
 paragraph, nor any special favor or advantage in the terms, credits 
 or allowances therein contained; nor shall any such person or cor- 
 poration promise or give, directly or indirectly, as an inducement to 
 such suretyship obligation or in connection therewith, anything of 
 value whatsoever, other than stated or indicated in the written evi- 
 dence of such obligation; nor shall any surety broker, his agent or 
 representative, or any other person, directly or indirectly, either by 
 sharing commissions or in any manner whatsoever, pay, allow or give, 
 or offer to pay, allow or give to the principal in such suretyship obli- 
 gation, or to any employe of such principal as inducement to such 
 suretyship obligation, or after the same shall have been effected, 
 any rebate from the premium, or anything of value whatsoever not 
 stated in the written evidence of such obligation; this section shall 
 not prevent any such corporation or other insurer, or his agent or 
 it!? agents, from paying commissions to a broker, who shall have 
 negotiated for the suretyship obligation, nor shall this section prevent 
 any broker from sharing or dividing commissions earned or received 
 by him with any other broker or brokers who shall have aided him 
 in respect to the suretyship obligation for the negotiation of which 
 such commission shall have been earned or paid. 
 
 7. Any person, partnership, association or corporation violating any 
 of the provisions of this section shall, upon conviction thereof, in ad- 
 dition to any other penalty by law provided, be punished by a fine 
 of not less than five hundred dollars or more than one thousand dol- 
 lars, or by imprisonment for not more than three months, or by both 
 such penalties in the discretion of the court. 
 
 Person guaranteed may deposit funds in bank for protection of 
 surety company. 
 
 Section 1966 — 33h. Any corporation transacting the surety business 
 may contract for security for any suretyship obligation, and any re- 
 ceiver, assignee, guardian, conservator, trustee, executor, admin- 
 istrator or other fiduciary or party from whom a suretyship obligation 
 is required or permitted or by law allowed may deposit for safekeeping 
 any or all moneys, assets and other property for which he or it is or 
 may be responsible with a bank, savings bank, safe deposit or trust 
 company authorized by law to do business as such, and in such man- 
 ner as to prevent the withdrawal or alienation thereof without the 
 
1966— 33i 182 Ch. 89 
 
 written consent of such corporation or an order of a court or judge 
 thereof having jurisdiction of such fiduciary, made on such notice 
 to such corporation as such court or judge may direct; and, generally, 
 it shall be lawful for such a corporation to enter into any contract 
 for its indemnity or security with any person, partnership, association 
 or corporation, provided that such contract is not prohibited by law 
 or against public policy. 
 
 Limitation of risk; reinsurance. 
 Section 1966 — 33i. 1. No corporation transacting the surety business 
 shall execute any suretyship obligation or expose itself to any loss 
 ou any one risk or hazard in an amount in excess of one-tenth of its 
 capital and surplus, unless it shall be protected in excess of that 
 amount by: 
 
 (a) Reinsurance in a corporation authorized to transact the surety 
 business in the state where the risk is located, provided that such 
 reinsurance is in such form as to enable the obligee in or beneficiary 
 of such suretyship obligation to maintain an action thereon against 
 the company reinsured jointly with such reinsurer and, upon recov- 
 ering judgment against such reinsured, to have recovery against such 
 reinsurer for payment to the extent in which it may be liable under 
 such reinsurance and in discharge thereof; or 
 
 (b) The co-suretyship of such a corporation similarly authorized; or 
 
 (c) By deposit with it in pledge or conveyance to it in trust for 
 its protection of property; or 
 
 (d) By conveyance or mortgage for its protection; or 
 
 (e) In case such suretyship obligation was made on behalf or on 
 account of a fiduciary holding property in a trust capacity, by deposit 
 or other disposition of a portion of the property so held in trust that 
 no future sale, mortgage, pledge or other disposition can be made 
 thereof without the consent of such corporation, except by decree 
 or order of a court of competent jurisdiction; 
 
 Provided: (1) That such a corporation may execute what are known 
 as transportation or warehousing bonds for United States internal 
 revenue taxes to an amount equal to fifty per cent of its capital and 
 surplus; (2) that, when the penalty of the suretyship obligation 
 exceeds the amount of a judgment described therein as appealed from 
 and thereby secured, or exceeds the amount of the subject matter in 
 controversy or of the estate in the hands of the fiduciary for the per- 
 formance of whose duties it is conditioned, the bond may be executed 
 if the actual amount of the judgment or the subject matter in con- 
 troversy or estate not subject to supervision or control of the surety 
 is not in excess of such limitation; and (3) that, when the penalty 
 of the suretyship obligation executed for the performance of a contract 
 exceeds the contract price, the latter shall be taken as the basis for 
 estimating the limit of risk within the meaning of this section. 
 
 2. No such corporation shall, anything to the contrary in this section 
 notwithstanding, execute suretyship obligations guaranteeing the de- 
 posits of any single financial institution in an aggregate amount In 
 
Ch. 89 183 1966— 33k 
 
 excess of one-tenth of the capital and surplus of such corporate 
 surety, unless it shall be protected in excess of that amount by credits 
 in accordance with subdivisions (a), (b), (c) and (d) of this section. 
 
 Cost of surety bond lawful item of expense. 
 
 Section 1966 — 33j. It shall be lawful for any receiver, assignee, 
 guardian, conservator, trustee, executor, administrator or other fiduciary 
 required to give a contract of suretyship obligation, to include as a 
 part of the lawful expense of executing his or its trust the lawful 
 premium paid a corporation transacting the surety business for exe- 
 cuting such obligation; for any party entitled to recover costs or 
 disbursements in an action or proceeding at law or in equity to in- 
 clude in such costs or disbursements such lawful premium as may 
 have been paid to such corporation for executing any contract of 
 suretyship obligation therein; and for any public officer, board or 
 commission, as such, required by law to give a suretyship obligation, 
 to pay to such a corporation the lawful premium for the execution of 
 such obligation out of any moneys available for the payment of ex- 
 penses of his office or department, unless such payment is otherwise 
 provided for or is prohibited by law. 
 
 Surety corporation to maintain adequate reserves. 
 Section 1966 — 331t. 1. A corporation transacting the surety business 
 shall at all times keep and maintain adequate reserves on its surety- 
 ship obligations as follows: (a) an unearned premium reserve of fifty 
 per cent of the current annual premiums upon all outstanding surety- 
 ship obligation, provided that the commissioner of insurance, in esti- 
 mating the condition of such a corporation, mayy charge it with a 
 premium reserve equal to the unearned portions of the gross pre- 
 miums charged, computed on each risk, from the date of the issuance 
 of such suretyship obligation; and (b) a loss reserve at least equal to 
 the aggregate estimated amounts due or to become due on account of 
 all losses and claims of which the corporation has received notice, 
 provided that such loss reserve shall also include the estimated 
 liability on any notices received by the corporation of the occurrence 
 of any event which may result in a loss, and the estimated liability 
 for all losses which have occurred but on which no notice has been 
 received. 
 
 2. For the purpose of such reserve, the corporation shall keep a 
 complete and itemized record showing all losses and claims on which 
 it has received notice, including all notices received by it of the oc- 
 currence of any event which may result in a loss; and, in its .annual 
 statement to the commissioner of insurance, shall include a schedule 
 nhowing all losses and claims of which the corporation has received 
 notice during the year for which the statement is made and which 
 remain unpaid and undisposed of on December thirty-first of such 
 year, and shall also include a schedule showing all the losses and 
 
1966— 3Sn 184 Ch. 89 
 
 claims of the corporation unpaid on December thirty-first of the year 
 next preceding, specifying whether the claims have been settled or 
 remain unadjusted, and setting opposite each claim the amount of 
 the reserve carried or maintained against it. 
 
 3. Whenever, in the judgment of the commissioner of insurance, 
 the loss reserves on the suretyship obligations of any corporation, 
 calcu.ated in accordance with the provisions of this section, are 
 inadequate, he may, In his discretion, require such corporation to 
 maintain additional reserves. 
 
 When corporation exempt from municipal taxes and licenses. 
 Section 1966 — 331. A corporation transacting a surety business in 
 this state which has paid the fees and taxes chargeable to it by gen- 
 eral law, as well as the agents of such a corporation, shall be exempt 
 from any license, premium, privilege or occupation taxes levied or 
 imposed by any political or municipal division of this state. 
 
 Domestic corporation already operating, subject to this act, except, 
 etc. 
 
 Section 1966 — 33m. Any domestic corporation heretofore incor- 
 porated or extended under the provisions of any general or special 
 law of this state and having at the time of the passage of this act 
 power to transact a surety business is hereby brought under all of 
 the provisions of this act, except that such a corporation shall be 
 entitled to the certificate of authority specified in section 1966 — 33f of 
 this act if its capital, surplus and deposit at the time of the applica- 
 tion for such certificate are not less than the amount of the capital, 
 surplus, and deposit respectively required of such a corporation prior 
 to the passage of this act. 
 
 Surety may be discharged, how. 
 Section 1966 — 33n. Any surety corporation which, or any indivi- 
 dual who, has executed or may hereafter execute, as surety, the bond 
 of any trustee, committee, guardian, assignee, receiver, executor, ad- 
 ministrator, or other fiduciary, shall be discharged from liability there- 
 on as hereinafter provided. Such surety may, on notice to the principal 
 named in such bond, apply to the court that accepted such bond, or to 
 any judge thereof, praying to be discharged from liability as such 
 surety for any act or omission of such principal occurring after the 
 date of an order discharging such surety as hereinafter provided, and 
 that such principal be required to give new suretyship and to account. 
 Notice of application for such discharge may be served on such princi- 
 pal within or without the state not less than five days prior to the date 
 on which such application is to be made, unless it satisfactorily ap- 
 pears to the court, or a judge thereof, that personal notice cannot be 
 given with due diligence within the state, in which case the notice 
 may be given in such manner as the court or a judge thereof shall 
 direct. Pending such application, the court or judge may restrain such 
 
Ch. 89 185 1966— 33n 
 
 principal from acting, except to preserve the trust estate, until further 
 order. If upon the return of such application such principal shall fail 
 to file new suretyship to the satisfaction of the court or judge, the court 
 or judge must thereupon make an order requiring the principal to file 
 new suretyship within a period not exceeding five days. If such new 
 suretyship shall be filed upon the return of such application, or within 
 the time fixed by such order, the court or judge must thereupon make 
 a decree or order requiring the principal to account for all his acts and 
 proceedings to and including the date of such decree or order, and to 
 file such account within a time fixed, not exceeding twenty days, and 
 discharge the surety making such application from liability for any act 
 or default of the principal subsequent to the date of such decree or 
 order. If the principal shall fail to so file such new suretyship within 
 the time specified, a decree or order must be made revoking the ap- 
 pointment of such principal or removing him and requiring him to so 
 account and file such account within not more than twenty days. If the 
 principal shall fail to file his account as herein provided, such surety 
 may make and file such account with like force and effect as though 
 filed by such principal, and upon settlement thereof and upon the trust 
 fund or estate being found or made good and paid over or properly se- 
 cured, credit shall be given for all commissions, costs, disbursements, 
 and allowances to which the principal would be entitled were he ac- 
 counting, and allowance shall be made to such surety for the expense 
 incurred in so filing such account and procuring the settlement thereof. 
 After the filing of an account as herein i-equired or permitted, the court 
 or judge must upon the petition of the principal or surety issue an order 
 requiring all persons interested in the estate or trust to attend a set- 
 tlement of such account at a time and place therein specified, and upon 
 the trust fund or estate being found or made good and paid over or 
 properly secured, such surety shall be discharged from any and all lia- 
 bility; upon demand made in writing by the principal, such surety 
 shall return any compensation that has been paid, for the unexpired 
 period of such suretyship. Any such trustee, committee, guardian, as- 
 signee, receiver, executor, administrator, or other fiduciary, shall be 
 entitled to have any such surety corporation that is surety on his bond 
 discharged from liability thereon, and such fiduciary may file new 
 suretyship as hereinafter provided. Such fiduciary may, on written 
 notice to the surety on such bonds, and to all persons that are or may 
 be interested therein, apply to the court that accepted such bond, or to 
 a judge thereof, praying that such surety be discharged from liability 
 thereon, and that such principal be allowed to file new suretyship and 
 to account. Notice of such application shall be served on such surety 
 and on each of the persons interested, within the state, not less than 
 ten days prior to the date on which such application is to be made, 
 unless it satisfactorily appears to such court or judge that such notice 
 cannot with due diligence be served within the state, in which case 
 notice may be given in such manner as such court or judge shall direct. 
 Upon the return of such application, such principal may file new surety- 
 ship satisfactory to such court or judge, and therewith file an account 
 
1966—34 186 Ch. 89 
 
 of all his proceedings, whereupon the court or judge shall proceed, 
 upon due notice to all persons interested, to judicially settle such ac- 
 count and duly credit and charge such principal; and upon the trust 
 fund or estate being found or made good and paid over or properly 
 secured, such surety shall be discharged from any and all liability. 
 
 Fidelity bond, certificate of authority, omission. 
 Section 1966 — 34. 1. The commissioner of insurance, upon due 
 proof by a suretyship company of its possessing the qualifications re- 
 quired, shall issue a certificate setting forth that it has qualified and 
 is authorized for the ensuing year to do business under these statutes, 
 which certificate or a copy thereof certified by the commissioner of 
 insurance shall be evidence of such qualification and of the company's 
 authority to become and to be accepted as sole surety on all instru- 
 ments mentioned in sections 1966 — 33 and 1966 — 33a, of its solvency 
 and credit for all purposes and its sufficiency as such surety; and said 
 certificate or a copy thereof certified as aforesaid shall be equivalent 
 to the justification required of sureties by law. 
 
 2. No bond, undertaking, or instrument executed by any surety com- 
 pany authorized to do business in this state at such time, shall be held 
 invalid or ineffective because of the omission of such certificate or a 
 certified copy thereof; provided, however, that the court in which, or 
 the officer with whom, any such bond, undertaking, or instrument shall 
 be filed, or any person who might claim the benefit thereof, may re- 
 quire the person filing such bond, undertaking, or instrument to file 
 such certificate, or a certified copy thereof, in such court, or with 
 such officer, upon giving eight days' notice in writing to the person 
 filing such bond, instrument, or undertaking, and if such person shall 
 fail to file such certificate or a certified copy thereof within such period, 
 such bond, instrument, or undertaking shall be valid, but shall be of 
 no effect for the purposes of the person so filing the same, unless such 
 person shall before the expiration of such time file such other and 
 further bond, undertaking, or instrument as originally required. 
 
 3. Upon application of any insurance company authorized to transact 
 the business of fidelity insurance, requesting that a certified copy of 
 its certificate of authority be furnished to any designated public officer 
 in this state, with whom any bond, undertaking, or instrument executed 
 by such company shall be filed, and the payment by such company of 
 the fee required by law, the commissioner of insurance shall issue and 
 forward such certified copy by mail direct to such officer, who shall 
 file the same in his office. Such certified copy shall be authority for 
 the approval of any such bond, undertaking or instrument, and be evi- 
 dence of the authority of the company to transact the kinds of business 
 for the time specified therein, or until prior revocations of certificate 
 of authority as provided by law, in which case the commissioner of 
 insurance shall immediately give notice thereof to each officer to whom 
 such certified copy shall have been forwarded. 
 
Ch. 89 187 1966—37 
 
 4. Whenever such certificate shall be furnished to any public officer 
 with whom bonds, undertakings or other instruments of suretyship 
 shall be filed, it shall be unnecessary to attach to any bond, undertaking 
 or other instrument of suretyship filed with such public officer, for the 
 time specified therein, the certificate provided by subsection 1 of sec- 
 tion 1966—34 of the statutes. 
 
 RefeiTed to in 378Sa. 
 
 5. Whenever it shall come to the knowledge of the commissioner of 
 insurance that any surety company licensed to do business in this state, 
 has become financially embarrassed, fails to carry out its contracts, 
 without reasonable excuse, files a petition in bankruptcy, is placed in 
 the hands of a receiver or becomes insolvent, it shall immediately be- 
 come the duty of the commissioner of insurance to notify every county 
 judge and clerk of all courts of record in this state of the fact of such 
 surety company becoming financially embarrassed, failure to carry out 
 its contracts) the filing of a petition in bankruptcy, being placed in the 
 hands of a receiver or trustee or becoming insolvent, and upon the re- 
 ceipt of such notice it shall be the duty of the county judge and clerks 
 of courts of record to notify and require every executor, administrator, 
 guardian, trustee or other person or corporation who have filed bonds 
 by such above mentioned surety company, to forthwith file new bonds 
 with new sureties to be approved by said courts. 
 
 Release from liability. 
 
 Section 1966 — 35. Any corporation executing any instrument within 
 section 1966 — 33 may be released from its liability thereon on the 
 same terms and conditions as are or may be by law prescribed for the 
 release of individuals upon the same. 
 
 Premium, recoverable as costs. 
 
 Section 1966 — 36. Any receiver, assignee, guardian, committee, 
 trustee, executor, administi*ator or other fiduciary, required by law or 
 the order of any court or judge to give a bond or other obligation as 
 such, may include as a part of the lawful expense of executing his trust 
 such reasonable sum paid a corporation authorized by law so to do for 
 becoming his surety on such bond or obligation as may be allowed by 
 the court in which or the judge before whom he is allowed or required 
 to account, not exceeding one per cent per annum on the amount of 
 such bond or obligation by such surety executed; and in all actions or 
 proceedings the party entitled to recover costs may include therein 
 such reasonable sum as may have been paid by him to such corpora- 
 tion for excuting or guaranteeing any bond or obligation therein, not 
 exceeding two per centum of the amount of such obligation. 
 
 Deposit of money. 
 
 Section 1966 — 37. Any receiver, assignee, guardian, trustee, com- 
 mittee, executor, administrator, or other fiduciary or party of whom 
 
1966—40 188 Ch. 89 
 
 a bond, undertaking or other obligation is required may agree and 
 arrange with his surety or sureties for the deposit for safe-keeping 
 of any or all money, assets and other property for which he is or 
 may be responsible, with a bank, savings bank, safe deposit or trust 
 company authorized by law to do business as such, and in such man- 
 ner as to prevent the withdrawal or alienation of such money, assets 
 or other property or any part thereof, without the written consent 
 of such surety or sureties or an order of the court or a judge thereof, 
 made on such notice to such surety or sureties as the court or judge 
 may direct. 
 
 Fidelity bond, expense, limitation. 
 Section 1966 — 38. The state, any county, town, village, city or 
 school district may pay the cost of any official bond furnished by an 
 officer thereof, pursuant to law or any rules or regulations requiring 
 the same, if said officer shall furnish a bond with a surety company 
 or companies authorized to do business in this state, said cost not 
 to exceed one-fourth of one per cent per annum on the amount of said 
 bond or obligation by said surety executed. The cost of any such 
 bond to the state shall be charged to the appropriation for the state 
 officer, department, board, commission or other body, the officer of 
 which is required to furnish the bond. 
 
 Estoppel. 
 
 Section 1966 — 39. Any corporation which shall execute any bond, 
 recognizance, obligation, stipulation or undertaking as surety shall 
 be estopped, in any proceeding to enforce the liability which it shall 
 have assumed to incur, to deny its power to execute the same or as- 
 sume such liability. 
 
 Credit guarantee business; powers. 
 Section 1966 — 40. Any corporation organized under the laws of 
 this state or licensed to do a credit guarantee business therein may 
 guarantee from loss and agree to pay to merchants, manufacturers, 
 dealers and other persons engaged in business and giving credit in 
 the same the debt or debts owing to them, indemnify them from loss, 
 charge and receive therefor such a sum as consideration for such 
 agreement of indemnity as shall be agreed upon, buy, hold, own and 
 take an assignment of any and all claims, accounts and demands so 
 guaranteed and hold, own and collect the same and enforce the collec- 
 tion thereof by action the same as the original holder and owner there- 
 of might or could do; and may also insure the payment of money for 
 personal services under contracts of hiring. Any such corporation may 
 use its capital stock or other funds to purchase or pay for any claim 
 or demand the payment of which it has guaranteed. 
 
Ch. 89 189 1966—44 
 
 Employer's liability policy. 
 
 Section 1966 — 42. No casualty corporation issuing employer's lia- 
 bility policies shall condition the same upon compliance by the assured 
 with "any law or ordinance respecting the safety of persons," but shall 
 clearly and distinctly state what conditions and requirements are to 
 be complied with by him. 
 
 Dividends; reduction of capital and surplus. 
 Section 1966 — 44. The directors of any such corporation shall not 
 make any dividend, except from the surplus profits arising from their 
 business, nor divide, withdraw or in any way pay to the stockholders 
 or any of them any part of its capital or reduce the net surplus of the 
 corporation to an amount less than ten per cent of its capital stock, 
 except as authorized by law. For a violation of any of the provisions 
 of this section the directors under whose administration the same 
 happened (except those who have caused dissent therefrom to be en- 
 tered at large upon the minutes of such directors' meeting at the time 
 or were not present when the action was taken) shall jointly and 
 severally be liable to the corporation and its creditors to the full 
 amount of the capital of the corporation so divided, withdrawn, paid 
 out or reduced. In estimating such profits there shall be reserved 
 therefrom a sum equal to the whole amount of unearned premiums on 
 unexpired risks and policies, all sums due the corporation on bonds, 
 mortgages, stocks and book accounts of which no part of the principal 
 or the interest thereon has been paid during the last year and for the 
 collection of which no action or proceeding has been commenced, or 
 which, after judgment obtained thereon, shall remain more than two 
 years unsatisfied and on which interest shall not have been paid; all 
 interest due and remaining unpaid and all deposits for the special pro- 
 tection of policyholders of other states or of foreign countries. Any 
 such corporation may declare dividends in any year not exceeding ten 
 per cent of its capital stock, if, in addition to the amount of such stock, 
 plus ten per cent thereof and of such dividends and all its outstanding 
 liabilities, it shall have accumulated and be in possession of a lawful 
 fund equal to the amount of all unearned premiums on risks not termi- 
 nated at the time of making such dividend. No dividend in excess of 
 said ten per cent of its capital stock shall be declared as hereinbefore 
 provided until such corporation shall be in possession of a net surplus 
 equal to one-half of its capital stock. Any dividend made contrary to 
 these provisions shall be cause for the forfeiture of the charter of the 
 corporation making it, and each stockholder receiving such dividend 
 shall be liable to its creditors to the extent of the dividend received, 
 in addition to the other penalties and punishments prescribed by law. 
 The word "year,'' whenever used in this section, shall not be construed 
 to mean the calendar year. 
 
 See sections 1906 to 1908a, 1966 — S^ (i). 
 
1966—46 190 Ch. 89 
 
 Increase of capital. 
 
 Section 1966 — 45. Any domestic casualty insurance or suretyship 
 corporation, whenever it shall have accumulated and be in possession 
 of a fund, in addition to the amount of its capital stock and all actual 
 outstanding liabilities, including reinsurance reserve in excess of one- 
 half of the amount of all premiums on risks not terminated may in- 
 crease its capital stock from such fund and distribute the increase pro 
 rata to its stockholders; provided, that such increase shall be equal 
 to at least twenty-five percent of the original capital stock and shall 
 have been authorized by at least three-fourths of the directors and ap- 
 proved by the commissioner of insurance, and that any such corpora- 
 tion may declare a dividend as provided in the preceding section. It 
 may at any time increase its capital stock (after notice of such inten- 
 tion given once a week for four weeks in any newspaper published in 
 the county where such corporation is located), with the written consent 
 of three-fourths in amount of its stockholders, unless otherwise pro- 
 vided in its articles of organization, by altering or amending the same 
 in this respect and filing a copy thereof, so amended, together with a 
 declaration under its corporate seal, signed by its president and direc- 
 tors, of its desire so to do, with such written consent of its stockholders 
 to such increase, in the office of the commissioner of insurance, where- 
 upon the same proceedings shall be had as are required upon the or- 
 ganization of such a corporation. 
 
 Impairment of capital, how made good. 
 Section 1966 — 46. Whenever it shall appear to the commissioner of 
 insurance, from any statement made to him, from an examination made 
 by him or by any examiner appointed by him, that the capital stock of 
 any such corporation is impaired to an amount exceeding twenty per 
 cent thereof, and he shall be of the opinion that the interest of the pub- 
 lic will not be prejudiced by permitting such corporation to continue 
 business with a reduced capital, such corporation may, with his per- 
 mission, reduce its capital stock and the par value of the shares there- 
 of to such an amount as he shall certify to be in his opinion justified 
 by the assets of such corporation; but no part of such assets shall be 
 distributed to the stockholders, nor shall such capital stock be reduced 
 to an amount less than the sum required by law for the organization of 
 a new corporation for the transaction of the same kind of business as 
 the corporation is engaged in. Such a reduction of the capital shall 
 only be made upon a vote of the majority of the stock represented at a 
 meeting legally called for that purpose. If in the opinion of the com- 
 missioner of insurance, such reduction will not be to the interest of 
 the policyholders, or in the event of the refusal of the stockholders to 
 consent thereto, he shall determine the amount of the impairment or 
 deficiency and issue a written requisition to the corporation requiring 
 its stockholders to make good the amount of impairment or deficiency 
 within such period as he may designate, not less than thirty nor more 
 than ninety days from the service of the requisition. Upon receipt of 
 
Ch. 89 191 ■ 1966--47a 
 
 such requisition the directors shall forthwith call upon the stock- 
 holders ratably for such amounts as will make up such impairment or 
 deficiency. If any stockholder refuse or neglect to pay the amount 
 called for after notice, given personally or by advertisement, in such 
 time as will comply with the order of said commissioner the directors 
 may, by resolution, declare the stock of such person cancelled; but 
 such failure to pay shall not release the stockholder from any liability 
 to the corporation. The directors may issue new certificates of stock 
 in lieu of the stock so forfeited and dispose of the same at not less 
 than par. For any losses accruing upon new risks taken after the ex- 
 piration of the period limited by the commissioner of insurance in any 
 such order and before such impairment shall be made up, the directors 
 shall be jointly and severally liable to the extent thereof; and any 
 transfer of stock made during the pendency of any such examination 
 or after any such order shall have been made and before any impair- 
 ment of deficiency specified therein shall be made good, shall not re- 
 lease the person making the transfer from his liability for loss accru- 
 ing previous thereto. If the amount of such impairment or deficiency 
 sliall not be made good within the time specified in such order the 
 corporation shall be deemed insolvent, and it shall be the duty of the 
 commissioner of insurance and the attorney-general to apply forthwith 
 for the appointment of a receiver and the forfeiture of its franchises. 
 See section 1!)G9. 
 
 Reserve liability. 
 
 Section 1966 — 47. In computing the reserve liability of casualty 
 insurance and suretyship corporations the commissioner of insurance 
 shall make such calculations as in his judgment are equitable and just 
 to both policyholders and the company; provided, that such liability so 
 determined shall not be less than fifty per cent of the premiums writ- 
 ten in the company's policies. 
 
 Method for computing reserves for liability and workmen's com- 
 pensation insurance companies. 
 
 Section 1966— 47a. 1. The reserve for outstanding losses under in- 
 surance against loss or damage from accident to or injuries suffered 
 by an employe or other person and for which the insured is liable shall 
 be computed as follows: 
 
 (1) For all liability suits being defended under policies written 
 more than 
 
 (a) Ten years prior to the date as of which the statement is made, 
 one thousand five hundred dollars for each suit. 
 
 (b) Five and less than ten years prior to the date as of which the 
 statement is made, one thousand dollars for each suit. 
 
 (c) Three and less than five years prior to the date as of which the 
 statement is made, eight hundred and fifty dollars for each suit. 
 
 (2) For all liability policies written during the three years imme- 
 diately preceding the date as of which the statement is made, such 
 
1966— 47a 192 Ch. 89 
 
 reserve shall be sixty per centum of the earned liability premiums of 
 each of such three years less all loss and loss expense payments made 
 under liability policies written in the corresponding years; but in any 
 event, such reserve shall, for the first of such three years, be not less 
 than seven hundred and fifty dollars for each outstanding liability suit 
 on said year's policies. 
 
 (3) For all compensation claims under policies written more than 
 three years prior to the date as of which the statement is made, the 
 present values at four per centum interest of the determined and the 
 estimated future payments. 
 
 (4) For all compensation claims under policies written in the three 
 years immediately preceding the date as of which the statement is 
 made, such reserve shall be sixty-five per centum of the earned com- 
 pensation premiums of each of such three years, less all loss and loss 
 expense payments made in connection with such claims under policies 
 written in the corresponding years; but in any event, in the case of 
 the first year of any such three-year period such reserve shall be not 
 less than the present value at four per centum Interest of the deter- 
 mined and the estimated unpaid compensation claims under policies 
 written during such year; provided, however, that in computing the 
 reserve for the statement for December 31, 1917, and December 31, 
 1918, the ratios sixty per centum and sixty-two and one-half per centum 
 respectively shall be used instead of sixty-five per centum as herein- 
 before provided. 
 
 Definition of terms. 
 
 2. The term "earned premium'' as used herein, shall include gross 
 premiums charged on all policies written, including all determined 
 excess and additional premiums, less return premiums, other than 
 premiums returned to policyholders as dividends, and less reinsurance 
 premiums and premiums on policies cancelled, and less unearned prem- 
 iums on policies in force. But any participating company which has 
 charged in its pi-femiums a loading in excess of its average expense 
 requirements shall not be required to include such loading in its 
 earned premiums, provided a statement of the amount of such loading 
 is approved by the commissioner of insurance. 
 
 The term "compensation," as used in this act, shall relate to all in- 
 surances effected by virtue of statutes providing compensation to em- 
 ployes for personal injuries irrespective of fault of the employer. The 
 term "liability," shall relate to all insurance except compensation in- 
 surance against loss or damage from accident to or injuries suffered 
 by an employe or other person and for which the insured is liable. 
 
 The terms "loss payments" and "loss expense payments," as used 
 herein, shall include all payments to claimants, including payments 
 for medical and surgical attendance, legal expenses, salaries and ex- 
 penses of investigators, adjustors and field men, rents, stationery, tele- 
 graph and telephone charges, postage, salaries and expenses of oflBce 
 
Ch. 89 193 1966— 47a 
 
 employes, home office expenses, and all other payments made on ac- 
 count of claims, whether such payments shall be allocated to specific 
 claims or unallocated. 
 
 Distribution of unallocated expense payments. 
 
 3. All unallocated liability loss expense payments made in a given 
 calendar year subsequent to the first four years in which an insurer 
 has been issuing liability policies, shall be distributed as follows: 
 Thirty-five per centum shall be charged to the policies written in that 
 year, forty per centum to the polices written in the preceding year, 
 ten per centum to the policies written in the second year preceding, 
 ten per centum to the policies written in the third year preceding, and 
 five per centum to the policies written in the fourth year preceding, and 
 such payments made in each of the first four calendar years in which 
 an insurer issues liability policies shall be distributed as follows: In 
 the first calendar year one hundred per centum shall be charged to the 
 policies written in that year, in the second calendar year fifty per 
 centum shall be charged to the policies written in that year and fifty 
 per centum to the policies written in the preceding year, in the third 
 calendar year forty per centum shall be charged to the policies written 
 in that year, forty per centum to the policies written in the preceding 
 year, and twenty per centum to the policies written in the second year 
 preceding, and in the fourth calendar year thirty-five per centum shall 
 be charged to the policies written in that year, forty per centum to the 
 policies written in the preceding year, fifteen per centum to the policies 
 written in the second year preceding, and ten per centum to the poli- 
 cies written in the third year preceding, and a schedule showing such 
 distribution shall be included in the annual statement. 
 
 All unallocated compensation loss expense payments made in a given 
 calendar year subsequent to the first three years in which an insurer 
 has been issuing compensation policies shall be distributed as follows: 
 
 Forty per centum shall be charged to the policies written in that 
 year, forty-five per centum to the policies written in the preceding 
 year, ten per centum to the policies written in the second year preced- 
 ing and five per centum to the policies written in the third year pre- 
 ceding, and such payments made in each of the first three calendar 
 years in which an insurer issues compensation policies shall be dis- 
 tributed as follows: In the first calendar year one hundred per centum 
 shall be charged to the policies written in that year, in the second 
 calendar year fifty per centum shall be charged to the policies written 
 in that year and fifty per centum to the policies written in the pre- 
 ceding year, in the third calendar year forty-five per centum shall be 
 charged to the policies written in that year, forty-five per centum to the 
 policies written in the preceding year and ten per centum to the poli- 
 cies written in the second year preceding, and a schedule showing 
 such distribution shall be included in the annual statement. 
 
 13 
 
1966y 194 Ch. 89 
 
 Whenever in the judgment of the commissioner of insurance, the 
 liability or compensation loss reserves of any insurer under his super- 
 vision, calculated in accordance with the foregoing provisions are 
 either inadequate or excessive, he may, in his discretions require or 
 permit such insurer to set up reserves based upon estimated individual 
 claims or such other basis as he may approve. 
 
 Schedule of experience to be filed. 
 4. Each insurer that writes liability or compensation policies shall 
 include in the annual statement required by law a schedule of its ex. 
 perience thereunder in such form as the commissioner of insurance 
 may prescribe. 
 
 Notice of injury, condition to be printed on policy; service of. 
 
 Section 1966 — 49a. It shall be unlawful for any accident or casualty 
 insurance company, corporation or association licensed to transact 
 business in the state of Wisconsin, its officers, employes or agents to 
 limit by any means or in any manner the time for the service of any 
 notice of injury that may be required of the person insured, to a less 
 period of time than twenty full, calendar days. 
 
 The time, not less than twenty full, calendar days, that may be re- 
 quired of any insured person for serving a notice of injury as provided 
 in section 1* of this act, shall be clearly and conspicuously written or 
 printed upon the face of every accident or casualty insurance policy 
 or certificate issued to any person. 
 
 'Refers to the first paragraph of 1966 — J^Oa. 
 
 The deposit in any post office by any insured person, his agent or at- 
 torney, of a registered, postage prepaid letter, containing the proper 
 notice of injury at any time within twenty full, calendar days after 
 the injury received by the assured, properly addressed to the company, 
 corporation or association issuing the accident or casualty policy or 
 certificate, shall he a lawful and sufficient service of any notice of 
 injury that may be required. 
 
 DEPARTMENT OF INSURANCE 
 Commissioner, quaiifications. appointment, term. 
 
 Section 1966y. 1. The governor, by and with the advice and con- 
 sent of the senate, shall appoint a commissioner of insurance forth- 
 with upon the taking effect of this act, and every four years thereafter. 
 Such commissioner shall hold office for four years and until his suc- 
 cessor is appointed and qualified. Any vacancy shall be filled by the 
 governor for the unexpired term, subject to confirmation by the senate, 
 but such appointment shall be in force until acted upon by the senate. 
 
 2. The person so appointed as such commissioner shall be known to 
 possess a knowledge of the subject of insurance, and skill in matters 
 pertaining thereto. No person appointed as such commissioner shall 
 
Ch. 89 195 196S 
 
 hold any other office under the laws of this or of any other state or of 
 the United States. Such commissioner shall devote his entire time to 
 the duties of the office, and shall not hold any position of trust or profit, 
 engage in any occupation or business interfering with or inconsistent 
 with his duties, or serve on or under any political committee or as 
 manager of any political campaign for any candidate or party. 
 
 3. All duties, rights, privileges, powers, compensation, and liabili- 
 ties, now by law granted to or imposed upon the commissioner of in- 
 surance, are merged in and extended to the office of commissioner of 
 insurance, hereby created, so that the office hereby created shall in all 
 respects succeed to and stand in lieu of the former office of commis- 
 sioner of insurance, which is abolished from and after the taking 
 effect of the first appointment under this section. 
 
 Oath, bond, etc. 
 Section 1967. The commissioner of insurance shall take and file the 
 official oath and execute and file an official bond in the penal sum of 
 one hundred thousand dollars, with six or more good and sufficient 
 sureties or a surety company, which bond shall be approved by the 
 governor, and in event that the commissioner of insurance elects to 
 give a surety bond as provided herein, the cost of the same shall be 
 borne by the state providing the same does not exceed one-fourth of 
 one per cent per annum on the amount of said bond. The cost of said 
 bond shall be charged to the proper appropriation for the commissioner 
 of insurance. Said commissioner shall have an official seal, and shall 
 conduct or cause to be conducted all examinations of the affairs of in- 
 surance corporations that are or may be required by law; and gen- 
 erally shall exercise such supervision and control over insurance com- 
 panies doing business in this state as the law may require. He shall 
 hold his office in the capitol and be provided by the superintendent 
 of public property with postage, stationery, and office supplies, and the 
 printing board shall furnish necessary printing. All reports required 
 to be made by any insurance corporation shall be made to said com- 
 missioner. 
 
 Deputy; employes; appointment; filing. 
 Section 1967a. The commissioner of insurance may appoint a dep- 
 uty who shall be known as deputy commissioner of insurance, and 
 who shall take and file the official oath and give such bond to the com- 
 missioner as he may prescribe. The deputy shall have the same power 
 over all matters connected with the office of the commissioner of insur- 
 ance as the commissioner has whenever detailed by him to do special 
 acts, or in case of the sickness or absence of the commissioner from 
 the capitol. 
 
 Examinations; peyocatlon of licenses; admission; deposit; em- 
 ployes; expenses; collection; adult; payment. 
 
 Section 1968. 1. The commissioner of insurance may address in- 
 quiries to any insurance company doing business in this state, or any 
 
1966— S inO Ch. 89 
 
 officer thereof in relation to its doings or condition, or any other 
 matter connected with its transaction; and it shall be the duty of every 
 company, or officer so addressed to promptly reply in writing to such 
 inquiries; and 
 
 2. Whenever he shall deem it expedient so to do, or when any re- 
 sponsible person shall file with him written charges against any such 
 company alleging that any return or statement filed by it with such 
 commissioner is false, or that its affairs are in an unsound condition, 
 he shall, in person, or by some one to be appointed by him for that 
 purpose, not an officer or agent of, or in any manner interested in, 
 any insurance company doing business in this state, except as a policy- 
 holder, examine into its affairs and condition; and it shall be the duty 
 of the company, its officers or agents to cause its books to be opened 
 for inspection. 
 
 3. Whenever it shall appear to the commissioner of insurance that 
 any foreign company authorized to transact business in this state is in 
 an unsound financial condition he may revoke the certificate granted 
 such company; and he shall cause a notice of such revocation to be 
 published in the official state paper and mail a copy thereof to each 
 agent of the company. The agent or agents of such company, after 
 such notice, shall immediately discontinue writing business for such 
 company. 
 
 4. The commissioner shall examine insurance companies applying 
 for admission to transact business in this state, and If the affairs or 
 condition of any such company do not fully meet the requirements of 
 law he shall withhold his certificate. 
 
 5. The commissioner may require from any insurance company and 
 any mutual benefit society, before, and from time to time during any 
 examination, a deposit with him of such amount as he shall estimate 
 necessary for the expense of such examination. The company or so- 
 ciety, through the commissioner, as ordered by him, shall pay into the 
 state treasury the actual cost of such examination in expenses paid 
 or to be paid by the state, and compensation to persons other than offi- 
 cers and employes of the state, and the balance deposited, if any, shall 
 be returned to the company or society making such deposit, at the close 
 of such examination. Whenever the insurance department of any other 
 state shall charge a per diem fee for examination of companies of 
 this state, then insurance companies of such other state shall be re- 
 quired to pay the same fee per diem when examined by the insurance 
 department of this state. Such examination fees shall be paid into 
 the state treasury. 
 
 6. The commissioner may employ such persons at such compensa- 
 tion fixed by him in advance as may be necessary and reasonable for 
 the making of any examination, investigation or prosecution provided 
 for by law. 
 
 8. Such actual and reasonable expenses shall include only actual 
 disbursements for railroad fare and other public conveyance by the 
 most usual and most direct or most traveled route, sleeper, meals. 
 
Ch. 89 197 1969 
 
 rooms, postage, telegraph, telephone, public messenger and steno- 
 graphic service. 
 
 Section 1968 is refei~red to in section 20.55. 
 
 Testimony; depositions; witnesses; compelling attendance; 
 stenographer; fees. 
 
 Section 1968f. 1. The commissioner of insurance shall have power 
 to administer oaths and to i-equire and compel the attendance of wit- 
 nesses and the production of papers, books, accounts, documents, 
 records, and other testimony, in any investigation, examination, action, 
 or proceeding which he is authorized to make, hear or determine. The 
 commissioner or any party may, in any such investigation, examina- 
 tion, action, or proceeding, cause the depositions of witnesses residing 
 within or without the state to be taken in the manner prescribed by 
 law for like depositions in civil actions in circuit court. 
 
 2. The provisions of section 1797 — 13 shall apply to any case of dis- 
 obedience on the part of any person or persons to comply with any order 
 of the commissioner or any subpoena, or on the refusal of any such 
 witness to testify in such case. 
 
 3. The commissioner shall also have power to employ such steno- 
 graphic assistance as necessary for the taking and preservation of such 
 testimony. 
 
 4. The same fees shall be paid for the service of such process and 
 for the travel and attendance of such witnesses and for the taking of 
 such depositions as provided by statute for civil cases in the circuit 
 court, and the fees for stenographic service shall not exceed the sum 
 so provided for such services in the circuit court. Payment thereof 
 shall be made out of the state treasury upon the warrant of the secre- 
 tary of state authorized by the certificate of the commissioner of in- 
 surance, and charged to the proper appropriation for the commissioner 
 of insurance. 
 
 Restoration of capital. 
 Section 1969. Any insurance corporation which shall have been di- 
 rected to require its capital to be made good, as required in the pre- 
 ceding* section, shall forthwith call upon its stockholders for the 
 necessary amount, and in case any stockholder of such corporation or- 
 ganized under the laws of this state shall refuse to pay the amount 
 so called for, after notice personally given or by advertisement in 
 such time and manner as the commissioner of insurance shall pre- 
 scribe, such corporation may require the return of the original certifi- 
 cate of stock held by him and in lieu thereof issue new certificates 
 for such number of shares as the said stockholders may be entitled 
 to in the proportion that the ascertained value of the funds of such 
 corporation may be found to bear to the original capital; the value of 
 such shares for which new certificates shall be issued to be ascer- 
 tained under the direction of said commissioner, the corporation pay- 
 ing for the fractional parts of shares; and the directors may create 
 
 'Refers to section 1966 — ^6. 
 
1970m 198 Ch. 89 
 
 new stock and dispose of the same to an amount sufficient to make up 
 the original capital; and in the event of any additional losses accruing 
 from new risks taken after the expiration of the period limited by said 
 commissioner for the filling up of the deficiency in the capital, and 
 before such deficiency shall have been made up, the directors or trus- 
 tees shall be individually liable to the extent thereof. The transfer of 
 the stock of any such corporation, made during the pending of such in- 
 vestigation, shall not release the party making the transfer from his 
 liability for losses which may have occurred previous to such transfer. 
 
 Reduction of capital. 
 Section 1970. Whenever it shall appear to the commissioner of in- 
 surance, from an examination thereof, that the capital stock of any 
 stock insurance corporation organized under any law of this state is 
 impaired to an amount exceeding twenty-five per cent thereof, and he 
 shall be of opinion that the interests of the public will not be prejudiced 
 by permitting such corporation to continue with a reduced capital, such 
 corporation may, with his permission, reduce its capital and the par 
 value of the shares thereof to such amount as he shall certify to be in 
 his opinion justified by the assets and property of such corporation; 
 but no part of such assets and property shall be distributed to 
 the stockholders, nor shall the capital stock of such corporation be re- 
 duced in any case to an amount less than the sum required by law for 
 the organization of a new corporation for the transaction of the same 
 kind of business at a place where such corporation is located. Such a 
 reduction of the capital stock shall only be made by adoption of a reso- 
 lution by its directors, approved and signed by at least two-thirds of 
 the directors, and by its president, with the corporate seal fixed, and 
 filed in the office of the commissioner of insurance. Upon the filing of 
 such resolution the commissioner of insurance shall execute a new 
 patent to such corporation to conform with such reduced capital, and 
 the articles of organization shall be deemed to be amended accordingly 
 in respect to the amount of its capital and of the par value of its 
 shares so as to conform to such reduction. Such corporation may re- 
 quire the return of the original certificate of stock held by each stock- 
 holder and in lieu thereof issue new certificates of such number of 
 shares each stockholder may be entitled to. 
 
 Delinquent or insolvent companies; liquidation; commissioner's 
 application to court. 
 
 Section 1970m. 1. The commissioner of insurance may apply on a 
 verified petition to the circuit court or the presiding judge thereof, in 
 the county in which the home office of any domestic insurance com- 
 pany or fraternal or mutual benefit society is located, for the order 
 mentioned in the following subsection, whenever such company or 
 society: 
 
 (a) Is insGlvent; or 
 
Ch. 89 199 1970m— 3 
 
 (b) has refused to submit its books, papers, accounts, or affairs to 
 the reasonable inspection and examination of the commissioner, his 
 deputy, or examiner; or 
 
 (c) has neglected or refused to obey an order of the commissioner 
 to make good within the time prescribed by such order pursuant to law 
 any deficiency, whenever its capital, if a stock company, or its reserve, 
 if a mutual company, shall have become impaired; or 
 
 (d) has, by contract of reinsurance or otherwise, transferred or at- 
 tempted to transfer its entire property or business, or entered into any 
 transaction, the effect of which is to merge substantially its entire 
 property or business in the property or business of any other company 
 or society, without having first obtained the written approval of the 
 commissioner; or 
 
 (e) is found, upon examination, to be in such condition that its 
 further transaction of business will be hazardous to its policyholders, 
 or to its creditors, or to the public; or 
 
 (f) has wilfully violated its charter or articles of incorporation, or 
 any law of the state; or 
 
 (g) any officer thereof has refused to be examined on oath touching 
 its affairs. 
 
 Order to show cause; injunction; discharge. 
 2. (a) On such application, an order may be made directing the 
 company or society to show cause why the commissioner should not 
 take possession of its property and conduct its business, and for such 
 other relief as the nature of the case and the interests of its policy- 
 holders, creditors, stockholders, and the public may require. 
 
 (b) The court may also, at any time after such application, issue 
 an injunction restraining such company or society from the transac- 
 tion of its business or disposition of its property, and may authorize 
 the commissioner to immediately enter into the possession of such prop- 
 erty and the conduct of such business, until the further order of the 
 court. 
 
 (c) On the return of the order to show cause, and after a full hear- 
 ing, the court shall either deny the application or direct the commis- 
 sioner forthwith to take possession of the property and conduct the 
 business of such company or society, and retain such possession and 
 conduct such business until on the application of the commissioner or 
 of such company or society, it shall after a like hearing appear to the 
 court that the ground for such order has been removed and that such 
 company or society can properly and safely resume possession of its 
 property and the conduct of its business. 
 
 Liquidation. 
 
 3. If, on a like application and order to show cause, and after a 
 full hearing, the court shall order the liquidation of the business of 
 such corporation, such liquidation shall be made by and under the 
 direction of the commissioner, who may deal with the property and 
 
1970m— 7 200 Ch. 89 
 
 business of such company or society in his own name as commis- 
 sioner, or in the name of the company or society, as the court may 
 direct, and shall be vested by operation of law with the title to all 
 of the property, contract, and rights of action of such company or 
 society, as of the date of the order so directing him to liquidate. 
 The filing or recording of such order shall impart the same notice 
 that a deed, bill of sale, or other evidence of title duly filed or re- 
 corded by such company or society would have imparted. 
 
 Special employes. 
 
 4. For the purpose of this section, the commissioner shall have power 
 to appoint, under his hand and official seal, one or more special depu- 
 ties as his agent or agents, and to employ such counsel, clerks, and 
 assistants as may by him be deemed necessary. The commissioner, 
 his deputy, examiner, and special deputies shall have power to compel 
 the production of books, papers, and documents and to administer 
 oaths and examine and take the testimony of any person with regard 
 to the business affairs and condition of such company or society. 
 The compensation of such special deputies, counsel, clerks, and as- 
 sistants, and all expenses of taking possession of and conducting the 
 business of liquidating any such company or society shall be fixed 
 by the commissioner, subject to the approval of the court, and shall, 
 on certificate of the commissioner, be paid out of the funds or assets 
 of such company or society. 
 
 Regulations. 
 
 5. For the purposes of this section, the commissioner shall have 
 power, subject to the approval of the court, to make and prescribe 
 such rules and regulations as to him shall seem proper. 
 
 Report. 
 
 6. The commissioner shall transmit to the legislature, in his annual 
 report, the names of the companies or societies so taken possession 
 of. whether the same have resumed business or have been liquidated, 
 and such other facts as shall acquaint the policyholders, creditors, 
 stockholders, and the public with his proceedings under this section; 
 and to that end, the special deputy in charge of any such company or 
 society, shall file annually with the commissioner, a report of the 
 affairs of such company or society. 
 
 Section applies to promoters. 
 
 7. The provisions of this section shall extend to the promoters, or- 
 ganizers, trustees, or ofher persons having charge of the property 
 or affairs of any domestic insurance company or fraternal or mutual 
 benefit society proposed or attempted to be organized, including also 
 any corporation organized or proposed to be organized to hold or 
 control the stock or securities of any such insurance company, and 
 to any property within the jurisdiction of the courts of this state 
 
Ch. 89 
 
 201 19700 
 
 belonging to any local or foreign company, society, or corporation, 
 whether organized or proposed to be organized. 
 
 Section 1070ni is referred to in 1970n. 
 
 Insolvency, commissioner to have power given to commissioner of 
 banking. 
 
 Section 1970n. As an alternative and in addition to the provisions 
 of section 1970m, all the powers and authority conferred upon the 
 commissioner of banking, by section 2022 or any amendment thereto 
 as to banking corporations, are hereby conferred upon and extended 
 to the commissioner of insurance as to all insurance companies and 
 fraternal or mutual benefit societies. 
 
 Actions by state against insurance companies to enforce liability 
 to policyholders after expiration of license. 
 
 Section 1970o. Whenever the commissioner of insurance shall be 
 satisfied that any insurance company, or fraternal benefit society or 
 other insurer, theretofore licensed to transact business in this state, 
 whose license has expired or has been revoked, does or omits to do 
 any act whereby the rights of policyholders of such company, society 
 or insurer, who are citizens of this state or who hold contracts issued 
 or delivered in this state, are adversely affected, or whereby its abil- 
 ity to carry out its contracts with such policyholders is adversely 
 affected, or refuses or neglects to make the settlements with or pay- 
 ments to such policyholders, or any class of such policyholders fairly 
 required under its contracts, or in any other respect fails to carry 
 out the agreements in its contracts with all or any class of such pol- 
 icyholders, he may, with the written consent of the governor and 
 attorney-general, made after such company, society or insurer, shall 
 have had notice of and an opportunity for a full hearing before the 
 governor, attorney-general and commissioner of insurance, bring an 
 action in the name of the state of Wisconsin for and in behalf of 
 all policyholders so situated for the purpose of enforcing the rights 
 of all such policyholders. The attorney-general shall act as attorney 
 for the state in every such action, and the action shall be prosecuted 
 and the expenses borne as in other civil actions in behalf of the 
 state. The company, society or insurer, shall be required forthwith 
 to file with the commissioner of insurance a list giving the names 
 and addresses of all policyholders who are citizens of this state or 
 who hold contracts issued or delivered in this state, and who are 
 affected by such action. A notice of the bringing of such action 
 shall be forwarded by mail by the commissioner of insurance to 
 every such policyholder, or in like manner by the company, society 
 or insurer, to every such policyholder when the commissioner of 
 insurance shall so order. Any policyholder affected by such action 
 may intervene and appear therein in person or by attorney. A state- 
 ment of every action so brought shall be made in the annual report 
 of the commissioner of insurance. 
 
1971 202 Ch. 89 
 
 Order of commissioner; service of notice. 
 Section 1970p. 1. Notice of the making of any order by the com- 
 missioner of insurance may be given by sending to any company, 
 society, or person affected thereby, a copy of such order by prepaid 
 registered mail, the service of which notice shall be complete upon 
 the delivery or tender of the same to such company, society, or per- 
 son by the postal authorities, and may be proved by the receipt of 
 the addressee on the form used by the postal authorities. 
 
 Rehearing by commissioner. 
 
 2. Within ten days after receiving from the commissioner of in- 
 surance written notice of the making of any order authorized by 
 law, and not thereafter, the company, society, or person affected 
 thereby, by verified petition specifying the reasons therefor, may 
 ask for a rehearing and review thereof before the commissioner, 
 which shall be had within ten days unless such company, society, 
 or person shall request otherwise, and the final order shall be made 
 within three days after the close of such hearing. All evidence pre- 
 sented on such hearing shall be carefully preserved. 
 
 Procedure for court review; exception. 
 
 3. Any such final order may be reviewed in the circuit court for 
 Dane county, subject to removal as in other cases, provided: 
 
 (a) The application for such review stating the grounds thereof 
 shall be made and notice given to the commissioner within ten days 
 after notice of such final order, and not otherwise. 
 
 (b) Such application shall be heard upon all the evidence presented 
 before the commissioner and no further or additional evidence shall 
 be presented before the court. But the applicant shall be entitled to 
 a further hearing or further hearings before the commissioner, at 
 which either party may present additional evidence on which the 
 commissioner may make such further order as the case may require. 
 
 (c) That no review, under this subsection, shall be had upon any 
 order of the commissioner granting or refusing the license or authority 
 of any company or mutual benefit society not organized under the 
 laws of this state, to transact business in this state, where such com- 
 pany or society shall not on the date of the application for such 
 license or authority, be transacting business in this state under a 
 license or authority theretofore granted. 
 
 Statements; publication. 
 Section 1971. The commissioner of insurance shall prepare and 
 furnish to each insurance corporation organized under the laws of 
 this state and to the attorneys of corporations incorporated in other 
 states and countries, doing any business of insurance in this state, 
 printed forms of annual and other statements as required by law to 
 be made by such corporations, and may make such changes in such 
 forms as shall seem best adapted to elicit from them a true exhibit 
 
Ch. 89 203 1972a 
 
 of their condition in relation to the matters required by law to be 
 reported to him; and all such corporations shall make such state- 
 ments as required by said commissioner; and he may, for such rea- 
 sons as he shall deem sufficient, extend the time for filing such an- 
 nual statements, but not exceeding sixty days. He shall cause the 
 information contained in such statements to be arranged in tabular 
 form and publish the same with his report. Expenses incurred by 
 the commissioner of insurance in carrying out the provisions of this 
 section shall be charged to the proper appropriation for the commis- 
 sioner of insurance. 
 
 Fees; filing charter; agents' licenses. 
 
 Section 1972. 1. Except as otherwise provided by law there shall 
 be paid to the state through the commissioner of insurance in addi- 
 tion to the fees elsewhere in these statutes provided for, by every 
 insurance corporation, person or agent to whom this chapter applies, 
 the following fees: 
 
 (a) For filing the first declaration or statement, with certified copy 
 of charter, twenty-five dollars; 
 
 (b) For filing the annual statement of any insurance corporation, 
 twenty-five dollars; 
 
 (c) For each certificate of authority issued to the agent of any com- 
 pany one dollar. A separate certificate shall be required for each 
 company represented by an agent and for each member of any firm; 
 
 (d) For every certified copy of a paper filed in his office, ten cents 
 per folio; 
 
 (e) For certifying and affixing his seal to any such copy or any 
 other paper, fifty cents. 
 
 (f) Every insurance corporation of a foreign country applying for 
 a license to do business in this state and making a deposit with the 
 treasurer of this state under the provisions of subsection 4 of section 
 1915, shall pay as a fee therefor one dollar for each one thousand dol- 
 lars of the required deposit, which fee shall include the sum required 
 by subdivision (a) of subsection 1 of this section. 
 
 2. In case two or more corporations shall combine to effect insur- 
 ance under a joint policy or policies, each and every such corporation 
 so combining shall pay the fees above provided the same as if each 
 and every one wrote separate policies. 
 
 Section 1972 is referred to in 1959 (30), 1976 (2). 
 
 Proceedings if law violated; expenses. 
 Section 1972a. The commissioner of insurance shall bring notice 
 of the violation of any of the provisions of this chapter by insurance 
 companies to the notice of any company which shall have committed 
 the same; and in case of persistent violation thereof, by any com- 
 pany he shall, if the company be incorporated under the laws of this 
 state, report the same to the attorney-general; and if it be incor- 
 porated under the laws of any other state or country he shall revoke 
 its authority to do business in this state; and upon satisfactory 
 
1972h 204 Ch. 89 
 
 evidence to him of the violation of any of such provisions by any 
 agent of any such corporation he shall revoke the license of such 
 agent. Said commissioner shall also bring or cause actions to be 
 brought to recover all forfeitures imposed by these statutes for a 
 violation of any of their provisions by insurance companies or their 
 agents. It shall be the duty of the attorney-general to prosecute 
 in the name of the state or to compromise every such forfeiture; 
 and his necessary expenses incurred in so doing, when so certified, 
 shall be charged to the proper appropriation for the attorney-gen- 
 eral. All forfeitures collected in such actions shall be paid to the 
 state treasurer for the benefit of the general fund. The insurance 
 commissioner shall represent this state at the annual meeting of the 
 national convention of the insurance commissioners of the several 
 states. 
 
 Commissioner's report. 
 Section 1972b. The commissioner of insurance shall keep and 
 preserve in a permanent form a full record of his proceedings, in- 
 cluding a concise statement of the condition of each insurance com- 
 pany reported, visited or examined by him; and shall, annually, at 
 the earliest practicable date make a report to the governor of the 
 general conduct and condition of all such companies doing business 
 in this state, arranged in tabular form or in abstracts, in classes, 
 according to the different kinds of insurance, which report shall 
 also contain: 
 
 (1) A statement of all insurance companies authorized to do busi- 
 ness in this state during the year ending the thirty-first day of De- 
 cember next preceding, with their names, locations, amounts of capital, 
 dates of incorporation and of the commencement of business, and 
 kinds of insurance in which they are engaged respectively. 
 
 (2) A statement of such companies as have ceased to do business 
 in this state during such year and the reasons for the same; also a 
 statement of those admitted during the year and of those refused 
 admission, and the reasons therefor. 
 
 (3) Any amendments to the statutes relating to insurance Avhich in 
 his judgment may be desirable, and such other information and com- 
 ments in relation to insurance and the public interest therein as he 
 deems fit. 
 
 (4) The names and compensation of the persons employed by him, 
 the whole amount of the expenses of his department, the amount of 
 taxes and fees paid by each corporation and the amount and date of 
 payment of the same to the state treasurer. There shall be printed 
 and in readiness for distribution, two thousand copies of the fire and 
 marine report, two thousand five hundred copies of the life, casualty 
 and surety report and two thousand five hundred copies of the local 
 mutual report for the use of the governor, legislature and department 
 of insurance. 
 
 There shall be printed and in readiness for distribution two thou- 
 sand copies of such report for the use of the governor, legislature 
 
Ch. S9 205 1973m 
 
 and department of insurance, and said commissioner may, in his 
 discretion, cause to be bound together or separately the portions re- 
 lating to life, fire, casualty and suretyship insurance. 
 
 Section l'.>':2 is referred to in 1959 (30), 1970 (2). See section 19700, 1977 — 4. 
 
 Payments; monthly report; examination of bootcs. 
 Section 1972c. The commissioner of insurance shall make daily 
 payments to the state treasurer of all fees and taxes received and 
 shall, oiithe first day of each month, report in detail the receipts of 
 his depdWment during the preceding month to the governor, secre- 
 tary of state and state treasurer, together with the date of such 
 payments to the treasurer; and it shall be the duty of the governor, 
 secretary of state and state treasurer to quarterly examine and audit 
 the books and records of the department of Insurance. 
 
 IVliSCELLANEOUS PROVISIONS 
 
 State treasurer to hold securities. 
 Section 1973. The state treasurer, in his official capacity, shall 
 take and hold on deposit the securities of any life insurance corpora- 
 tion incorporated under the laws of this state which are deposited 
 by it for the purpose of securing policyholders and complying with 
 the lav/s of any other state in order to enable such corporation to 
 transact business in such state, and also to receive and hold in trust 
 for the policyholders of any other insurance corporation of this state 
 such bonds, stocks or other securities as may be offered by such cor- 
 poration; and upon the application of such corporation to give such 
 a certificate from year to year of such deposit as may be required 
 by the laws of other states in order to the transaction of the busi- 
 ness of insurance therein; every corporation depositing such secur-- 
 ities shall have the right to receive the income thereof and to ex- 
 change the same from time to time, according to the laws of the 
 state in which it may be doing business, and to withdraw the same 
 when it no longer desires to maintain such deposit. 
 
 Deposit with state treasurer for payment of fees; withdrawal of 
 balance. 
 
 Section 1973m. Any insurance company, fraternal benefit society 
 or other insurer required to pay any fees to the state through the 
 commissioner of insurance, may, subject to the approval of said com- 
 missioner, make a deposit with the state treasurer, from which any 
 such fees shall be paid and transferred, as ordered by the commis- 
 sioner at specified times which shall not be less than twice each 
 year.* Any balance remaining from any such deposit at the end of 
 any calendar year may be audited by the secretary of state upon the 
 certificate of said commissioner, and paid out of the state treasury. 
 There is appropriated a sufficient sum to carry out the purposes of 
 this section, not exceeding the sums so deposited. 
 
 'The last sentence of this section is renumbered to be 20.06 (5). 
 
1976—2 206 Ch. 89 
 
 Nonpayment of judgment. 
 
 Section 1974. No insurance corporation or mutual benefit corpor- 
 ation, society, order or association doing any kind of insurance in this 
 state against which a final judgment on account of its liability as 
 an insurer or as such other corporation shall have been recovered in 
 any court therein shall, after sixty days from the rendition of such 
 judgment and whilst the same remains unpaid, issue any new policy 
 or certificate of insurance in this state; and in case any such insur- 
 ance or other corporation or its officers shall violate the provisions 
 of this section it shall forfeit one thousand dollars. And any agent 
 of any such corporation who shall knowingly so violate the same shall 
 forfeit not less than one hundred nor more than five hundred dollars; 
 provided, that if an appeal is taken said sixty days shall not begin 
 to run until after said judgment has been affirmed and the decision 
 upon the repeal remitted. 
 
 And in case any order or judgment appealed from shall be af- 
 firmed in any action or judicial proceeding, in which any surety cor- 
 poration, company or association authorized to issue bonds or under- 
 takings in any such action or proceeding shall have executed or 
 issued any such bond or undertaking as a condition of a stay of 
 proceedings upon such order or judgment so affirmed, or to guar- 
 antee the payment or performance thereof, if such surety company 
 shall not, within thirty days after notice of the filing of the remit- 
 titur, fully perform its undertaking in respect thereto, it shall for- 
 feit its right or license to transact such business in this state until 
 such order or judgment shall have been fully paid, performed or 
 complied with in accordance with the terms and conditions of such 
 undertaking. 
 
 Agent's licenses; exceptions. 
 
 Section 1976. 1. No person, officer, or broker, agent or subagent 
 of any insurance corporation of any kind required to pay any tax or 
 license fee to the state shall act or aid in any manner In transacting 
 the business of or with such corporation in placing risks or in col- 
 lecting any premiums or assessments or effecting insurance therein, 
 without first procuring from the insurance corporation a certificate 
 of authority; nor shall any such person, officer, broker, agent, or 
 subagent, after such certificate shall have expired, or after revoca- 
 tion by the commissioner of insurance of such certificate or of the 
 license of such corporation and until a new certificate or license 
 shall have been issued to him, do or perform any such act for or in 
 behalf of any insurance corporation. The exceptiohs herein shall 
 not apply to mutual insurance corporations or fraternal benefit so- 
 cieties not maintaining a lodge system which corporations or so- 
 cieties issue only policies of health or accident insurance or both. 
 
 Issue by company; return to commissioner. 
 2. No such certificate shall be issued by any other than the offi- 
 cers or resident agent of such corporation signing the policies of 
 
Ch, SO 207 1976—7 
 
 insurance issued by it or a person duly authorized thereto in writing 
 by such officers or resident agent, after a copy of such authority 
 has been filed in the office of the commissioner of insurance; nor 
 unless the same shall be in such form as prescribed by the commis- 
 sioner of insurance and numbered consecutively as issued by the 
 person authorized thereto, and a statement or statements of the 
 names and residences of all persons to whom such certificates are 
 issued on any day, in such form as prescribed by the commissioner, 
 together with the fees provided for certificates to agents by section 
 1972, shall be mailed to said commissioner on the day such certifi- 
 cates are issued. 
 
 Certificates in force; not affected. 
 
 3. All certificates of authority heretofore issued under this section 
 shall remain in force until the time of their expiration or revocation 
 as heretofore provided by law, and all certificates hereafter issued shall 
 expire annually upon the expiration of the license of the company 
 issuing the same, unless previously revoked, pursuant to law. 
 
 Penalty; forfeiture. 
 
 4. Any person violating the provisions of this section shall be pun- 
 ished by a fine of not more than five hundred dollars for each offense. 
 Any company violating subsection 2 of this section shall pay five times 
 the amount of fees upon each license included in such violation. 
 
 License, division of commissions, exceptions. 
 
 5. No person shall be required to hold such certificate of authority 
 from more than one company for the purpose of acting as agent and 
 receiving commissions for transacting the kind or kinds of insurance 
 authorized by such certificate for any other company in co-operation 
 with any person holding such certificate of authority for such other 
 company. This subsection shall not apply to life insurance. 
 
 No license to corporation. 
 
 6. No corporation or stock company shall be licensed as agent of 
 any insurance company for the purpose mentioned in subsection 1. 
 
 Section 1976 is referred to in 19i3m (1), 1955o (2). 
 
 Life insurance agent's qualifications. 
 
 7. Upon written notice by a life insurance company authorized 
 to transact business in this state of its appointment of a person to 
 act as its agent herein, the insurance commissioner shall, if he is 
 satisfied that the appointee is a trustworthy and reliable person and 
 Intends to hold himself out in good faith as a life insurance agent, 
 issue to him a license which shall state, in substance, that the com- 
 pany is authorized to do business in this state, and that the person 
 named therein is the constituted agent of the company in this state 
 for the transaction of such business as it is authorized to transact 
 herein. Such notice shall be upon a form furnished by the insur- 
 
J977 208 Ch. 89 
 
 ance commissioner giving such information as he may require, and 
 shall be accompanied by a statement under oath by the appointee 
 which shall give his name, age, residence, occupation, his occupation 
 for the five years next preceding the date of the notice, and such 
 other information, if any, as the insurance commissioner may re- 
 quire. Such license shall be executed in triplicate; one copy thereof 
 shall be filed in the office of the commissioner (which copy may be 
 oi a form and size deemed most comvenient for filing) and one copy 
 thereof shall be sent to such agent, and one copy to the company. 
 The insurance commissioner may at any time after the granting of 
 such license, for cause shown, and after a hearing, determine any 
 person so appointed, or any person theretofore appointed as agent, 
 to be untrustworthy and unreliable to act as such agent, and shall 
 thereupon revoke such license and notify both the company and the 
 agent of such revocation. Unless revoked by the commissioner, or 
 unless the company by written notice to the commissioner cancels 
 the agent's authority to act for it, such license and any other license 
 issued to an agent or any renewal thereof shall expire on the first 
 day of March next after its issue. But any license issued and in 
 force when this act takes effect, or thereafter issued, may, in the 
 discretion of the commissioner, be renewed to act for such company 
 for a succeeding year or years by a renewal application for such li- 
 cense from such insurance company upon a form furnished by the 
 commissioner. While such license remains in force a foreign com- 
 pany shall be bound by the acts of the persons named therein within 
 his apparent authority as its acknowledged agent. Any agent whose 
 license has been revoked for withholding or converting to his own 
 use premiums collected, or discounting a note taken in payment of 
 a premium before the issuance and delivery of the policy to the in- 
 sured, or for misrepresentation of the conditions, privileges or ben- 
 efits of a policy, or the financial or other condition of a company, or 
 for wilfully and with intent to deceive misrepresenting the condi- 
 tion of any applicant as an insurance risk, or for twisting, or for 
 violation of the insurance laws of this state, shall be debarred from 
 having such license renewed for a period of not less than six months 
 nor more than three years, as the commissioner shall deem appro- 
 priate. 
 
 Filing certificates; destruction after six years. 
 Sectiox 1976m. The commissioner of insurance shall keep in his 
 office a complete file of all certificates of authority issued in accord- 
 ance with section 1976; provided, that he may at any time order the 
 destruction of any such certificates heretofore or hereafter filed which 
 shall have been filed in his office for not less than six years. 
 
 Who are agents. 
 SEfTiox 1977. Every person or member of a firm or corporation who 
 solicits insurance on behalf of any insurance corporation or person 
 desiring insurance of any kind, or transmits an application for a 
 
Ch. 89 209 1977—3 
 
 policy of insurance, other than for himself, to or from any such cor- 
 poration, or who makes any contract for insurance, or collects any 
 premium for insurance, or in any manner aids or assists in doing 
 either, or in transacting any business of like nature for any insurance 
 corporation, or advertises to do any such thing, shall be held to be an 
 agent of such corporation to all intents and purposes, unless it can be 
 shown that he receives no compensation for such services. This 
 section shall not apply to agents of licensed fraternal beneficiary 
 societies, or mutual fire insurance companies of this state except 
 those organized under sections 1896, 1897 and 1898. 
 
 Insurance, application for; warranty; effect of. 
 Section 1977 — 1. No oral or written statement, representation, or 
 warranty made by the insured or in his behalf in the negotiation of 
 a contract of insurance shall be deemed material or defeat or avoid 
 the policy, or prevent its attaching unless such statement, representa- 
 tion, or warranty was false and made with actual intent to deceive or 
 unless the matter misrepresented or made a warranty, Increased the 
 risk or contributed to the loss. 
 
 Insurance policy; warranty; effect. 
 
 2. No warranty incorporated in a contract of insurance relating to 
 any fact prior to a loss shall defeat or avoid such policy unless the 
 breach of such warranty increased the risk at the time of the loss, 
 or contributed to the loss, or unless such breach existed at the time of 
 the loss. 
 
 3. The provisions of this section shall apply to fraternal or mutual 
 benefit societies. 
 
 Formerly section Jf202m. 
 
 Representations, physician's certificate. 
 
 Section 1977 — 2. In any case where the medical examiner, or physi- 
 cian acting as such, of any life or disability insurance company or 
 association doing business in this state, shall issue a certificate of 
 health or declare the applicant a fit subject for insurance, or so re- 
 port to the company or association or its agent under the rules and 
 regulations of such company or association, it shall thereby be 
 estopped from setting up in defense of an action on such policy or 
 certificate that the insured was not in the condition of health re- 
 quired by the policy at the time of the issue or delivery thereof, un- 
 less the same was procured by or through the fraud or deceit of the 
 insured. The provisions of this section shall apply to fraternal or 
 mutual benefit societies. 
 
 Formerly section J,202s. 
 
 Company bound by knowledge of agent. 
 
 Section 1977 — 3. 1. Knowledge of an agent of a fire, casualty or 
 marine insurance company at the time a policy is issued or an applica- 
 tion made shall be knowledge of the company, and any fact which 
 
1978h 210 Ch. 89 
 
 breaches a condition ot the policy and is known to the agent when 
 the policy is issued or the application made shall not void the policy 
 or defeat a recovery thereon in the event of loss. 
 
 Error in name not to avoid policy. 
 2. Error or mistake in designating the person to whom the insur- 
 ance is payable in a policy of fire insurance shall not void the policy 
 notwithstanding its terms, unless it shall be found as a fact that 
 such error or mistake was due to fraud, misrepresentation or con- 
 cealment on the part of the owner of the property, or the person 
 representing him, in procuring the issue of the policy, or that the 
 company would not have issued or continued the policy if it had 
 known the facts. 
 
 Schedule of commissions to agents. 
 Section 1977 — 4. Every company shall at or prior to the filing of its 
 application for license or any renewal thereof file a schedule of per- 
 centages or kinds of commissions paid to Its agents within this state; 
 provided, that the amount of any fixed salary need not be specified. 
 
 Formerly lOTTa (1). 
 
 All insurers to comply with law. 
 Section 1978. No corporation, association, partnership or indi- 
 vidual shall do any business of insurance of any kind, or make any 
 guarantj% contract or pledge for the payment of annuities or endow- 
 ments or money to the families or representatives of any policy or 
 certificate holder, or the like, in this state or with any resident of 
 this state except according to the conditions and restriction of these 
 statutes. And the term insurance corporation as used in this chapter 
 may be taken to embrace every corporation, association, partnership or 
 individual engaging in any such business. 
 
 STATE INSURANCE FOR PUBLIC BUILDINGS 
 
 Powers annulled. 
 
 Section 1978a. No officer or agent of this state, and no person or 
 persons having charge of any public buildings or property of the state, 
 shall pay out any public moneys or funds on account of any insurance 
 against loss by fire or tornado, or shall in any manner contract for or 
 incur any indebtedness against the state on account of any such 
 insurance upon any of the public buildings, furniture, fixtures or 
 property of any kind whatever belonging to the state except in the 
 manner hereinafter provided. 
 
 Section i:nsa i.i referred to in sees. 1978(1. 197Se. 
 
 State insurance fund. 
 Section 1978b. Upon July first, annually, the commissioner of in- 
 surance of the state shall provide for the insurance by the state of 
 
Ch. 89 211 1978c 
 
 all state property subject to destruction by fire for an amount equal 
 to ninety per cent of the cash value of such property, except that the 
 state capitol building shall not be insured for more than five 
 hundred thousand dollars and the state historical library building 
 foi not more than two hundred thousand dollars, in the following 
 manner: First, he shall determine the insurable value of each item 
 of property and shall fix the rate of insurance which in his opinion 
 is the average rate charged by responsible fire and tornado insur- 
 ance companies doing business in this state and issuing insurance 
 policies upon property of similar kind and exposed to risk of fire or 
 tornado in like manner. He shall then ascertain the amount of in- 
 surance in force upon all state property and provide for such addi- 
 tional insurance as is necessary to cover said ninety per cent of the 
 full value of the property in the following manner: He shall certify 
 to the state treasurer the amount of insurance upon such property 
 to be carried by the state and order the state treasurer to credit to 
 an account which shall be kept by the treasurer and known as the 
 "State Insurance Fund" an amount equal to seventy-five per cent 
 of the premium as fixed by the commissioner of insurance, and the 
 amount so credited by the state treasurer to the "state insurance 
 fund" shall be debited by the state treasurer to that account which 
 shall be kept upon his books with the proper officer, agent or board 
 of trustees or regents which may have such public buildings and 
 property in its charge, and the amount so debited by the state treas- 
 urer to said officer, agent or board shall be deducted by him from 
 any funds which may be in his hands, or which may thereafter 
 come into his hands and payable to said officer, agent or board of 
 trustees or regents for the care and maintenance of such public 
 buildings or property. The commissioner of insurance may with 
 the approval of the governor purchase such reinsurance as may in 
 the opinion of said commissioner be necessary to properly distribute 
 the risk; provided no such reinsurance shall be effected when the net 
 risk carried by the state insurance fund shall not equal or exceed one 
 hundred thousand dollars nor where the rate for assuming a propor- 
 tional amount of the risk shall exceed that received by the state in- 
 surance fund. The commissioner of insurance shall collect such rein- 
 surance upon any loss and pay the same into the state insurance fund. 
 
 Section 1978b is referred to in 1978d; J978e. 
 
 Loss; commissioner to adjust; transfer of funds. 
 Section 1978c. 1. In case any buildings or property of the state 
 shall be damaged by fire or tornado, the commissioner of insurance 
 shall within thirty days ascertain and fix the amount of such damage 
 and forthwith file with the state treasurer and the secretary of state 
 a statement of the same. 
 
 Section W78c is referred to in 1978d, 1918e. 
 
 2. When the amount of loss has been fixed and determined by the 
 commissioner of insurance and certified to the secretary of state, the 
 secretary of state shall issue a warrant in the amount fixed by the in- 
 
1978d 212 Ch. 89 
 
 siirance commissioner as a transfer of the amount fixed as damages 
 from the "state insurance fund" and credited to the proper fund of the 
 officer, board ol control, board of trustees, or other agents in whose con- 
 trol said buildings or property belongs, to be used by said officer, board, 
 or agent for the rebuilding or restoring of the property damaged and to 
 be disbursed by the state treasurer in such manner as other stite funds 
 for the use of said officer, board, or agent are paid out, and if at the time 
 of any such award of loss or damage by the commissioner of insurance, 
 there shall not be in the "state insurance fund" an amount equal to such 
 award, the secretary of state shall, notwithstanding this fact, draw his 
 warrant payable from the general fund, and the state treasurer shall 
 promptly pay such warrant out of any moneys in his hands in the man- 
 ner above provided, and the commissioner shall thereafter from time to 
 time order such reimbursement of the general fund from the "state in- 
 surance fund" as he shall deem proper, on which order the secretary of 
 state shall issue his warrant for such transfer. 
 
 County, city and village buildings. 
 Section 1978d. 1. No county or village board or common council, 
 and no officer or agent of any county, city or village liaving charge of 
 any public buildings or property of any county, city or village, and no 
 city council, village, town or school district or library board having 
 charge of any public building or property of a school dis- 
 trict located within any incorporated city or village, shall 
 contract for or pay out any money or funds for insurance, against 
 fire or any other risk upon property, on and after a vote of such 
 board or council to insure under this section, except as may be certi- 
 fied by the commissioner of insurance to be necessary. 
 
 2. After such decision by such board or council, the clerk thereof 
 shall report to the commissioner of insurance each policy of insur- 
 ance which shall then be in force upon any property of any kind 
 belonging to the county, city or village or to the school district, 
 whether under the control of such board or council or any other 
 board, officer or agent, stating the property covered by such policy, 
 the date of the issue and the expiration thereof, the amount and rate 
 of insurance and premium thereon. 
 
 3. After such decision by such board or council, the insurance on 
 all property of any such county, city, town, village or school dis- 
 trict shall be provided for, and adjustment of losses made by the 
 commissioner of insurance, in the manner provided by sections 1978b 
 and 1978c for the insurance of property of the state, except that the 
 premium shall be certified by the commissioner to the clerk of the 
 town, village, city, county or school district. Upon receipt of such 
 certification of premium due, the amount of the premium so certi- 
 fied shall on or before sixty days from the date of such certification 
 bo paid into the state treasury for the benefit of the "state insur- 
 ance fund," in default of which the .same shall become a special 
 charge against such town, village, city, county, or school district, 
 and be included in the next apportionment or certification of state 
 
Ch. 89 213 1978d-7 
 
 taxes and charged and collected as other special charges are col- 
 lected, with interest at the rate of ten per cent per annum from the 
 date such premiums were certified by the commissioner. If any 
 board or council shall so order, the amount of insurance upon the 
 whole or any part of the property under its control shall be fixed at 
 such per centum or sum less than the ninety per centum specified 
 ill section 1978b as may be fixed by such board or council. Any 
 such board or council may pay premiums in advance for five years 
 by filing notice with the commissioner of insurance of its intention 
 io to do, and paying four times the annual premium at the time the 
 first annual premium becomes payable. 
 4. Provided, that policies in force on said date of the passage of 
 a resolution to insure in the "state insurance fund," shall remain 
 in force until terminated, as provided in such policies; and that said 
 clerk shall give notice to the commissioner of each such termina- 
 tion, and the state insurance hereby provided for shall take effect 
 from such termination. 
 
 5. The amount paid on account of any loss shall be disbursed by 
 the county, city or village treasurer or treasurer having charge of 
 the funds of the school district in such manner as other funds for 
 the rebuilding or replacing of any building or other property, on ac- 
 count of which such loss has been incurred, subject to the direction 
 of the board, officer or agent having charge of such building or other 
 property. 
 
 6. For carrying out the provisions of sections 1978a, 1978b, 
 1978c, and this section, the commissioner, with the approval of the 
 governor, may employ such assistants as necessary, and fix their com- 
 pensation, which compensation, together with the expenses of such 
 assistants and of the commissioner and his employes and the expenses 
 of conducting the "state insurance fund," shall be paid out of the state 
 insurance fund on the certificate of the commissioner, audited by the 
 secretary of state. The commissioner of insurance shall make such 
 inspection and report upon all property insured as may be required. 
 
 7. Beginning January first, 1918, and annually thereafter, the state 
 treasurer shall credit the state insurance fund with interest on the 
 average amount in such fund for the preceding twelve months at the 
 average rate of interest earned by the state upon its bank deposits 
 during that period. If said fund shall at any time subsequent to Jan- 
 uary first, 1918, be indebted to the general fund of the state such fund 
 shall be charged, at the end of each calendar year, with interest on 
 such indebtedness at the average rate earned by the state upon its 
 bank deposits during the period of such indebtedness and such sum 
 shall be credited to the general fund, provided that the commissioner 
 of insurance may with the approval of the governor cause such funds 
 to be invested in the securities authorized in section 1951. 
 
1989m— 5 214 Ch. 90m 
 
 CHAPTER 90m— STATE LIFE INSURANCE 
 
 Life fund; purposes. 
 Section 1989m. 1. There is established a "life fund" to be ad- 
 ministered by the state without liability on the part of the state, be- 
 yond the amount of the fund, for the purpose of granting life insur. 
 ance and annuities to persons who, at the time of the granting of such 
 insurance and annuities, are within the state or residents thereof. 
 
 Management by treasurer and insurance commissioner. 
 
 2. The state treasurer shall be ex oflacio treasurer and custodian of 
 the life fund, and all other matters in relation thereto shall be under 
 the supervision of the commissioner of insurance. Each shall give 
 such bond therefor as may be required and approved by the governor 
 and secretary of state, which shall be filed with his official bond. Sub- 
 ject to the general direction of the commissioner of insurance as to 
 the amount to be invested, and the kind and maturity of the securities, 
 and to the approval of the secretary of state, attorney-general, state 
 treasurer and commissioner of insurance acting as a board, the state 
 treasurer shall cause the moneys in the life fund to be invested and 
 reinvested in the securities authorized in section 1951, and in like 
 manner may sell and dispose of such securities as may be necessary 
 in the management of such fund. 
 
 Forms and data. 
 
 3. Within two years from the taking effect of this section, the com- 
 missioner of insurance shall prepare and file in his office forms of 
 applications and policies, schedules of premiums, tables of costs of 
 Insurance and reserve, and other data and forms for carrying out the 
 provisions of this act. 
 
 Life premium basis. 
 
 4. The premiums for life insurance in the life fund shall be based 
 upon the American experience table of mortality with additions for 
 extra hazards, and with interest at three per cent per annum, to which 
 shall be added for expenses and contingencies two dollars per year 
 per thousand dollars of insurance, and an amount distributed equally 
 through each of the possible premium payments, the present value of 
 which shall be equal to one-sixth of the present value of the costs of 
 insurance on the basis aforesaid. 
 
 Basis for annuity premiums. 
 
 5. The premiums for annuities shall be based upon the British offices 
 annuity tables, 1893, with interest at three per cent per annum, with 
 additions tor expenses and contingencies, distributed equally through 
 each of the premium payments, the present value of which shall be 
 one-sixth of the net single premium for such annuity. 
 
Ch. 90m 215 1989m— 9 
 
 Distribution of rate schedules and forms. 
 
 6. Upon the filing of such forms, the commissioner of insurance shall 
 furnish schedules of rates and copies of the forms of policies to every 
 state factory inspector, to the clerk and treasurer of every county, 
 town, city and village and to every state bank, whose duty it shall 
 be to fill out and transmit applications for insurance and annuities, and 
 such schedules and rates shall also be furnished to any other person 
 applying therefor. 
 
 Application and medical examination. 
 
 7. The application shall be transmitted to the commissioner of insur- 
 ance, together with the premium for three months, or multiples 
 thereof, and a medical examination fee of two dollars in case of life 
 insurance. The commissioner of insurance and the state board of 
 health shall pass upon all applications for insurance, and no life in- 
 surance shall be granted without a personal medical examination to be 
 made at the direction of the state board of health, for which the local 
 examiner shall receive the medical examination fee. If the application 
 be rejected, the deposit shall be returned, excepting the fees men- 
 tioned in subsection 13. No examination shall be required on applica- 
 tion for annuities. If the application be accepted, the premium shall 
 be paid into the life fund and a policy shall issue, to be signed by the 
 commissioner of insurance and the state treasurer, reciting that the 
 same shall be payable out of the life fund without further liability 
 on the part of the state. 
 
 Premium payments how and to whom made; security. 
 
 8. The commissioner of insurance shall provide the insured with 
 blanks to be used in the payment of premiums, and such premiums 
 may be paid to the treasurer of any city, village, town or county, or to 
 any state depository, who shall receipt for and remit the same to the 
 commissioner of Insurance. The bond of every such treasurer and 
 state 'depository shall include a liability for all premiums and other 
 money received for the life fund. 
 
 Surplus, how accruing; distribution. 
 
 9. A surplus shall be set aside from the net profits on each policy 
 which shall be made up on the following basis: Fifty per cent during 
 the first policy year, and thereafter five per cent less for each suc- 
 ceeding policy year until the ninth year, and thereafter the amount 
 so set apart shall be ten per cent. The interest thereon shall also be 
 set apart into such surplus. Such surplus fund shall be maintained 
 and held to meet losses from unexpected or great mortality or depre- 
 ciation in securities or otherwise. The balance of the net profits shall 
 be distributed annually among the holders of policies and shall be pay- 
 able on demand or be applied to the premium next payable. 
 
1989 m— 14 216 Ch. 90 m 
 
 Loans; premium loan; repayment. 
 
 10. Loans may be made on a policy to an amount, which together 
 with interest at six per cent per annum, shall not exceed the reserve 
 on the next policy anniversary on the basis of the premiums then 
 paid. Any premium not paid when due shall be charged as a loan. 
 When the unpaid loan and interest equals the reserve, the policy shall 
 terminate, but before that time the whole or any part of a loan may 
 be repaid. 
 
 Cash surrender; notice. 
 
 11. The reserve, less unpaid loans and interest, shall be payable in 
 cash on the anniversary of the policy after six months' advance notice 
 to the commissioner in writing and the surrender of the policy. 
 
 Losses; adjustment and payment. 
 
 12. The losses and other payments required to be made out of the 
 life fund, including deposits for premiums upon applications which 
 shall be rejected, shall be audited by the secretary of state upon the 
 adjustment, order and certificate of the state treasurer, attorney- 
 general and commissioner of insurance, acting as a board, and be 
 paid by the treasurer out of the life fund, and annuities shall be paid 
 in like manner. 
 
 Expenses; fees; commissions. 
 
 13. (a) There shall be audited by the secretary of state, upon the 
 certificate of the aforesaid board, and paid by the state treasurer 
 out of the expense element of the life fund the compensation of clerks 
 and assistants employed by the commissioner to administer the life 
 fund, a fee of two dollars to the medical examiner for each medical 
 examination, and the actual expense upon the adjustment of any loss 
 or the defense or prosecution of any action. The compensation certified 
 by such board due employes of the state paid a fixed salary shall, 
 instead of being paid to such employes, be transferred into the general 
 fund of the state. 
 
 (b) There shall be- retained by any person insured paying direct, or 
 by any other person transmitting any application for insurance or any 
 annuity, or collecting and transmitting any premium, a lee of twenty- 
 five cents for each application and a fee of one per cent on the amount 
 of the premium. Any such other person transmitting an application or 
 premium shall be held to be the agent of the insured. 
 
 (c) Any fees or expenses to which any person shall be entitled under 
 the provisions of section 1989m shall, alter having been paid into the 
 state treasury, be audited by the secretary of state upon the certificate 
 of the commissioner of insurance, and be paid by the treasurer out of 
 the life fund. 
 
 Life policies; limits of amounts. 
 
 14. Policies of life insurance may be issued upon being approved by 
 the commissioner of insurance and the state board of health; but no 
 
Ch. 108 217 2347 
 
 policy or policies shall be issued contrary to section 1898, nor upon 
 the same risk in excess of one thousand dollars until the number of 
 Insurants shall exceed one thousand, nor in excess of two thousand 
 dollars until the number of insurants shall exceed three thousand, nor 
 at any time in excess of three thousand dollars. 
 
 Annuities; amounts; limits of amounts. 
 
 15. Annuities may be granted in sums -not exceeding three hundred 
 dollars upon the same risk. 
 
 Combination policies. 
 
 16. Life insurance and an annuity or annuities may be combined and 
 may be granted in the same policy. 
 
 Accounts; audit; reports. 
 
 17. The accounts of the life fund shall be kept by the commissioner 
 of insurance and shall be audited in the same manner as the accounts 
 of state officers. Valuations and reports shall be made annually, con- 
 forming to the reports required of life insurance companies by the laws 
 of this state, but, except as specifically provided, the other provisions 
 of the laws relating to insurance shall not apply to the life fund. 
 
 Regulations. 
 
 18. The commissioner of insurance shall make such reasonable rules 
 and regulations for the granting of life insurance and annuities, as 
 shall be necessary to carry out the provisions of this act. 
 
 CHAPTER 108— PROPERTY RIGHTS OF MARRIED WOMAN 
 
 Insurance of husband, son, etc. 
 Section 2347. Any married woman may, in her own name or in the 
 name of a third person as her trustee, with his assent, cause to be 
 insured for her sole use the life of her husband, son or other person for 
 any definite period or for the natural life of such person; and any 
 person, whether her husband or not, effecting any insurance on his own 
 life or on the life of another may cause the same to be made payable 
 or assign the policy to a married woman or to any person in trust for 
 her or her benefit; and every such policy, when expressed to be for 
 the benefit of or assigned or made payable to any married woman or 
 any such trustee, shall be the sole and separate property of such 
 married woman and shall inure to her separate use and benefit and 
 that of her children, and in case of her surviving the period or term 
 of such policy the amount of the insurance shall be payable to her or 
 her trustee for her own use and benefit, free from the control, dispo- 
 sition or claims of her husband and of the person effecting or assign- 
 ing such insurance and from the claims of their respective representa- 
 tives and creditors. But if the annual premium on any such policy 
 shall exceed the sum of one hundred and fifty dollars and is paid by 
 
2394—26 218 Ch. 110a 
 
 any person with intent to defraud his creditors an amount equal to the 
 premiums so paid in excess of said sum, with interest thereon, shall 
 inure to the benefit of such creditors, subject, however, to the statute 
 of lim.tations. The amount of any such insurance may be made pay- 
 able, in case of the death ol' such married woman belore the period 
 at which it becomes due, to her children or to Their guardian 
 for their use, if under age, or to any other person as shall be provided 
 in the policy. In such case the receipt of such married woman or of 
 such children, or of their guardian if minors, shall discharge the insur- 
 ance corporation from all further liability therefor. The provisions 
 of this section shall apply to all insurance on lives effected before the 
 passage of these statutes. 
 
 Section 23^7 is referred to in section 29S2 (19). 
 
 Married woman may assign policy. 
 
 Section 2347b. Any married woman may, with the written consent 
 of the person effecting the insurance, assign, Incumber or dispose of 
 any right, title, or interest she may have in, to or under any policy of 
 life insurance, whether on the life of herself or of her husband, or of 
 any other person, and whether such policy be expressed to be for the 
 benefit of or assigned or made payable to such married woman, or any 
 trustee for her, in the same manner and with like effect as if she 
 were unmarried. 
 
 The provisions of this act shall apply to all insurance on lives, 
 whether effected before or after the passage of this act, but shall not 
 apply to assignments thereof heretofore made. 
 
 CHAPTER 110a— WORKMEN'S COMPENSATION AND INDUSTRIAL 
 
 COMMISSION 
 
 Regulation of liability insurance. 
 Section 2394 — 24. (1) The who'.e claim for compensation for the 
 injury or death of any employee or any award of judgment thereon, 
 and any claim for unpaid compensation insurance premiums shall be 
 entitled to the same preference in bankruptcy or insolvency proceedings 
 as is given by any law of this state or by the federal bankruptcy act to 
 claims for labor, but this section shall not impair the lien of any 
 judgment entered upon any award. 
 
 Section 2394—26 (1) Nothing in sections 2394—3 to 2394—31, in- 
 clusive, shall affect the organization of any mutual or other Insurance 
 company, or any existing contract for insurance of employers' liability, 
 nor the right of the employer to insure in mutual or other companies, 
 • ♦ * against such liability, or against the liability for the com- 
 pensation provided for by sections 2394 — 3 to 2394 — 31, inclusive, or to 
 provide by mutual or other insurance, or by arrangement with his 
 employes, or otherwise, for the payment to such employes, their fam- 
 ilies, dependents or representatives, of sick, accident or death benefits in 
 addition to the compensation provided for by sections 2394 — 3 to 2394 — 
 
Ch. 110a 219 2394—27 
 
 31, inclusive. But liability for compensation under sections 2394 — 3 to 
 2394 — 31, inclusive, shall not be reduced or affected by any insurance, 
 contribution or other benefit whatsoever, due to or received by the 
 person entitled to such compensation, and the person so entitled shall, 
 irrespective of any insurance or other contract, have the right to 
 recover the same directly from the employer; and in addition thereto, 
 the right to enforce in his own name, in the manner provided in sec- 
 tions 2394 — 3 to 2394 — 31, inclusive, the liability of any insurance com- 
 pany which may * * ♦ have insured the liability for such compen- 
 sation, and the appearance, whether general or special, of any such 
 insurance carrier by agent or attorney shall be a waiver of the service 
 of copy of application and of notice of hearing required by section 
 2394 — 16; provided, however, that payment in whole or in part of 
 such compensation by either the employer or the insurance company, 
 shall, to the extent thereof, be a bar to recovery against the other of 
 the amount so paid, and provided, further, that as between the em- 
 ployer and the insurance company, payment by either directly to the 
 employe, or to the person entitled to compensation, shall be subject 
 to the conditions of the insurance contract between them. 
 
 (2) The failure of the assured to do or refrain from doing any act 
 required by the policy shall not be available to the insurance carrier 
 ae a defense against the claim of the injured employe or his depen- 
 dents. 
 
 (Section 2394 — 27) (1) Every contract for the insurance of the com- 
 pensation herein provided for, or against liability therefor, shall be 
 deemed to be made subject to the provisions of sections 2394 — 3 to 
 2394 — 31, inclusive, and provisions thereof inconsistent with sections 
 2394—3 to 2394—31, inclusive, shall be void. Such contract shall be 
 construed to grant full coverage of all liability of the assured under and 
 according to the provisions of sections 2394 — 3 to 2394 — 31, inclusive, 
 notivithstanding any agreement of the parties to the contrary unless 
 the industrial commission has theretofore by written order specifically 
 consented to the issuance of a contract of insurance on a part of such 
 liability. No company shall enter into any such contract of insurance 
 unless such company shall have been approved by the commissioner 
 of insurance, as provided by law. For the purposes of sections 2394 — 3 
 to 2394 — 31, inclusive, each employe shall constitute a separate risk 
 within the meaning of section 1898d of the statutes; provided, that at 
 least five employers shall join in the organization of a mutual company 
 under subdivision (5) of section 1897 and no such company organized 
 by employers shall be licensed or authorized to effect such insurance 
 unless such company shall have in force or put in force simultaneously, 
 insurance on at least one thousand five hundred separate risks. 
 
 (2) The industrial commission, by itself or its employes, may 
 examine from time to time the books and records of any liability in- 
 surance company insuring liability or compensation for ah employer in 
 this state. Any such company that shall refuse or fail to allow the 
 industrial commission to examine its books and records or to file the 
 
2609a 220 Ch. 118 
 
 report required by subsection 3 of section 2394 — 27, Bhall have its 
 license to do business in the state revoked. 
 
 (3) Every company transacting the business of compensation insur- 
 ance, in addition to all other reports required by law to be made, shall, 
 on or before the first day of March in each year, on blanks furnished 
 for such purpose, make and file with the industrial commission an an- 
 nual statement of its business and accident experience covering the 
 year ending on the preceding thirty-first day of December. 
 
 Section 2. A new subsection is added to section 2394 — 24 of the 
 statutes to read: (Section 2394 — 24) (4) If it appears by the com- 
 plaint or by the affidavit of any person in behalf of the state that the 
 employer's liability continues uninsured there shall forthwith be 
 served on the employer an order to show cause why he should not be 
 restrained from employing any person in his business pending the 
 proceedings or until he shall have satisfied the court in which the mat- 
 ter is pending that he has complied with the provisions of subsection 
 2 of this section. Such order to show cause shall be returnable before the 
 court or the judge thereof at a time to be fixed in the order not less 
 than twenty-four hours nor more than three days after its issuance. 
 In so far as the same may be applicable and not herein otherwise 
 provided, the provisions of chapter 126 relative to injunctions shall 
 govern these proceedings. If the employer denies under oath that he is 
 subject to the provisions of sections 2394 — 3 to 2394 — 31, inclusive, and 
 furnishes bond with such sureties as the court may require to protect 
 all his employes injured after the commencement of the action for such 
 compensation claims as they may establish, then an injunction shall 
 not issue. Every judgment or forfeiture against an employer, under 
 subsection 3 of this section, shall perpetually enjoin him from employ- 
 ing any person in his business at any time when he is not complying 
 with subsection 2 of this section. 
 
 CHAPTER 118— ACTIONS AGAINST INSURANCE COMPANIES 
 
 Defendants in action on insurance policies. 
 Section 2609a. In actions upon a policy or policies insuring property 
 against loss or damage by fire, lightning, hail, cyclone or other casualty 
 the plaintiff may join as parties defendant any or all the insurance 
 companies liable for the loss or any part thereof, and all the issues 
 shall be tried at the same time and by the same jury or by the court, 
 if the action is triable thereby, and the verdict or finding shall fix the 
 amount for which each defendant is liable; or the court may, in its 
 discretion, direct the jury to return successive verdicts, or make 
 separate findings, so that all issues may be determined at the same 
 trial. If the trial is by a jury the court may instruct the jury upon 
 one or more of the issues, and, after verdict thereon, instruct upon 
 other issues until they are all disposed of. If the issues are found in 
 favor of the plaintiff and he is entitled to judgment on the verdict or 
 findings a separate judgment shall be rendered against each defendant 
 
Ch. 120 221 2637 
 
 for the sum for which it is found to be liable, together with the propor- 
 tion of the costs for which it is liable, which proportion shall bear the 
 same ratio to the whole amount of the costs as the amount of its 
 liability bears to the total sum recovered by the plaintiff from all the 
 defendants, and in addition to such costs its proportion of the neces- 
 sary disbursements made by the plaintiff, calculated on the same basis. 
 
 CHAPTER 119— THE PLACE OF TRIAL OF CIVIL ACTIONS 
 
 Place where subject of action situated. 
 
 Section 2619. The proper place of trial of civil actions is as follows, 
 respectively : 
 
 Fifth. Of an action against an insurance company, existing under 
 the laws of this state to recover on a policy of insurance the 
 county in which the defendant has its principal office, or, at the 
 election of the plaintiff, if a resident of this state, the county in which 
 the plaintiff resides or if the action is brought by a person in a rep- 
 resentative capacity by appointment of a court of this state, the county 
 in which the proceedings resulting in such appointment was had. 
 
 CHAPTER 120— MANNER OF COMMENCING CIVIL ACTIONS 
 
 Service on insurance corporations. 
 
 Section 2637. Actions against corporations shall be commenced in 
 the same manner as personal actions against natural persons. The 
 summons and the accompanying complaint or notice aforesaid shall 
 be served, and such service held of the same effect as personal service 
 on a natural person, by delivering a copy thereof as follows: 
 
 (9) If against any insurance corporation not organized under the 
 laws of this state, to the agent or attorney thereof having author- 
 ity therefor by appointment under the provisions of section 1915, 
 or to any agent of either such corporation who shall solicit insurance 
 on its behalf or on behalf of any property owner or person desiring 
 insurance, or who transmits an application for or a policy of insurance 
 to or from any such corporation, makes any contract for insurance, 
 collects or receives any premium therefor, or adjusts, settles or pays 
 a loss for such corporation or aids or assists in doing either or in 
 transacting any business for the same, or on any person who adver- 
 tises to do any such thing. 
 
 (10) If against any other corporation organized under the laws of 
 this state, to the president, or other such chief officer, vice president, 
 secretary, cashier, treasurer, director, or managing agent. 
 
 Provided, however, that whenever any such corporation does not 
 have any officer or agent within this state upon whom legal service 
 of process can be made, of which the return of the sheriff shall be 
 prima facie evidence, service of the summons and accompanying 
 complaint may be made by depositing duplicate copies thereof in the 
 
3218 222 Ch. 140 
 
 office of the secretary of state, one of which copies shall be filed in the 
 office of said secretary of state, and the other by him immediately 
 mailed, postage prepaid, addressed to said company at its office desig- 
 nated in its articles of incorporation on file in the office of the said sec- 
 retary of state, and such service shall be deemed and treated as per- 
 sonal service on such corporation. 
 
 11. If against any corporation or association having an aid or benefit 
 department under its control or in connection therewith, not organized 
 under the laws of this state and doing business herein, either as such 
 corporation or association or by means or in the form of a local or 
 subordinate aid or benefit association, or of subordinate branches, 
 lodges or divisions, and which has failed to appoint an agent or attorney 
 in compliance with paragraph (b) of subsection (2) of section 1915, to 
 any officer of any such local or subordinate aid or benefit association, 
 branch, lodge or division. 
 
 CHAPTER 130— PROPERTY EXEMPT FROM EXECUTION 
 
 Enumeration of personalty. 
 Sectiox 2982. (19) All moneys arising on any policy of insurance 
 on the life of a minor, payable to his father or mother, or both, shall 
 be exempt against the creditors of such father or mother, but not 
 against the creditors of such minor; all moneys arising under any 
 policy of insurance payable to a married woman or to any person in 
 trust for her or her benefit shall be exempt from the claims of her 
 husband and of the person effecting or assigning such insurance for 
 her benefit and from the claims of their respective representatives and 
 creditors, subject to the provisions of section 2'347; and all moneys or 
 other benefit, charity, relief or aid to be paid, provided or rendered by 
 any mutual beneficiary or fraternal corporation, society, order or asso- 
 ciation providing insurance on the assessment plan and authorized to 
 do business in this state, shall be exempt against the creditors of a 
 member thereof or of his beneficiary or beneficiaries to the amount of 
 five thousand dollars in all cases where the insured pays the premiums 
 or assessments or any part thereof; but if some other person pays 
 such premiums or assessments the insurance shall be absolutely 
 exempt. 
 
 CHAPTER 140— PROCEEDINGS AGAINST INSOLVENT CORPO- 
 RATIONS 
 
 Injunction. 
 Section 3218. Whenever any corporation having banking powers, 
 cr having the power to make loans or pledges or deposits, or author- 
 ized by law fo make insurance shall become ins'olvent or unable to pay 
 its debts or shall neglect or refuse to pay its notes or evidences of 
 debts on demand or shall have violated any of the provisions of its 
 act of incorporation or of any other law binding on such corporation. 
 
Ch. 142 223 3300 
 
 any court having jurisdiction may, by injunction, restrain such cor- 
 poration and its officers from exercising any of its corporate rights, 
 privileges or franchises, and from collecting or receiving any debts or 
 demands, and from paying out or in any way transferring or delivering 
 to any person any of the moneys, property or effects of such corpora- 
 tion until such court shall otherwise order. 
 
 In what courts; receiver. 
 
 Section 3219. Such injunction may be issued by the supreme court, 
 upon application by the attorney-general, or private party in the name 
 of the state for leave to commence an action for the purpose of vacat- 
 ing the charter or annulling the existence of any such corporation or 
 upon the commencement of such an action for the purpose of closing 
 up the business of such corporation by the attorney-general in the 
 name of the state or by any creditor or stockholder of such corporation, 
 or at any time thereafter upon proof of the facts required to authorize 
 the issuing of the same. The court may in any stage of such action 
 appoint one or more receivers to take charge of the property and 
 effects of such corporation and to collect, sue for and recover the debts 
 and demands that may be due, and the property that may belong to 
 such corporation, who shall in all respects possess the powers and 
 authority conferred and be subject to all the obligations imposed upon 
 receivers in other cases, and in all respects be subject to the control 
 of the court. 
 
 Proceedings against insurance company; notice to commissioner. 
 Section 3219m. The same notice shall be given to the commis- 
 sioner of insurance in all actions or proceedings against an insurance 
 company or fraternal benefit society for an injunction or receiver as 
 shall be required to be given to the defendant or defendants; provided, 
 that the depositing of a copy of such notice in the mails, sealed and 
 postpaid, addressed to the commissioner of insurance at Madison, Wis- 
 consin, shall be sufficient service of such notice. 
 
 CHAPTER 142— COLLECTION OF FORFEITURES 
 
 Forfeiture, action to recover; complaint; Judgment. 
 Section 3299. When a forfeiture is imposed, not exceeding a specific 
 sum or when it is not less than one sum or more than another, the 
 action may be brought for the highest sum specified; and judgment 
 may be rendered for such sum as the court or jury shall assess or de- 
 termine to be proportionate to the offense. 
 
 Forfeiture; action by district attorney or attorney-general; where 
 paid. 
 
 Section 3300. All forfeitures imposed by chapter 89 may be sued 
 for by the district attorney of the county in which the insurance com- 
 pany or any of its agents mentioned in said chapter may be located 
 
3871m 224 Ch. 160 
 
 or reside, or by the attorney-general. If the action be brought by the 
 district attorney one-half of the forfeiture, when recovered, shall be 
 paid into the county treasury of his county and the other half to the 
 Informer of such violation who sues jointly with the state therefor, 
 and otherwise the whole shall be paid into such county treasury. If 
 the action is brought by the attorney-general the sum recovered shall 
 be paid into the state treasury. 
 
 CHAPTER 161— SECURITY FOR COSTS 
 
 Fidelity bond in justice court; form; certificate to accompany. 
 
 Section 3783a. Whenever in any action or proceeding in the court 
 of a justice of the peace any bond, undertaking or recognizance is 
 permitted or required by law or by order of the court, the same may 
 be executed by any surety company authorized to do business in this 
 state, using the usual forms for that purpose; and whenever security 
 is required to be entered in the docket as provided by section 3741 or 
 section 3783, any such company may furnish such security by filing an 
 undertaking in substantially the following form: 
 
 Whereas an action has been commenced (or is about to be com- 
 menced) in a justice court in the county of 
 
 in which action is plaintiff 
 
 and is defendant. Now, 
 
 therefore, the company, a surety company 
 
 duly authorized by law to do business in the state of Wisconsin, un- 
 dertakes and agrees to become surety for costs (or for costs and 
 damages), in this action, in a sum not to exceed one hundred dol- 
 U'rs (or, agrees to pay all costs and damages which shall be ad- 
 Judged against in this action, as the case may 
 
 require). 
 
 Dated , 19 Company 
 
 By 
 
 The undertaking, when filed, shall be accompanied with the certifi- 
 cate of the commissioner of insurance, or a copy thereof duly certi- 
 fied by him, mentioned in section 1966 — 34 of the statutes. The cost 
 of such bond, not to exceed five dollars, shall be taxed as a disburse- 
 ment in the action. 
 
 CHAPTER 166— ASSIGNMENT OF DOWER 
 
 Future estates; mortality tables; rate of interest; Judge to have 
 computations made by commissioner of insurance. 
 
 Section 3871m. The present value of any estate, annuity or in- 
 terest of beneficiary may be computed on the basis of the American 
 Experience Table of Mortality with Craig's Extension below age ten. 
 and interest at five per cent per annum. The Northampton Table of 
 Mortality and interest at the aforesaid rate may be used where it is 
 
Ch. 166 
 
 225 
 
 3871m 
 
 impracticable to use the aforesaid basis. Any court or judge by whoiu 
 any such present value is to be determined may transmit to the com- 
 missioner of insurance such statement of the facts as he may require, 
 and said commissioner shall thereupon make the necessary computa- 
 tion and certify same without charge. The present value of an im- 
 mediate annuity of one dollar, on the above basis for a single life i 5 as 
 follows: 
 
 AMERICAN EXPERIENCE 5% SINGLE LIFE 
 
 Afire 
 
 Present "Value 
 
 Age 
 
 Present Value , 
 
 Age 
 
 Present Value 
 
 \0 
 
 $12,818 
 
 32 
 
 $14,857 
 
 64 
 
 $7.7590 
 
 1 
 
 U,92Z 
 
 33 
 
 14.735 
 
 65 
 
 7.4588 
 
 2 
 
 ].->,7.!l 
 
 34 
 
 14.608 
 
 66 
 
 7.1592 
 
 S 
 
 16,125 ; 
 
 35 
 
 14.475 
 
 67 
 
 6.8607 
 
 (.am 
 
 IG.SiS 
 
 36 
 
 14.336 
 
 68 
 
 6.5642 
 
 5 
 
 16. m 
 
 37 
 
 14.191 
 
 69 
 
 6.2705 
 
 6 
 
 16.535 I 
 
 38 
 
 14.039 
 
 70 
 
 5. 9802 
 
 7 
 
 16.561 
 
 39 
 
 13.881 
 
 71 
 
 5.6942 
 
 8 
 
 16.560 
 
 40 
 
 13.716 
 
 72 
 
 5.4129 
 
 9 
 
 16.540 
 
 41 
 
 13.544 
 
 73 
 
 5.1359 
 
 10 
 
 16.505 
 
 42 
 
 ■"3.365 
 
 74 
 
 4.8628 
 
 11 
 
 16.461 
 
 43 
 
 13.179 
 
 75 
 
 4.5926 
 
 12 
 
 16.415 
 
 44 
 
 12.985 
 
 76 
 
 4.3248 
 
 13 
 
 16.366 
 
 45 
 
 12.783 
 
 77 
 
 4.0586 
 
 14 
 
 16.316 
 
 46 
 
 12.574 
 
 78 
 
 3.7939 
 
 15 
 
 16.263 
 
 47 
 
 12.357 
 
 79 
 
 3.5311 
 
 16 
 
 16.207 
 
 48 
 
 12.133 
 
 80 
 
 3.2702 
 
 17 
 
 16.149 
 
 49 
 
 11.901 
 
 81 
 
 3.0135 
 
 18 
 
 16.088 
 
 50 
 
 11.662 
 
 82 
 
 2.7606 
 
 19 
 
 16.024 
 
 51 
 
 11.416 
 
 83 
 
 2.5105 
 
 20 
 
 15.957 
 
 52 
 
 11.164 
 
 84 
 
 2.2607 
 
 21 
 
 15.886 
 
 53 
 
 10.905 
 
 85 
 
 2.0098 
 
 22 
 
 15.813 
 
 54 
 
 10.610 
 
 86 
 
 1.7606 
 
 23 
 
 15.736 
 
 55 
 
 10.370 
 
 87 
 
 1.5175 
 
 24 
 
 15.655 
 
 56 
 
 10.095 
 
 88 
 
 1.2861 
 
 25 
 
 15.570 
 
 57 
 
 9.8145 
 
 89 
 
 1.0670 
 
 26 
 
 15.482 
 
 58 
 
 9.5299 
 
 90 
 
 0.85453 
 
 27 
 
 15.389 
 
 59 
 
 9.2413 
 
 91 
 
 0.64497 
 
 28 
 
 15.292 
 
 60 
 
 8.9493 
 
 1 92 
 
 0.44851 
 
 29 
 
 15.191 
 
 61 
 
 8. 6545 
 
 93 
 
 0.28761 
 
 30 
 
 15.084 
 
 62 
 
 8.3574 
 
 94 
 
 0.13605 
 
 31 
 
 14.973 
 
 63 
 
 8.0588 
 
 
 
 The foregoing table gives the present value of an annuity of one dollar for 
 a single life, not an immediate annuity, but with the first payment at the 
 end of the first year after the contract tal^es effect. 
 
 (a) The values for ages to 9 inclusive had not been computed when the 
 table was first adopted as a part of the statute. They are included in the 
 preseijt table for convenience. 
 
 It is not necessary, to send all such matters to the insurance department 
 for computation, if the courts, attorneys or administrators are capable of 
 doing the work. A large percentage of the cases are comparatively simple 
 and these can be computed by using the accompanying annuity table which 
 shows the present value of an annuity of one dollar per year for life, when 
 only one life is involved. 
 
 In all cases of joint life annuities, temporary annuities, deferred annuities, 
 specific sums payable to beneficiaries on arriving at a certain age, etc., etc., 
 a statement of facts should be submitted to the insurance department, be- 
 cause such cases cannot be correctly computed by the use of this table. Such 
 cases are comparatively rare, however, and it is believed that the accom- 
 panying table will enable the courts to take care of a majority of the cases 
 without sending them to the insurance department. 
 15 
 
3871m 22(5 Ch. 166 
 
 RULE FOR MAKING COMPUTATIOXS OF SINGLE LIFE ESTATES 
 
 Find the interest at five per cent, for one year upon the sum, to the in- 
 come of which the person is entitled ; then multiply this interest by the pres- 
 ent value of one dollar per year for life as given opposite the person's age 
 in the table. The product is the present value of the interest of such person 
 in said sum. 
 
 Example. Suppose a widow's age is thirty-seven, and she is entitled to 
 a life interest in real estate worth $3,000. Five per cent, interest on this 
 amount is $150. The present value of one dollar per year for life at age 37 
 is $14,191. Therefore the present value of $150 per year would be 150 times 
 $14.91 or $2,128.65. 
 
 If the widow is entitled to a dower interest only, then one-third of the 
 value is taken, and computation made in the same way. 
 
 To FIND THE PRESENT VALUE OF A REMAINDER, dcduct the present value of 
 the annuity as determined above from the net value of the estate. Thus, if 
 the value of the estate is $3,000 and the present value of the annuity is 
 $2,128.65 the remainder would be worth $871.35. 
 
 CAUTION 
 
 It is a common error to assume that life annuities are computed on the 
 basis of the so-called "expectancy of life," or "life expectancy." The true or 
 correct basis for such computations is the probability of living or dying 
 from year to year, which is an entirely different function. 
 
 The expectancy of life was used by the Praetorian Prefect Ulpian in 
 Rome in 364 A. D., and for over thirteen centuries this was the only method 
 known to the world. In 1671, however, John DeWitt, the Grand Pensioner 
 of Holland, discovered that the theory of probabilities developed by such 
 men as Pascal, Fermat, Huyghens, and others, could be applied to life con- 
 tingencies and that this method would give more correct results than those 
 deduced from the expectancy of life. John DeWitt, however, was ahead of 
 his time, and his work was practically lost for many years. At any rate' 
 little or no practical use was made of his tables. 
 
 In 1691, 20 years after DeWitt's discovery, Dr. Edmund Halley of Eng- 
 land, made the same discovery, and for a long time thereafter it was sup- 
 posed that he was the original discoverer of the correct method of computing 
 life annuities. 
 
 It is true that the expectancy of life gives a rough approximation to the 
 correct value when applied to whole life annuities, but why use approxima- 
 tions when a correct method can be used with equal or even greater facility? 
 It should be noted also that it is absolutely impossible to compute temporary 
 annuities on the basis of the expectancy of life and these are much more 
 important from the practical standpoint than the whole life annuities. E'er 
 example, the premiums paid by policyholders in life insurance companies 
 are simple annuities and the policies where premiums are payable, for a 
 fixed period — "limited payment" are far more numerous than the policies 
 which require payment of the premiums throughout life. Other cases of 
 temporary annuities are found where children are to receive an income until 
 they arrive at a certain age. In such cases the "expectancy of life" does not 
 even give a rough approximation to the correct result. 
 
 Another class of annuities often met with in inheritance fax computations 
 are the joint life and survivorship annuities. No one has ever attempted to 
 give a rule for computing such annuities on the basis of the "expectancy of 
 life." 
 
 One reason why a computation on the basis of the "expectancy of life" 
 does not give correct results even for whole life annuities, is that it does not 
 take correct account of the compound interest. The assumption that the 
 compound interest on a series of payments can be correctly computed by 
 taking an average period of time, Is fundamentally wrong, and it follows 
 that if the premises are wrong the conclusions must also be wrong. 
 
Ch. 176 
 
 227 -^^52 
 
 To illustrate; suppose a series of three payments of one hundred dollars 
 each are to be made at the end of 10, 20, and 30 years respectively. Now 
 one payment is deferred for 10 years, one for 20 years, and one for 30 years, 
 making in a certain sense the equivalent of 60 years for $100 or an average 
 of 2 years for $300. The present value of $300 deferred for 20 years assum- 
 ing interest at 5% is $113.07. Likewise $100 deferred for 60 years has a 
 present value of $5.35. Neither of these results represents the true present 
 value of three payments of one hundred dollars each payable to the end of 
 10, 20 and 30 years. To get a correct result it is necessary to add the pres- 
 ent value of all the payments taken separately for their respective periods, 
 
 thus : 
 
 Present value of $100 payable in 10 years $ 61.39 
 
 Present value of $100 payable in 20 years 37.69 
 
 Present value of $100 payable in 30 years ^i-i-'j 
 
 Total present value of all payments $ 122.22 
 
 In the construction of life annuity tables each payment must be discounted 
 as shown in the above example to allow for compound interest and then dis- 
 counted again to make allowance for the probability or chance of dying from 
 year to year within the period covered by the annuity. This method is ac- 
 cepted by actuaries all over the world as mathematically correct. There is 
 absolutely no dispute among authorities on this point. We now have annuity 
 tables, and commutation tables based on various tables of mortality and 
 various rates of interest, and durations, all computed according to a consist- 
 ent scientific method that will apply to all forms of annuities, and as stated 
 above, is recognized by authorities throughout the civilized world. 
 
 It follows therefore, that there is no necessity for using the "expectancy 
 of life" in such computations, even in case of whole life annuities in which 
 it is at best only an approximation. 
 
 Section 3871m of the statutes makes it the duty of the Insurance De- 
 partment to make computations of such values when a statement of facts is 
 submitted by any court in the state having jurisdiction of the case. As a 
 matter of practice the department has always made such computations for 
 public administrators and attorneys who have made request for them. 
 
 For those who desire to look into the matter and wish to learn more fully 
 the correct method, attention is called to the following authorities : 
 
 Inheritance Tax Computations by S. H. Wolfe, page 7 ; 
 
 Principles and Practice of Life Insurance, page 15; 
 
 Practical Lessons in Actuarial Science by Miles M. Dawson, page 172; 
 
 Institute of Actuaries Text Book, Chap. VII ; 
 
 Actuarial Science by Ninian Glenn, page 69 ; 
 
 Life Insurance Premiums by Abb Landis, page 36 ; 
 
 Notes on Life Insurance by E. B. Fackler, page 159 ; 
 
 Notes on Life Insurance by Gustavus Smith ; 
 
 Present Value Tables by Giauque and McClure, page 4. 
 
 CHAPTER 176— EVIDENCE 
 
 Certificate of assessment. 
 Section 4182. Whenever an assessment is made on any premium 
 note given to any mutual insurance company for any liazard talten by 
 said company or as a consideration for any policy issued or to be issued 
 by said company, or whenever any assessment is made by the directors 
 or other proper officers of any such company for money due it from any 
 member thereof, and action is brought to recover such assessment, the 
 certificate of the secretary of said company, specifying such assess- 
 ment, the amount due said company by means thereof and that notice 
 
4202t 228 Ch. 176 
 
 thereof was given the person liable therefor shall be received as pre- 
 sumptive evidence of the facts so certified. 
 
 Verified copies of book entries. 
 Section 4182a. Whenever any evidence shall be required from the 
 books of any life or mutual benefit insurance corporation or association 
 engaged in doing business on the level premium or assessment plan, at 
 the time of the trial of the action or proceeding in which such evidence 
 is needed, verified copies of the entries in such books, together with 
 statements showing the number of members insured in or belonging 
 to such corporation or association, and t'^e number of members in 
 each class or grade thereof and the aggregate amount which would be 
 due from them upon a single assessment, when made by the secretary 
 or other officer thereof having the custody of such books, under oath or 
 affidavit, stating that such copy or copies are true and are taken from 
 the regular books of the corporation or association used and kept for 
 the transaction of its business, and that such books are now in his 
 custody or under his control shall be received in all legal proceedings 
 as prima facie evidence of such entries or statements. No officer 
 of any such corporation or association shall be compelled, unless by 
 special order of the court or officer before whom the action or pro- 
 ceeding in which such evidence is required, to produce any books o: 
 records thereof before the same; provided, the verified entries and 
 statements herein required shall be served upon the attorney of the 
 party who requires them at least six days before the term of court 
 or time set for the trial or hearing of such action or proceeding, and 
 that such books and records shall be subject to the inspection of any 
 interested party or his attorney to the extent pi-escribed by all orders 
 made by such court or officer on proper application therefor. Any 
 person who shall wilfully and corruptly make a false copy of any 
 entry or statement herein provided for or give false testimony con- 
 cerning the same shall be deemed guilty of perjury. 
 
 Inspection of books and writings; order for. 
 
 Section 4183. The court before which an action is pending, or a 
 judge thereof, may, in discretion and upon due notice, order either 
 party to give to the other, within a specified time, an inspection and 
 copy or permission to take a copy of any books, papers and docu- 
 ments in his possession or under his control containing evidence re- 
 lating to the merits of the action or of the defense therein. If com- 
 pliance with the order be refused the court, on motion, may exclude 
 the paper from being given in evidence or punish the party refusing, 
 or both. 
 
 SixTioN 4202t. If the age of the insured has been misstated in an 
 application for a policy of life insurance, and the error shall not have 
 been adjusted during the lifetime of the insured, the amount payable 
 under the policy shall be such as the premium paid would have pur- 
 chased at the correct age, except that if the correct age of the insured 
 
Ch. 182 229 U38em 
 
 at the time the insurance was applied for shall have been beyond the 
 maximum age limit designated by the insurer, tlie insurer may, at 
 his option, admit a minimum liability equal to the amount of pre- 
 miums collected under the policy. The provisions of this section shall 
 apply to fraternal or mutual benefit societies. 
 
 CHAPTER 182— PENAL PROVISIONS 
 
 Fraud on fire company. 
 Section 4405. Any person who shall wilfully burn any building or 
 any goods, wares, merchandise or other chattels, which shall be at 
 the time insured against loss or damage by fire, with intent to injure 
 the insurer, whether such person be the owner of the property or 
 not, shall be punished by imprisonment in the state prison not more 
 than ten years nor less than three years. 
 
 Fraud on life company; absconding insured. 
 Section 4438e. Any person who shall effect a policy or certificate 
 of insurance or procure either to be effected on his life, with the in- 
 tent of absconding or concealing himself for the purpose of procuring 
 for himself or any other person the whole or any part of the money 
 payable pursuant to such policy or certificate; or any person having 
 a policy or certificate of insurance upon his life who shall abscond or 
 conceal himself with the intent to procure for himself or any other 
 person the money so payable, in whole or in part, or any person who 
 shall knowingly aid, assist or abet another whose life is insured in 
 absconding or concealing himself for the purpose of procuring for 
 himself or any other person any insurance moneys, or any person 
 who shall knowingly aid, assist or abet the assured named in any such 
 policy or certificate, who has absconded or concealed himself for the 
 purpose of obtaining from any insurance company any insurance 
 moneys for himself or any other person; or any person who shall 
 knowingly aid, assist or abet the beneficiary or beneficiaries, or either 
 or any of them, named in any policy or certificate of insurance, or the 
 next of kin, or any person having an insurable interest in the life of 
 any assured who has absconded or concealed himself for the pur- 
 pose of obtaining any insurance moneys for himself or any other 
 person, in attempting to pronure or procuring such moneys shall be 
 fined not less than five hundred dollars nor more than three thousand 
 dollars or imprisoned in the state prison not less than one year nor 
 more than five years. 
 
 Penalty for false statements. 
 
 Section 4438em. Any solicitor, agent, policyholder, physician, or 
 other person who shall knowingly make a false or fraudulent state- 
 ment of any material fact or thing in a certificate or sworn statement, 
 as to the death or disability of a certificate holder or policyholder of 
 any company, corporation, association, order or society, transacting 
 
457 5e 230 Ch. 185 
 
 the business of insurance, for the purpose of procuring payment of 
 an indemnity or benefit named in the certificate or policy of such 
 holder, shall be guilty of a misdemeanor, and upon conviction shall be 
 punished by a fine of not less than one hundred dollars nor more than 
 one thousand dollars, or by imprisonment in the county jail for not 
 less than one month nor more than one year, and if said person con 
 victed be an agent or physician, his license to solicit or practice in 
 this state may be revoked, in the discretion of the court. 
 
 False statements prohibited; penalty. 
 Section 4438J. Any officer, director, attorney in fact, manager, or 
 employe of any insurance corporation, Lloyd's association, interinsurer, 
 fraternal or mutual benefit society, or other insurer, who shall wil- 
 fully and knowingly subscribe to, make, or cause to be made, any 
 false entry in the books thereof, or shall knowingly subscribe to or 
 exhibit false papers, with the intent to deceive any person or persons 
 authorized to examine into its affairs, or shall knowingly make, state, 
 or publish any false report or statement of any such insurance cor- 
 poration, Lloyd's association, interinsurer, fraternal or mutual bene- 
 fit society, or other insurer, shall be punished by a fine of not less 
 than one hundred dollars nor more than five thousand dollars or by 
 imprisonment in the state penitentiary not less than one nor more 
 than ten years, or by both such fine and imprisonment. 
 
 CHAPTER 185— FRAUD 
 
 State officer or employe, compensation or gift for service relating 
 to duty, penalty, exception. 
 
 Section 4549g. Except as specifically authorized by statute, no offi- 
 cer or employe of the state shall, directly or indirectly, receive or 
 accept any sum of money, or anything of value, for the furnishing of 
 any information, or performance of any service whatever relating in 
 any manner to the duties of such officer or employe. Any person 
 violating this section shall be punished by a fine of not less than 
 twenty-five dollars nor more than one thousand dollars, or more than 
 six months' imprisonment in the county jail, or by both such fine and 
 imprisonment. 
 
 Mutual benefit society; action as agent after license revoked. 
 
 Section 4575c. Any person who shall act or aid in any manner in 
 transacting, in this state, the business of or with any fraternal or 
 beneficiary corporation, society, order or association for the relief of 
 members or beneficiaries and furnishing life or casualty insurance 
 upon the indemnity plan, in placing risks or effecting insurance there- 
 in, collecting duties or assessments therefor, or in any other manner, 
 after the license of any such corporation, society, order or associa- 
 tion has been revoked and while it is without authority to do busi- 
 ness in this state, or while an injunction prohibiting any such or- 
 
Ch. 185 231 4575s 
 
 ganization from doing business in this state is in force, shall he 
 punished by a fine not less than twenty-five dollars nor more than 
 two hundred dollars or by imprisonment in the county jail not less 
 than thirty days nor more than one year, or by both such fine and 
 imprisonment. 
 
 Section 4575c is referred to in J,575e. 
 
 Unauthorized mutual benefit society, acting as agent for. 
 
 Section 4575d. Any person who shall, in any manner, solicit, ad- 
 vise, aid or procure or aid in soliciting, advising, assisting or procur- 
 ing any person to become a member of any assessment plan, corpora- 
 tion, society, order or association conducted for mortuary, endowment, 
 sick, accident or permanent disability benefit or any other kind or 
 plan of assessment insurance, which corporation, society, order or 
 association is not authorized to transact business in this state, or 
 who shall accept, collect, receive or be instrumental in the collection 
 or transmission of any admission fees, assessments, dues or payments 
 of any kind whatever on account of any such insurance or benefit cer- 
 tificate in any such corporation, society, order or association shall be 
 punished by a fine of not less than fifty dollars nor more than three 
 hundred dollars, or by imprisonment in the county jail not less than 
 sixty days nor more than one year, or by both such fine and imprison- 
 ment. 
 
 Fraud in obtaining membership. 
 Section 4575e. Any person who shall knowingly or wilfully make 
 any false or fraudulent statement or representation in or with refer- 
 ence to any application for membership or in or with reference to any 
 documentary or other proof for the purpose of obtaining membership 
 in or benefit from any such corporation, society, order or association 
 as is mentioned in section 4575c, for himself or any other person, shall 
 be fined in a sum not less than one hundred dollars nor more than 
 one thousand dollars, or be imprisoned in the county jail not less than 
 three months nor more than one year, or both; and any certificate of 
 membership or policy so secured shall be absolutely void. 
 
 Unauthorized insurer; applications; penalty for receiving or col- 
 lecting premiums. 
 
 Section 4575s. Any unauthorized fire insurance company or other 
 unauthorized insurer which shall hereafter take or receive any appli- 
 cation for fire insurance on property in this state, or shall receive or 
 collect a premium on any part thereof for such insurance, shall be 
 punished by a fine of not more than five thousand dollars. Any offi- 
 cer, agent, solicitor, or broker, or other employe of any unauthorized 
 insurance company or other unauthorized insurer who shall take or 
 receive any application for fire insurance on property in this state, or 
 shall receive or collect a premium on any part thereof for such in- 
 surance, shall be guilty of a felony, and shall be punished by a fine 
 of not more than five hundred dollars, or imprisonment in the state 
 penitentiary for one year, or by both such fine and imprisonment. 
 
232 
 TABLE OF CHAPTERS OF SESSION LAWS FROM 1899 TO 1919 
 
 Giving sections of the statutes created, amended or repealed. 
 
 The sections of this compilation are taken from the statutes of 1898, 
 and the laws of 1899, 1901, 1903, 1905, 1907, 1909, 1911, 1913, 1915, 
 1917, 1919 and 1921. All chapters are arranged numerically. 
 
 Sections from the statutes of 1898 are found under the corresponding 
 section number. 
 
 The letter "a" preceding the section number indicates that the 
 session law is an amendment; the letter "n" indicates that it is a 
 new section; the letter "r" indicates that the section was repealed. 
 
 
 
 
 
 
 Laws of 1899 
 
 Ch. 
 
 22 
 
 
 
 a 
 
 1951 
 
 Ch. 
 
 27 
 
 
 
 a 
 
 1941-27 
 
 Ch. 
 
 32 
 
 
 
 a 
 
 1926 
 
 Ch. 
 
 101 
 
 
 
 a 
 
 1955c See 1957 (5) 
 
 Ch. 
 
 166 
 
 Sec. 
 
 2 
 
 n 
 
 1908a 
 
 Ch. 
 
 168 
 
 
 
 a 
 
 1929 
 
 Ch. 
 
 169 
 
 
 
 a 
 
 1937 
 
 Ch. 
 
 190 
 
 Sec. 
 
 1 
 
 n 
 
 1919a to 1919e 
 
 Ch. 
 
 192 
 
 
 
 a 
 
 1971 
 
 Ch. 
 
 316 
 
 
 
 a 
 
 1941-46 
 
 Ch. 
 
 326 
 
 
 
 a 
 
 1220 
 
 Ch. 
 
 344 
 
 Sec. 
 
 1 
 
 n 
 
 1919g 
 
 Ch. 
 
 351 
 
 Sec. 
 
 30 
 
 a 
 
 1966-36 
 
 Laws of 1901 
 
 Ch. 
 
 21 
 
 
 
 a 
 
 1220 
 
 Ch. 
 
 81 
 
 
 
 a 
 
 1928 
 
 Ch. 
 
 144 
 
 Sec. 
 
 2 
 
 a 
 
 1925 
 
 Ch. 
 
 202 
 
 
 
 a 
 
 1927 
 
 Ch. 
 
 232 
 
 
 
 n 
 
 1914a 
 
 Ch. 
 
 233 
 
 
 
 a 
 
 1972b 
 
 Ch. 
 
 249 
 
 
 
 n 
 
 1978f to 1978m 
 
 Laws of 1903 
 
 Ch. 
 
 6 
 
 
 
 a 
 
 1951 
 
 Ch. 
 
 15 
 
 
 
 n 
 
 2347b 
 
 Ch. 
 
 56 
 
 
 
 n 
 
 1955a-l 
 
 Ch. 
 
 130 
 
 
 
 n 
 
 1966-49 
 
 Ch. 
 
 190 
 
 
 
 a 
 
 2637 (9) (10) (11) 
 
 Ch. 
 
 208 
 
 
 
 a 
 
 1220 
 
 Ch. 
 
 214 
 
 
 
 a 
 
 1947 
 
 Ch. 
 
 237 
 
 
 
 a 
 
 1954 
 
 Ch. 
 
 352 
 
 
 
 a 
 
 1931 
 
 Ch. 
 
 413 
 
 
 
 n 
 
 1966—49 
 
 Ch. 
 
 436 
 
 
 
 a 
 
 1966—38 
 
233 
 Laws of 1905 
 
 Ch. 36 a 1931 
 
 Ch. 38 a 1976 
 
 Ch. 51 a 1945a 
 
 Ch. 55 n 1941-22a to 1941-22i See 194 Ig 
 
 Ch. 92 a 1972 
 
 Ch. 102 a 1941-64 
 
 Ch. 166 n 1919a 
 
 Ch. 167 a 1974 
 
 Ch. 170 n 1955-21 to 1955-26 
 
 Ch. 180 a 1967 
 
 Ch. 181 a 1920 
 
 Ch. 205 a 1966-38 
 
 Ch. 206 n 1914a 
 
 Ch. 212 a 1972b 
 
 Ch. 253 a 1951 
 
 Ch. 325 a 1219 
 
 Ch. 353 a 1977 
 
 Ch. 425 a 1967 
 
 Ch. 448 a 1952 
 
 Ch. 451 a 1971 
 
 Ch. 455 a 1220 
 
 Ch. 503 a 1967a 
 
 Ch. 501 n 1966-49 
 
 Ch. 509 a 1772, 1773, 1774 
 
 Ch. 519 a 1950 
 
 Laws of 1907 
 
 Ch. 126 n 1946f 
 
 Ch. 127 n 1953b 
 
 Ch. 131 n 1953e 
 
 Ch. 132 a 1948 
 
 Ch. 146 n 19470 
 
 Ch. 150 a 1949 
 
 Ch. 228 n 1946g to 1946q 
 
 Ch. 342 a 1953d 
 
 Ch. 389 n 1760m 
 
 Ch. 391 n 1947p 
 
 Ch. 432 a 1945e 
 
 Ch. 439 a 1927 
 
 Ch. 442 a 1931 
 
 Ch. 447 n 1955y-l and 1955y-2 
 
 Ch. 457 a 1935 
 
 Ch. 483 n 1955-5 
 
 Ch. 501 a 1976 
 
 Ch. 504 a 19550 
 
 Ch. 525 a 1941-47 and 1941-64 . 
 
234 
 Laws of 1907 — continued 
 
 Ch. 546 a 1955J 
 
 Ch. 562 a 1772 
 
 Ch. 584 n 1953n 
 
 Ch. 597 a 1954 
 
 Ch. 621 n 1947r 
 
 Ch. 636 n 1952a to 1952d 
 
 Ch. 637 n 1946x 
 
 Ch. 640 a 1947 
 
 Ch. 656 a 1220 
 
 Ch. 657 n 1950n to 1950t 
 
 Ch. 658 n 1952f to 1952i 
 
 Ch. 667 . n 1947c to 1947k 
 
 Ch. 668 n 1950m 
 
 Laws of 1909 
 
 Ch. 31 a 1927 (3), 1940 
 
 Ch. 33 n 1955-23m, a 1955-25 
 
 Ch. 39 a 1947 (3) 
 
 Ch. 58 a 1947g 
 
 Ch. 63 n 1941n 
 
 Ch. 99 a 1931 (2) 
 
 Ch. 106 a 1945c 
 
 Ch. 108 n 1948m 
 
 Ch. 113 a 1978c 
 
 Ch. 116 a 1976 
 
 Ch. 120 a 1946X, a 1950q, a 1952d 
 
 Ch. 130 n 1941a— 1 to 4 
 
 Ch. 153 a 1931a 
 
 Ch. 158 n 1955b-5 
 
 Ch. 209 a 1950, n 1950a, 1950b, 1950c 
 
 Ch. 228 a 1947b, j, k, n 
 
 Ch. 259 n 1219m 
 
 Ch. 267 a 1903 
 
 Ch. 274 n 1941-9m 
 
 Ch. 288 n 4202m 
 
 Ch. 290 a 1219 
 
 Ch. 296 a 1972 
 
 Ch. 355 a 1772 
 
 Ch. 390 a 1946n (3) 
 
 Ch. 449 n 1947o (5) 
 
 Ch. 460 n 1219e, 1896, 1897, 1897a, 1897b 
 n 1897c, 1897d, 1897e, 1897g, 1897i 
 n 1897s, 1897t, 1898, 1898d 
 n 1901J. 1901m, 1901n, 1941g 
 a 1908 
 
235 
 
 Laws of 1909 — continued 
 
 r 1896, 1897, 1898, 1899, 1900, 1901, 1907, 1941a to 
 1941f, 1941-1, 1941-la, 1941-3, 1941-8, 1941-13, 
 1941-14 to 1941-22, 1941-22a to 1941-22i, 1941-23 
 to 1941-32, 1941-33 to 1941-41, 1966-2 to 1966-12, 
 1966-13 to 1966-31a, 1966-41, 1966-43, 1966-49, 
 1966-50 to 1966-54, 1966-61 to 1966-71, and 1966- 
 81 to 1966-88 
 Ch. 536 n 1950d 
 
 Laws of 1911 
 
 Ch, 3 n 4549g 
 
 Ch. 27 a 1976 
 
 Ch. 32 Amends and renumbers 1955a to be 1958 
 
 Ch. 57 a 1955-23 
 
 Ch. 66 n 1908m 
 
 Ch. 83 n 1970p 
 
 Ch. 84 n 1960 
 
 Ch. 87 n 1919m 
 
 Ch. 152 n 1895m, 1970m, 1970n 
 
 Ch. 154 n 1900 
 
 Ch. 155 a 1931 
 
 Ch. 156 a 1936 
 
 Ch. 157 a 1902, 1903 
 
 Ch, 158 n 1897k, r 1942-1 
 
 Ch. 165 a 1928 
 
 Ch. 175 Amends and renumbers 1955a to 1958 
 
 Ch. 190 a 1966-34 
 
 Ch. 208 n 1948f 
 
 Ch. 210 n 1957 (5m) 
 
 Ch. 216 n 1956 1957 (3, 10, 11), 1958 (15, 16, 17), 1959 (22. 
 24, 25, 2-7, 28, 30), renumbers 1955c to 1957 (5), 
 1955g to 1959 (23), 19551 to 1959 (26), 1955k to 
 1959 (29), r 1955b, 1955d, 1955e, 1955f, 1955h, 
 1955J, 19551, 1955m, 1955n, 1978x 
 
 Ch. 235 n 1899 
 
 Ch. 247 a 1941-64 
 
 Ch. 265 a 1955y-l 
 
 Ch. 270 a 19550, r 19431 
 
 Ch. 275 a 1897, 1897a, 1897g 
 
 Ch. 277 a 1915 
 
 Ch. 280 n 1897f 
 
 Ch. 287 n 1897f (2m) 
 
 Ch. 295 a 1953n, 1954 
 
 Ch. 310 n 19550 (5m) 
 
 Ch. 311 n 19550 (2, d) 
 
 Ch. 341 a 1773 
 
 Ch. 436 a 1919a, r 1945e 
 
236 
 
 Laws of 1911 — continued 
 
 Ch. 484 n 1966y 
 
 Ch. 502 a 1951 
 
 Ch. 507 n 4202s 
 
 Ch. 532 a 1760, n 1774n 
 
 Ch. 577 n 1989m 
 
 Ch. 578 n 1926m 
 
 Ch. 581 n 1968f 
 
 Ch. 603 Amends and renumbers 1978e to 1978h, n 197Sf 
 
 CTi. 609 a 170 (14) 
 
 Ch. 648 a 1967a, 1968 
 
 Ch. 663 Correction acts, amend and renumber sundry 
 
 Ch. 664 sections. 
 
 Laws of 1913 
 
 Ch. 43 n 1927 (3d) 
 
 a 1931 1 (b) 
 
 Ch. 117 a 1938 
 
 Ch. 127 a 1900 
 
 Ch. 152 a 1931 (2) 
 
 Ch. 154 n 1970O 
 
 Ch. 167 n 1958 (2) (e) 
 
 Ch. 188 n 1748 (8) 
 
 Ch. 196 a 1898 (1) 
 
 Ch. 199 a 1773 
 
 Ch, 208 n 1943a 
 
 Ch. 209 n 3219m 
 
 Ch. 210 n 1915 (1) (c) (2) 
 
 n 1915m 
 
 Ch. 242 n 1931 (2m) (4) 
 
 Ch. 251 n 1959 (22m) 
 
 Ch. 277 n 1898 (3, 4) 
 
 Ch. 282 n 1977a 
 
 Ch. 291 a 1989m (2, 12, 13, 14, 15) 
 
 Ch. 316 n 1943m 
 
 Ch. 366 n 1941-64m 
 
 n 4575s 
 
 Ch. 387 n 1973m 
 
 Ch. 411 a 1222 
 
 Ch. 442 n 1966-34 (3) 
 
 Ch. 445 n 19550 (2i) 
 
 Ch. 464 n 1941-63s 
 
 Ch. 465 a 1926 
 
 Ch. 489 n 1946i (4, 5) 
 
 Ch. 517 a 1946f 
 
 Ch. 529 n 1941g (1) (o) 
 
 Ch. 553 n 1903 
 
237 
 Laws of 1913 — continued 
 
 Ch. 
 
 596 
 
 n 1950f 
 n 3871m 
 
 Ch. 
 
 599 
 
 a 2394-26 to 2394-28, inc. 
 
 Ch. 
 
 601 
 
 n 1960 
 
 Ch. 
 
 627 
 
 a 1087-15 (4) (5) 
 
 Ch. 
 
 637 
 
 n 1905 
 
 n 1915 (4, 5, 6, 7) 
 
 n 1916 
 
 a 1917 
 
 Ch. 
 
 638 
 
 n 1219 (3) 
 n 1958 (8) 
 
 Ch. 
 
 639 
 
 n 1957 (11) (d) 
 
 Ch. 
 
 662 
 
 a 1908m 
 
 Ch. 
 
 675 
 
 n 172-14 
 
 Ch. 
 
 691 
 
 a 3783a 
 
 Ch. 
 
 714 
 
 a 1978c (2) 
 a 1978d 
 
 Ch. 
 
 760 
 
 a 1966-38 
 
 Ch. 
 
 772 
 
 a 170 
 a 1946k 
 a 1946n 
 a 1946q 
 a 1967 
 a 1967a 
 a 1968 
 a 1968f 
 a 1971 
 a 1972a 
 
 Ch. 
 
 773 
 
 a 170 
 
 Laws of 1915 
 
 Ch. 
 
 28 
 
 a 1935 (2) 
 
 Ch. 
 
 29 
 
 n 1943m (10) 
 
 Ch. 
 
 30 
 
 n 1896m 
 
 Ch. 
 
 31 
 
 a 1947r 
 
 Ch. 
 
 33 
 
 a 1927 (3) (0) 
 
 Ch. 
 
 48 
 
 a 1879g (4) 
 
 Ch. 
 
 69 
 
 n 4438J 
 
 Ch. 
 
 70 
 
 n 1927m 
 
 Ch. 
 
 73 
 
 n 1897a (2) (e) 
 
 Ch. 
 
 81 
 
 n 1951f 
 
 Ch. 
 
 86 
 
 n 1946em 
 
 Ch. 
 
 98 
 
 n 4438em 
 
 Ch. 
 
 104 
 
 n 1966-34 (4) 
 
 Ch. 
 
 128 
 
 a 1926 (4) 
 
 Ch. 
 
 132 
 
 n 51.33 (1) 
 
238 
 
 Laws of 1915 — continued 
 
 Ch. 132 a 51.31 (3) and renumbered to be 51.311 
 
 Ch. 132 r 51.32 (3) and (5) 
 
 Ch. 173 a 1897f (2m) 
 
 Ch. 255 a 1970o 
 
 Ch. 256 n 1900f 
 
 Ch. 265 n 1943f 
 
 Ch. 265 r 1943 
 
 Ch. 283 n 51.34, (2, 3 and 4) 
 
 Ch. 306 a 1946q, (1) 
 
 Ch. 311 n 1958 (2) (f) 
 
 Ch. 312 r 1946X (6) 
 
 Ch. 312 a 1946X (9), (11), (12), and (16); 1948m, (1); 1950m; 
 
 1950n; 1952c, (1 and 3); 1952d; 1952f; 1952g; 
 
 19521; 1953n, (1) 
 Ch. 323 Amends and renumbers 1946f (3) to be 1946f (4) 
 
 Ch. 323 n 1946f (3) 
 
 Ch. 331 a 1950s 
 
 Ch. 434 a 51.32 (1) 
 
 Ch. 444 n 1931 (5) 
 
 Ch. 504 r 1946g, 1946n (2 and 4) 
 
 Ch. 504 a 1946h; 170-14; 1946n (3); 1946J; 19461; amends 
 
 and renumbers 172-39 to be 172-14 (3) 
 Ch. 603 a 1946n (3 and 4) 51.31 (1) 
 
 Ch. 604 r 1946k (3) 
 
 Ch. 604 a 1919m (5); 1926m (3); 1947 (5); 51.315, 51.32 (2) 
 
 Ch. 604 r 1927 (3) (d) 
 
 Ch. 609 n 172-14 (4) 
 
 Ch. 609 a 172-14 (2) 
 
 Ch. 629 1946p 
 
 Ch. 634 Amends renumbers and combines 1946n (3) as 
 
 amended by chapters 504 and 603, 1915 to be 
 
 1946n (2) 
 
 Laws of 1917 
 
 a 1971 
 
 a 1968 (3), (5) 
 
 Amends and renumbers 172-38 to be 20.06 
 
 Amends and renumbers 1973m to be 20.06 
 
 Amends and renumbers 1946n (2) to be 20.55 
 
 Amends and renumbers 170 (4), 172-14 to be 20.55 
 
 Amends and renumbers 172-71, 172-118 to be 20.55 
 
 Amends and renumbers 169a, parts of 170, 170m, and 
 
 171 to be 20.73 
 n 1917 (5) 
 n 1976m 
 r 1956 (7) 
 
 Ch. 
 
 12 
 
 Ch. 
 
 13 
 
 Ch. 
 
 
 Ch. 
 
 
 Ch. 
 
 
 Ch. 
 
 
 Ch. 
 
 
 Ch. 
 
 
 Ch. 
 
 19 
 
 Ch. 
 
 20 
 
 Ch. 
 
 55 
 
2:59 
 Laws of 1917— continued 
 
 Ch. 55 a 1956 (5) 
 
 Ch. 61 a 1943b 
 
 Ch. 61 n 1946-1 to 1946-lS 
 
 Ch. 66 a 1926m (2), (5) 
 
 Ch. 66 r 1926m (6) 
 
 Ch. 67 n 4202m (3) 
 
 Ch. 67 a 4202s 
 
 Ch. 79 a 1897g (2) 
 
 Ch. 106 a 1897a (3), 1947a, lS48m (4), 1950d 1(3), 1960 (12) 
 
 Ch. 106 n 1950 (Ig) 
 
 Ch. 107 n 1976 (7) 
 
 Ch. 127 r 1941-42 to 1941-60 
 
 Ch. 127 n 1941X 
 
 Cli. 127 Repeals and reenacts 1941-62 
 
 Ch. 150 n 1959-22n, corrected by ch. 566 to be 1959 (22n) 
 
 Ch. 160 n 1966-47a 
 
 Ch. 194 a 1957 (5m) 
 
 Ch. 199 a 1948f (1), 1952d, 1959, (23) 
 
 Ch. 201 a 1928 (1) 
 
 Ch. 211 a 177ob (2), 1770J (1) 
 
 Ch. 213 a 1976 (1) 
 
 Ch. 270 Repeals and reenacts 1951 
 
 Ch. 365 n 1958 (18) 
 
 Ch. 369 n 1958 (IS) renumbered by ch. 671 to be 1958 (19) 
 
 Ch. 387 r 1915m (3, 6 and 12) 
 
 Ch. 387 a 1915m (2 and 10) 
 
 Ch. 387 n 1915m (3, 6, 13, 14 and 15) 
 
 Ch. 423 n 20.55 (6) 
 
 Ch. 432 a 1957 (10) 
 
 Ch. 444 a 1945c 
 
 Ch. 460 a 1941X 
 
 Ch. 461 r 1943f 
 
 Cli. 461 n 1943 
 
 Ch. 482 a 1978b, 1978d 
 
 Ch. 482 n 1978d (7), corrected by chs. 677 and 678 
 
 Ch. 501 r 19461 (4), 19461 (2, 3. 4 and 5) 
 
 Ch. 501 a 1926 (4), 20.55 (4) 1978d (6) 
 
 Ch. 501 n 20.57 (9), 2394-52, (5b), 2394-71 
 
 Ch. 523 a 1770c, 1772 (2) 
 
 Ch. 599 a 1947 (3) 
 
 Ch. 604 Authorizes the investigation of Social Insurance 
 
 Ch. 624 Codifies and amends, 2394-1 to 2394-31 
 
 Ch. 637 r 2394-27 (4) 
 
 Ch. 637 n 1921-1 to 1921-29 
 
 Ch. 637 n 20.555 
 
 Ch. 639 a 51.331 
 
 Ch. 655 a 1896m (1) 
 
240 
 
 Laws of 1919 
 
 Ch. 
 
 12 
 
 r 20.55 
 a 20.555 
 
 Ch. 
 
 27 
 
 a 20.08 (1) 
 
 Ch. 
 
 70 
 
 a 1897a 
 
 Ch. 
 
 71 
 
 n 1966-34 (5) 
 
 Ch. 
 
 87 
 
 a 1915m (6) 
 
 Ch. 
 
 93 
 
 a 1967, 1967a 
 
 Ch. 
 
 101 
 
 a 1897c (2) 
 n 1897c (2) 
 
 Ch. 
 
 110 
 
 renumbers sections 51.31 to 51.34 to be 1211-31 to 
 1211-38 
 
 Ch. 
 
 136 
 
 n 1921-30 to 1921-36 
 
 Ch. 
 
 177 
 
 a 19550 (2) 
 
 Ch. 
 
 207 
 
 a 1957 (5) 
 
 Ch. 
 
 235 
 
 a 20.55 (4) 
 
 Ch. 
 
 248 
 
 n 4202p. 
 
 Ch. 
 
 300 
 
 a 1926 (2) 
 
 Ch. 
 
 327 
 
 a 1952c (1) 
 
 Ch. 
 
 334 
 
 n 2619 
 
 Ch. 
 
 353 
 
 Corrects all references to 51.31 to 51.34 as renum- 
 bered by Ch. 110 
 
 Ch. 
 
 361 
 
 Repeals and re-enacts 1946d 
 
 Ch. 
 
 389 
 
 r 20.56 (2) 
 a 20.73 (2) 
 
 Ch. 
 
 425 
 
 a 1211-36, 1772 (2), 1897b (1), 1897s (a & c), 1898 
 (4), 1901J, 1905 (1), 1916 (1), 1920, 1921-23, 
 1941-64, 1941-65, 1943m, 1946-18, 1947a, 195S (2), 
 1959 (28), 
 
 r 1958 (part of 15) 
 
 n 1897c (1), 1943m (11) 
 
 Ch. 
 
 451 
 
 a 1935 (1) 
 
 Ch. 
 
 536 
 
 a 1897a (3), 1960 (12) 
 
 Ch. 
 
 599 
 
 r 20.57 (9) 
 
 Ch. 
 
 616 
 
 a part of 1957 (10) and renumbers to be 58.06 
 
 Ct. 
 
 655 
 
 n 1966— 33a to 1966— 33n 
 
 Ch. 
 
 671 
 
 a 1919m (5), 1926m (3), 1947 (5) 
 
 Ch. 
 
 679 
 
 a 1958 (8) 
 
 Ch. 
 
 679 
 
 a 2637 (9) 
 
 Ch. 
 
 702 
 
 a 1947a 
 
 Ch. 
 
 703 
 
 n 20.57 (9) 
 
 renumbers 4202m to be 1977 — 1 
 renumbers 4202s to be 1977—2 
 renumbers 4202p to be 1977—3 
 renumbers 1977a (1) to be 1977 — 4 
 
241 
 
 
 Laws of 1921 
 
 Ch. 7 
 
 r 1087-(15) 
 
 Ch. 59 
 
 r 64hh 
 
 Ch. 170 
 
 a 1928-(1) 
 
 Ch. 171 
 
 a 1935-(1) 
 
 Ch. 283 
 
 a 1958-(18) 
 
 Ch. 298 
 
 a 1901J 
 
 Ch. 310 
 
 a 1951 
 
 Ch. 363 
 
 a 1773 
 
 Ch. 385 
 
 a 1943a 
 
 Ch. 465 
 
 a 1903 
 
 Ch. 451 
 
 a 2394-(27) 
 
 Ch. 469 
 
 a 1941-(64) 
 
 Ch. 510 
 
 a 1211-(37) 
 
 IC 
 
INDEX 
 
 References are to sections. See Table of Contents for chapters of 
 
 statutes. 
 
 Abandonment of property, standard fire policy, prohibited, 1941x 
 Absconding-, insured, life policy, 4438e 
 
 Accident and health insurance, stock companies may write, 1947a 
 Accident and health insurance companies 
 
 authorized. 1897 (4) 
 
 reinsurance, 1955 — 22 to 1955 — 26 
 Accident and health policies 
 
 application, alteration, 1960 (8) 
 
 application, warranty, 1977 — 1 
 
 assessment plan 1955y — 3 
 
 approval by commissioner, 1960 (1) 
 
 conditions prohibited, 1960 (4, 5) 
 
 optional standard provisions, 1960 (4), (5) 
 
 penalties, 1960 (13) 
 
 reciprocal provisions, 1960 (10) 
 
 standard provisions, 1960 (3) 
 
 standard provisions, exceptions, 1960 (12) 
 
 validity of non-standard forms, 1960 (9) 
 
 valuation, 1950d (3) 
 
 waiver of rights, 1960 (7) 
 
 warranty, effect of, 1977 — 1 (2) 
 Accident associations, deposit, 1958, (4) (5) 
 
 single risk, 1958 (6) 
 Accident insurance 
 
 authorized, 1897 (4) 
 
 deposit, 1958 (4) (5) 
 
 liability, 1958 (6) 
 
 maximum single risk, 1958 (6) 
 
 noticeof injury, time limit, 1960, 3 (15), 1966 — 49a 
 
 time for beginning action, 1900, 1945b, 1960, 3 (14) 
 
 uniform standard provisions, 1900 
 
 see health and accident insurance 
 Accident societies, authorized, 1956 (8) 
 Accounts, audit, state life fund, 19S9m (17) 
 Accumulation basis of valuation. 1959 (22m) 
 i^ctions 
 
 affecting license fee, service of summons, 1211 — 3S (2) (3) (4) 
 
 by credit guarantee company for debts, 1966 — 40 
 
 by receiver for assessments, 1945b 
 
 evidence. 4182a 
 
 fidelity bond, security for costs, 3783a 
 
243 
 
 Actions — continued 
 
 forfeitures, attorney-general to act, 3300 
 
 forfeitures, collection, 3299 
 
 limitation of time for beginning-, 1900, 1941x, 1945b, 1960, 3 (14) 
 
 not abated by consolidation, 1908m (4c) 
 
 not to be removed from state, 1915 (2), 1917 (2), 1947 (5) 
 
 Actions against insurance companies 
 
 by commissioner, recovery of forfeitures, 1972a 
 
 casualty company, impairment, 1966 — 46 
 
 forfeitures, 3299, 3300 
 
 health and accident insurance, 1960, 3 (14) 
 
 in behalf of policyholders, 1970o, 1970p 
 
 inspection of books, 4183 , 
 
 insolvency, 1970m, 1970n 
 
 joinder as defendants, 2609a 
 
 notice to commissioner, 3219m 
 
 receivership by commissioner, 1970m 
 
 service of process, 1915 (2b), 1915m (4), 1919, 1941x. 1947 (5), 1958 
 (17), 2637 (9, 10, 11) 
 
 where held, 2619 
 
 see removal of cause 
 Actions by insurance companies 
 
 assessments, evidence, 4182, 4182a, 4183 
 
 estoppel, disability company, 1977 — 2 
 
 estoppel, life company, 1977 — 2 
 
 foreign company on assessments, limitation for beginning, 1945b 
 
 town mutuals, for assessments, 1936 
 Actuarial computations 
 
 accumulation method of valuation, 1959 (22m) 
 
 actual experience valuation, 1959 (22m) 
 
 amortization method of valuing bonds, 1951f 
 
 annuities and life insurance, combination of, 1989m (16) , 
 
 annuities, industrial insurance, 1950d 
 
 annuities, mutual and stock life insurance, 1947o 
 
 annuities, premiums for, based on, 1989m (5) (6) 
 
 annuities, regulation life insurance, 1947o 
 
 apportionment of credits, 1959 (22m) 
 
 expectancy of life not used, see foot note to 3S71m 
 
 Mobile Bill valuation, 1959 (22) 
 
 mortality charge, defined, life insurance, 1946x 
 
 mortality savings, report, life insurance, 1950n 
 
 mortality tables, life insurance, 1948m, 1950, 1950c, 1950d, 1950m, 
 1989m (4) 
 
 mortality tables, mutual insurance, 1948m, 1958 (2), 1959 (22) 
 
 mutual benefit societies, may request, 1959 (22) (22m) (22n) 
 
 mutual benefit societies, organization, 1958 
 
 New York conference bill, 1959 (22m) 
 
 probability of living or dying, foot note, 3871m 
 
 table of credits, 1959 (22m) 
 
 tabular basis, 1959 (22m) 
 
 test of solvency, 1959 (22m) 
 
 "23b," 1959 (22m) 
 
 see Experience Tables of Mortality 
 Actuaries Table of Mortality, 1950 (Ic), (Id), 1950c 
 Additional commissions prohibited, life company, 1950s 
 Added clauses, standard fire policy, 1941x 
 Adjusters 
 
 fire and lightning losses, 1943m 
 
 licensed agents may be, 1943m 
 
 town mutuals exempt, 1943m (10) 
 
244 
 
 Adjustments 
 
 report of, 1943m (5) 
 
 state insurance fund, 1978c 
 
 state life fund, 1989m (12) 
 Admission of foreign companies 
 
 assessment life, 1955y — 1 
 
 casualty companies, 1915 (1) 
 
 commissioner may refuse, 1968 (4) 
 
 examinations, 1915 (7). 1916 (2, 3), 1948, 1958 (16), 1959 (25), 1968 
 
 fees, 1972, 76.34 
 
 fire, 1915 (1), 1948, 1968 
 
 interinsurers, 1915ni 
 
 license, 1976 
 ' life companies, 1947 (5) 
 
 Lloyds, 1915 (Ic) 
 
 mutual benefit society, 1958 (16) 
 
 rates, 1946 — 1 to 1946 — 18 
 
 reinsurance company, 1914a 
 
 retaliatory law, 76.35 
 
 surety company, 1966 — 34 
 
 to comply with law, 1978 
 
 see Insurance companies 
 Admission of service of process, 1915 (2b) (2c) 
 Advertisements, misrepresentation: 
 
 assets, 1946a 
 
 capital, surplus, 1946b 
 
 concealing identity, penalty, 1946em 
 
 dividends, 1946f 
 
 penalties, 1946c, 1946e, 1946f 
 
 risks, 1946c 
 
 see misrepresentation 
 Advances to agents, limited, life company, 1950n, 1950q 
 Advisory board, contracts, 1955o (3) 
 
 Age limits, mutual benefit societies, 1957 (3), 1958 (18) 
 Agents 
 
 acting after revocation of license of mutual benefit society, 4575c 
 
 acting for unauthorized fire company, penalty, 1919f, 4575s 
 
 acting for unauthorized mutual benefit society, 4575d 
 
 acting in sale of stock, disclosure required, lS97f 
 
 adjustments by, 1943m 
 
 board of underwriters, 1922 to 1926 
 
 bond, surplus lines, 1919m (6) 
 
 combination prohibited, exception, 1943b 
 
 commissions, 1919a, 1955o (2d), (2e), 1976 (5) 
 
 commissions limited, life companies, 1950q 
 
 commissioner may examine records of, 1919a 
 
 commissions on own insurance, 1955o (2c) 
 
 commissions to be reported, 1977 — 4 
 
 compensation, life companies, 1950r 
 
 compensation of, limited, 1950r 
 
 countersigning policies, 1919a (2) 
 
 defined, 1977 
 
 discrimination prohibited, 1955o (1) 
 
 division of commissions, 1955o (2e) 
 
 extending credit, rebate, 1955o (2i) 
 
 first applications, life company, 1947 (3a) 
 
 for sale of stock, 1897f 
 
 liability to insured, unauthorized insurance, 1919f 
 
 license revocable as to each class of business, 197Cm 
 
 life company, qualifications, 1976 (7) 
 
 local boards, 1922 to 1926 
 
245 
 
 Agents — continued. 
 
 may be adjusters, 1943m (1) 
 
 misrepresentation, life companies, 1946f 
 
 must be licensed, 1976 
 
 must be resident of state, exceptions, 1919a (1) (6) 
 
 mutual benefit society, 1976 (1) 
 
 name on policies, 1941 — 64 (4) 
 
 name to be mailed to commissioner on day licensed, 1976 (2) 
 
 non-resident, division of commissions, 1955o (2e) 
 
 penalties, 1949, 1955o (4b), 1955o (5) (5f), 1955o — 5, 1976 (4) 
 
 rebating-, 1955o 
 
 reinsurance companies not to write through, 1914a 
 
 release from liability, surplus lines, 1919m (3) 
 
 reports, surplus lines, 1919m (5) 
 
 resident law, 1919a 
 
 revocation of license, 1955o (5), see agents' licenses — revocation 
 
 schedule of commissions, 1977 — 4 
 
 service upon, for company, 1919, 1947 (5), 2637 (9) 
 
 soliciting during organization of life insurance company, 1947 (3) 
 
 subject to commissioner's inquiries, foreign company, 1916 (2) 
 
 surplus lines, 1919m 
 
 to countersign fire insurance policies, 1919a (2) 
 
 twisting, 1946f (3) 
 
 unauthorized company, 1919f, 4575s 
 
 unauthorized insurance, 1919m 
 
 unauthorized mutual benefit societies, 4575c, 4575d 
 
 who are, 1977, 1989m (13b) 
 
 who may receive commissions, 1955o (2e) 
 Agents' licenses 
 
 accident and health, mutual benefit societies, 1960 (13), 1976 (1) 
 
 adjusting losses, fire, 1943m 
 
 company to issue, 1976 (2) 
 
 corporations cannot obtain, 1976 (6) 
 
 destruction of, 1976m 
 
 exceptions, 1915 (Id), 1919a (6), 1976 (1), 1977 
 
 fees, 1972 (Ic) 
 
 fees, reciprocal law, 76.36 
 
 fees, retaliatory law, 76.35 
 
 filing of, 1976 (2), 1976m 
 
 fire companies, 1972 
 
 forfeiture, 1972a, 1976 (4) 
 
 interinsurers excepted, 1915 (Id) 
 
 issue by company, 1976 (2) 
 
 life companies, 1972, 1976 (7) 
 
 Lloyds excepted, 1915 (Id) 
 
 mutual benefit societies writing health and accident insurance must 
 procure, 1976 (1) 
 
 precedent to transacting business, 1976 (1) 
 
 return to commissioner, 1976 (2) 
 
 revokable as to each class of business, 1976m 
 
 separate for each person, 1972c 
 
 when not affected, 1976 (3) 
 Agents' licenses — -revocation 
 
 adjuster's license, violation, 1943m (3) 
 
 effect of revocation, 1917 (3, 4) 
 
 impairment of capital, 1917 (2c) 
 
 foreign company, refusing to comply with law, 1916 (2) 1917 (2) 
 
 foreign company, impairment, 1968 (3) 
 
 foreign company, violation of law, 1972a 
 
 life company, violation of law, 1972a 
 
 life company, removal of cause, 1947 (5) 
 
246 
 
 Agents' license's — continued. 
 
 misrepresentation, 1946c 
 
 premium notes, contents, violation, 1944 
 
 rebating, 1955o (5) (5m) 
 
 removal of action to U. S. court, 1917 (2), 1947 (5) 
 
 surplus lines, 1919m (8) 
 
 violation of adjustment law, 1943m (3) 
 
 violation of coinsurance law, 1943a 
 
 violation of resident agent law, 1919a (7) • 
 
 violation of standard policy law, 1941 — 65 
 
 unauthorized insurance, 1919f 
 
 see penalties, forfeitures, revocation 
 Amended laws, see table preceding this index 
 Amending articles, see articles 
 
 American Experience Table Select, 1950c, 1950m (2) 
 American Experience Table of Mortality: 
 
 basis of valuations, 1950, 1950c, 1950f, 1950m, 1952, 1955y — 1, 19S9m 
 (4), 3871m 
 Amortization method of valuation, 1951f 
 
 see actuarial computations 
 Amount at risk 
 
 admission of interinsurers, 1915m (3f) 
 
 basis of maximum single risk, 1898 (b) 
 
 defined, life companies, 1946x (1) 
 
 Lloyds, 1915 (Ic) 
 
 niinimum outstanding, 1898d 
 
 see risks 
 Amount of recovery 
 
 coinsurance, 1943a 
 
 standard fire policy, 1941x 
 
 valued policy law, 1943 
 Annual dividends 
 
 ascertainment, life companies, 1952b 
 
 cannot be deferred, 1957 (5m) 
 
 life companies, 1952a 
 
 mutual benefit societies, 1957 (5m) 
 
 report, life conipanies, 1954 (28) 
 
 statement of, to commissioner, 1952c 
 
 statements insured, 1952d 
 Annual statements 
 
 agents' commissions, 1977 — 4 
 
 commissioner to provide form, 1971 
 
 commissioner to publish, 1971 
 
 companies to make, 1915 (5), 1919d, 1920, 1954, 1958 (15a), 1959 (23), 
 1971 
 
 contents, 1920, 1953n, 1954, 1971 
 
 extension of time, 1971 
 
 fees. 1972 
 
 fire companies, contents, 1920 
 
 fire companies, reinsurance, l&19d 
 
 foreign companies, 1915 (5) 
 
 form of, 1954, 1971 
 
 interinsurers, 1915m 
 
 life companies, 1953n, 1954 
 
 life fund, 1989m 
 
 mutual benefit societies, 1958 (15f), 1959 (23) 
 
 publication of liy commissioner, 1971, 1972b 
 
 receivers and trustees, 1921 
 
 to show legislative expenses, 1953e 
 
 town mutual companies, 1938 
 
 see reports 
 
247 
 
 Annuities 
 
 state life fund, 1989m (5) (15) 
 
 valuation of, 1950d (2) 
 
 see actuarial computations 
 Anti-compact law, schedules of rates, 1943b see 1946 — 1 to 1946 — 18 
 Anti-discrimination law, 1921 — 1 to 1921 — 36, 1955o 
 Anti-rebate law, 1955o 
 Applications 
 
 accident and health, 1960 (8) 
 
 copy attached to policy, 1900 
 
 for admission of foreign companies, 1915 
 
 for risks, mutuals, 1897s, 1897t (a) 
 
 interinsurers to certify number, 1915m (2f) 
 
 life companies, copy to policyholders on request, 1953b 
 
 life companies, defense barred when, 1953b 
 
 limitations, 1900 
 
 mutual companies, to be filed, 1897e 
 
 of reserve, 1912 
 
 precedent to beginning- business, lS97t (a) 
 
 premium, statement, 1948m (2) 
 
 prohibited provisions, 1900 
 
 standard fire policy, 1941x 
 
 state life fund, 1989m (7) 
 
 to show premium, when, 1948m (2) 
 
 town mutuals, 1927, 1897t 
 
 unauthorized company, penalty, 4575s 
 
 warranty, 1977 — 1 
 Appointment 
 
 attorney for service of process, 1915 (2), 1915m (4), 1919, 1947 (5), 
 1958 (17), 2637 
 
 commissioner of insurance, 1966y 
 
 chief assistant fire marshal, 1946h 
 
 deputy commissioner of insurance, 1967a 
 
 deputy fire marshal, 1946h 
 
 employes, department of insurance, 20.73, 1967a, 1968 
 
 employes, state fire marshal, 1946h 
 
 state fire marshal, commissioner ex officio, 1946h 
 
 subordinates, department of insurance, 20.73 (1), 1967 a, 1968 
 Apportionment of credits, 1959 (22m) 
 Apportionment, dividends, life company, 1952 to 19521 
 Apportionment not deferred for more than one year, 1957 (5m) 
 Appraisal, standard fire policy, 1941x 
 Appropriations, commissioner of insurance 
 
 as ex officio state fire marshal, 20.55 (4) 
 
 assistant fire marshal 20.55 (4) 
 
 attending national convention, 20.55 (lb) 
 
 chargeable for printed reports, 1971 
 
 examination of companies, 20.55 (3) 
 
 fees and mileage, 20.55 (4b) 
 
 for payment of fire department dues, 20.56 (3) 
 
 for refunds, 20.06 
 
 general administration, 20.55 (1) 
 
 Industrial commission, 20.57 (9) 
 
 investigation of fires, 20.55 (5) 
 
 salaries of employes, 20.55, 20.73 
 
 salary of commissioner, 20.55 (la) 
 
 salary of prosecuting attorney, arson, 1946j 
 
 state aid for fire protection, 20.56 
 
 traveling expenses, 20.73 (2) 
 
 valuation fees, 20.55 (6) 
 
248 
 
 Arson 
 
 attorney-g-eneral's duty, 1946j (2) 
 
 penalties, 1946j, 4405 
 
 prosecution, 1946j 
 Articles 
 
 fees for filing, 1772 (9) 
 
 filing, 1770b, 1772 
 
 general provisions, 1774, 1774n 
 
 increase of capital, 1908, 1908a 
 
 life company, 1947 (4) 
 
 limitation of term removed, 1941n 
 
 may limit liability, 1897c (2) 
 
 mutual benefit society, 1958, (7) (16a) 
 
 mutual company, 1896m, 1897c 
 
 mutual companies, contents, 1897c 
 
 mutual companies, validated, 1896m (3) 
 
 recording, 1772, 1896 
 
 reduction of capital, 1966 — 46, 1970 
 
 to be filed with commissioner, 1896 
 
 town mutuals, 1927 (3c), 1931 
 Articles, amendments to 
 
 assessment life, 1955y — 2 
 
 change of name, 1774 
 
 consolidation, 1908m 
 
 domestic companies, 1774, 1774n, 1896m, 1897c 
 
 fees for filing, 1772 (9) 
 
 filing, 1770b (2), 1774 
 
 increase of capital, 1774n, 1908, 1908a 
 
 life companies, 1947 (4) 
 mutual benefit society, 1958 (7) 
 mutual companies, 1774, 1896m, 1897c (lb) 
 recording, 1774 
 reduction of capital, 1970 
 to be filed with commissioner, 1896 
 town mutual companies, 1927 (3c), 1931 (c), 1940 
 town mutual companies, dissolution, 1927 (3c) 
 town mutual companies, validated, 1927m 
 Assessment life companies, 1955y — 1, 1955y — 2 
 Assessments 
 
 action to recover by foreign mutual company, time limited, 1945b 
 action to collect, town mutual companies, 1936 
 borrowing money for, town mutual companies, 1935 
 certificate is presumptive evidence, 4182 
 defined, mutual benefit societies, 1956 (10) 
 evidence, 4182 
 foreign mutual, 19451 
 
 graded on N. F. C. 4% Table of Mortality, 1958 
 mutual benefit society, 1956 (10) 
 restoration of capital, 1969 
 stock casualty, 1966 — 46 
 stock company, 1969 
 town mutual companies, 1935, 1936 
 Assessment Health and Accident Association 
 how organized, 1955y — 3 
 
 may assume disability risks only, 1955y — 3 
 Assessment life companies 
 
 assessment life may reorganize as legal reserve, 1955y — 2 
 
 exempt from taxes, 76.34 (2) 
 
 organization prohibited, 1955y — 1 (3) 
 
 reorganization, 1955y — 2 
 
 reserves, 1955y — 2 (3) 
 
 valuation of existing policies, 1955y — 1 
 
 valuation of policies if reorganized, 1955 — 2 (2) 
 
249 
 
 Assets 
 
 basis of single risk, casualty associations, 1958 (6) 
 
 basis of single risk, generally, 1898 
 
 if not equal to liabilities, life companies, 1949 
 
 in United States to be shown, 1946a 
 
 life companies, report, 1954 - 
 
 representation as to, 1946a 
 Assignment, fire policy, 1941 — 63 
 Assignment, life policy, 1947c 
 
 by married women, 2347b 
 Assistant fire marshal 
 
 appointment, 1946h 
 
 appropriation for, 20.55 (4) 
 Attorney-general 
 
 member of reinsurance commission, 1955 — 24 
 
 to bring action for policyholders, 1970o 
 
 to institute suit tQ collect license fees, 76.37 (4) 
 
 to prosecute arson cases, 1946j (3) 
 
 to prosecute violations of law, 1972a 
 Attorney-in-fact 
 
 see interinsurers 
 
 see Lloyds 
 
 surety company, 1966 — 33b 
 Authorization of insurance companies 
 
 assessment life, reorganization into legal reserve company, 1955y — 2 
 
 classification of, 1897 
 
 fidelity, 1897 (7) 
 
 general corporation provisions, 1896 
 
 interinsurers, 1915m 
 
 life insurance, stock or mutual, 1947 
 
 Lloyds associations, 1915 
 
 mutual benefit societies (fraternal), 1958 
 
 reinsurance companies, 1914a 
 
 suretyship companies, 1966 — 33a 
 
 stat^ insurance for public buildings, 1978a 
 
 state life fund, 1989m 
 
 stock or mutual plan, 1897a 
 
 town mutuals, 1927 
 
 town mutual reinsurance, 1941a — 1 
 
 workmen's compensation, 2394 — 26 
 Automobile insurance 
 
 authorized, 1897 (2), (5) 
 
 floater policy permitted, need not use standard fire policy, lS97a (5) 
 
 town mutual companies, 1931 (2ra; 
 Audit, state life fund, 1989m (17) 
 
 Ballot, life companies, 1947f to 1947j 
 
 see elections 
 Bank balances 
 
 fire companies, 1920 (2) 
 
 life companies, 1954 (26) 
 Bank deposit insurance 
 
 authorized, 1897 (9) 
 
 maximum single risk, 1898 (3) 
 
 reinsurance, 1898 (4)' 
 Bankruptcy 
 
 see insolvency 
 Basis of annuities, life fund, 1989m (5) 
 
250 
 
 Basis of single risk 
 
 accident associations, 1958 (6) 
 
 bank deposit guarantee companies, 1898 (3) 
 
 stock and mutual companies generally, 1898 
 Basis of taxation, 1211 — 37 
 Basis of valuation, see valuation 
 Beneficiary 
 
 change of, mutual benefit societies, 1957 (5) 
 
 corporations may be named as, 1957 (5) 
 
 defined, 1946x 
 
 rights of, health and accident policies. 1960, 3 (13) 
 
 rights of married woman, 2347, 2347b 
 Benefits 
 
 equivalents, policy provisions, 1948m (41) 
 
 forfeiture, mutual benefit societies, 1958 (2) 
 
 on lapse, mutual benefit societies, 195S (2) 
 Blanks, town mutuals, to be filed, 1927 (7) 
 Blue sky law, 1897f 
 
 Board, compensation insurance, 1921 — 1 to 1921 — 29 
 Board of fire underwriters, 1922 to 1925 
 
 see insurance rate-making, 1946 — 1 to 1946 — 18 
 Bond 
 
 commissioner of insurance, 1967 
 
 commissioner of insurance, life fund, 1989m (2) 
 
 deputy commissioner, 1967a 
 
 state treasurer, life fund, 1989m (2) 
 Bonds, amortization of, 1951f 
 
 Bondholders, insolvent company, to be notified, 1966 — 34 (5) 
 Bonds and stocks, see investments 
 Bonuses and prizes prohibited, 1950s 
 Borrowing money 
 
 life companies, 1947 (3) (a) 
 
 surplus notes, mutual companies, 1897g (4) 
 
 town mutual companies, to pay. losses, 1935 
 British Friendly Society Table, 1876 to 1880, 1950d (3) • 
 
 British Offices Annuity Tables 1893, 1950d (2), 1989m (5) 
 British Offices Select (Om) Mortality Table, 1950c 
 Buildings 
 
 county, city and village, state fund, 1978d 
 
 dilapidated, repair, 1946 1, 2394 — 52 (5a) 
 
 inspection of, 2394 — 52 (5b) 
 
 right to review, fire marshal, 19461 (1) 
 
 to be insured, investments, 1903 
 Bureaus 
 
 rating, fire, 1946 — 1 to 1946 — 18 
 
 compensation insurance board, 1921 — 1 to 1921 — 29 
 
 see insurance rate-making 
 Burglary insurance, authorized, 1897 (1) 
 By-laws 
 
 amendments, 1941g (3) 
 
 companies must adopt, 1897d 
 
 effective only as part of policy, health and accident insurance, 1960 
 (5) 
 
 effective only as part of policy contract, generally, 1900 
 
 foreign mutual benefit societies, 1958 (16a) 
 
 penalty for not filing. 1897d 
 
 provisions, 1904 
 
 repealed laws to be part of, 1941g (2) 
 
 town mutuals filing, 1927 (7) 
 Burning property to injure insurer, penalty. 4405 
 
251 
 
 c 
 Cancellation 
 
 general provisions, 1946d 
 health and accident insurance, 1960, 4 (16) 
 short rate table 1946d 
 standard fire policy, 1941x 
 town mutual companies, 1937 
 Capital 
 
 after consolidation, 1908m 
 
 casualty insurance companies, 1966 — 45, 1960 — 46 
 
 consolidation, limitation, 1908m 
 
 domestic stock companies, 1897g 
 
 fire companies, 1968 
 
 foreign companies, 1915 (la), (4), (6) 
 
 impairment, 1912, 1913, 1917, 1949 
 
 impairment, casualty company, 1966 — 46 
 
 impairment, life company, 1949 
 
 impairment, suretyship company, 1966 — 46 
 
 increase, suretyship company, 1946 — 45 
 
 increase, 1774n, 1908, 1908a, 1908m 
 
 increase, casualty company, 1966 — 45 
 
 investment, 1902, 1903, 1951 
 
 life companies, 1947 (3), 1951, 1951f 
 
 Lloyds, exempt from, 1915 (2c) 
 
 paid in, 1773 
 
 reduction, 1970 
 
 reduction, casualty company, 1966 — 44 
 
 reduction of, commissioner may permit, 1970 
 
 reinsurance corporations, 1914a 
 
 representation as to, 1946b 
 
 requirements, domestic companies, 1773, lS97g' 
 
 requirements, foreign companies, 1915 
 
 restoration, 1913, 1969 
 
 scope of law, 1914 
 
 fidelity insurance, 1966 — 33c, 1966-33d 
 
 title guaranty insurance, see section 1777g, Stats. 
 
 see investments 
 Cash surrender, life fund, 1989m (11) 
 Casualty insurance 
 
 authorized, 1897 
 
 capital, 1966 — 45, 1966 — 46 
 
 credit guarantee business, 1966 — 40 
 
 dissenting directors not liable, 1966 — 44 
 
 dividends 1966 — 44, 1966 — 45 
 
 employers' liability policies, 1966 — 42 
 
 fidelity bond, 1966 — 33, 1966 — 34 
 
 foreign, admission, 1915 
 
 impairment, commissioner's duty, 1966 — 46 
 
 increase of capital, 1966 — 45 
 
 policy conditions, 1966 — 49a 
 
 reserve liability, 1966 — 47 
 
 see health, accident, and health and accident companies 
 
 see misrepresentation 
 Certificate of authority, see company license 
 Certificate of commissioner 
 
 approving amendments, town mutual companies, 1927 (3c) 
 
 approving articles, town mutual companies, 1927 (3a) 
 
 contents, domestic mutual companies, 1897t 
 
 fee for, 1972 (Ic) 
 
 may be withheld, 1968 (4) 
 
 suretyship companies, contents, 1966 — 34 
 
 valuations, life companies, 1950 (7) 
 
252 
 
 Certificate of deposit with state treasurer 
 accident association, 1958 (4) 
 life companies, 1973 
 Certificate for stocl<, contents, 1760 
 Certificates, see mutual benefit societies 
 Chapters of statutes, see table of contents 
 
 see table preceding index 
 Chattel mortgage, standard fire policy, 1941x 
 Chiefs of fire departments 
 
 deputies of industrial commission, 2394 — 71 
 to make inspections, 2394 — 71 
 Children insurable in mutual benefit societies, 1958 (IS) 
 City and village mutual companies 
 laws repealed, 1941g (10) 
 by-laws, affected, 1941g (2) 
 see mutual companies 
 Civil actions, joinder as defendants, 2609a 
 Classification and filing of risks, rate-making, 1946 — 16 
 Classification 
 
 directors, fire companies, 1945f 
 directors, town mutual companies, 1928 
 insurance, 1897 
 
 members, mutual benefit societies, 1958 (2f) 
 risks, mutual companies, 1901m 
 see directors 
 • see risks 
 Claims 
 
 resisted, life companies, 1954 (27) 
 
 sufficiency of notice, health and accident insurance, 1960, 3 (5) 
 time limit for beginning action, 1900, 1941x, 1960, (3) (14) 
 time, notice of, health and accident insurance, 1960, (3) (4) 
 Class mutuals, laws repealed, 1941g 
 Coinsurance clause, insurer may bear first part of loss 
 
 reduced rate, 1900f 
 Coinsurance clause, requiring percentage of insurance coverage 
 
 reduced rate, 1943a 
 Collateral security, investments, 1903 (2) 
 Combination policies, state life fund, 1989m (16) 
 
 see health, accident, and health and accident 
 Commission to hear petitions, reinsurance 
 
 governor, attorney-general and commissioner of insurance, 1955 — 24 
 Commissioner of insurance 
 
 accounts of, life fund, 1989m (17) 
 
 action for policyholders, 1970o 
 
 admission of service of process, 1915 (2b), (2c) 
 
 annual report of, 1971, 1972b 
 
 appointment, 1966y (1) 
 
 appraisement, future estates, 72.15 (4), 3871m 
 
 appropriations, 20.06, 20.55, 20.56 
 
 approval of accident or health policies, 1960 (1) 
 
 approval of fire policies, 1941 — 64 (1) 
 
 approval of life and disability policies, 1948f 
 
 approval town mutual policies, 1932 
 
 appointment of assistants, 20.55. 20.73 
 
 assessment by foreign company, notice to, 19451 
 
 attorney for service of process, 1915 (2b), 1915m (4), 1919, 1947 (5), 
 
 1958 (17a), 2637 (9, 10, 11) 
 ballot form, life companies, filed with, 1947f 
 blank statement, form, 1920, 1954, 1971 
 bond, life fund, 1989m (2) 
 bond, cost chargeable to appropriation, 1966 — 38, 1967 
 
253 
 
 Commissioner of insurance — continued. 
 
 books to be examined quarterly, 1972c 
 
 certificates of nomination, life companies, filed with, 1947g (4) 
 
 commissioner of banking, powers conferred on, 1970n 
 
 convention of commissioners, attendance, 1972c 
 
 deputy, employes, 1967a 
 
 deputy, appointment, powers, 1967a 
 
 duty of, guaranty surplus fund, 1909 
 
 employes' salaries, 20.55, 20.73, 1967a 
 
 examination of rating bureaus, 1946 — 6 
 
 axaminations, 1897t, 1908, 1908m, 1912, 1915 (7), 1916, 1919a, 1948, 
 1958 (16). 1959 (24, 25, 26, 27), 1968 
 
 ex officio state fire marshal, 1946h 
 
 fire policy, standard form, preparation, 1941x 
 
 fire insurance, adjuster, regulations by, 1943m 
 
 fire insurance, state fund, supervision, 1978d 
 
 fire insurance companies, report to, 1920. 
 
 life fund, supervision, 1989m 
 
 life companies, report to, 1954 
 
 manager of life fund, 1989m (2) 
 
 member of compensation insurance board, 1921 — 2 
 
 member of commission on reinsurance, 1955 — 24 
 
 monthly reports, 1972c 
 
 National Convention of Insurance Commissioners, 20.55, 1972a 
 
 notice of action against companies, 3219m 
 
 oath and bond, 1967 
 
 office in Capitol, 1967 
 
 orders, court review, 1970p 
 
 petition to court on insolvency, 1970m 
 
 petition to, reinsurance, 1955 — 21 
 
 powers of commissioner of banking conferred on, 1970n 
 
 power in case of insolvency, proceedings, 1966 — 34 (5) 1970m (3) 
 
 qualifications, 1966y (2) 
 
 rates, compensation insurance, supervision, 1921 — 1 to 1921 — 29 
 
 rates, fire insurance, supervision, 1946 — 1 to 1946 — 18 
 
 remittances to state treasurer, 1972c 
 
 report, contents, 1972b 
 
 report of fire department dues, 1926m 
 
 report to governor, 1972b 
 
 reinsurance, life companies, duty regarding, 1955 — 23 
 
 restrictions, 1966y (2) 
 
 salary and expenses, 20.55, 20.73 
 
 to adjust losses in state fund, 1978c 
 
 term of office, 1966y (1) 
 
 to establish rates, fire, 1946 — 11 
 
 to fix basis of reserve liability, 1899 
 
 to give notice of violation of law, 1972a 
 
 violation, life companies, 1950 to 1950f 
 
 see state fire marshal 
 Commissions 
 
 agent's own risk, 1955o (2c) 
 
 division of, 1955o (2c) 
 
 division of, agent's licenses, 1976 (5), 1955o (2) 
 
 insurance, stock salesman, 1897f 
 
 person sharing disclosed, 1897f (3) 
 
 rebating penalty, 1955o (4b) 
 
 schedule to be filed, 1977 — 4 
 
 to agents, limited, 1950q 
 
 to domestic corporation, 1955o (2d) 
 
 who may receive, 1919a (2), 1955o (2e), 1976 (5) 
 
 see agents 
 
254 
 
 Common schools, fire drills, penalty if not, 40.30 (6) 
 Companies authorized 
 
 admission, foreign, 1915 
 
 assessment life, reorganization into legal reserve company, 1955y — 2 
 
 classification of, 1897 
 
 general corporation provisions, 1773, 1896 
 
 interinsurers, 1915m 
 
 life insurance, stock or mutual, 1947 
 
 Lloyds associations, 1915 
 
 mutual benefit societies (fraternal), 1958 
 
 reinsurance companies, 1914a 
 
 suretyship companies, 1966 — 34 
 
 state insurance for public buildings, 1978a 
 
 state life fund, 1989m 
 
 stock or mutual plan, 1897a 
 
 town mutuals, 1927 
 
 town mutual reinsurance, 1941a — 1 
 
 workmen's compensation, 2394 — 26 
 Company, defined, 1895m 
 
 see insurance companies 
 Company licenses 
 
 actions to compel, condition, 76.37 (3) 
 
 commissioner may destroy records after six years, 197Cm 
 
 conditions precedent to issue, 1897g, 1897s, 1897t, 1916 (5), 1917, 1948, 
 
 1953d, 1953e, 1968 
 domestic companies, 1897t, 1917 
 examination first, 1897t, 1948, 1968 (4) 
 fidelity insurance, 1966 — 33a 
 foreign companies, 1915, 1916, 1917 
 
 foreign companies, authorized business exclusive, 1916 (5) 
 general provisions, 1916 (5), 1917, 1948, 1968 
 interinsurers, 1915m, 1916, 1917 
 life companies, domestic, 1947 (3, 4) 
 
 life companies, legislative expenses to be filed prior, 1953e 
 life companies, political contributions to be filed prior, 1953d 
 Lloyds, 1915 (2c), 1916, 1917 
 mutual benefit societies, 1958 (3), (15) 
 mutual benefit societies, foreign, 1953 (3), (16) 
 reinsurance companies, 1914a, 1917 
 suretyship companies, 1966 — 34 
 surplus line companies, 1919m 
 town mutuals, 1927 (3) 
 
 town mutual reinsurance companies. 1941a — 1 to 1941a — 4 
 see licenses 
 Company licenses-revocation 
 
 accident and health, 1960 (13) 
 
 effect of, 1917 (3, 4) 
 
 failing to report reinsurance, 1919d 
 
 impairment, casualty company, 1966 — 46 
 
 impairment, domestic company, 1949 
 
 Impairment, foreign company, 1917 (2), 1968 (3) 
 
 misrepresentation, 1946c 
 
 noncompliance with law. interinsurers, 1915m (10) 
 
 nonpayment of judgment, 1919e 
 
 rebating, 1955o (5, 5m) 
 
 removal of action, foreign life company, 1947 (5) 
 
 removal of action, foreign company, 1915 (2) 
 
 revokable as to each kind of business authorized, 1917 (5) 
 
 coinsurance, 1943a 
 
255 
 
 Company licenses — revocation — continued, 
 premium notes, 1944 
 resident agents, 1919a (7) 
 standard fire policy law, 1941x 
 violation of law generally, 1955o — 5 
 <,'ompany's options, standard fire policy, 1941x 
 I ^jmpensation ^ 
 
 adjusters, 1943m 
 defined, 1966 — 47a 
 for effecting- reinsurance, 1955 — 25 
 life insurance agents, 1950r 
 state officer or employe, 4549g 
 < ompensation insurance board 
 ad interim filing, 1921—27 
 annual report of bureau, 1921 — 27 
 appeal to board, 1921 — 19 
 appointment to board, 1921 — 19 
 
 appointment of person to hold hearing, 1921 — 6 
 appropriation, 20.555 
 
 assessment for operation expenses of bureau, 1921 — 14 
 bureau classification of risks, 1921 — 18 
 l)ureau records, 1921 — 19 
 classification of risks, 1921 — 9 
 company defined, 1921 — 1 
 composition of board, 1921 — 3 
 court review of findings, 1921 — 11 
 created, 1921 — 2 
 discrimination, 1921 — 20 
 expense loading, 1921 — 7 
 
 filing information as to writings, 1921 — 26 
 filing of rates, 1921 — 21 
 
 filing schedule of expense loading, 1921 — 22 
 hearings, 1921 — 19 
 investigaJ;ions, 1921 — 11 
 license of bureau, 1921 — 16 
 members of board, how appointed, 1921 — 3 
 merit rating, 1921 — 7 
 minimum pure premium, 1921 — 23 
 minimum rate, 1921 — 24 
 organization of board, 1921 — 4 
 
 organization and government of rating bureau, 1921 — 13 
 pay roll audit, 1921 — 10 
 penalty, 1921—18 
 pure premium, 1921 — 7 
 rating bureau, 1921 — 12 
 report of writings, 1921 — 25 
 representation in the bureau, 1921 — 15 
 scope of statute, 1921—29 
 supervision of bureau, 1921 — 17 
 survey of risks, 1921 — 8, 1921 — 18 
 testimony, 1921 — 5 
 Complaint for forfeiture, '3299 
 Complaints, rate-making, 1946 — 11 
 Compliance with law, all insurers affected, 1978 
 Computations 
 
 see actuarial computations 
 see reserve liability 
 Concealment, fraud on life company, 443Se 
 Conditions of warranty made applicable to mutual benefit sooieiios. 
 
 1977 — 1 
 Conditions voiding standard fire policy, 1941x 
 
256 
 
 Conflagration, efEect on capital and surplus, 1912 
 
 Consent to assignment, married woman, life insurance, 2347b 
 
 Consent to assignment of interest, standard fire policy, 1941 — 63 
 
 Consolidation, 1908m, 1955 — 21 to 1955 — 26 
 
 Contests, prizes, 1950s 
 
 Contingent appropriations, 20.55 
 
 Contingent estates, valuation, 3871m, 72.15 (4) 
 
 Contingent reserve, life companies, 1952a 
 
 Contracts 
 
 contrary to law, binds company, 1941 — 65 
 other than policy prohibited, life companies, 1955o (2a) 
 provisions prohibited, 1900 
 purchaser of stock, 1897f 
 standard fire policy, exclusive, 1941 — 64 
 standard provisions, health and accident, 1960 (9) 
 see policies 
 Corporations 
 
 abandonment, 1773 
 amended articles, 1774, 1774n 
 beneficiaries of mutual benefit society, 1957 (5) 
 change of name, 1774 
 continuation after dissolution, 1764 
 dissolution, 1763, 1764, 1927 (2c) 
 general provisions, see Chapters 85, 86, 89 
 increasing capital stock, 1774n 
 may do fidelity business, when, 1966 — 33a 
 may have officers insured, 1748 (8) 
 promoters liable, 1773 
 temporary control, 1773 
 to share commissions, 1955o (2) 
 votes, 1760 
 
 who may organize, 1896 
 see insurance companies 
 Cost of insurance, mutual benefit society, 1958 (2) 
 County court, commissioner, to certify value of future estates, 3S71m, 
 
 72.15 (4) 
 County, city and village buildings may be insured in state insurance 
 
 fund, 1978d 
 County treasury, forfeitures paid into, 3300 
 Courts, jurisdiction 
 
 commissioner's orders, hearing, review, Dane county circuit, 1970p 
 companies not to remove actions to U. S. courts, 1915 (2), 1917 (2), 
 
 1947 (5), 1958 (16b) 
 examinations, hearing on, fees and costs same as in circuit court, 
 
 1968f (4) 
 fees, recovery of, Dane county circuit, 76.37 
 fidelity bond, justice court, 3783a 
 
 future estates, valuation by, may submit to commissioner, 3S71m 
 injunction, insolvency, issue by supreme court, 3219 
 insolvency, receivership, petition to circuit court, 1970m 
 Credit, extension, rebate, 1955o (2i) 
 Credit guarantee business, authorized, 1897 (9) 
 
 powers, 1966 — 40 
 Credit insurance, separate, lS97a 
 
 Creditors, right in policy payable to married woman, fraud, 2347 
 Crops, hail insurance, separate policy, 1897a (4) 
 Cumulative vote, domestic mutual life companies, 1947c, 1947g 
 Cyclone Insurance 
 
 fire companies, 1945c 
 
 town mutual companies may assume risks of, 1931 (3) 
 
 see mutual cyclone company 
 
257 
 
 D 
 
 Death benefits 
 
 children, mutual benefit society, 1958 (18a) 
 
 reserve for, basis, 1958 (2a) 
 
 separate funds, 1958 (2f) 
 Deferred dividends, see dividends 
 Definitions 
 
 agents, 1977 
 
 assessments, 1956 (10) 
 
 company, 1895m 
 
 insurance corporation, 1978 
 
 life insurance terms, 1946x 
 
 lodge system, 1956 (2) 
 
 loss, valued policy, 1943 
 
 mutual benefit society, 1956 
 
 mutual insurance, 1956 
 
 noon, standard fire policy, 1941x 
 
 organization, 1956 (10) 
 
 workmen's compensation insurance terms, 1966 — 47a 
 Delinquent companies, see insolvency 
 Demolition of buildings, 2394 — 52 (5a) 
 Department of insurance, see commissioner of Insurance 
 Deposit 
 
 accident associations, 1958 (4, 5) 
 
 defined, 1946x 
 
 foreign company, 1915 (4), 1968 
 
 foreign life companies, 1950b 
 
 for examination expenses, 1968 (5) 
 
 for payment of fees, 20.06 
 
 guaranty surplus fund, 1911 
 
 in another state, accident society, 1958 (5) 
 
 life company, foreign country, 1950b 
 
 reciprocal law, 76.37 
 
 refund, 20.06 
 
 retaliatory law, 76.36 
 
 securities, life companies, 1973 
 
 securities, withdrawal, 1918 
 
 unearned portion of premium, standard fire policy, 1941 — 633 
 
 subscribers at Lloyds, 1915 (4) 
 
 withdrawal by foreign company, 1918 
 Deputies, special, liquidating company, 1970m 
 Deputy commissioner of insurance 
 
 appointment, 1967a 
 
 chief assistant fire marshal, 1946h 
 
 powers, 1967a 
 
 salary, 20.55 
 Deviation from schedule, fire-rating, 1946 — 9 
 Directors 
 
 casualty companies, 1966 — 44, 1966 — 46 
 
 classification, fire companies, 1928, 1945f 
 
 dissenting not liable, employer's liability companies, 1966 — 44 
 
 liability, casualty company, 1966 — 44 
 
 liability, mutual company, 18971 (2), 1945h 
 
 life company, transfer of stock, 1947 (3e) 
 
 must attend meetings, life company, 1947k 
 
 mutual companies, must be members, 1897c 
 
 penalty, suretyship company, 1966 — 49 
 
 town mutual companies, classification, 1928, 1929, 1937, 1941a — 3 
 Disability benefits 
 
 mutual benefit society, 1958 (2), 1958 (18), 1959 (22) 
 reserve basis, 1950 (Ig) 
 17 
 
258 
 
 Disability insurance 
 
 see health, accident, and health and accident insurance 
 Discontinuance of business 
 
 after revocation, 1968 
 
 life companies, 1949 
 Discrimination 
 
 employer's liability rates, 1921 — 20 
 
 fire rates, 1946 — 8, 1946 — 10 
 
 liability insurance 1921 — 30, 1921 — 36 
 
 penalty, 1955o 
 
 premiums, life companies, 1955o (1) 
 
 prohibited, 1943b, 1946 — 1 to 1946 — 18 
 
 sale of stock, 18971 
 
 assessments, foreign mutuals, 19451 
 Dissolution 
 
 by insolvency, 1763 
 
 three years to effect settlement, 1764 
 
 how effected generally, 1789 
 
 township mutuals, 1927 (3) 
 Distribution of rate schedules and forms, life fund, 1989m (6) 
 Distribution of surplus by life companies, 1952 
 District attorney 
 
 to be given evidence by fire marshal, 1946j 
 
 to bring action for forfeiture, 3300 
 District of Columbia, loans in, by domestic companies, 1903 
 Dividends 
 
 ascertainment and credit. 1952a to 1952c 
 
 casualty companies, 1966 — 44, 1966 — 45 
 
 deferred, annual accounting to corrimissioner, 1952c (3) 
 ascertainment, report, 1952f, 1952h 
 diversion prohibited, 1952g 
 fraternal insurance, 1957 (5m) 
 prohibited, 1957 (5m) 
 statement to policyholder on request, 19521 
 
 factors, life company, 1952c, 1954 (28) 
 
 fire company, guaranty fund, 1910 
 
 fire company, stock, 1908a 
 
 illustration of net cost of life policies, 1946f 
 
 liability to policy, 1952c 
 
 life company, 1952a to 19521 
 
 mutual company, limited, 1897k 
 
 not rebate, 1955o (2f) 
 
 representations as to future, 1946f 
 
 statement to commissioner, 1952c 
 
 statement to insured, 1952d 
 Domestic corporations, see insurance companies 
 Domestic life companies, see life insurance companies 
 Domestic mutuals, see insurance companies — domestic 
 
 Earned premium defined, 1966 — 47a (2) 
 Elections 
 
 domestic life companies, 1947c to 1947j 
 
 form of ballot, 1947g 
 
 independent ticket, 1947c to 19471 
 
 mutual benefit societies, 1956 (3) 
 
 place, 194 7h 
 
 policyholders' nomination, 1947e 
 
 proxies, 192S, 1956 (3), 1760. 1760m 
 
259 
 
 Elections — continued. 
 
 report of, annual, 1954 (21) 
 
 salaries, 1947r 
 
 separate ballot, life companies, 1947f 
 
 stock corporations, 1760 
 
 town mutuals, 1928 
 
 see votes, proxies 
 Elevator insurance, authorized, 1S97 (13) 
 Employes 
 
 of department, salaries, 20.55, 20.73, 1968 
 
 of department, gratuities forbidden, 1955 — 25, 4549g- 
 Employer's liability insurance 
 
 authorized, 1897 (5), 2394—26 
 
 policy conditions, 1966 — 42 
 
 see compensation insurance board 
 Endorsements, standard fire policy, 1941x, 1941 — 61 to 1941 — '64 
 Endowment policies, dividends, 1952b 
 EnRlish Life Table Nuinber Six, 1958 (18a) 
 Entry of building, 1946 1, 2394—52 
 Estoppel 
 
 application, effect, 1977 — 1 
 
 physician's certificate, 1977 — 2 
 
 suretyship insurance, 1966 — 39 
 Evidence 
 
 arson cases, 1946j (1) 
 
 death of insured precludes, 1955o (9) 
 
 fire policy, 4202t 
 
 inspection of books, 4183 
 
 life companies, 4182a 
 Examination of books of commissioner, 1972c 
 Examinations of companies 
 
 admission of foreign companies, 1915, 1916, 1959 (24), 1968 (3) (4) 
 
 agency records, 1919a (3) 
 
 appropriation for, 20.55 (3) 
 
 assistants' expenses, 1968 (6), (8), 1968f 
 
 before issue of license, 1897t, 1948, 1959 
 
 commissioner may require deposit, 1968 (5) 
 
 commissioner's duty, 1968 
 
 consolidation, 190Sm 
 
 creating guaranty surplus fund, 1909 
 
 deposits, 1968 (5) 
 
 domestic companies, 1897t 
 
 expenses, 20,55 (3) 
 
 foreign companies, commissioner's discretion, 1959 (25) 
 
 foreign life companies, 1947p, 1948 
 
 impairment of capital, 1912 
 
 foreign mutual benefit societies, 1958 (16a), 1959 (24) 
 
 insolvency, 1970m 
 
 mutual benefit societies, 1958 (3b) 
 
 mutual benefit societies, foreign, 1958 (16) 
 
 mutual benefit societies may request, 1959 (56) 
 
 mutual benefit societies, triennial, 1959 (24) 
 
 power of commissioner, 1968f 
 
 retaliatory provisions, 1968 (5) 
 
 statements during, 1959 (27), 1968 
 
 United States branches foreign companies, 1915 (7) 
 Examinations of rating bureaus, 1946 — 6 
 Exchange of securities on deposit, 1973 
 Execution, insurance moneys exempt, 2982 (19) 
 
• 260 
 
 Exemptions 
 
 adjusters licenses, 1943ni (1), (10) 
 
 agents' license law, 1976 
 
 personal property of insurance companies, 103S (13) 
 
 standard policy, 1897 (5), 1932 
 
 taxes, 1959 (30), 76.30 
 Expense charge 
 
 commission limited to, 1950q 
 
 interinsurers, 1915m (6) 
 
 limitation, 1950m 
 
 state life fund, 1989m (4,5) 
 
 valuation, 1950 (3) 
 Expense provision in premium, life companies, 1950m 
 Expenses 
 
 commissioner attending convention, 1972a 
 
 consolidation, how met, 1955 — 25 
 
 examinations, 20.55, 1859 (24), 1968 
 
 fidelity bond, lawful item of, 1966 — 33j 
 
 fire patrol, 1924 
 
 life companies, 1950m to 1950p 
 
 insolvency, 1970m (4) 
 
 legislative, 1953e 
 
 limitation, exception, 1901j 
 
 mutual benefit societies, 1957 (11) 
 
 state life fund, limitation, 1989m (13) 
 
 political, 1953d 
 
 promoting stock company, limited, 1897f 
 
 report, life companies, 1950n 
 
 reinsurance, life companies, 1955 — 25 
 
 violation of law, 1972a 
 Expenses, limitations 
 
 agents, life companies, 1950q 
 
 disability companies excepted, 1901j 
 
 fidelity bond, 1966 — 38 
 
 life companies, 1950m to 1950q 
 
 mutual companies, 1901J 
 
 non-participating and industrial policies, excepted, 1950t 
 
 state life fund, 19S9m (13) 
 Experience Tables of Mortality referred to in this compilation: 
 
 Actuaries Table of Mortality, 1950 (Ic), (Id), 1950c 
 
 American Experience Table of Mortality. 1950 (Ic), (Id), 1950c. 
 1950f, 1950m, (lb), (2), 1952, 1955y— 1 (2), 1989m (4), 3871m 
 
 American Select Table of Mortality, 1950c, 1950m (2) 
 
 British Friendly Society Table 1876 to 1880, 1950d (3) 
 
 British Offices Select O" Mortality Table, 1950c 
 
 British Offices Annuity Table 1893, 1950d (2), 1989m (5) 
 
 English Life Table Number Six, 1958 (18) 
 
 Hunter's Disability Table, 1950 (Ig) 1950d (3) 
 
 McClintook's Table of Mortality Among Annuitants, 1950d (2) 
 
 Metropolitan Life Company Experience, 1950d (2) 
 
 National Fraternal Congress Mortality Table, 1958 (2), 1958 (19), 
 1959 (22) 
 
 Northampton Table of Mortality. 3871m 
 
 Standard Industrial Mortality Table, 1950d, 1958 (18) 
 
 Substandard Industrial Mortality Table, 1950d 
 Explosion, standard fire policy, 1941x 
 Explosion Insurance 
 
 authorized. 1897 
 
 fire companies may not write, 1945c 
 Explosives, storing, standard fire policy, 1941x 
 
261 
 
 Extended insurance, policy provision, 1948m (4), 1958 (2) 
 Extension of time 
 
 for filing^ annual statements, 1971 
 
 payment of premium, rebate, 1955o 
 
 sale of real estate, 1902 
 Extra hazards, state life fund, 1989m (4) 
 
 F 
 
 Factories, regulation of, standard fire policy, 1941x 
 Fallen building-, standard fire policy, 1941x 
 False return 
 
 fire companies, 1920 
 
 life companies, 1953n 
 
 statements, 4438j 
 
 see penalties 
 Fees 
 
 accepting service, foreign companies, 1915 (2c) 
 
 accepting service, mutual companies, 1958 (17) 
 
 actions to recover, 76.37 
 
 adjuster's license, 1943m (2) 
 
 affixing commissioner's seal, 1972 
 
 agent's license, 1972 
 
 assisting fire marshal, 1946n 
 
 basis of, 76.31 
 
 certificate and seal, 1972 
 
 certified copies, 1972 
 
 deposits for, 20.06, 1968 (5) 
 
 domestic mutuals exempt, 76.30 (2) 
 
 examinations, 20.55 (3) 
 
 fire marshal, 1946h to 1946q 
 
 filing annual statement, 1972 
 
 filing articles and amendments, 1772 (9) 
 
 foreign company, 1972 (1) (f) 
 
 interinsurers, 1915m (11) 
 
 investigation of cause of fire, 20.55, 19461 (1) 
 
 joint policies, each company subject to, 1972 (2) 
 
 license to agent, 1972 (1) 
 
 life companies, 76.34 
 
 mutual benefit societies exempt, 1959 (30) 
 
 non-stock companies exempt, 1772 (9) 
 
 organization, domestic, life companies, 1947 (3b) 
 
 rating bureau, fire, 1946 — 4 
 
 reciprocal, 76.36 
 
 refund of, 20.06 
 
 reinsurance corporations, 1914a 
 
 reporting fires, 1946q 
 
 retaliatory, 1968 (5) 76.35 
 
 state life fund, 19S9m (13) 
 
 surety company exempt, when, 1966 — 33 1 
 
 surplus line license, 1919m 
 
 testimony, 1968f 
 
 title guaranty (see Sec. 1777g, Stats.) 
 
 valuation, to be paid into general fund, 20.55 (5) 
 
 valuation, 1950a, 1959 (22n) 
 
 verifying reserves, life policies, 1948f 
 
 see licenses, taxes 
 Fidelity bonds, 1966 — 33 to 1966 — 39 
 
 form, in court, 3783a 
 
262 
 
 Fidelity insurance 
 
 authorized, 1897 (7). 1966 — 33a 
 
 certificate or license required, 1966 — 33f 
 
 corporation to guarantee personal fidelity, 1966 — 33a 
 
 cost of surety bond lawful item of expense, 1966 — 33j 
 
 domestic and foreign corporation required to deposit securities, 
 1966— 33e 
 
 domestic corporation, capital and surplus required, 1966 — 33c 
 
 domestic corporation already operating, subject to this act, 1966 — 
 33m 
 
 foreign corporation, capital and surplus required, 1966 — 33d 
 
 guaranties need not be under seal, how authenticated, 1966 — 33b 
 
 limitation of risk, reinsurance, 1966 — 33i 
 
 person and corporation authorized to make rates must file proof of 
 authority, 1966 — 33g 
 
 persons guaranteed may deposit funds in bank for protection of 
 surety company, 1966 — 33h 
 
 regulations, 1966 — 33a to 1966 — 40 
 
 surety corporation to maintain adequate reserves, 1966 — 33k 
 
 surety may be discharged, 1966 — 33n 
 
 when corporation exempt from municipal taxes and fees, 1966 — 33 1 
 
 see suretyship insurance 
 Filing 
 
 articles, rating bureaus, 1946 — 5 
 
 fraternal certificates, 1959 (28) 
 
 information as to meetings, workmen's compensation, 1921 — 26 
 
 policy forms, rates, values, life company, 1948f 
 
 policy forms, rates, etc., disability insurance 1948f 
 
 rates, workmen's compensation insurance, 1921 — 21 
 
 rates, liability insurance, 1921 — 32 
 
 schedule of expense leading, workmen's compensation insurance, 
 1921—22 
 
 schedules and forms, rating bureaus, 1946 — 5 
 Fire department 
 
 chief, deputy of industrial commission, 2394 — 52 
 Fire department — continued 
 
 equipment and approval, 1926 
 
 inspection of buildings, 2394 — 52 
 
 pension fund, 1926 (4) 
 Fire department dues 
 
 appropriation for payment of, 20.56 
 
 commissioner to certify amount to secretary of state, 1926m (4) 
 
 commissioner to certify to companies list of towns entitled to, 1926m 
 (2) 
 
 commissioner to notify tewns of amount due them, 1926m (5) 
 
 companies to pay, 1926m (3) 
 
 condition precedent to obtain, 1926 
 
 interinsurers to pay, 1919m (11) 
 
 owner of property liable for, unauthorized insurance, 1926 (5) 
 
 reciprocal provisions, 76.36 
 
 retaliatory provisions, 76.35 
 
 towns entitled to, 1926 
 
 unauthorized insurance, 1926 (5) 
 Fire drills in schools, 40.30 (6) 
 Fire insurance adjusters 
 
 authorized, 1943m (1) 
 
 first adjustment not violation, 1943m (4) 
 
 license for, 1943m (2) 
 
 licensed agents to be, 1943m (2) 
 
 license revocable J943m (3) 
 
263 
 
 Fire insurance adjusters — continued, 
 notice of adjustment, 1943m (5) 
 penalty, 1943m (11) 
 town mutuals exempt, 1943m (10) 
 
 Fire insurance companies 
 
 abandonment, standard fire policy, 1941x 
 
 added clauses, standard fire policy, 1941x 
 
 adjustments, 1943m 
 
 agents, residents, 1919a 
 
 amount of recovery, coinsurance, 1900f, 1943a 
 
 amount of recovery, valued policy, 1943 
 
 annual statement, 1920 
 
 assets, misrepresentation, 1946a 
 
 authorized, 1897 (1) 
 
 automobiles, insurance of, 1897a, 1931 (2m) 
 
 appraisal, standard fire policy, 1941x 
 
 blue sky law, 1897f 
 
 board of fire underwriters, 1922 to 1925 
 
 by-laws, 1897d, 1941j (2) 
 
 commissioner to establish rates, 1946 — 11 
 
 cancellation, standard fire policy, 1941x, 1946d 
 
 capital, misrepresentation, 1946b 
 
 capital required, 1897g 
 
 chattel mortgage, standard fire policy, 1941x 
 
 civil actions, joinder, 2609a 
 
 classification of risks, 1897 
 
 coinsurance, 1900f, 1943a 
 
 commencing business, conditions, 1897s, 1897t 
 
 company's options, standard fire policy, 1941x 
 
 consolidation, 1908m 
 
 contracts held to be made within state, 1941 — 64m 
 
 coverage permitted, 1897, 1945c 
 
 deviation from schedule rates, 1946 — 9 
 
 directors, classification, 1945f 
 
 director's liability, 18971, 1945h 
 
 discrimination in rates, 1946 — 17 
 
 discrimination in rates, how removed, 1946 — 10 
 
 dissolution, 1763, 1764, 1789 
 
 dividends, 1910 
 
 endorsements, standard fire policy, 1941 — 63 to 1941 — 64 
 
 examinations, 1897t, 1912, 1915, 1916, 1948, 1968 
 
 explosion, cannot write, 1945c 
 
 fall of building, standard fire policy, 1941x 
 
 fees for reporting fires, 1946q 
 
 fees, license, 1972 
 
 fire marshal, 20.55, 1946h to 1946q 
 
 fire patrol, 1923 to 1925 
 
 form of policy, standard fire policy, 1941x 
 
 form for notice of loss to be attached to policy, 19461 (5) 
 
 fraud, burning property, 4405 
 
 fraud, advertisements, 1946q 
 
 fraud, standard fire policy, 1941x 
 
 guaranty surplus fund, 1909 
 
 hazards not covered, standard fire policy, 1941x, 1945c 
 
 increase of hazard, standard fire policy, 1941x 
 
 increase of risk, riders to be filed, 1946 — 15 
 
 insured may bear first part of loss, 1900f 
 
 investments, 1902, 1903 
 
 joinder as defendants, 2609a 
 
 joint policies, standard fire policy, 1941 — 64 (5) 
 
 riability of directors, 18971 (2), 1945h 
 
264 
 
 Fire insurance companies — continued 
 license, 1916, 1917, 1976 
 license fees, 1972 
 
 license to agents, unauthorized company, 1919m 
 lien on stock profits, 1904 
 
 lightning- clause, standard fire policy, 1941 — 62 
 loss, amount recoverable, coinsurance, 1900f, 1943a 
 loss, amount recoverable, valued policy, 1943 
 loss, requirements, standard fire policy, 1941x 
 loss, when payable, standard fire policy, 1941x 
 member of rating bureau, 1946 — 1 
 misrepresentation, assets, 1946a 
 misrepresentation, capital, 1946b 
 misrepresentation, risks, 1946c 
 misrepresentation, penalty, 1946e 
 name, 1774, 1897b (2), 1942 
 noon defined, standard fire policy, 1941x 
 note in payment of premium, 1944, 1945 
 notice ©f loss, 1941x, 19461 (5) 
 organization, 1772, 1773, 1896 
 other insurance, standard fire policy, 1941x 
 penalty for failure to report reinsurance, 1919d 
 premium notes, 1944, 1945 
 prohibited policy provisions, 1900 
 policy to show kind of company, 1942 
 policy void in proportion to rebate, 1955o (4) 
 policy void, standard fire policy, 1941x 
 promotion, limitations, 1897f 
 pro rata liability, standard fire policy, 1941x 
 rate-making, 1946 — 1 to 1946 — 18 
 rate-making, violation, 1946 — 17 
 rates, complaints, 1946 — 11 
 rates to be reasonable, 1946 — 17 
 receivers, statement by, 1921 
 reciprocal provisions, 76.36 
 reinsurance, 1905, 1914a, 1918, 1919m 
 reinsurance companies, 1914a 
 reinsurance companies, foreign, 1914a 
 report, agents' commissions, 1977 — 4 
 report, concerning reinsurance, 1919d 
 reports, contents, 1920 
 reports to be made annually, 1920 
 reserve liability, 1899 
 resident agent law, 1919a 
 retaliatory provisions, 76.35 
 risks, limitation, 1945c 
 
 risks, maximum single, reinsurance deducted, 1898 
 risks, minimum in force, 1898d 
 risks, misrepresentations, 1946c 
 service of process, 1915, 1915m, 1919, 2637 
 stamping office, 1946 — 13 
 
 standard fire policy, 1941x, 1941 — 61 to 1941 — 65 
 standard policy exclusive, exceptions, 1941 — 64, 1941 — 65 
 stock dividend, 1908a 
 stock. Impairment, 1912, 1913 
 stock Increase, 1908, 1908a 
 subrogation, standard fire policy, 1941x 
 suit, standard fire policy, 1941x 
 surplus and special reserve, 1909 to 1914 
 surplus required, 1897g (2) 
 survey of risks, 1946 — 7 
 
265 
 
 Fire insurance companies — continued 
 
 taxes, 76.30 to 76.37 
 
 temporary rates, 194C — 14 
 
 to be licensed, 1917 
 
 town mutuals, 1927 to 1941a — 4 
 
 unauthorized insurance, 1919m, 1926 
 
 unauthorized policies void, 1941 — 64m 
 
 uninsurable property, 1941x 
 
 valued policy law, 1943 
 
 violation of law, 1919e, 1955o — 5 
 
 waiver, standard fire policy, 1941x 
 
 warranty, 1977 — 1 
 Fire insurance companies — foreign 
 
 adjusters, 1943m 
 
 admission, 1915 
 
 assessments, 1945b, 19451 
 
 authority limited, 1916 (5) 
 
 capital and deposit, 1915 (4), 1917 
 
 examination, 1915, 1916, 1948, 1968 
 
 fees, 1972 (1) (f) 
 
 filing charter, 1915 (3) 
 
 impairment, 1915 (2), 1917 
 
 interinsurers, 1919m 
 
 license fee, 1915 (11), 1917, 1972 
 
 license, expiration, 1916, 1976 
 
 Lloyds, 1915 (Ic) 
 
 member of rating bureau, 1946 — 1 
 
 mutuals, 1915 (lb) 
 
 nonpayment of judgment, 1919e. 1974 
 
 parity with domestic, 1916 (4) 
 
 penalty, 1919e, 1955o — 5 
 
 reinsurance company, 19r4g 
 
 removal of cause, 1915 (2) 
 
 report, 1920, 1971 
 
 resident agent law, 1919a 
 
 revocation of license, 1916 (3), 1917 
 
 risks, 1897, 1945c 
 
 service of process, 1915 (2), 1915m, 1919, 2637 
 
 standard policy, 1941x, 1941—61 to 1941—65 
 
 surplus lines, 1919in 
 
 taxes, 76.30 
 
 unauthorized insurance, penalty, 1919f 
 
 withdrawal of securities, 1918 
 Fire insurance companies — mutual 
 
 actions against, 1945b, 2609a 
 
 action by receiver, assessments, 1945b 
 
 adjusters, 1943m 
 
 admission of foreign mutual, 1915 (lb) 
 
 agreements, disposition of surplus, 1897k 
 
 amendment of articles, 1774, 1774n, lS96m, 1897c 
 
 annual report, 1920, 1971 
 
 applications by unauthorized insurers, 4575s 
 
 applications to be filed, 1897e 
 
 application part of policy, 1900 
 
 articles, contents, 1772, 1897c 
 
 articles, validated, 1896m (3) 
 
 assessments, action by receiver, foreign, 1945b 
 
 assessments, certificate of secretary, evidence, 4182 
 
 assessments, foreign company, filing statement of, 19451 
 
 authorized, 1897a 
 
 automobile insurance authorized, 1897a (5) 
 
266 
 
 Fire insurance companies — mutual — continued 
 
 bank deposit insurance, maximum risk, 1898 (3) 
 
 borrowing- money, surplus notes, lS97ff (4) 
 
 burning- property to injure insurer, fraud, 4405 
 
 by-la-ws, filing, penalties, 1897d 
 
 cancellation, 1941x, 1946d 
 
 cannot reorganize into stock company, 1897k 
 
 classification, 1897 
 
 classification of risks, 1901n 
 
 conditions before commencing business, 1897s, 1897t 
 
 conditions of transacting business, 18971 
 
 coinsurance, 1900f, 1943a 
 
 commissioner to establish rates, 1946 — 11 
 
 corporations may be members, 1897g (4) 
 
 domestic, exempt from tax, 76.30 (2) 
 
 directors, classification, 1945f 
 
 directors, liability, 18971, 1945h 
 
 dissolution, 1763, 1764, 1789 
 
 dissolution, disposition of surplus, 1897k 
 
 dividends limited on dissolution, 1897k (2) 
 
 examination, 1897t 
 
 expense limitation, 1901j 
 
 false statements, penalty, 4438em, 4438j 
 
 fees, exempt, 76.30 (2) 
 
 fire department dues, 1926 
 
 foreign, admission, 1915 (lb) 
 
 fraud on company, 4405 
 
 guaranty surplus fund, 1909 
 
 hail insurance to be in separate policy, 1897a (4) 
 
 insured may bear first part of loss, 1900f 
 
 insured preferred claimant for unearned premium, 1941 — 63s 
 
 interinsurers, 1915m 
 
 investments, 1902, 1903, 1911 
 
 joinder in actions, 2609a 
 
 joint policies, 1941 — 64 (5) 
 
 liability of directors, lS97i, 1945h 
 
 liability of incorporators, 18971 (2) 
 
 liability to members may be limited, 1897c 
 
 license, 1948, 1976 
 
 lightning clause, standard policy, 1941 — 62 
 
 limitation of dividends, 1897k (2) 
 
 limitation of expenses, 1901j 
 
 limitation of time for beginning action, 1900 
 
 Lloyds, 1915 (Ic) 
 
 loss, amount of recovery, 1900f, 1943, 1943c 
 
 loss, notice, proof, duties, standard policy, 1941x 
 
 loss, payment of, report of adjustments, 1943m (6) 
 
 misrepresentation, 1946a, 1946b, 1946c 
 
 misrepresentation, penalty, 1946e 
 
 member of rate-making bureau, 1946 — 1 
 
 membership during organization, 1897e (2) 
 
 multiple lines, 1897a (3) 
 
 mutual provisions, on standard policy, 1941 — 64 
 
 name, false use of, 1946em 
 
 name not to be similar to any other, 1772 (2), 1897b (2) 
 
 name on face of policy, 1942 
 
 name, when liability limited, 1897b 
 
 nonpayment of judgment, penalty. 1919e, 1974 
 
 notice of flro loss, form to be attached to policy 19461 (5) 
 
 organization, 1772, 1773, 1896 
 
 penalty, failing to file copy of by-laws, 1897d 
 
267 
 
 Fire insurance companies — mutual — continued 
 
 penalty for violating rate-making law, 1946 — 17 
 
 penalty, rebating, 1955o (5) 
 
 penalty, violating law, 1919e, 1955o — 5 
 
 policies, directors liable, when, 18971 
 
 policies in excess of maximum, directors liable, 18971 
 
 policy provisions, 1897c, 1900, 1941x, 1941 — 61 to 1941 — 65 
 
 policy to show kind of company, 1942 
 
 premium, extension of time for payment, rebate, 1955o 
 
 premium, not to be discriminatory, 1946 — 8 
 
 premium notes, 1944 
 
 prohibited policy provisions, 1900 
 
 rebating, 1955o 
 
 receivers, report, 1921 
 
 reinsurance, 1898 (4), 1905 
 
 repeal of class mutual laws, 1941g 
 
 report, annual, 1920 
 
 report of adjustments, form, 1943m (5) 
 
 report of reinsurance, 1919d 
 
 resident agent law, not applicable, 1919a 
 
 riders for extra hazards to be filed, 1946 — 15 
 
 risks, limitation, 1897c 
 
 risks, may assume, 1945c 
 
 risks, maximum single, 1898 
 
 risks, minimum outstanding, 1898d 
 
 separate policies, 1897a 
 
 standard policy, 1941x, 1941—61 to 1941—65 
 
 standard fire policy to be used, 1941 — 65 
 
 surplus, disposition of, 1897k 
 
 surplus required — non-accessable policy, 1897c (2) 
 
 surplus safeguarded, 1897k 
 
 term of policy, 1901n 
 
 town mutuals, 1927 to 1941n 
 
 unauthorized insurance, penalty, 1919f 
 
 unauthorized insurer taking applications, 4575s 
 
 taxes, exemption, 76.30 
 
 valued policy, 1943 
 
 see life insurance companies, mutual 
 
 see mutual benefit societies 
 Fire marshal, see state fire marshal 
 Fire marshal tax 
 Fire patrols, 1922 to i925 
 Firemen's pension fund, benefit, 1926 (4) 
 Fire policies 
 
 adjustments, 1943n» 
 
 cancellation, 1941x, 1946d 
 
 coinsurance, 1900f, 1943a 
 
 concealing identity of insurer, 1946em 
 
 contract within state, 1941 — 64m 
 
 floater policy not standard, 1897a (5) 
 
 form, commissioner to prepare, 1941x 
 
 insured may bear first part of loss, 1900f 
 
 knowledge of agent, knowledge of company, 1977 — 3 
 
 lightning clause, 1941 — 62 
 
 loss, amount of recovery, 1900f, 1943, 1943a 
 
 mutual provisions, 1941 — 64 
 
 notice of loss to be attached, 19461 (5) 
 
 other matter permitted, 1941 — 64 
 
 prohibited provisions, 1900 
 
 reduced rate, policy to show, ISOOf, 1943a 
 
 standard form, 1941x, 1941—61 to 1941—65 
 
268 
 
 Fire policies — continued. 
 
 standard form exclusive, 1941 — 64 
 
 time for beginning action on, 1900 
 
 to show kind of company, 1942 
 
 town mutuals, approval of, 1932 
 
 underwriters agencies, 1946em 
 
 valued policy law, 1943 
 
 violation, 1941 — 65 
 Fire preventive association, 20.56 
 Fires 
 
 fees for reporting, 1946q 
 
 investigations by fire marshal, 1946j 
 
 notice of loss by property owner, 19461 (5) 
 
 set to injure insurer, 4405 
 Floater policies, 1897a (5) 
 Foreign corporations 
 
 see insurance companies, foreign 
 Foreign life company 
 
 defined, 1946x 
 
 see life insurance companies, foreign 
 Forfeitures 
 
 actions to collect, 3300 
 
 agents' licenses, 1976 (4) 
 
 collection of, 3299, 3300 
 
 nonpayment of judgment, 1974 
 
 of charters, 1941 — 65, 1943a, 1955o (6) 
 
 failing to file by-laws, 1897d 
 
 recovery by commissioner, 1972a 
 
 writing policies after revocation, 1970o 
 
 see revocation of license 
 Form of license, 76.37 
 
 P'ractional votes not recognized by life company, 1947g (2) 
 Fraternal society 
 
 defined, 1956 
 
 see mutual benefit societies 
 Fraud 
 
 absconding to procure life insurance, 4438e 
 
 assets, false advertisement, 1946a 
 
 burning property to injure insurer, 4405 
 
 circulars, misrepresentation, 1946f 
 
 false affidavit 4429 
 
 in becoming member of mutual company, 4575e 
 
 life policy, 4438e 
 
 misrepresentation, penalty, 1946a to 1946f 
 
 obtaining membership, 4575e 
 
 penalty, 194Ce 
 
 risks, misrepresentation, 1946c 
 
 standard fire policy, 1941x 
 
 warranty, 1977 — 1 
 Funds 
 
 see capital, surplus, investments 
 Future estates 
 
 commissioner to value, 72.15, 3871m 
 
269 
 
 G 
 
 Gain and loss exhibit life report, 1953n 
 Government, mutual benefit societies, 1956 (3) 
 Governor 
 
 appointment of commissioner, 1966y 
 
 approval, bond of commissioner, 1967 
 
 commissioner's report to, contents, 1972 
 
 member of board to hear petition in reinsurance, 1955 — 24 
 
 to examine commissioner's books, 1972c 
 Gratuities, prohibited, 1955—25, 1968, 4549g 
 Guarantee of bank deposits, 1898 
 Guaranty surplus fund 
 
 commissioner's duty, 1909 
 
 dividends, 1910 
 
 fire company, 1909 to 1912 
 
 how created, 1909 
 
 investment of, 1911 
 
 scope of law, 1914 
 
 Hail insurance 
 
 authorized, 1897 
 
 domestic exempt from rating law, 1946 — 18 
 fire companies may write, 1945c 
 separate policies, 1897a (4) 
 town mutuals may write, 1931 (3) 
 Hazards not covered, standard fire policy, 1941x, 1945c 
 Health, accident, and health and accident insurance 
 accident, see exceptions from coverage 
 accident, insurance, see authorized, defined 
 action, see suit 
 
 ag-e limits in policy, 1960 — 4 (5) 
 amount of indemnity, see indemnities, classification of; indemnity 
 
 promised in policy 
 amount of insurance, see indemnity promised in policy 
 application 
 
 alteration of, 1960 — 8 
 
 statements in, when warranties, 1977 — 1 
 authorized, 1897 — 4 
 
 autopsy, right of insurer to make, 1960 — 3 (8) 
 beneficiary, see indemnity, to whom payable 
 
 rights of, 1960—3 (8) 
 benefits, see indemnities, classification of; indemnity 
 bodily injury, see indemnities, classification of 
 by laws, see provisions, prohibited 
 cancellation, see occupation, change of 
 
 by insurer, 1960 — 4 (1) 
 changes in contract 
 
 by agent, invalid, 1960 — 3 (2) 
 
 statements in application not in policy without effect, 1960—3 
 
 statements of applicant in policy ineffective unless false, etc.. 
 1977 — 1 
 
 valid when approved by executive officer, 1960 — 3 (2) 
 change of occupation, effect of, see occupation 
 contract, policy and attached papers entire, 1960 — 3 (1) 
 default in payment of premium, effect of, 1960 — 3 (3) 
 defined, 1960—1 
 examination of person during pendency of claim, 1960—3 (?) 
 
270 
 
 Health, accident, and health and accident insurance — continued 
 exception from coverage 
 
 how printed, 1960 — 2 (6) 
 
 reducing indemnity, 1960 — 2 (6) 
 excess indemnity 
 
 for loss of time, 1960 — 4 (4B) 
 
 for loss other than loss of time, 1960 — 4 (4A) 
 
 other insurer, 1960 — 4 (2) 
 
 same insurer, 1960 — 4 (4) 
 indemnities, classification of 
 
 loss of life, 1960 — 3 (11) 
 
 other than loss of time, 1960 — 4 (4C), 1960 — 3 (9) 
 
 time only, 1960 — 4 (4B), 1960 — 3 (9) 
 
 unclassified, 1960 — 4 (4A) 
 indemnity 
 
 limitations on, for other insurance 
 other insurer, 1960 — 4 (2) 
 same insurer, 1960 — 4 (4) 
 
 not payable to beneficiary, 1960 — 3 (IIB) 
 
 payable to beneficiary, 1960 — 3 (llA) 
 
 promised in policy, not to be limited except by optional stand- 
 ard provision 17, 1960 — 4 (2) 
 
 to whom payable 
 
 beneficiary, 1960 — 3 (llA) 
 insured, 1960 — 3 (IIB) 
 
 when payable 
 
 for loss of life, 1960 — 3 (9) 
 for loss of tim«, 1960 — 3 (10) 
 for loss other than of time, 1960 — 3 (9) 
 life company may write, 1947a 
 limitation 
 
 on indemnity promised, see indemnity 
 
 on time of notice, see time of notice 
 
 on time of suit, see suit 
 losses, classification of, see indemnities 
 
 classification of, 1960 — 4 (4) 
 medical benefits, see indemnities, classification of 
 notice, see sufficiency of notice, time of notice 
 occupation, change of 
 cancellation, 1960 — 3 (12) 
 
 less hazardous, cancellation, 1960 — 3 (12) 
 
 more hazardous, prorating, 1960 — 3 (1) 
 optional provisions, see provisions, optional 
 other insurance, see indemnity, limitations on 
 
 prorating for, 1960 — 4 (2) 
 overinsurance, see excess indemnity 
 post mortem, see autopsy 
 
 premium in policy, see policy requirements 
 premium, see rates 
 
 default in payment, see default 
 
 unpaid deducted from claim, 1960 — 4 (3) 
 policy form, see policy requirements, provisions, optional 
 
 prohibited, standard; standard provisions law 
 policy form 
 
 classification of risks for, filed, 1960 — 1 
 
 commissioner may shorten time of filing, 1960 — 1 
 
 filed with commissioner for 30 days, 1960 — 1 
 
 rates for, filed, 1960 — 1 
 
 size of type, 1960 — 2 (4) 
 
 unlawful to issue, if notice of unlawfulness given, 19G0 — 1 
 
271 
 
 Health, accident, and health and accident insurance — continued 
 policy requirements, see provisions, optional standard 
 consideration to be expressed, 1960 — 2 (1) 
 description on face and filing- back, 1960 — 1 
 exceptions printed as prominently as benefits, 1960 — 2 (6) 
 exception reducing- benefits — bold face type and greater prom- 
 inence than text, 1960 — 2 (6) 
 insure only one person, 1960 — 2 (3) 
 printed portion ten-point type, 1960 — 2 (4) 
 reduction of indemnity by exceptions, 1960 — 2 (6) 
 time for notice printed on face, 1966 — 49a 
 time takes effect and terminates, to be stated, 1960 — 2 (2) 
 type, size of, 1960 — 2 (4) 
 proof forms 
 
 failure to furnish, 1960—3 (6) 
 to be furnished, 1960—3 (6) 
 prorating, see indemnity; occupation, change of 
 provisions of policy, see provisions, optional, standard 
 provisions, optional standard, 1960 — 4 
 
 (16) cancellation by insurer 
 
 (17) effect of other insurance 
 
 (IS) premium deducted on settlement of claim 
 
 (19) other insurance, same insurer 
 
 (20) age limits in policy 
 
 provisions prohibited, see also policy requirements; provisions, 
 optional, standard, standard provisions la-w 
 charter, constitution, by-la-ws, relating- to, unless in policy. 
 
 1960—5 
 c«5ntradictory of optional provisions, 1960 — 5 
 contradictory of standard provisions, 1960 — 5 
 required by foreign la-w- for foreign insurers, 1960 — 10 
 required by foreign law of domestic insurers, 1960 — 10 
 substitutes for standard or optional standard provisions, 
 
 provisions standard, see also policy forms; policy requirements; 
 provisions, optional, standard provisions la-w 
 
 provisions, standard, 1960 — 3: 
 
 (1) effect of change of occupation on indemnity 
 
 (2) chang-es in contract 
 
 (3) reinstatement after lapse 
 
 (4) time of notice of claim 
 
 (5) sufficiency of notice 
 
 (6) forms for proof of loss to be furnished 
 
 (7) time -when proof to be given 
 
 (8) examination of person of insured 
 
 (9) -when benefits to be paid 
 
 (10) periodical payments for loss of time 
 
 (11) to -whom indemnity payable 
 
 (12) cancellation by change to' less hazardous occupation 
 
 (13) rights of beneficiary 
 
 (14) time limit on suit 
 
 (15) time limit of notice of claim 
 provisions standard 
 
 change of occupation, no reduction of indemnity, 1960 — 3 (lA) 
 forms -without, valid but construed under act, 1960 (9) 
 insurer to be properly designated in, 1960 — 3 
 
 rates 
 
 for policy to be filed, 1960 — 1 
 
 statement of, applies if not in policy, 1960—5 
 
 reduction 
 
 of coverage, see exceptions 
 of indemnity, see indemnity 
 
Health, accident, and health and accident insurance — continued 
 reinstatement after lapse 
 
 accident policy, 1960 — 3 (3A) 
 health policy, 1960 — 3 (3B) 
 accident and health policy, 1960 — 3 (3C) 
 representations in application, warranties when, 1977 — 1 (1) 
 risks 
 
 classifications of applies if not in policy, 1960 — 5 
 
 classification of, for policy, to be filed, 1960 — 1 
 sickness, see exceptions from coverage 
 standard provisions law, 1960 
 exceptions 
 
 blanket policy, association of employes in one occupation, 
 
 1960—12 (1) 
 fraternal benefit societies, 1960 — 12 (3) 
 life and endowment contracts or contracts supplemental 
 
 thereto. 1960-1-12 (2) 
 liability of workmen's compensation policies, 1960 — 12 (1) 
 policies of domestic insurers until July 1, 1915, 1960 — 15 
 railroad ticket policies, 1960 — 12 (4) 
 violation, penalty for, 1960 — 13 
 sufflciency of notice 
 
 deposit in postoffice, registered, prepaid, 1966 — 49a 
 
 to insurer at , 1960 — 3 (5) 
 
 to any agent of insurer, 1960 — 3 (5A) 
 
 to agent of insurer at 1900 — 3 (5B) 
 
 suit, time limit, 1960 — 3 (14) 
 
 surgical benefits, see indemnities, classification of 
 
 time 
 
 of notice of claim 
 
 accident policy, 1960 — 3 (4A) 
 health policy, 1960—3 (4B) 
 accident and health policy, 1960 — 3 (4C) 
 when proof to be furnished 
 disability loss, 1960 — 3 (7B) 
 disability and other loss, 1960 — 3 (7C) 
 other than disability, 1960 — 3 (7A) 
 waiver of rights, receipt of notice, furnishing blanks, investigation, 
 
 not a, 1960 — 7 
 warranties, statements in applications, when, 1977 — 1 (2) 
 warranty, in policy, when effective, 1977 — 1 (2) 
 Health insurance 
 
 see health, accident, and health and accident insurance 
 
 Hearings 
 
 compensation insurance board, 1921 — 9 
 
 reinsurance, 1955 — 23 
 
 examinations, 1959 (27), 1968 
 
 revocation of license, 1959 (28) 
 Home office 
 
 first year expense, life companies, 1950m 
 
 value limited, 1902 
 
 value limited, mutual benefit society, 1957 (10) 
 Hunter's Disability Table, 1950 (Ig), 1950d (3) 
 Husband, married woman may insure, 2347 
 Husband, may insure for benefit of wife, 2347 
 
Illustration of net cost of life policies, 1946f ^ 
 
 Impairment of capital 
 
 casualty companies, 1966 — 46 
 
 fire companies, 1912, 1913, 1915 (2) 
 
 foreign companies, 1915 (2), 1917 
 
 how made good, 1913, 1966 — 46, 1969 
 
 life companies, 1949 
 
 losses incurred during, 1966 — 46 
 Incorporation of companies, see insurance companies 
 Incorporators, number required, 1896, 1914a, 1927 
 Increase of capital, 1908, 190Sa, 1908m 
 Increase of hazard, standard fire policy, 1941x 
 Increase of risk, material fact, warranty, 1977 — 1 
 Independent ticket, life company, election, 1947d 
 Indorsements 
 
 health, accident, and health and accident company, 1960 
 
 standard fire policy, 1941 — 63 to 1941 — 64m 
 Industrial commission 
 
 appropriation for, 20.57 
 
 chiefs of fire departments deputies of, 2394 — 71 
 
 review of dangerous premises, 2394 — 52 
 Industrial policies, valuation, 1950d 
 Inheritance tax, 3871m, 72.15 
 Injunction 
 
 insolvency, 1970m, 3218, 3219 
 
 issue by supreme court, 3219 
 Injury, time limit for notice, 1966 — 49a 
 
 see health and accident insurance 
 Inland transportation insurance, 1897 
 Insolvency 
 
 application of law, promoters, 1970m (7) 
 
 commissioner to have power of commissioner of banking, 1970m 
 
 commissioner to report, 1966 — 34 (5) 1970m (6) 
 
 commissioner's petition to court, 1970m 
 
 commissioner to notify court, 1966 — 34 (5) 
 
 injunction, 3218, 3219, 1970m (2) 
 
 liquidation, commissioner's title to property, 1970m (3) 
 
 order to show cause, 1970m (2) 
 
 regulations, 1970m (5) 
 
 special employes, expenses, 1970m (4) 
 
 what constitutes, 1763 
 Inspection of books, evidence, 4183 
 Inspection of risks, report, life company, 1950n 
 Inspections 
 
 fire departments to make, 2394 — 52 
 
 fire risks, 1946 — 1 to 1946 — 18 
 
 industrial commission to supervise, 2394 — 71 
 Inspectors of election, life companies, 1947e 
 Insurance by married woman, 2347, 2347b 
 Insurance commissioner, see commissioner of insurance 
 Insurance companies 
 
 actions against after expiration of license, 1970o 
 
 actions against for policyholders, 1970o 
 
 agent's commissions, schedule of to be filed, 1977 — 4 
 
 agent's licenses, 1976 
 
 articles, amendments, see articles 
 
 by-laws, 1897d 
 
 by-laws, compulsory, 1897d 
 
 18 
 
274 
 
 uirancf <'()iiiiiaiiit'.s — continufd. 
 cancellation of policy, 1946cl, 1941x, 1958, 1960 — 3 (12) 
 capital, impairment, 1912, 1917 
 capital, investment, 1902, 1903, 1951 
 capital, restoration, 1913, 19G9 
 change of name, 1774 
 
 classification of risks, 1897, 1901m, 1946 — 16 
 compliance with law, 1978 
 consolidation, 190Sm, 1955 — 21 to 1955 — 26 
 continuation after dissolution, 1764 
 defined, lS95m, 1978 
 definitions, 1895m, 1946x, 1966 — 47a 
 deposit for fees, 20.06 
 deposit, foreign company, 1915, 1973 
 directors' liability, 18971, 1945h 
 discrimination, 1955o 
 dividends, see general heading 
 examinations, 1897t, 1908, 1908a. 190Sm. 1909, 1912, 1913, 1915, 1915m, 
 
 1916, 1958 (16), 1959 (24, 25, 26, 27), 1968 
 exempt from personal property tax, 1038 (13) 
 expense limitations, 1901j, 1950 (3), 1950m, 1950n, 1950o, 1950p, 1950q, 
 
 1950r, 1957 (11) 
 false statement, 4438j 
 false use of name, 1946em 
 fees and taxes, 1772 (9), 1972, 76.30 to 76.37 
 injunctions on insolvency, 1970m, 3218, 3219 
 insolvency, 1763, 1970m, 1970n 
 investments, 1902, 1903, 1911, 1951 
 incorporators' liability, 18971 
 increase of capital, 1908, 1908a, 1908m 
 issuing policy after judgment, 1974 
 joinder as defendants, 2609a 
 license before transacting business, 1948 
 
 see agents' licenses 
 
 see company licenses 
 license fee, 1917, 1972 
 lien upon stock profits, 1904 
 
 liquidation, power of commissioner, 1970m (3) 
 loans, how made, 1902, 1903 
 
 maximum single risk, 1898. 1898 (3), 1915m, 1958 (6) 
 minimum risks outstanding, 1898d 
 must comply with law, 1978 
 nonpayment of judgment, 1974 
 notice of action against, 3219m 
 order to show cause, receiver, 1970m 
 organization of, 1772, 1773, 1896, 1897, 1927, 1947, 1958, 1966 — 34, 
 
 2394—26 
 policies to be separate, 1897a (3) 
 policy provisions, see policies 
 proceedings against, 3219m 
 promotion, blue sky law, 1897f 
 purposes, classification, 1897 
 rebating, 1955o 
 
 reduction of capital, 1966 — 46, 1970 
 refusing department examination, 1916 (3) 
 reinsurance, 1905, 1914a, 1955—21 to 1955—26 
 reinsurance deducted in determining maximum risk. 1898 
 resident agent law, 1919a 
 restoration of capital, 1913, 1969 
 retirement, 1905, 1918 
 
2^0 
 
 Insurance companies — continued. 
 
 revocation 
 
 see agent's license — revocation 
 see company license — revocation 
 
 risks, maximum single, 189S, 1898 (3), 1915m, 1958 (6) 
 
 risks, minimum outstanding-, 1898d 
 
 service of process, 1915 (2), 1915m, 1919, 1947 (5) 1958 (17) 2637 
 
 service same as on natural person, 2637 
 
 stock dividends, 1908a 
 
 see dividends, general heading 
 
 stock or mutual plan, 1897a 
 
 surplus fund, 1897s, 1909 
 
 surplus notes, 1897g (4) 
 
 taxes, 76.30 to 76.37 
 
 temporary control, 1773 
 
 trading prohibited, investments, 1902 
 
 valuation, see life insurance 
 
 warranty, 1977 — 1 
 
 warranty, standard policy, 1941x 
 
 who may organize, 1896 
 Insurance companies authorized 
 
 assessment life, reorganization into legal reserve company, 1955y — 2 
 
 classification of, 1897 
 
 general corporation provisions, 1772, 1773, 1896 
 
 interinsurers, 1915m 
 
 life insurance, stock or mutual, 1947 
 
 Lloyd's association, 1915 (Ic) 
 
 mutual benefit societies (fraternal), 1958 
 
 reinsurance companies, 1914a 
 
 suretyship companies, 1966 — 34 
 
 state insurance for public buildings, 1978a 
 
 state life fund, 1989m 
 
 stock or mutual plan, 1897a 
 
 town mutuals, 1927 
 
 town mutual insurance, 1941a — 1 
 
 workmen's compensation, 2394 — 26 
 Insurance commissioner, see commissioner of insurance 
 Insurance department, see commissioner of insurance 
 Insurance laws, see penalties 
 
 Insurance rates, regulation of, fire, 1946 — 1 to 1946 — 18 
 Insurance rates, regulation of, compensation insurance, 1921 — 1 to 1921 
 
 — 29 
 Insurance rates, liability, 1921—30 to 1921—36 
 Insured 
 
 death of precludes evidence, 1955o (9) 
 
 defined, 1946x 
 
 dividend, statement to, life company, 1952c 
 
 may bear first part of fire loss, 1900f 
 
 liable for fire department dues, 1926 
 
 mutual benefit society money due from, exempt, 1952d 
 
 preferred claimant for unearned premium. 1941 — 63s 
 
 unauthorized insurance, 1919m 
 Interest assumption, mutual benefit societies, 1959 (22) 
 
 state life fund, 1989m (4, 5) 
 Interest basis 
 
 annuities, 1950d 
 
 disability policies, 1950d 
 
 industrial insurance, 1950d 
 
 life policies, 1950c 
 
276 
 
 Interest 
 
 change in, standard fire policy, 1941x 
 
 maximum, assessment life policies, 1955y — 1 
 
 on deferred dividends, diversion prohibited, 1952g- 
 
 rate, deferred dividends, life companies, 1952c 
 
 on policy loans, report, 1954 (30) 
 
 savings, report of, life company, 1954 (30) 
 
 state insurance fund to pay on indebtedness, 1978d 
 
 state insurance fund to receive on balances, 1978d 
 Interinsurers, 1915m 
 
 exempt from law, 1915m (15) 
 
 not to write life policies, 1915m 
 Investments 
 
 generally, 1902, 1903, 1911, 1951 
 
 guaranty surplus fund, 1911 
 
 life companies, 1951 
 
 limitations, 1902, 1903 
 
 mutual benefit societies, 58.06, 1957 (10) 
 
 single, limited, 1903 
 
 state fire fund, 1978d (7) 
 
 state life fund, 1989m (2) 
 
 town mutuals, 1931 (5) 
 
 trading powers, 1902 
 
 J 
 Joinder as defendants, 2609a 
 Joint policies, fees, 1972a' 
 
 Joint policies, standard fire policy, 1941 — 64 (5) 
 Judgment 
 
 for forfeiture, 3299 
 
 nonpayment of, 1919e, 1974 
 
 payment of, 1919e 
 Judicial review 
 
 commissioner's orders, rates, 1946 — 11, 1970p 
 Juvenile insurance, 1858-18 (a) 
 
 L 
 liapae 
 
 assessment life, 1955y — 1 
 
 life company, report, 1954 (31) 
 
 mutual benefit societies, 1958 (2) 
 Laws, exemptions from 
 
 adjuster's license, town mutual, 1943m (10) 
 
 agents' licenses, 1919a (6), 1919f 
 
 fees and taxes, domestic mutuals, 76.30 
 
 fees and taxes, mutual benefit societies, 1959 (30) 
 
 floater policies, 1897a (5) 
 
 fraternal societies 1956 (9) 
 
 Interinsurers, 1915m (15) 
 
 life fund, 1989m (17) 
 
 Lloyds, 1915 (d) 
 
 town mutuals, 1932 
 Legislative expenditures, 1953e 
 Liability 
 
 after consolidation, 1908m 
 
 agents, unauthorized Insurance. 1919f 
 
 commissioner, for acts of deputy, 1967a 
 
 deficient premium, life company, 1950 (2) 
 
 directors, casualty company, 1966 — 44 _ 
 
 director", -lUvldends, employer's liability company, 1966^44 
 
277 
 
 Liability — continued. 
 
 directors, mutual companies, 1897i, 1945h 
 directors, town mutuals, 18971 (2), 1936 
 discharge of, impairment, 1912 
 dividends to policy, 1952c 
 
 for unearned premium, fire company, 1941 — 63s, 1946d 
 incorporators during organization, 1774n 
 incorporators, mutual company, 18971 
 limited in mutual company, when, 1897b, 1897c 
 members of town mutual, 1933 
 not to equal assets, life company, 1949 
 person sharing commission, 1897f (3) 
 promoters, stock company, 1773 
 
 property owner for tax on premium, 1926, 1211 — 34 
 release from, fidelity bond, 1966 — 35 
 reserve, computation, casualty company, 1966 — 47 
 soliciting unauthorized insurance, 1919f 
 stockholders, impairment, 1913, 1969 
 surplus notes, mutual company, 1897g (4) 
 Liability insurance 
 
 authorized, 1897 (5), 2394—26 
 
 distribution of unallocated expense payments, 1966 — 47a (3) 
 excepted from accident insurance regulation, 1960 (12) 
 not affected, 2394—26 
 policy conditions, 1966 — 42 
 rates, filing, 1921—30 to 1921—36 
 risks, filing, 1921—30 to 1921—36 
 schedule of experience to be filed, 1966 — 47a (4) 
 see health, accident, and health and accident 
 Licenses 
 
 action to compel prohibited, 76.37 
 
 adjusters, fire insurance, 1943m 
 
 adjusters, town mutuals exempt 1943m (10) 
 
 agents to have, 1976 
 
 application, life company, 1953d 
 
 application, schedule of commissions to accompany, 1977 — 4 
 
 causes for revocation, see agents' licen^s — revocation 
 
 see company licenses — revocation 
 certified copy, evidence, mutual benefit society, 1958 (15) 
 companies to secure, 1917 
 conditions, life company, 1953e 
 conditions precedent to issue, 1948 
 destruction of old files, 1976m 
 division of commissions, 1976 (5), 1955o (2) 
 examination prior to, lS97t, 1915, 1948 
 exceptions, 1919a, 1977 
 expiration 
 
 actions against company, 1970o 
 
 accident company, 1916 
 
 adjusters, 1943m (2) 
 
 casualty company, 1968 76.32 
 
 compensation rating bureaus, 1921 — 16 
 
 fire and marine companies, 1211 — 31, 1916 
 
 fire rating bureaus, 1946 — 4 
 
 foreign fire company, 1916 
 
 hail company, 1916 
 
 life company, 1916 76.34 
 
 mutual benefit societies, 1958 (15) 
 
 reinsurance companies, 1914a 
 
 surety companies, 76.32 
 
 Burplai! lines, 76.33 
 
278 
 
 Licenses — oontiiiiiocl. 
 
 fees, 1972 (Ic) 
 
 fees in lieu of taxes, 70.34 
 
 foreign companies, 1916 76.34 
 
 foreign fire, 1916, 1917 
 
 form of, 76.37 
 
 general provisions, 76,34 
 
 insurance rate making bureaus, 1946 — 4 
 
 interinsurers, 1915m (11) 
 
 life company, 1947 (5), 1948, 1959 (28), 1972a, 76.34 
 
 life companies, conditions precedent to issue, 1953d 
 
 mutual benefit societies, 1958 (15), 1959 (28), (29) 
 
 mutual benefit societies, foreign, 1958 (16) 
 
 name of licensee to be mailed to commissioner on day issued, 1976 (2) 
 
 not to issue to mutual benefit with name similar to another com- 
 pany, 1958 (15) 
 
 penalty, see agents' licenses — revocation 
 see company license — revocation 
 
 rate-making bureau, 1946 — 4 
 
 rating bureaus, workmen's compensation, 1921 — 16 
 
 reciprocal law, 76.36 
 
 reinsurance company, 1914a 
 
 renewal not to be granted, when, life company, 1947 (5) 
 
 retaliatory law, 76.35 
 
 schedule of commissions beforf- issue, 1977 — 4 
 
 special, old members, mutual benefit societies, 1958 (3) 
 
 suit to restrain or enjoin, 76.37 
 
 stock company, 1947p 
 
 suretyship company, 1966 — 33f (1) 
 
 surplus lines, 1919m 
 
 title guaranty companies, see 17771, statutes 
 
 to be filed in department, 1976m 
 
 unauthorized insurance, 1919m 
 
 violation by agent, 1955o 
 License fees 
 
 actions affecting, 76.37 (2) 
 
 adjusters, 1943m (2) , 
 
 agents, 1972 
 
 basis, 76.31 
 
 domestic mutuals exempt, 76.30 (2) 
 
 domestic life companies, 76.34 
 
 foreign company, 1916 76.34 
 
 fire and marine companies, 76.30 
 
 Interinsurers, 1915m (11) 
 
 life companies, 76.34 
 
 rating bureau, fire, 1946 — 4 
 
 reciprocal provision, 76.36 
 
 reinsurance companies, 1914a 
 
 retaliatory law, 76.35 
 
 suretyship companies, 76.32 
 
 unauthorized insurance, 1919m 
 License revocation 
 
 see agents' license — revocation 
 
 see company license — revocation 
 License year 
 
 accident companies, 1916 
 
 adjusters, 1943m (2) 
 
 casualty companies, 1916 76.32 
 
 compensation insurance rating bureau, 1921 — 16 
 
 fire and marine companies, 1916, 76.30 
 
 firo r:itliig bui-oau.s, 1946 — 4 
 
279 
 
 License year — continued. 
 
 foreign fire companies, 1916 
 hail companies, 1916 
 life companies, 1916 76.34 
 mutual benefit societies, 1958 (15) 
 reinsurance companies, 1914a 
 surety companies, 76.32 
 surplus lines, 1919m 
 Lien on stock profits, 1904 
 Life fund, state, 19S9m 
 Life insurance companies 
 
 accident insurance permitted, 1947a 
 
 absconding insured, fraud, 4438e 
 
 actuarial computations, 1946x, 1947o, 1950, 1950c, 1950d, 19o0f. 1958 
 
 (2), 1959 (22), 1989m (5, 6), 3871m 
 see Experience Tables of Mortality 
 additional commissions prohibited, 1950s 
 advances to agents, limited, 1950q 
 advances to agents, report, 1950n 
 advertisements, 1946a to 1946em 
 advisory board, 1955o (3) 
 
 agents, compensation only as agreed, 1950r 
 agency supervision, expenses, 1950n 
 agent's license, 1916, 1972a, 1976m 76.34 
 agent's license revocable, 1947 (5), 1955o 
 agent's misrepresentation, 1946f 
 agent's qualifications, 1976 (7) 
 amortization, 1951f 
 
 annual apportionment of surplus, 1952a 
 annual statement, contents, 1954 
 annual statement, time for filing. 1954 
 amount at risk defined, 1946x 
 annuity, value, 1950d (2) 
 application, contents, 1947 (3) 
 application, copy on request, 1953b 
 approval of policies 1948f 
 articles, contents, 1947 (2) 
 
 ascertainment of dividends, credits, 1952b, 1952f, 19o2h 
 assessment, 1955y — 1 
 
 assessment, valuation of policies, 1950, 19o5y— 1 
 assets not equal to liabilities, 1949 
 assignment of policy by married woman, 234, 
 authorized, 1897 (3) 
 ballot, form of, 1947s 
 beneficiary defined, 1946x 
 bonuses and prizes prohibited, 1950s, 1950t 
 books as evidence, 4182a 
 
 calendar year, expenses limited, 1950o, 1950p, 1950q 
 capital, impairment, 1949 
 certificates, value, basis, 1948 
 circulars, misrepresentation, 1946f 
 
 commission, 1950q, 1950r, 1950s, 1955o (2e), 1976 (o) 
 company defined, 1946x 
 compensation cumulative, 1950c 
 compensation to agents, 1950q, 1950r, 1950s 
 concealment, fraud, 4438e 
 consolidation, 1955—21 to 1955—26 
 contingency reserve, 1952a 
 contingent commissions, 1950s 
 
 contract other than policy prohibited. 1955o (2) 
 costs of insurance, filing, 1948f 
 
280 
 
 Life insurance companies — continued. 
 
 death bar to evidence, 1955o (9) 
 
 deferred dividends, prohibited, 1952 
 
 deferred dividends, diversion prohibited, 1952g 
 
 deferred dividends, policies, excepted, 1952 
 
 deferred dividends, statement to policyholder, 19521 
 
 definitions of term, 1946x 
 
 deposit defined, 1946x 
 
 deposit by foreign life company, 1950b 
 
 deposit of securities, 1973 
 
 discrimination, 1955o 
 
 discontinuance, 1949 
 
 distribution of surplus, 1952 to 19521 
 
 dividends, 1946f, 1952, 1952a to 1952d 
 
 dividends, apportioned, 1952c 
 
 dividends, factors, 1952c 
 
 dividends, how applied, 1952c 
 
 dividends, statement to insured, 1952d 
 
 domestic company defined, 1946x 
 
 election of directors to fill vacancies caused bv sale of stock 1947 
 (3e) 
 
 endowment, pure, excepted, 1952b 
 
 expenditures, legislative, 1953e 
 
 estoppel, physician's certificate, 1977 — 2 
 
 expenses, aggregate limited, 1950p 
 
 expenses, first year, 1950o 
 
 expenses, limitation, 1950m to 1950q 
 
 expenses, provision for, limited, 1950m 
 
 expense, report of, 1950m 
 
 factors, dividends, 1952c 
 
 false showing, 1946f 
 
 fees, 1972 76.30 to 76.37 
 
 fees for valuation, 1950a 
 
 fees, verifying figures, 1948f 
 
 first year expenses, 1950m, 1950n 
 
 foreign, defined, 1946x (7) 
 
 forfeiture, writing policies after discontinuation, 1949 
 
 form of ballot, 1947g 
 
 form of dividend statement, 1952c (3), 1952d 
 
 form of report, expense, 1950n 
 
 fractional policy year, apportionment of dividend, 1952c (2) 
 
 fraud upon, 443Se 
 
 future dividends, illustration, 1946f 
 
 general agent's commission, report, 1954 (25) 
 
 health insurance permitted, 1947a 
 
 home oflice, first year expenses, 1950n 
 
 husband, wife may insure, 2347 
 
 illustration of net cost of policies, 1946f 
 
 immunity to witness, 1955o (8) 
 
 industrial business separate, 1953n 
 
 industrial excepted, dividends, 1952h 
 
 industrial excepted, limitation of loading, 1950m (5) 
 
 industrial excepted, expense limitation, 1950t 
 
 insured to have dividend statement, 1952d 
 
 insured defined, 1946x 
 
 interest element in mortality charge, 1946x 
 
 interest on deferred dividends, 1952c 
 
 interest on dividend, diversion prohibited, 1952g 
 
 inspection of risks, 1950n (1) 
 
 Impairment, 1949 
 
 investments, 1902, 1903, 1951, 1951f i 
 
281 
 
 Life insurance companies — continued 
 
 joint life and accident policies, 1947a 
 
 leg-islative expenditures, 1953e 
 
 liabilities exceeding- assets, 1949 
 
 license, 1947 (5), 1948, 1955o, 1949, 1976. 76.34 
 
 loading, expense charge, 1946x 
 
 loading, limitation, 1950m 
 
 lobbying, statement of expenditures for, 1953e 
 
 medical examination, 1950n 
 
 mortality charge defined, 1946x 
 
 mortality savings, 1950n 
 
 mortality table, element in charge, 1946x 
 
 mortality table, see Experience- tables 
 
 mutual may distribute surplus, 1952 
 
 may write personal, accident and health insurance, 1947a 
 
 married woman, assignment, 2347b 
 
 misrepresentation, penalty, 1946f 
 
 net cost of policies, illustration of, 1946f 
 
 net premium in excess of actual premium, 1950 
 
 net value, how computed, 1950 (2) 
 
 non-participating, separate exhibit, 1953n 
 
 officers, corporation may have insured, 1748 (8) 
 
 officers, misrepresentation, 1946f 
 
 ordinary business, separate exhibit, 1953n 
 
 organization, 1947 
 
 paid-up insurance, 1948m (4), 1952b 
 
 penalties, 1946f (4) 
 
 personal insurance, health and accident, 1947a 
 
 policy approved by commissioner, 1948f, 
 
 anniversary defined, 1946x 
 
 defined, 1946x 
 political contribution, statement of, 1953d 
 
 discontinuance of issue, when, 1949 
 
 disability, 1960 (6) 
 
 entire contract, 1955o (2a) 
 
 form of, 1948f, 1955o (6) 
 
 provisions, 1948m 
 
 policy, valuation of, 1950, 1950a, 1950b 
 
 year defined, 1946x 
 policyholder, application on request, 1953b 
 
 may request statement, deferred dividends, 19521 
 
 rights in surplus, 1947p 
 political contribution statement of, 1953d 
 powers of, extended, 1947a 
 premium defined, 1946x 
 premium limitation, 1950m 
 privilege of witness, 1955o (7) 
 prizes prohibited, 1950s 
 rate discrimination prohibited, 1955o 
 rebating, 1955o 
 
 rebating, death bar to evidence, 1955o (9) 
 reinsurance, 1955 — 21 to 1955 — 26 
 report, contents 1954, 
 
 annual 1952h, 1953n, 1954 
 
 concerning surplus, 1952c 
 
 failure to make, penalty, 1953n 
 
 false statements, penalty, 1953n 
 
 gains and losses, 1953n 
 
 surplus and apportionment, 1952c (3) 
 
 to policyholders, 19521 
 removal of clause, 1947 (5) 
 
282 
 
 Life insurance companies — continued 
 
 reserve defined, 194Cx 
 
 reserve, how computed, 1952 
 
 reserve liability, 1950 
 
 reserve value, 1948f 
 
 revocation for removal of action, 1947 (3) 
 
 rights of married woman, 2347 
 
 risks, maximum single, 1947 (3) 
 
 risks, minimum number, 1947 (3) 
 
 salaries, limitation, 1947r 
 
 services, when contract for prohibited, 1955o 
 
 special guaranty fund, 1947 (3) 
 
 statement, dividends, 1952d 
 
 statement, policyholders right in surplus, 1947p 
 
 stock, sale prohibited, 1955o 
 
 sum insured, delined, 1946x 
 
 surplus, a liability to participating policies, 1952c 
 
 surplus, distribution, 1952, 1955o (2f) 
 
 stock, expense, 1950t 
 
 surplus diverted, 1952g 
 
 surplus, participating policies, share in, 1952b 
 
 surplus, statement of, to policyholders, 1952d 
 
 taxes, 76.33 to 76.37 
 
 taxes, report of, 1950m 
 
 terminal reserve defined, 1946x 
 testimony, 1955o (7) 
 
 to discontinue when liability exceeds assets, 1949 
 twisting, 1946f (3) 
 valuation basis, 1950 
 valuation fee, 1950 
 valuation of bonds, 1951f 
 valuation of policies, 1948, 1950 to 1950d 
 violation of law, reinsurance, 1955o — 5, 1955 — 26 
 waiver of defense, 1953b 
 warranty, physician's certificate, 1977 — 2 
 wife may Insure husband, 2347 
 see assessment life companies 
 see mutual benefit societies 
 liife insurance companies — domestic 
 amendment of articles, 1947 (4) 
 articles, 1947 
 
 borrowing money, 1947 (3) (a) 
 • capital required, 1947 (3) 
 general laws applicable, 1947 (4) 
 general provisions, 1947 to 1955o — 5 
 organization, 1772, 1773, 1896, 1897, 1947 
 special surplus, 1947 (3) 
 Life insurance companies — domestic mutual 
 directors must attend meetings, 1947k 
 elections, 1947c to 19471 
 general provisions, 1947c to 1955o — 5 
 policies, 1947o 
 policyholders' vote, 1947c 
 salaries, 1947r 
 surplus, 1952 
 
 see life insurance companies 
 Life insurance companies — foreign 
 admission, 1915 
 
 annual report, 1915 (3), 1952n, 1954 
 articles, copy to be filed, 1915 (3) 
 capital required, 1915 (9) 
 
283 
 
 Lifo insurance companies — foreign — continued, 
 commissioner to accept service, 1915 (2) 
 conditions precedent to license, 1915 
 defined, 1946x (7) 
 deposit in U. S., 1915 (4), 1950b 
 examinations, 1915, 1916, 1917, 1948, 1968 
 expense charges, limitations, 1950n to 1950r 
 general laws applicable, 1916 
 
 may write accident and health insurance, 1947a 
 removal of cause, 1915 (2), 1947 (5) 
 retaliatory law, 76.35 
 service of process, 1915 (2), 2637 
 taxes, 76.34 
 
 valuation of policies, 1950b 
 see life insurance companies 
 Limitation of capital, consolidation, 190Sm (Id) 
 Limitation of actions 
 
 health and accident, 1960, 3 (14) 
 
 on assessments by foreign mutual companie.s. 1945b 
 policy limitation, 1900 
 standard fire policy, 1941x 
 Limitation of expenses 
 blue sky law, 1897f 
 fidelity bond, 1966—38 
 life agents commissions, 1950q 
 life companies, 1950o to 1950a. 1950t 
 mutual benefit societies, 1957 (11) 
 Limitation of expenses — continued 
 mutual companies, 1901j 
 stock companies, 1897f 
 Limitation of 
 
 investments, 1902, 1903 
 liability, mutual company, lS97c (2) 
 loading, 1950m 
 policy conditions, 1900 
 territory, 1897c (2) 
 
 recovery, fire policies, 1900f, 1943, 1943a 
 fidelity insurance, 1966 — 33i 
 risks, 1897c (2), 1898 
 risks, life fund, 1989m (14) 
 Limited mutual, name, 1897b 
 Liquidation, insolvency, 1970m 
 Literature, to be filed, 1897f (5) 
 Live stock insurance 
 authorized, 1897 
 maxinaum risk, 1898 
 see casualty companies 
 Lioyds associations 
 
 admission of, 1915 (Ic) 
 not to write life policies, 1915 (2c) 
 standard fire policy not applicable, 1915 (Id) 
 Loading defined, 1946x 
 Loans 
 
 fire company, 1902, 1903 
 how made, 1903 
 life companies, 1951 
 state life fund, 1989m (10) 
 town mutuals, 1931 (5) 
 Lobbying expense, life companies, 1953e 
 Local boards of underwriters, 1922 to 1925 
 see fire insurance rate-making 
 
284 
 
 Lodge system defined, 1956 (2) 
 
 Loss 
 
 adjusters, 1943m 
 
 amount of recovery, coinsurance, IDOOf, 1943a 
 
 amount of recovery, valued policy, 1943 
 
 appraisal, standard fire policy 1941x 
 
 arbitrations, town mutuals, 1934 
 
 companies option, standard fire policy, 1941x 
 
 during- default, town mutuals, 1935 
 
 form for notice to be on every policy, 19461 (5) 
 
 incurred during impairment, directors liable, 1966—46 
 
 owner may assume first part, 1900f 
 
 payment of, 1941x, 1943m (6) 
 
 proof of, standard fire policy, 1941x 
 
 recovery, valued policy law, 1943 
 
 requirements in case of, standard fire policy, ]941x 
 
 state fire fund, commissioner to adjust, 1978c 
 
 state life fund, adjustment, 1989m (12) 
 
 subrogation, standard fire policy, 1941x 
 
 when payable, standard fire policy, 1941x 
 
 M 
 
 Mailing ballot, life company, 1947g 
 Management, state life fund, 1989m 
 Manufacturing establishment 
 
 regulations, standard fire policy, 1941x 
 Marine insurance authorized, 1897 (2) 
 
 automobile floaters, 1897a (5) 
 
 See fire and marine 
 Married woman, rights, 2347, 2347b 
 Maximum single risk 
 
 bank deposit guaranty company, 1898 (3) 
 
 casualty company 1958 (6) 
 
 domestic life 1947 (3) 
 
 interinsurers, 1915m (3) 
 
 life fund, 1989m (14) 
 
 Lloyds, 1915 
 
 mutual benefit societies, 1958 (6) 
 
 mutual companies, 1898 
 
 stock companies, 1898 ■ 
 Mayor to investigate fires, 19461 
 
 McClintock's Mortality Table Among Annuitants, 1950d (2) 
 Mechanics, employment of, standard fire policy. 1941x 
 Medical examinations 
 
 life companies, 1950n 
 
 disability insurance excepted, 1957, (3c) 
 
 mutual benefit societies, 1957 (3b) 
 
 state life fund, 1989m (2) 
 Meetings 
 
 annual, town mutual, 1928, 1929 
 
 directors, life companies, 1947k 
 
 town mutuals, 1929 
 
 first, organization, 1773 
 Members 
 
 classification, mutual benefit society, 1958 
 
 life company, minimum, 1947 (3) 
 
 mutuals, corporations may be, lS97g 
 
 old, mutual benefit society, 1958 (3) 
 
285 
 
 Members — continued. 
 
 right to one vote, 1897c 
 
 town mutuals, 1928 
 
 who are, town mutuals, 1933, 1939 
 Merger of companies, 1908m 
 Minimum risks, 1898d 
 Misrepresentation 
 
 assets, 1946 
 
 capital and surplus, 1946b 
 
 future dividends, 1946f 
 
 identity of insurer, 1946em 
 
 life companies, net costs, 1946f 
 
 risks, 1946e 
 
 standard fire policy, 1941x 
 
 surplus, 1946b 
 
 warranties, 1977 — 1, 1977 — 2 
 Mortality charge defined, 1946x 
 
 Mortg'age, town company, notice if owner does not pay assessment, 1935 
 Mortality savings, 1950n 
 
 Mortgagee, rights, standard fire policy, 1941x 
 Mortgages, investments, 1903, 1951 
 Multiple lines, 1897a 
 Municipal bonds, investments, 1903, 1951 
 
 Municipalities to pay premiums on bonds of officers, 1966 — 38 
 
 Mortality tables, see Experience tables of mortality 
 Mutual benefit societies 
 
 accident and health agents to be licensed, 1976 
 
 accident associations, deposit, 1958 (4) 
 
 accident societies, 1956 (8) 
 
 accident associations, deposit ir another state, 1958 (5) 
 
 accident company, single risk, 1958 (6) 
 
 accounting, apportionment, (deferred not more than one year, 
 1957 (5m) 
 
 action for policyholders, 1970o 
 
 action, service of process, 1958 (17) 
 
 admission, conditions, 1958 (2), (3), (16), (17) 
 
 age limits, 1957 (3), 1958 (18) 
 
 agent, license excepted, 1977 
 
 agent acting after revocation of license, penalty, 4575c 
 
 annual apportionment, 1957 (Sm) 
 
 annual statement, contents, 1959 (22a), (23) 
 
 annual statement not required of foreign society, when, 1959 
 (22, i) 
 
 articles, amendments, 1958 (7) 
 
 articles to be filed, 1958 (16, a) 
 
 assessment defined, 1956 (10) 
 
 assets, disability benefits, 1959 (22, f) 
 
 attorney for service of process, 1958 (17) 
 
 basis of valuation, 1959 (22m) 
 
 beneficiary, insured may change, 1957 (5) 
 
 benefits on lapse, 1958 (2) 
 
 benefits, rates, reserve, 1958 (2) 
 
 book entries, evidence, 4182a 
 
 by-laws, filing, 1958 (16) 
 
 certificates, 1958 (15) 
 
 charter, copy to be filed, foreign society, 1958 (16) 
 
 change of beneficiary, 1957 (5) 
 
 children admitted, conditions, separate statement, 1958 (18) 
 
 classification of members, 1958 (2, f) 
 
 commissioner may require information, 1956 (6) 
 
 condition of admission, foreign, 1958 (16) 
 
286 
 
 Mutual benefit societies — continued 
 
 contracts, 1958 (15) 
 
 consent of beneficiary to change not necesary, 1957 (5) 
 
 copy of contracts to be filed, foreign society, 1958 (16) 
 
 corporation may be beneficiary, 1957 (5) 
 
 deferred dividends prohibited, 1957 (5m) 
 
 defined, 1956 (1), 1895m 
 
 deposit in another state, 1958 (5) 
 
 disability benefits, assets, 1959 (22) 
 
 distribution of profits not deferred more than one year, 1957 (5m) 
 
 examinations, expenses, 1959 (24) 
 
 examination, foreign, 1958 (16), 1959 (25) 
 
 examination on request, 1959 (26) 
 
 examination, statement during, 1959 (27) 
 
 excepted premiums, 1960 (12) 
 
 exempt from agent's license law, 1977 
 
 exempt from fees, 1959 (30) 
 
 exempt from supervision, 1956 (4), (9) 
 
 expenses limited, 1957 (11) 
 
 existing contracts, 1958 (15) 
 
 expenses, revocation of license, 1959 (29) 
 
 expiration of license, 1958 (15) 
 
 fees, 1959 (30) 
 
 fees, service of process, 1959 (17) 
 
 foreign, admission, 1958 (16) 
 
 foreign examination, 1958 (16), 1959 (25) 
 
 foreign, service of process, 2637 (11) 
 
 fraud, obtaining members, 4575e 
 
 general law, exemption, 1956 (9) 
 
 hearing during examination, 1959 (27) 
 
 hearing on revocation of license, 1959 (28) 
 
 information to members, 1959 (22, e) 
 
 insured, moneys due exempt from creditors, 2982 (19) 
 
 issuing policy after judgment, 1974 
 
 investments, 58.06, 1951, 1957 (10) 
 
 lapse, benefits, 1958 (2) 
 
 law exclusive, exceptions, 1956 (4) 
 
 license, certified copy, 1958 (15) 
 
 license, revocation, 1958 (15), 1959 (28), (29) 
 
 limitation of expense, 1957 (11) 
 
 limit of liability, 1958 (6) 
 
 lodge system defined, 1956 (2) 
 
 losses, 1959 (22m) 
 
 may insure children, conditions, 1958 (18) 
 
 maximum single risk, 1958 (6) 
 
 married woman's right, 2982 (19) 
 
 medical examinations, 1957 (3a) 
 
 membership, age limit, 1957 (3a), 1958 (18) 
 
 members not to vote by proxy, 1956 (2b) 
 
 member, information to, 1959 (22) 
 
 members, insurance exempt, 2982 (19) 
 
 member, fraud in becoming, 4575e 
 
 membership, 1957 (3) 
 
 minor, insurance exempt, 2982 (19) 
 
 mortality table. See Experience tables 
 
 name not to be similar to any other, 1958 (15e) 
 
 National Fraternal Congress table, 1958 (2b) 1959 (19) 
 
 now members, commission, 1956 (2) 
 
 old members, 1958 (3) 
 
 organization, 1956 (10), 1958 
 
 penalty, acting for unauthorized society, 4575e 
 
287 
 
 Mutual benefit societies — continued 
 
 penalty, fraud in becoming member, 4575e 
 
 policy, filing- copy. 1958 (16) 
 
 policy, provisions, 1958 (2a) 
 
 proxies, voting by mail, 1956 (3a) 
 
 rules, reserves, benefits, 1958 (2) 
 
 reinsurance, conditions, 1955 — 21 to 1955 — 26 
 
 removal of cause, 1958 (16) 
 ' real estate taxable, 1959 (30) 
 
 report to commissioner 1958 (16), 1959 (23) 
 
 report, foreign exempt, vs^hen, 1959 (22, i) 
 
 report to members, 1959 (22), (22m) 
 
 reserves, 1958 (2) 
 
 review of order for revocation, 1959 (28) 
 
 revocation of license, 1958 (15). 1959 (28) 
 
 rights of certificate holders, 1270o 
 
 rights of married woman, 2982 (18) 
 
 risks, minimum number, 1958 (lb) 
 
 risks, single limited, 1958 (6) 
 
 savings, on mortality, 1957 (11) 
 
 savings, profits, annual apportionment, 1957 (5m) 
 
 separate funds, 1958 (3), 1959 (22b) 
 
 service of process, 1958 (17) 
 
 soliciting after revocation, 4575c 
 
 special assessments, 1959 (30) 
 
 social members, 1957 (3d) 
 
 special license, 1958 (3) 
 
 standard of valuation, 1959 (22d) 
 
 statements during examination. 1959 (27) 
 
 statement not required, foreign, 1959 (22, i) 
 
 tabular basis of valuation, 1959 (22m) 
 
 taxes, exempt, 1959 (30) 
 
 transacting business before licensed, 1958 (19) 
 
 tuberculosis sanatorium, 1957 (10) 
 
 tuberculosis sanatorium, non-members admitted, 1957 (10) 
 
 twisting, .1946f 
 
 unauthorized, agent, 4575c 
 
 unauthorized, agent acting for, 4575d 
 
 U. S. Courts, removal of actions to. 1958 (16) 
 
 valuation basis. 1959 (22m) 
 
 valuation not test for solvency. 1959 (22. h) 
 
 valuation of certificates to be reported, 1959 (22. a) 
 
 valuation on request. 1958 (22n) 
 
 violation of law, penalty. 1959 (29) 
 
 vote on amendment, 1958 (8) 
 
 voting by mail. 1956 (3) 
 
 warranty, effect. 1977 — 1 
 
 writing only health and accident insurance, must license agents, 
 exception, 1976 
 Mutual cyclone company 
 
 exempt from rating bureau law, 1946 — 18 
 
 organization 
 
 domestic, 1972, 1896 
 township company, 1927 
 
 see fire insurance, mutual 
 Mutual insurance companies 
 
 officers to be members, 1897c (1, c) 
 
 see fire insurance companies — mutual 
 
 see life insurance companies — mutual 
 
 see town mutual companies 
 
288 
 
 N 
 Name 
 
 change of, notice, 1774 
 
 false use of, misrepresentation, 1946em 
 
 if liability limited, mutual, 1897b 
 
 mutual benefit society, 1958 (15) 
 
 mutual companies, must contain the word "mutual," 1897b 
 
 not to be similar to any other, 1772 (2), 1897b, 1915m (3a), 1927 
 (4), 1958 (15, e) 
 
 of agent may be on standard fire policy, 1941 — 64 (4) 
 
 stock companies, 1897b 
 
 to be on face of policy, 1942 
 
 to show kind of company, standard fire policy, 1942 
 
 town mutual company 1927 (4) 
 National convention of insurance commissioners, 1972a 
 
 appropriation for expenses at, 20.55 
 National Fraternal Congress Table of Mortality, 1958 (2), 1958 (19), 
 
 1959 (22) 
 Neglect of insured under standard fire policy, 1941x 
 Net premium, deficiency, life company, 1950 (2) 
 Net value, how determined, 1950 
 Nonpayment of judgment, forfeiture 1974 
 Nonresident niay be member of town mutual, 1939 
 Nonresident agent, division of commissions, 1955o (2e) 
 Northhampton Table of Mortality, 3871m 
 Notice 
 
 action against company, 3219m 
 
 application for admission, foreign company, 1915 (8) 
 
 assessment, town mutual company, 1935 
 
 cancellation, standard fire policy, 1941x 
 
 claim, 1960, 3 (4) 
 
 election, vote on salary, life company, 1947r 
 
 flre loss, form, 1946i (5) 
 
 first meeting, organization life company, 1947 (4) 
 
 injury, time limit, 1966 — 49a 
 
 revocation of license, foreign company, 1917 
 
 violation of law, 1972a 
 
 to policyholder, amendment of articles, 1896m, 1931 
 
 to policyholder, reinsurance, life company, 1955 — 23 
 
 O 
 
 Oaths 
 
 commissioner of insurance, 1967 
 
 deputy commissioner, 1967a 
 
 secretary of town mutual may administer, 1934 
 
 state fire marshal may administer, 1946k 
 
 Occupants, change of, standard fire policy, 1941x 
 
 Office of commissioner to be in Capitol, 1966y 
 
 Office of rating bureau in state, 1946 — 3 
 
 Officers 
 
 assisting in nominations, penalty, 1947e (2) 
 
 fees for reporting fires, 1946ci 
 
 fees for services, state fire marshal, 1946n 
 
 life companies, 1947c 
 
 misrepresentation, life company, 1946f 
 
 neglect to comply with fire n-iarshal laws, 1946m 
 
 of state not to accept gratuities, 4549g 
 
 town mutuals, 1929 
 
 Options of company in case of loss, flre, 1941x 
 
 Order approving reinsurance, 1955 — 24 
 
289 
 
 Order of commissioner fixing- basis of reserve calculation, 1899 
 
 reinsurance, life company, 1955 — 25 
 
 review, mutual benefit society, 1959 (28, 29) 
 Order to repair dangerous buildings, 2394 — 52 
 Organization 
 
 assessment health and accident associations, 1955y — 3 
 
 applications, 1897e, 1897t, 1915, 1927, 4575s 
 
 articles, 1770b, 1772, 1773, 1896, 1897c. 1927 
 
 blue sky law, 1897f 
 
 by-laws, 1897d 
 
 classification, 1897 
 
 compensation insurance, 1921 — 4 
 
 contract valid in favor of subscriber, 1897f (7) 
 
 defined, mutual benefit society, 1956 (10) 
 
 deposit of funds, 1897f (2) 
 
 discrimination prohibited, 1897f (4) 
 
 domestic life, 1947 
 
 employer's liability, 2394 — 26 
 
 examinations, 1897t 
 
 fees, 1772 (9), 1947 (3b), 76.30 to 76.37 
 
 filing articles, 1772, 1927 
 
 foreig-n company, admission, 1915 
 
 form of articles, 1772, 1897c, 1927, 1947 (4) 
 
 general provisions, 1772, 1773. 1896, 1897, 1897a 
 
 liability of promoters, 1773 
 
 life company, 1947 (4) 
 
 literature to be filed, 1897f (5) 
 
 membership during, 1897d 
 
 multiple lines, 1897a (2e) 
 
 mutual benefit societies, 1956 (10), 1958 
 
 mutual plan, 1897a 
 
 penalty, 1897f (16) 
 
 person sharing- commission disclosed, penalty if not, 1897f (3) 
 
 promotion expenses limited, 1897f (2m) 
 
 purposes, 1897 
 
 rate-making bureau, 1946 — 2 
 
 reinsurance corporations, 1914a 
 
 stock or mutual plan, 1897a 
 
 temporary control, 1773 
 
 town mutuals, 1927 
 
 town mutual reinsurance company 1941a — 1 
 
 votes, 1760 
 
 who may, 1896 
 
 see insurance companies under each classification 
 Other business comm.issioner not to engage in, 1966y 
 Other business state fire marshal not to engage in, 1946o 
 
 Fald-up insurance 1948 (4), 1952b 
 Participating policies 
 
 annual share or surplus, 1952b 
 
 deferred dividends, holder may request statement 19251 
 interest and accretions a separate liability, 1952c 
 exceptions for sharing, 1952b 
 Penalties 
 
 absconding insured, fraud on life company, 4438e 
 
 accepting gratuities, 4549g 
 
 acting for mutual benefit society after revocation, 4675c 
 
 19 
 
290 
 
 Penalties — continued 
 
 agent acting after revocation of company license. 4575c 
 
 agent acting without license, 1976 
 
 agent, unauthorized insurance, 1919in, 4575c 
 
 applications, unauthorized company accepting, 4575c 
 
 burning building to injure insurer, 4405 
 
 commissioner accepting gratuities, 1968 
 
 contempt before fire marshal, 1946k 
 
 discrimination, 1955o 
 
 failure to maintain fire drills in common schools. 553a — 2 
 
 to file annual statement, 1953n 
 
 to furnish application, 1953b 
 
 to heed fire marshal's order, 19461 (3) 
 
 to pay tax, 1211 — 34 
 
 to report, fire company, 1920 
 
 to report, foreign company, 1920 
 
 to report, reinsurance, 1919d to 1919g 
 false return, annual report, 1920, 1953n 
 false show of assets, 4438j 
 
 false statement to board of underwriters, 1925 
 false statement generally, 44S8em, 4438j 
 false use of name of company, 1946em (3) 
 fraud on fire company, 4405 
 fraud on life company, 4438e 
 fraud on mutual benefit societies, 4575e 
 issuing unlawful health or accident policies, 1960 (13) 
 Issuing life policy after impairment, 1949 
 issuing other than standard fire policy, 1941 — 65 
 issuing policy, unpaid judgment, 1974 
 life company, false statement, 1953n 
 misrepresentation 
 
 assets, 1946a 
 I : capital and surplus, 1946b 
 
 f future dividends, 1946f 
 
 f identity of insured, 1946em 
 
 risks, 1946e 
 neglect of duty, fire marshal, 1946m 
 nonpayment of judgment, 1974 
 not filing by-laws, 1897d 
 rebating, 1955o (^b) 
 
 removal of action, foreign company, 1917 (3) 
 revocation of license 
 
 see agents' license — revocation 
 
 see company license — revocation 
 soliciting without a license, 1976 
 state employes accepting gratuities, 4549g 
 suretyship directors, 1966 — 44 
 twiPting, 1946f 
 
 riai< ig unauthorized dividends, 1966 — 44 
 uM.Tjthorlzed insurance, 1919f, 4575d 
 standard fire policy, violation, 1941 — 65 
 surplus lines, 1919m 
 violation 
 
 adjusters law, 1943m (11) 
 
 blue sky law, 1897f (6) 
 
 insurance laws generally, 1955o — 5 
 
 interinsurers, 1919m (9) 
 
 organizing company, 1897f (6) 
 
 rate-making law, 1946 — 17 
 
 reinsurance. 1955 — 26 
 
 resident agent law, 1919a 
 ; standard jirovislons. health and accident. 1960 (13) 
 
291 
 
 Periodical inspections of dangerous building's, 2394 — 52, 2394 — 7i 
 Perjury, witness not immune from, 1955o (8) 
 Personal fidelity, guarantee, 1966 — 33a 
 
 see 1966a to 1933n 
 Physician's certificate, estoppel, warranty, 1977 — 2 
 Hate glass insurance, authorized, 1897 (11) 
 Policies 
 
 action to protect holder, 1970o 
 
 actions on, joinder as defendants, 2609a 
 
 ag'ent to countersign, provision, 1941 — 64 
 
 appraisal, standard fire, 1941x 
 
 anniversary defined, 1946x 
 
 assignment by married woman, 2347b 
 
 assignment, standard fire, 1941 — 63 
 
 assessment life, valuation, 1955y— 1 
 
 approved by commissioner 
 disability, 1948f 
 fire, 1941X 
 
 health and accident, 1960 
 life, 194Sf; non-assemble, 1897c 
 town mutuals, 1932 
 
 ballot not to validate, 1947j 
 
 cancellation, fire, 1937, 1941x, 1946d 
 
 coinsurance clauses, 1900f, 1943a 
 
 conditions in employer's liability, 1966 — 4 
 
 deposits a preferred claim by holder, 1941 — 63s 
 
 entire contract, life company, 1955o (2a) 
 
 exempt from execution, when, 2982 
 
 employer's liability, 1966 — 42 
 
 foreign company, 1915 (4) 
 
 form of standard fire, 1941x 
 
 form, life company, 1948f, 1955o (6) 
 
 hail to be separate, 1897a (4) 
 
 health and accident, 1960 
 
 Increase of risk, standard fire, 1941x 
 
 industrial, how valued, 1950d 
 
 issue to be through resident agent, 1919a 
 
 issue limited, life company, 1948f, 1949, 1950m 
 
 issue, mutual company, 1897^ 1897, 1901m 
 
 life company, expense provision, 1950n 
 
 liability for loss, extent, standard fire, 1941x 
 
 life company, report to show number, 1954 
 
 lightning' clause, standard fire, 1941 — 62 
 
 list of, mutual life company, 1947d 
 
 loss, amount of recovery, 1900f, 1943, 1943a 
 
 loss, insured to bear first part, reduced rate, 1900f 
 
 loss, requirements in case of. standard fire, 1941x 
 
 loss, percentage coinsurance, 1943a 
 
 maximum term, mutual fire, 1901n, 1932 
 
 minimum number outstanding, 1898d 
 
 mutual benefit societies, 1958 (2) 
 
 mutual provisions, standard fire, 1941 — 64 
 
 name of company to be on, 1942 
 
 non-assessable, surplus requirements, 1897c 
 
 noon defined, standard fire, 1941x 
 
 notice and proof of loss, standard fire, 1941x 
 
 notice of loss form to be attached, standard fire 19461 (5) 
 
 notice of loss to insurer, conditions, standard fire, 1941x 
 
 notice of injury, time limit, health and accident, 1960, 3 (15) 
 1966 — 49a 
 
292 
 
 Policies — continued 
 
 provisions generally, 1900, 1941x, 1941 — 61 to 1941 — 65, 1948m, 1955o, 
 1958. 1960 
 
 railroad ticket, excepted from accident and health provisions, 1960 
 (12) 
 
 resident agent law, 1919a 
 
 resident agent law, when not applicable, 1919a (6) 
 
 separate for each class, exceptions, 1897a 
 
 separate, what to cover, 1897a (3) 
 
 state life fund. 1989m (14) 
 
 state life fund, combination, 1989m (16) 
 
 time limit for beginning action on, 1900, 1941x, 1960, (14) 
 
 tourist floater, 1897a (5) 
 
 town mutuals, approval of, 1932 
 
 unauthorized insurance, when permitf,ed, surplus line, 1919m 
 
 valued, amount of recovery, 1943 
 
 void in proportion to rebate, 1955o (4a) 
 
 waiver, 1941x 
 
 warranty, 1977 — 1 
 
 what to show, mutual or stock name, 1942 
 
 when issued under provisions of guaranty surplus fund, 1909 
 Policyholder 
 
 absconding, fraud on life company, 4438e 
 
 application, copy on request of, life company, 1953b 
 
 assignment of interest, standard fire, 1941 — 63 
 
 assessment life, statement of credits to, 1955y — 1 (4) 
 
 beneficiaries, mutual benefit society, 1957 (5) 
 
 cancellation, fire company, 1941x, 1946d 
 
 cancellation, health and accident, 1960 
 
 corporation may be in mutual company, 1897g (3) 
 
 joinder as defendant, 2609a 
 
 dividends to, life company, 1952d 
 
 elections, mutual life company, 1947c to 1947J 
 
 entitled to statement of dividend apportionment, 1952a 
 
 false statement of, 4438em 
 
 fraud on fire company, 4405 
 
 liability under standard fire, 1941x 
 
 liable for unpaid assessments, town mutuals, 1936 
 
 list of on request, life company, 1947d 
 
 may request statement of deferred dividends, 19521 
 
 nominations by, life company, 1947a 
 
 nonresident, town mutual, rights, 1939 
 
 notice of claim, time limit, health and accident. 1960 
 
 notice to, consolidation or reinsurance, 1955 — 23 
 
 not to vote by proxy, mutual life company, 1760 
 
 not to vote by proxy, mutual benefit society, 1956 (3) 
 
 one vote, town mutual, 1928 
 
 own risk, no commission, exception, 1955o (2c) 
 
 preferred claimant for unearned premiums, 1941 — 63a 
 
 proxies Invalidated, life companies, 1760m 
 
 rights in surplus, life company. 1947p 
 
 rights in surplus, life fund, 1989m (8) 
 
 right to make nominations, mutual life, 1947e 
 
 right to vote and hold oflfice, mutual life, 1947c 
 
 right to vote on increase of salary, mutual life, 1947r 
 
 reinsurance, notice of hearing. 1955 — 23 
 
 requirements in standard fire. 1941x 
 
 statement to. deferred dividends, life company, 19521 
 
 time limit, suit. 1900. 1941x. 19G0 
 
 to bear first part of loss, reduced rate, 1900f 
 
 to give notlc* of loss to fire marshal, 19461 (5) 
 
293 
 
 Pol i oy h o I (U>r — co n t i n u ed . 
 
 to participate in accumulations, life company, 1947o 
 
 vote, cumulative, mutual life, 1947c 
 
 who is, life company, 1947c 
 Policy loans, life company, 1954 (34) 
 
 Policy number, to be specified on ballot, life company, 1947s- 
 Policy provisions, life company, 1948m 
 Policy year defined, 1946x 
 
 Political contributions, statement of, life company, 195Sd 
 Polls, when open, life company, 1947h 
 Premiums 
 
 actual less than net, 1950 (2) 
 
 advance, state life fund, 1989m (7) 
 
 annual, basis, liability company, 1897c 
 
 basis of reserve liability, 1966 — 47 
 
 collection of one annual, mutual companies, 1897s 
 
 deduction for service prohibited, 1955o (3) 
 
 deferred payment rebate, 1955o (21) 
 
 deficient, valuation, life company, 1950 (2) 
 
 deduction upon settlement, health and accident, 1960, (4) (3) 
 
 expense charge provided in policy, 1950 (3) 
 
 expense exceeding- provisions for, life company, 1950 (3) 
 
 expense provision in, life company, 1950m to 1950t 
 
 extension of credit rebate, exception, 1955o (2i) 
 
 fidelity bond, municipalities to pay, 1966 — 38 
 
 for annuities, life fund, 1989m (5) 
 
 level basis presumed unless otherwise specified, 1948m 
 
 life fund, basis, 1989m (4) 
 
 life, defined, 1946x 
 
 life policies, 1948f 
 
 limitation of loading, life, 1950m 
 
 loan, automatic, when, 1948m (1) 
 
 loans on, life fund, 1989m (10) 
 
 mutual, basis of limited liability, 1897c 
 
 not used for promotion, 1897 (c) 
 
 on fidelity bond, chargeable as disbursement, 1966 — 36 
 
 policyholder preferred claimant for unearned, 1941 — 63s 
 
 policy to show, life company, 1948f 
 
 promotion expenses not to be paid from, 1897s (2) 
 
 rates, mutual benefit societies, basis, 1958 (2a) 
 
 rates not to be discriminatory, fire companies, 1946 — 1 to 1946 — 18 
 
 rate of interest assumption, 1950c 
 
 rebate of voids policy in proportion, 1955o (4) 
 
 reduction, coinsurance, 1900f, 1943a 
 
 return, unearned portion, 1941x, 1946d 
 
 separate for benefits other than life, 1948m 
 
 payments of, life fund, 1989m (8) 
 
 state life fund, 1989m (3, 4, 5) 
 
 tax on for fire department dues. 1926 
 
 see Experience Tables of Mortality 
 
 see actuarial computations 
 
 see insurance rate-making 
 Premium notes 
 
 fire company to report, 1920 
 
 form of, 1944 
 
 insolvency, void, 1945 
 President and Vice Presidents of mutual company must be members, 
 
 1897c 
 Prima facie evidence, misrepresentation, 1946c 
 Privilege of witness, immune save for perjury, 1955o (8) 
 Prizes and bonuses prohibited, life company, 1950a 
 
294 
 
 I'rocess, service of. 1915 (2), 191fm, 1919, 1953, 1958 (17), 2637 
 Process, service of, commissioner to accept, 1915 (2b) 
 Promotion expenses, limitation, 1897f (2m) 
 
 not to be paid from premiums, 1897s 
 Prohibited policy provisions, 1900 
 Promotion of stock companies, 1773, 1774n, 1897f 
 Proof of claim, health and accident insurance, 1960 (2A) 
 Proof of loss, standard fire policy. 1941x 
 Property exempt from taxation — personal of insurance companies, 1038 
 
 (13) 
 Property owner 
 
 liable for fire department dues, 1926 (5) 
 
 may assume first part of loss, 1900f 
 
 must pay tax on unauthorized insurance, 76.33 
 
 must sign reports of adjustment of loss, 1943m 
 Pro rata liability, standard fire policy, 1941x 
 I'rosecution of arson cases 
 
 attorney-general to assist, 1946j (2) 
 Proxies invalidated, life company, 1760m 
 
 member mutual benefit society not to vote, 1956 (3b) 
 
 stock companies, 1760 
 
 town mutuals, women may vote, 1928 
 Publication 
 
 assessment notice, 1935 
 
 change of name, stock company, 1774 
 
 cominissioner's statistics of companies reporting to the depart- 
 ment, 1972 
 
 Quorum 
 
 Compensation Board, 1921 — 3 
 directors, 1749 
 mutuals, 1896m (2) 
 town company, 1928 (1) 
 
 R 
 
 Railroad ticket policies, excepted from accident insurance provisions, 
 
 1960 (12) 
 Rate of interest, 1948, 1950c 
 Rates 
 
 anti-compact law, 1943b 
 
 coinsurance, 1900f, 1943a 
 
 commissioner to establish, fire, 1946 — 11 
 
 compensation insurance board to make 1921 — 2 
 
 di.scrimination prohibited, compensation, 1921 — 20 
 
 discrimination prohibited, fire, 1946 — 8, 1955o 
 
 discrimination prohibited, life company, 1955o 
 
 filing, 1921 — 21 
 
 liability insurance, 1921 — 30 to 1921 — 36 
 
 life companies to file, 1948f 
 
 mutual benefit societies, 1958 (2) 
 
 supervision, fire, 1946 — 1 
 
 supervision, workmen's compensation, 1921 — 1 to 1921 — 18 
 
 not to be discriminatory, 1946 — 7, 1955o 
 
 standard fire policy to show, coinsurance, ISOOf, 1943a 
 
 ff-mporary. fire, 194 6 — 14 
 
295 
 
 Rating bureaus 
 
 fSrp 1946 — 1 to 1946 — 29 iq^c k 
 
 fown mutuals and xnutual cyclone co-panies exen.pt. 1946-11 
 
 compensation insurance. 1921-1 to 1921-18 
 Real estate, investments in limited. 1902 
 
 valued policy, 1943 
 
 Rebate _.. ... 
 
 advisory board, contracts, l^^^o (3) 
 deductions for services prohibited 1955o (3) 
 deferred payment of premium, 1955o (2i) 
 distribution of dividends not. 1955o (2b) 
 division of commission not, 1955o (2e) 
 effect' of revocation, 1955o (5m) 
 extension of credit. 19550 (2i) 
 furnishing information not, 1955o (2h) 
 penalty. 1955o (4b). 1955o— 5 
 policy void in proportion to, 1955o (4a) 
 prohibited, life company. 1955o (2b) 
 revocation of license. 1955o (5) 
 suretyship corporation. 1966 — 33g (6) 
 
 Receiver 
 
 commissioner on insolvency. 1970m 
 foreign company, 1945b 
 mutual benefit society, 1958 (4) 
 may reinsure risks, 1905 
 powers of 3219 
 
 reinsurance, casualty company. 1966—48 
 statement by, 1921 
 Reciprocal provisions 
 
 accident and health policies, 1960 (10) 
 Record of fires. 19461 
 Records, arson cases. 1946J 
 
 of violations of law, 1950 (8) 
 
 town mutuals to be filed with commissioner, 1929 
 Recovery of license. 76.37 
 Reduction of capital 
 
 casualty company. 1966 — 46 
 commissioner to permit, 1970 
 
 Refunds 
 
 appropriation for, 20.06 
 of deposits, 20.06 
 state life fund. 1989m (9) 
 Reinsurance 
 
 accident and health. 1955—21 to 1955—26 
 
 admitted companies, 1905 
 
 attorney-general member of commission, 1955—^4 
 
 authorized. 1897a. 1914a 
 
 bank deposit guarantee company. 1898 ^\> 
 
 commissioner member of commission, 1955—^4 
 
 companies may assume, 1905 
 
 companies may cede. 1905 
 
 deduction to determine maximum single risk. 1898 
 
 disability companies. 1955 — 23 
 
 expenses. 1955 — 25 
 
 fees and taxes. 1914a 
 
 fire company to report. 1919a 
 
 foreign company, withdrawal of securities, 1918 
 
 general provisions. 1905. 1955—21 to 1955—26 
 
 hearing by commission. 1955—23 
 
 life company. 1955—21 to 1955—26 
 
 limitations. 1905 
 
296 
 
 Reinsurance — continued 
 
 mutual benefit society, 1955 — 21 to 1955 — 26 
 no compensation for effecting, 1955 — 25 
 notice to policyholders, 1955 — 25 
 of unauthorized company prohibited, 1905 (3) 
 organization of company, 1914a, 1941a — 1 
 penalties, 1955 — 26 
 receiver may effect, 1905 
 
 resident agent law not applicable, 1919a, 1919g 
 special committee to hear petition, how composed, 1955 — 24 
 standard fire policy, 1941x 
 state insurance fund, 1978d 
 town mutuals, 1931a 1941a — 1 
 Rejection, state life fund, 1989m (7) 
 Release from liability, casualty company, 1966 — 35 
 Removal of cause, see service of process 
 Removal of property 
 fire patrol, 1923 
 
 industrial commission to order, 2394 — 52 
 standard fire policy, 1941x 
 Renewal of license, 1947 (5) 
 
 Reorganization of assessment life company, 1955y — 2 
 Reorganization of mutual to stock prohibited, 1897k 
 Repair or replace property damaged, standard fire policy, 1941x 
 Reports 
 
 adjustments of fire loss, 1943m 
 agents' commissions, 1977 — 4 
 assessments, foreign mutual, 19451 
 commissioner as ex officio fire marshal, 1946p 
 commissioner, condition of companies. 1971. 1972b 
 commissioner to make monthly, 1972c 
 dividends, life company, 1952h 
 expenses, life company to make, 1950n 
 fires, fee for making, 1946f 
 fire and marine companies, 1920 
 fire loss, 19461 (5) 
 foreign fire company, 1915 
 insolvency, 1970m 
 interinsurers to make. 1915m (5) 
 insured to have on request, life company. 1952d 
 life companies. 1950n. 1953, 1954 
 life company, falsifying, 1954 
 legislative expenses, life company, 1953e 
 mutual benefit societies, 1958 (15), (16), 1959 (23) 
 owner or occupant to make in case of fire, 19461 (5) 
 political contributions, 1953d 
 premiums, fire department dues, 1926m 
 prizes, contests, life company, 1950s 
 rate-making bureau, 1946 — 12 
 receiver to make, 1921 
 reinsurance company, 1919d 
 state life fund, 1989m (17) 
 surplus, apportionment, 1947p, 1952c (3) 
 surplus lines. 1919m 
 town mutuals. 1938 
 
 valuation, mutual benefit society, 1959 (22), (22m) 
 Representations, physician's certificate, 1977 — 1 
 
 Representative form of government, mutual benefit society. 1956 (3a) 
 Reserve liability 
 
 casualty company, 1966 — 47 
 commissioner to fix basis, 1899 
 
297 
 
 Reserve liability — continued 
 
 fee for verification, 1948j 
 
 interinsurers, 1915m (6) 
 
 life companies, how determined, 1950 
 
 life company, defined, l946x 
 
 life company, rate of interest, 1950c 
 
 method of computing' for workmen's compensation, 1966 — 47a 
 
 mutual benefit society, 1958 (2) 
 
 reinsurance companies, 1914a 
 
 suretyship company, 1966 — 4 
 
 state life fund, 1989m (3) 
 Resident agent law, 1919a 
 Restoration of capital, 1969 
 Retaliatory law, 1968 (5), 76.35 
 Retirement, 1905 
 Return premium 
 
 fire companies, 1941x, 1946d 
 
 policyholder preferred claimant, 1941 — 63s 
 
 short rate table, 1946d 
 Revocation of license 
 
 see agents' licenses — revocation 
 
 see company licenses — revocation 
 Riders for extra fire hazards to be filed, 1946 — 15 
 Risks 
 
 casualty companies, maximum single, 1958 (6) 
 
 classification of, 1897, 1901m, 1921 — 9 
 
 defined, 1946x 
 
 fire companies may assume, 1945c 
 
 increase, material fact, 1977 — 1 
 
 inspection of, fire. 1946 — 1 to 1946 — 18 
 
 inspection, workmen's compensation, 1921 — 8 
 
 interinsurers, 1915m 
 
 liability for, mutual companies, 18971 
 
 life companies, 1947 (3) 
 
 limitation, 1898, 1960, 1966 — 33i 
 
 Lloyds, maximum, 1915 
 
 maximum single, 1898 
 
 minimum outstanding, 1898d 
 
 misrepresentation of. 1946c 
 
 multiple lines, 1897a 
 
 mutuals, classification, 1901m 
 
 reinsurance, 1905 
 
 reinsurance deducted in determining maximum, 1898 
 
 rider for extra hazard to be filed, 1946 — 15 
 
 separate policy coverage, 1897a (3) 
 
 standard fire policy, 1941x 
 
 state life fund, limitation, 1989m (14) 
 
 town mutuals, 1931 
 
 S 
 
 Salaries 
 
 appropriation for, 20.55 
 
 department of insurance, 20.73, 1968 
 
 domestic mutual life companies, limitation, 1947r 
 Schedule of compensation, 1966 — 47a (4) 
 Secretary of state 
 
 audit fire department dues, 1926m 
 
 state insurance fund, 1978d 
 
 state life fund, 1989m 
 
298 
 
 Securities, deposit with state, 197^ 
 
 surety companies required, 1966 — 33e 
 Security for costs, fidelity bond, 3783a 
 
 Self-criminating^ plea, no excuse from testifying, 1955o (7) 
 Separate ballot, life company, 1947f 
 Separate policy, exceptions, 1897a (3), (4), (5) 
 Service of process 
 
 corporations generally, domestic 2637 
 
 corporations, same as on persons, 2637 
 
 foreign companies, discontinuing business, 1919 
 
 life companies, 1947 (5) 
 
 license fees, action on, 76.37 
 
 mutual benefit society, domestic, or foreign, 1958 (17), 2637 (11) 
 
 on foreign company by servicf with secretary of state, 2637 (10 > 
 
 on agent last designated, foreign company, 1919 
 
 on officers of domestic companies, 2637 (10) 
 
 secretary of state to mail to foreign companies, 2637 (10) 
 
 suretyship company, 1966 — 33c: (2) 
 Service to improve risk not rebate, l955o (2h) 
 Session laws, see table preceding index 
 Short rate cancellation table, 1946d 
 Single risk, 1898, 1915 (c), 1958 (6), 1960 
 Size of standard fire policy, 1941x 
 Solicitation 
 
 interinsurers before admissioii, 1915m (9) 
 
 unauthorized insurance, 1919f 
 Son, married woman may insure, 2347 
 Special assessment, mutual benefit society, 1959 (30) 
 Special guaranty fund, life companies, 1947 (3) 
 Special license, mutual benefit society, 1958 (3) 
 Special reserve fund, 1909 to 1912 
 Special surplus fund, 1897a 
 Sprinkler leakage insurance 
 
 authorized, J897 (12) 
 
 fire company may write, 1945c 
 fcetting fires to injure insurer, fraud, 4405 
 
 arson, prosecution, 1946k 
 Stamping office, 1946 — 13 
 Standard fire insurance policy 
 
 agent to countersign, provision. 1941^ — 64 
 
 agent's name on, 1941 — 64 (3) 
 
 assignment of interest, 1941 — 63 
 
 cancellation, 1941x, 1946d 
 
 coinsurance, 1900f, 1943a 
 
 commissioner to provide form, 1941x 
 
 contract exclusive, 1900, 1941 — 64 
 
 forms, endorsements, 1941 — 63 
 
 form exclusive, exception, 1941 — 64 
 
 insured preferred claimant for unearned premium, 1941 — 63s 
 
 interinsurers exempt, 1915m 
 
 issued within state, 1941 — 64m 
 
 joint policies, 1941 — 64 (5) 
 
 Lloyds exempted from, 1915 
 
 lightning clause, 1941 — 62 
 
 loss, amount of recovery, 1900f, 1943, 1943a 
 
 loss, insured may bear first part, 1900f 
 
 loss, notice of, 19461 (5) 
 
 mortgagee, 1941 — 63 
 
 mutual company provisions, 1941 — 61 
 
 other matter permitted, 1941 — 61 to 1941 — 64 
 
299 
 
 Standard fire insurance policy — continued 
 
 other provisions required, 1941 — 64 
 
 penalty, 1941 — 65 
 
 policy form, 1941x 
 
 policyholder preferred claimant for unearned premium, 1941 — 63s 
 
 preparation of form, 1941x 
 
 prohibited provisions, 1900 
 
 stock company, name on face, 1942 
 
 rates with and without coinsurance, 1943a 
 
 tourist floater business exempt, 1897a (5) 
 
 town mutuals exempt, 1932 
 
 void, when, 1941 — 64 
 
 valued policy, 1943 
 Standard Industrial Mortality Table, 1950d, 1958 (18) 
 Standard Provisions Law, see health, accident, and health and accident 
 
 insurance 
 Standard forms, life policies, 1948m 
 
 Standard provisions, health and accident policy, 1960 
 State buildings, insurance of, 1978a to 1978d 
 State employes, gratuities, 1955 — 25, 1968, 4549g 
 State aid for fire protection, appropriation for, 20.56 
 State fire marshal 
 
 annual report, February 15th. 1946p 
 
 appropriation for, 20.55 
 
 arrests for arson, to cause, 1946j 
 
 assistants, appointment of, 1946h 
 
 authority to enter buildings, 1946k (4), 19461 
 
 clerks, employment, 1946n 
 
 commissioner, ex officio, 1946h 
 
 deputy commissioner as chief assistant, 1946h 
 
 district attorney to be given evidence, 1946J 
 
 duties, 1946i 
 
 fees for assisting, 1946n, 1946q 
 
 fires, fees for reporting, 1946q 
 
 inspection of buildings, see 2394 — 52, 2394 — 71 
 
 investigation of fires, 1946i to 19461 
 
 investigation, private, 1946k 
 
 mayors, fees for reporting fires, 1946q 
 
 mayors to investigate fires, 19461 
 
 notice of loss to, 19461 (5) 
 
 not to engage in other business, 1946o 
 
 oaths, administered by, 1946k 
 
 penalty, 1946m 
 
 power to administer oaths, 194 6k (2) 
 
 records of arson cases, 194 6j 
 
 record of fires, 1946i 
 
 report of fire departments entitled to dues, 1926m 
 
 report to Governor, 1946p 
 
 subpoena, 1946k 
 
 salaries and fees, 1946n 
 
 supervision of fire departments, 1926 
 
 testimony, 1946j 
 
 to compel attendance of witnesses, 1946k 
 
 town clerk to investigate fires, fees, 19461, 1946q 
 
 village president to investigate fires, fees, 19461, 1946q 
 
 w^itnesses, fees, 1946q 
 
 witnesses may be kept separate, 19461 
 State insurance fund for public buildings, 1978a to 1978d 
 State life fund, 1989m 
 
300 
 
 statements, annual 
 
 fire companies. 1920 
 life companies. 1953. 1954 
 town mutuals. 1938 
 see reports 
 statement lilanks, commissioner to furnish, 1954. 1971 
 Statements, receiver to make, 1921 
 State treasurer 
 
 commissioner to remit to, daily, 1972c 
 deposit of securities with, 1973, 1973m 
 fire department dues, 1926m 
 see state insurance fund 
 see state life fund 
 Steam boiler insurance 
 
 authorized, 1897 (6), 1897a 
 fire companies not to write, 1945c 
 Stock 
 
 blue sky law, 1897f 
 each share one vote, 1760 
 investment, 1903. 1951 
 lien on profits. 1904 
 
 prohibited sale, life companies, 1955o 
 subscription contract, 1897f 
 to be paid in, 1773 
 transfer, 1904, 1947 (3e) 
 Stock companies 
 
 capital and surplus, 1897g- 
 capital increase, 1908, 1908a 
 
 conditions, precedent to beg-iimin,^ business. 1897gr 
 blue sky law, 1897f 
 org-anization. 1772, 1773, 1896 
 foreign, admission, 1915 (la) 
 capital required, 1897g- 
 reinsurance. 1914a, 1955 — 21 
 taxes, 76.30 to 76.37 
 surplus required, 1897g (2) 
 Stock dividends, 1908a, 1966 — 45 
 Stockholders 
 
 contributions, 1913 
 personal liability, 1774n 
 vote, proxies, 1760 
 Stocks and bonds, see investments 
 
 Subjects for which companies mav be formed, 1897 
 Subrogation, standard fire policy. 1941x 
 Standard Industrial Mortality Tr.ble, 1950d, 1958 (IS) 
 Substandard Industrial Mortality Table, 1950d 
 Surety bonds need not be under sfal. 1966 — 33b 
 
 see fidelity bonds 
 Surety companies 
 
 authorized, 1966 — 33a 
 
 general provisions, 1966 — 33a to 1966 — 33n 
 
 admission, 1966 — 34 
 
 judge to notify bondholder, 1966 — 34 (5) 
 
 insolvency, commissionor's dtity, 1966 — 34 (5) 
 
 license year, 76.32 
 
 powers, 1966 — 33 
 
 reserve liability, 1966 — 47 
 
 year defined, 1966 — 44 
 
301 
 
 Suretyship insurance 
 
 authorized, 1897 (7) 
 
 certificate of authority, 1966—34 
 
 fidelity bonds, 1966 — 34 
 
 deposit of money, 1966 — 37 
 
 estoppel, 1966 — 39 
 
 fidelity bond, expense limitation, 1966 — 39 
 
 increase of capital, 1966 — 45 
 
 penalty, directors, 1966—44 
 
 premium, recoverable as costs, 1966 — 36 
 
 rebate, 1966 — 33g (6) 
 
 release from liability, 1966 — 3E 
 
 see fidelity insurance 
 Surplus 
 
 ascertainment, 1952a 
 
 accretions separate liability, 1952c 
 
 annual accounting, life policies, 1952h 
 
 apportionment, statement to policyholder, 1952d 
 
 deferred, set apart, 1952f 
 
 distribution annually, life con.-pany, 1952a 
 
 distribution not deferred, 1952 
 
 domestic life companies, 1947 (3) 
 
 interest separate liability. 1952c 
 
 investment, 1911 
 
 life company, report, 1952c, 1953n, 1954 
 
 mutual company, dissolution, 1897k 
 
 mutual life company, distribution, 1952 
 
 non-assessable policy, 1897c (2) 
 
 not to be diverted, 1952g- 
 
 participating life policies to share annually, 1952b 
 
 policies excepted from sharing, 1952b 
 
 reduction, casualty companies, 1966 — 44 
 
 required, 1897c, 1897g 
 
 requirements, stock companies, 1897g 
 
 safeguarded, mutuals, 1897k 
 
 state life fund, 1989m (9) 
 
 surety companies required, 1966 — 33c, 1966 — 33d 
 Surplus fund, 1897s 
 Surplus lines, 1919m 
 Surplus notes, 1897g (4) 
 Survey of risks, rate-making bureau, 1946—7 
 
 Table of contents, page 3 
 
 Table of mortality, policy to specify, 1948m 
 
 Tables of mortality referred to in this compilation 
 
 see Experience Tables of Mortality 
 Table of rates, life companies to file, 1948f 
 Tabular basis for valuation, 1959 (22m) 
 Taxes 
 
 general 76.30 to 76.37 
 
 fire department dues, 1926m 
 
 inheritance, valuation. 3871m, 72.15 
 
 interinsurers, 1915m (11) 
 
 mutual benefit societies, 1959 (30) 
 
 owners liability for, 1926, 70,33 
 
 personal property of insurance companies exempt, 1038 (13) 
 
 surety company exempt, when, 1966 — 33 1 
 
302 
 
 Taxes — continued 
 
 surplus lines, 1919m 
 
 unauthorized fire and marine companies, 76.33 
 Term of policy, maximum, 1901n 
 Terminal reserve defined, 1946x 
 Territory 
 
 limited, 1897c (2) 
 
 town mutual, 1931, 1940, 1941 
 Testimony 
 
 fees, 1968f 
 
 self-criminating, 1955o (7) 
 Theft and burglary insurance, authorized, 1897 (10) 
 Title insurance, authorized, 1897 (8) 
 Tornado insurance 
 
 authorized, 1897 (1) 
 
 fire companies may write, 1945c 
 
 town mutuals, 1931 (3) 
 Tourist floater insurance, 1897a (5) 
 Town mutuals 
 
 actions validated, 1927rn 
 
 adjustment of loss, 1934 
 
 amending articles, 1927 (3) 
 
 amending by-laws, 1941g (3) 
 
 articles, 1927 (2), 1927n 
 
 assessments, 1935, 1936 
 
 automobile insurance, 1931 (2m) 
 
 borrowing money, 1935 
 
 by-laws, must adopt and file, 1897d 
 
 cancellation of policy, 1937 
 
 change of name, 1927 (5) 
 
 contract exclusive, 1900 
 
 cyclone insurance, 1931, (3) 
 
 directors, classification, 1928 (3) 
 
 directors, how chosen, 1928 
 
 directors, liability, assessments, 18971, 1936 
 
 directors, number, 1927 (11) 
 
 directors, term, 1929 
 
 directors, to elect offlcers, 19£& 
 
 division of towns, 1927 (6) 
 
 duration, 1941n 
 
 exempt from rating bureau l&w, 1946 — 18 
 
 elections, 1928 
 
 extension of territory, 1931, 1940, 1941 
 
 filing articles, 1927 (3) 
 
 investments, 1902, 1903, 1931 (5) 
 
 liability of members, 18971, 1933 
 
 loaning money, 1931 (5) 
 
 manner of voting, 1928 
 
 officer's report, 1938 
 
 organization, 1927 
 
 may assume cyclone risks, 1931 (3) 
 
 may insure in Incorporated cities and villages, 1931 (8) 
 
 may insure motor vehicles, 1931 (2m) 
 
 may limit recovery on each ittm, 1931 (4) 
 
 may loan money, 1931 (5) 
 
 members liable for assessments, 1936 
 
 must file copies of all documents, 1927 (7) 
 
 maximum single risk, 1898 (lb) 
 
 mortgage, notice of assessment, 1935 
 
 minimum risks outstanding, lR9Sd 
 
 name. 1927 (4) 
 
303 
 
 Town mutuals — continued 
 
 no adjusters certificate, 1943m (10) 
 
 notice of fire loss must be attached to every policy, 19461 (5) 
 
 nonresident member, 1939 
 
 policy provisions prohibited, 1900 
 
 policy to be approved, 1932 
 
 policy term, 1932 
 
 president, must be a director, 1929 
 
 property insurable, 1931 (2). 1931 (2m), 1931 (3) 
 
 property insurable in cities and villages, 1931 (Ic) 
 
 proxies, only women may vote, 1928 
 
 quorum, 1928 
 
 recording articles, 1927 (3) 
 
 reinsurance, 1931a, 1941a — 1 
 
 report, 1938 
 
 secretary, must be a director, 1929 
 
 territory. 1931, 1940, 1941 
 
 treasurer's bond, 1930 
 
 withdrawal, 1937 
 Trial, where held, 2619 
 
 Trustees, company of foreign country, 1915 (2) 
 Twisting, 1946f 
 
 U 
 
 Unauthorized fire and marine companies 
 
 agent's liability, 4575c 
 
 to pay tax, 76.33 
 Unauthorized insurance 
 
 duty of commissioner. 1919f 
 
 insured to report, 76.33 
 
 may not be renewed. 1905 
 
 owner's liability for tax, 76.33 
 
 penalty for taking applications, 4575s 
 
 revocation of license, 1919m (8) 
 
 reinsurance of, 1919g 
 
 special license, 1919m 
 
 surplus lines, 1919m 
 
 tax, 1919m (5) 
 
 penalty, 1919f, 4575s 
 
 policies void. 1941 — 64m 
 Underwriters agencies, 1946em 
 Unearned premium 
 
 policyholder preferred claimant, 1941 — 63s 
 
 return on cancellation, 1946d 
 
 standard fire policy, 1941x 
 Uniform standard provisions, health and accident policy, 1960 
 Uninsurable interest, 1941x 
 
 Validating articles 
 
 mutual insurance companies, 1896m (3) 
 
 town mutuals, 1927m 
 Valuation 
 
 accumulation basis, 1959 (22m) 
 
 amortization method, 1951f 
 
304 
 
 Valuation — continueti. 
 
 annuities, 1950d (2) 
 
 assessment life policies, 1955y — 1 (2) 
 
 basis, life fund, 1989m (4) 
 
 basis, mutual life, 1952 
 
 certificate by commissioner, 1950 (7) 
 
 disability policies, 1950d (3) 
 
 fee for, 1950a 
 
 future estates, 3871m, 72.15 
 
 industrial policies, 1950d 
 
 life policies. 1948, 1950, 1950b. 1950c 
 
 mortality tables, see Experience Tables 
 
 mutual benefit societies, 1959 (22n) 
 
 securities, 1951f 
 
 tabular basis, 1959 (22m) 
 
 see actuarial computations 
 Valued policy, 1943 
 
 Violation of insurance laws, penalty, 1955o — 5 
 Violation of law, proceedings, expenses, 1972a 
 Vote 
 
 every meinber to have, 1897c 
 
 mutual benefit society. 1956 (23) 
 
 proxies, invalidated. 1760m 
 
 proxies, mutual benefit, prohibited, 1956 (3) 
 
 proxies, women may vote, town mutuals, 1928 
 
 town mutuals. 1928 
 
 W 
 
 "Warranty 
 
 in application, 1977 — 1 
 
 life policy, physician's certificate, 1977 — 1 
 
 standard fire policy, 1941x 
 Withdrawal of fees paid to state treasurer, 20.06 
 "Witness fees, 1946k 
 "Witness, refusal to testify, 1968f 
 "Workmen's compensation insurance, 
 
 regulation, 2394 — 26 
 
 Y 
 Year, defined, surety company, 1966 — 4 4 
 
YD 2.0503 
 
 G77242 
 
 UNIVERSITY OF CALIFORNIA LIBRARY