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Domestic companies must have a paid-up capital of $100,000. Taxes-Two per cent upon gross premiums less premiums returned and losses paid in the State.

Fraternal Orders.—Incorporated for the primary purpose of mutual protection and relief of members and having ritualistic work and ceremonies, are exempt from complying with the laws of the State respecting insurance corporations or associations.

PENNSYLVANIA.

SUPERVISING OFFICER, I. W. DURHAM, INSURANCE COMMISSIONER,
HARRISBURG.

Preliminary Documents.- Company must file with the Commissioner a certified copy of its charter and a verified statement showing its affairs and condition.

Attorney. Must appoint some citizen of Pennsylvania, other than the Insurance Commissioner, attorney to accept service of legal process.

Funds.-Company must possess assets equal to its liabilities.

Valuation of Policies.-The basis of valuation is the Actuaries' Experience Table of Mortality, with interest at four per cent to January 1, 1903, thereafter the American Experience Table of Mortality, with interest at three and one-half per cent. Commissioner authorized to accept valuations of other State officials.

Annual Statements.- Annual statements must be filed on or before March 1, showing the condition of the company December 31 preceding.

Agents.-Company must certify to the Commissioner the names of the agents whom it appoints, and such agents must obtain certificate of authority from the Commissioner. Certificates to be renewed annually.

Examinations.-The Commissioner is authorized to make examinations for probable cause, and to publish the result of such examination whenever he shall deem it to the best interests of the public to do so.

Fees.-Filing copy of charter, $25; filing annual statement, $20; issuing certificates of authority and a certified copy of the same, $2; copies of papers on file, 20 cents per folio; certifying same, $1; valuing policies, not exceeding 3 cents for each $1000 of insurance valued; for examination of companies, actual expenses incurred. If the fees collected are not equal to the expenditures of the Department, the Commissioner is authorized to assess the deficiency upon the companies doing business in the State. Other fees regulated by reciprocal provision.

Taxes.-Company is required to report in the month of January of each year to the Commissioner the amount of premiums received by it in the State during the preceding year and to pay a tax of two per cent thereon into the State Treasury.

Penalties. For neglecting to file the statements required, company incurs a penalty of $100 for each day's neglect. Companies or agents doing business without complying with the law incur a penalty of $500 for each month and fraction thereof in which such unlicensed business is transacted. For violation of the anti-rebate law a fine of $500 is provided for each offense where the amount insured is $25,000 or less, and $500 additional for each additional $25,000.

ADDITIONAL NOTES FROM THE STATUTES. Application.-A copy of the application, and of every document affecting the contract, must be attached to policy.

Brokers.-Every person not an officer or agent of a company, who aids in the procurement of insurance, is deemed a broker, and must obtain a certificate from the Commissioner. Fee, $10.

Discrimination.-Discrimination between insurants of the same class and equal expectation of life, as to rates, benefits or conditions of contract, is prohibited. Penalty, a fine of $500 where the insurance is $25,000 or less, and for every additional $25,000 or less an additional fine of $500, and the offender to be disqualified from doing business for three

years. One-half the fine goes to the informer, the other half to the school fund of the county where the offense was committed.

Fraudulent Representations.—Any agent, physician or other person, making false representations for the purpose of procuring insurance, is deemed guilty of a misdemeanor, and may be fined not more than $1000 or imprisonment not exceeding one year.

Miscellaneous Companies.—Stock life insurance companies cannot be incorporated with less than $300,000 capital. Mutual life companies must have a guarantee capital of not less than $200,000. Surety companies must have at least $250,000 capital. All other companies, $100,000. Companies paying sick and accident benefits not exceeding $10 per week, or death benefit not exceeding $250, may do business with a paid-up capital of $25,000. Steam boiler companies are liable for the full amount named in the policy in case of explosion.

Misrepresentations.-Untrue statements made in application in good faith shail not forfeit policy unless such statements relate to matters material to the risk.

RHODE ISLAND.

SUPERVISING OFFICER, CHARLES C. GRAY, INSURANCE COMMISSIONER,
PROVIDENCE.

Preliminary Documents.-Company must file with the Commissioner a copy of its charter and a verified statement showing the condition of the company, also certificate from Insurance Commissioner of home State that company is authorized to issue policies there.

Attorney-Company must appoint the Insurance Commissioner its attorney to accept service of legal process.

Funds.-Company must possess at least $100,000 assets invested in approved securities. Deposit.-Company must furnish to the State Treasurer a certificate setting forth that it has on deposit with the proper officer of the State wherein it is incorporated the sum of $100,000 at least, invested in approved securities for the benefit of its policyholders.

Valuation of Policies.-No provision in the statutes; valuations are accepted on the basis of other States, viz.: the Actuaries' Table of Mortality, with interest computed at four per cent. Any contract that makes a part of the constitution and by-laws of the company a part of such contract must have attached thereto a copy of such constitution and by-laws.

Annual Statements.— Annual statements must be filed within thirty days from January I, showing the business and condition of the company December 31 preceding.

Agents.-Agents must execute a bond to the State Treasurer, with two or more approved securities, in a sum not less than $200 (bond of $500 required of life agents), conditioned to make annual returns required by law, and that they will pay the taxes required. An agent doing business in one town prohibited from establishing a branch agency in another town. Companies prohibited from doing business except through licensed resident agent. Every person acting in any manner for an insurance company who is accountable to any agent of such company for premiums received shall be designated as a sub-agent. All agents and sub-agents must procure licenses from the Commissioner, renewable annually, on April 1, under general law that went into effect February 1, 1896. Agents of life companies required to publish an abstract of annual statement, approved by Insurance Commissioner, in a newspaper printed in the county in which he does business, once a week for three successive weeks in the month of March, which is attended to by the companies direct.

Examinations.-The Commissioner may examine any company doing business in his State whenever he shall deem it important for the safety of policyholders, and may publish the result in one or more newspapers.

Fees. For filing a copy of charter, $30; filing preliminary statements. $20; filing annual statement, $20; issuing certificate to agent, $2; all firms of general agents counted

as one agency; copy of service of process, $2; examination of company, actual expenses incurred. Other fees regulated by retaliatory provisions.

Taxes. In the month of January of each year agents are required to make a return to the State Treasurer of the amount of the insurance placed by them during the preceding year, the premiums received, and at the same time shall pay to the Treasurer a tax of two per cent on such premiums. Other taxes and requirements regulated by retaliatory provision.

Penalties. Any person acting as agent for an unauthorized company shall be fined not less than $300 nor more than $1000. An agent doing business without complying with the laws of the State incurs a penalty of $1000. An agent refusing or neglecting to answer interrogatories of the Commissioner for thirty days is liable to a fine of $1000.

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ADDITIONAL NOTES FROM THE STATUTES.

Brokers. Any person, not an officer or agent of a company, aiding in negotiating insurance shall be deemed a broker, and must pay a license fee of $10.00 to the Insurance Commissioner.

Discrimination.-Discrimination between insurants of the same class and equal expectation of life, as to rates, benefits or conditions of contract is prohibited. Penalty, a fine not exceeding $100.

Miscellaneous Companies.-Surety companies must have at least $250,000 capital; all other companies, $100,000.

SOUTH CAROLINA.

SUPERVISING OFFICER, A. W. JONES, COMPTROLLER-GENERAL OF STATE, COLUMBIA. Preliminary Documents.- Company must file certificate of its charter and obtain license, which will authorize it to do business in every county in the State. Such license to expire March 31 of each year. A statement of the financial condition of the company must also be filed.

Attorney. The company must appoint a resident agent as attorney to accept service of legal process.

Funds.-Company must have $100,000 capital or surplus, or file certificate that it has on deposit with the proper officer of some State $100,000 for the protection of all policyholders; in the absence of capital, a deposit of $10,000 is required.

Companies of Other Countries.-Foreign companies must comply with the same requirements as domestic companies as to payment of taxes.

Policies Non-forfeitable.-After a policy has been in force two years, the company is deemed to have waived its right to question statements made in the application.

Annual Statements.—Annual statements must be filed prior to March 31 showing its condition on December 31 preceding.

Agents. Copy of appointment must be filed with Comptroller-General giving postoffice address and residence. Agents must make a return between January I and February 20, showing the gross receipts and the value of personal property of the company at the agency.

Examinations. Upon being satisfied that any company is unsafe or insolvent, it is made the duty of the Comptroller-General to refuse to license it and to cancel any license that may have been issued. When he has reason to doubt the solvency of any company doing business in the State, he must accept a certificate from the proper officer of the State under whose authority it was organized as proof of its solvency.

Licenses. For license authorizing company to do business, $100. Also a "graduated license fee" of one-half of one per cent on gross premiums received during the three months immediately preceding the payment of such fee, to be made direct to State Treasurer. Quarterly returns of premiums to be made to the office of the Comptroller-General on the last days of March, June, September and December. (The City of Columbia

imposes a special license of $50 for the first $1000 of premiums received by the agent, and $30 for each additional $1000.)

Taxes.-Every insurance company, of any class, not organized under the laws of the State, shall make a quarterly return to the Comptroller-General of its gross income for the preceding quarter, which return shall state in detail the amount of gross premiums, gross receipts or gross income collected by such company, in each of the various counties in the State. These returns to be made on the 31st of March, 30th of June, 20th of September and 31st day of December in each year. Immediately after the close of the year the Comptroller-General will report to the county auditor in each county a statement of the amount of gross premiums collected in such county during the preceding year, which statement shall be placed on the duplicate in such county, together with the other items now included in the taxable property of such company. Taxes are due and payable from October 15 to December 31 to County Treasurer. (The city of Columbia imposes a license of $50 for the first $1000 premiums, and $30 for each additional $1000.)

Penalties. For each violation of the provision of the statutes a penalty of not less than $100 nor more than $500 is imposed for each offense.

Miscellaneous Companies.-Surety companies must have a capital of not less than $250,000. All companies required to pay a license fee of $100 per annum to the Comptroller-General.

SOUTH DAKOTA.

SUPERVISING OFFICER, JOHN C. PERKINS, INSURANCE COMMISSIONER, PIERRE. Preliminary Documents.-Company must file with the Commissioner of Insurance a certified copy of its charter and a statement showing its financial condition; also a certificate showing that it has at least $100,000 of assets deposited with the proper officer of some State for the protection of all its policyholders.

Attorney.-A resident of the State must be appointed and empowered to accept service of legal process, or Commissioner of Insurance may be appointed.

Funds.-Company must have assets amounting to at least $100,000 deposited with the proper officer of some State for the protection of all its policyholders in the United States. Valuation of Policies.- Policies are valued on basis of the American Experience Table and four and one-half per cent interest, or the Actuaries' Table and four per cent interest. Annual Statements.-Annual statements must be filed within two months from January I, and must be published at least three times in one of three papers designated by the Commissioner of Insurance, and printed and published in each judicial circuit of the State in which the company shall have an agency, within ninety days from the filing of the statement. Advertisements must be paid for at legal rate, which is 75 cents per square of twelve lines of nonpareil type or its equivalent for the first insertion, and 50 cents per square for each subsequent insertion. (Goes into effect July 1, 1903.)

Agents.-Agents must obtain from the Commissioner of Insurance a certificate entitling them to do business. Certificates renewable annually.

Rebating. Not prohibited.

Examinations.-The Commissioner may, personally or by an authorized suitable person, make examinations at any time.

Fees. For filing copy of charter, $25; annual statement, $10; issuing certificate of authority and certifying the same, $2; copies of papers on file, 20 cents per folio; certifying same, $1; examinations of companies, actual expenses incurred, not exceeding $10 per diem. All fees subject to reciprocal laws of the State.

Taxes. At the time of filing annual statement, company is required to pay into the State Treasury two and one-half per cent on the gross premiums received in the State during the preceding year. Such taxes in lieu of all other State and local taxes. Reciprocal laws govern taxes, fees, etc., same to a penalty of $500 for each violation. For neglect to file statements as required, $100.

Penaltics.-Violation of any of the provisions of the act subjects the party violating.

ADDITIONAL NOTES FROM THE STATUTES.

Fraudulent Statements.-Any agent, physician, or other person, making fraudulen statements to obtain insurance, shall be deemed guilty of a misdemeanor, and subject to a fine not exceeding $1000 or imprisonment not more than one year, or both fine and imprisonment.

Medical Certificate.- When a medical examiner has certified that the applicant is a fit subject for insurance, company is estopped from defending on the ground that insured was not in good health.

Miscellaneous Companies.-Every company must have a capital of at least $100,000. Fidelity and surety companies must comply with the laws relating to life companies.

Misstatement of Age.-When the applicant has misstated age in his application, company may charge premium as of his correct age, but can make no other deduction from policy on account of such misstatement.

TENNESSEE.

SUPERVISING OFFICER, REAU E. FOLK INSURANCE COMMISSIONER, NASHVILLE. Preliminary Documents.-Company must file a certified copy of charter, a certificate of the Insurance Commissioner of the State where incorporated, to the effect that it has authority to do the character of business in such State it desires to do in Tennessee, and a verified statement showing its condition December 31 preceding. Company must also file a copy of its charter with the Secretary of State.

Attorney.-Company must appoint the Insurance Commissioner its agent to accept service of legal process and stipulate that service on the Commissioner shall be valid.

Funds.-Company must possess actual cash assets over and above all liabilities to the amount of at least $100,000, invested in accordance with the laws of the State under which said company is organized.

Deposit.-Company required to have a deposit of $100,000 with the proper financial officer of the State wherein it is organized, and must present certificate to the Commissioner that such funds are held by him for the security of the policyholders of the com

pany.

Valuation of Policies.-The basis of valuation is the Combined Experience or Actuaries' Table or American Experience Table of Mortality with interest at the rate of four per cent per annum. Commissioner required to value the policies of all companies, but is allowed to accept valuation made by the Commissioner of another State, provided such valuation is on the required basis.

Annual Statement.-Annual statements must be filed within thirty days from December 31, showing the condition of the company on December 31 preceding. But for good cause shown Commissioner may extend time thirty days.

Agents.-Company must verify to the Commissioner the names of all agents appointed in the State, and must obtain from the Commissioner certificates of authority for each agent to do business. Each agent is required to have a certificate of authority. Certificates renewable annually in January. Agents personally reliable for insurance placed in unauthorized companies. Agents must pay an annual tax of $10.

Examinations.-The Commissioner of Insurance is authorized to examine into the affairs of any company doing business in the State whenever he shall deem it expedient, and to publish the result in one or more newspapers.

Fees. For filing copy of charter with Secretary of State, graded according to amount of capital stock; for filing preliminary papers with Commissioner of Insurance, including financial statement, $30; filing annual statement, $25; issuing certificates of authority, or renewal thereof, $2; for each seal of office with certificate, $1; copies of papers on file, 20 cents per folio. Fees subject to change by reciprocal provision in law.

Taxes.-Company is required to report in July and January in each year the amount of gross premiums collected in this State during the preceding six months ending with

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