Page:United States Statutes at Large Volume 54 Part 1.djvu/1110

From Wikisource
Jump to navigation Jump to search
This page needs to be proofread.


PUBLIC LAWS-CH. 792-OCT. 9 , 1940 an alien company, to the United States manager or last appointed United States general ageht of the company. The registry receipt evi- dencing the deposit by the Superintendent, or his deputy, of such process, in the United States mails in the manner herein prescribed, Failure to ile in- shall be prima facie evidence of the completion of such service. Failure strument not to in- validate service. of any such company to file such an instrument, or failure on the part of any such company to authorize such filing, shall not invalidate any service made by serving the Superintendent. By accepting a certificate of authority to transact business in the District, every such company shall be held to have appointed the Superintendent its true and lawful Failuretodesignate attorney. Any such company transacting business in the District professe or'serviceof without designating an attorney for service of process as herein pro- vided shall, upon information filed by the corporation counsel of the Penalty. District in the police court of the District, be fined upon conviction not less than $10 nor more than $500 for each day during which the company shall have operated in violation of this section. Mutual and recip- SEC. 24. MUTUAL AND RECIPROCAL NAMES.-Except as otherwise Arcnepo. provided in section 14, no mutual company shall be authorized to transact business in the District unless the name of such company shall include the word "mutual", and no reciprocal or interinsurance exchange shall be authorized to transact business in the District unless the name or designation under which reciprocal or interinsurance con- tracts are to be exchanged shall include the words "reciprocal" or "interinsurance exchange", or be supplemented by the following words immediately below the name or designation under which such con- tracts are exchanged: "A reciprocal" or "an interinsurance exchange". Maximum and con- SEC. 25. MAxUIMn AN!D CONTINGENT PREMIUMS OF MUTUAL COM- tingent premiums of mutual compaies. PANIE. --The maximum premium shall be expressed in the policy of a mutual company, and it may be solely a cash premium, or may be a cash premium and an additional contingent premium, which con- tingent premium shall be not less than the cash premium, but no mutual company except as otherwise provided in section 14, shall issue any policy for a cash premium without an additional contingent premium until and unless it possesses a surplus of not less than $300,000. Reserves. SEC. 26. RESERVES.- In determining the financial condition of com- panies authorized under this Act, allowance shall be made for proper and adequate reserves for liabilities, including reserves for- (a) Unpaid losses and the expenses of the adjustment thereof; (b) Unearned premiums; (c) Commissions, taxes, and all other legal obligations, contingent or otherwise, of which the company has knowledge. Computation. The computation of such reserves shall be in accordance with the An't , p.1068. provisions of the form of annual statement required under section 8 of chapter II of this Act, and every authorized company shall maintain such reserves at all times. Policy forms filed SEC. 27. POLICY FORMS FILED WITH THE SUPERINTENDENT.-The wth uperintedet Superintendent may require that all policy forms used by every authorized company covering risks in the District be filed with the Superintendent. The Supenntendent shall have authority to disap- prove the use in the District of any policy form which is inequitable, or does not comply with the requirements of the law of the District. rdeovionin acli- SEC. 28. PROVISIONS IN ACCIENT AND HEALTH POLICIE. - The Super- i hes. intendent may require that the provisions and conditions contained in any policy of insurance against loss or damage from sickness or bodily injury or death of the insured by accident issued by any company Standard requie authorized by this Act to transact business in the District be made to 48 stat. as conform to the requirements prescribed under section 12 of chapter V vD. od.Bnpp of Public Law Numbered 436, Seventy-Third Congress. 1076 [54 STAT.