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State during the year immediately preceding the filing of its articles or certificates as above provided for, shall be considered and shall control." The certificate issued upon compliance with these requirements holds good for thirty years. Penalty for non-compliance, fine of $1,000. Minimum fee, $52. UBLICATION-Annual statement must be published in a legal newspaper, in the place of the company's home office, if within the State, otherwise in each of the three most populous counties of the State, and in all cases at least three times, and in a daily newspaper conforming to the requirements of Sec. 5515, Rev. Laws of 1905, which will accept and publish such advertisement, at the rates prescribed by law for legal publications, if there be one, but if not, then in a weekly newspaper having a general circulation in the county of its publication. Publishers' affidavit must be filed. Statement for publication must be prepared by the Insurance Commissioner. Proof of publication must be filed with the Insurance Commissioner by May 1, or the latter will have publication made at the company's expense. ECIPROCAL LAW-Rev. Laws, 1905, Sec. 1709. "Whenever by the laws of any other State or country, any taxes, fines, penalties, licenses, or fees, in addition to or in excess of those imposed by the laws of this State upon foreign insurance companies and their agents doing business in this State, are imposed on insurance companies of this State and their agents doing business in such State or country, or wherever any conditions precedent to the right to do business in such State are imposed by the laws thereof, beyond those imposed upon such foreign companies by the laws of this State, the same taxes, fines, penalties, licenses, fees and conditions precedent shall be imposed upon every similar company of such State or country and their agents doing or applying to do business in this State, so long as such foreign laws remain in force." The tax for support of salvage corps is payable absolutely, without regard to the provisions of this section. EINSURANCE-Rev. Laws, 1905 (as amended in 1907), Sec. 1617. “If any company other than life shall, directly or indirectly, effect the reinsurance of any risk taken by it, or any part thereof, it shall make a sworn report thereof to the Commissioner, at the time of filing its annual statement, or at such other time as he may request." Sec. 1708. "* Whenever it (a foreign company) effects reinsurance otherwise than through such (resident) agents, the entire tax thereon shall be paid by the original company, and no reduction shall be made on account of such reinsurance." EINSURANCE RESERVE-The reinsurance fund must be maintained at fifty per cent of the aggregate premiums on policies for one year or less, and pro rata on policies running more than one year, except upon inland and marine risks, upon which shall be charged fifty per cent of the amount of premiums written in such policies upon yearly risks and upon risks covering more than one passage not terminated, and the full amount of premiums written in policies upon all other inland

and marine risks not terminated. A company having less than $200,000 capital, and licensed in Minnesota to transact fire business only, must reserve the full amount of premiums on marine and inland navigation and transportation risks. Mutual fire insurance companies with contingent liabilities must maintain a reinsurance fund of twenty-five per cent of the aggregate premiums on policies running one year or less and fifty per cent of the pro rata amount on policies running more than one year. RESIDENT AGENTS-Rev. Laws, 1905, Sec. 1708. "No foreign company shall make its insurance contracts upon lives, property or interests in this State except through lawfully constituted and licensed resident agents." SEMI-ANNUAL STATEMENTS-None required. STANDARD POLICY-The use of a Standard Policy form is required. "Every company and every agent who shall wilfully make, issue or deliver a policy in violation of Sec. 1640 (which prescribes the use of the standard policy) shall be guilty of a gross misdemeanor; but every stipulation of such policy in favor of the insured shall, nevertheless, be binding upon the company issuing the same." Policy is not voided by unintentional misrepresentation. No policy shall be issued for a longer term than five years. The Insurance Department has approved certain clauses for use in connection with the Standard Policy form. Tornado insurance rider must not be attached to a fire policy.

TAXES-Two per cent of gross direct premiums received in the State, less return premiums on direct business, payable to State Treasurer on or before March 1. In the case of a domestic company, this tax is in lieu of all other taxes, except taxes upon real property owned by it in the State; and in the case of a foreign company, it is in lieu of all other taxes except upon real or personal property owned by it in the State, a tax of two per cent on gross premiums for the support of a salvage corps in any city wherein such a corps is maintained, and a tax of one-quarter of one per cent to defray the expense attached to the Fire Marshal's office. No credit allowed for reinsurances, but no charge is made for reinsurance. premiums received. See "Reciprocal Law." Penalty for refusal to pay taxes or fees, revocation of license.

TAX STATEMENTS-Included in annual statements.
VALUED POLICY-See "Anti-Coinsurance.'




DULUTH-Board of Fire Underwriters of the City of Duluth (fire patrol), two per cent on gross premiums.

MINNEAPOLIS-Salvage Corps and Fire Patrol, two per cent on gross pre


ST. PAUL Fire Insurance Patrol, two per cent on gross premiums.



AGENTS DEFINED Sec. 2615. "Every person who solicits insurance on behalf of any insurance company, or who takes or transmits other than for himself, an application for insurance, or a policy of insurance, to or from such company, or who advertises or otherwise gives notice that he will receive or transmit the same, or who shall receive or deliver a policy of insurance of any such company, or who shall examine or inspect any risk, or receive, collect or transmit any premium of insurance, or make or forward a diagram of any building, or do or perform any other act or thing in the making or consummation of any contract of insurance for or with any such insurance company, other than for himself, or who shall examine into or adjust or aid in adjusting any loss for or on behalf of any such insurance company, whether any of such acts shall be done at the instance or request or by the employment of the insurance company, or of or by any broker or other person shall be held to be the agent of the company for which the act is done or the risk is taken as to all the duties and liabilities imposed by law." Penalty for knowingly procuring, by fraudulent representations, payment or obligation for payment of premium, fine of $100 to $500, or imprisonment for not more than one year. The agent is also personally liable for contracts unlawfully made. Penalty for soliciting, etc., without a license, fine of $200 to $500, or imprisonment one to two years, or both.

AGENTS' LICENSES-Agents must procure certificates, renewable annually March 1, from the Insurance Commissioner. Penalty for acting as agent without a license or for unauthorized company, fine of $100 to $500; for failure to exhibit license on demand, fine of $10. Applications for licenses must be made by company officers, under seal, before March 1. See "Taxes." Each officer of an agency corporation, and each employee soliciting business for such corporation, must have a license. License required for each member of a firm.

ANNUAL STATEMENTS-Must be filed by March 1, under penalty of $100 for each day's neglect. Penalty for making false statement, $500 to $1000. ANTI-COINSURANCE-Use of coinsurance clause forbidden under penalty of $200 to $1000.

ANTI-COMPACT-While the law formerly in force, which related to combinations of fire insurance companies for the purpose of fixing rates, was repealed, it was held by the State Auditor that the Act of March 12, 1900, which was a general law against trusts, combines, etc., included insurance companies. A law which went into effect October 1, 1906, repealed the law of 1900, but virtually re-enacted it. Anti-trust law of 1906 was amended in 1912.


ATTORNEY-The Insurance Commissioner and some resident or residents of the State must be authorized to accept service of legal process.

CANCELLATION OF POLICY-No requirement as to notice to insured. Mortgagee must be given ten days' notice. Provision for domestic mutual companies is made in Sec. 15 of Mutual Fire Ins. Law, approved 1912. CAPITAL REQUIRED-An outside company must have at least $100,000 of actual capital. A domestic fire company must have at least $50,000, and a domestic marine company at least $25,000. Companies to insure mechanics' tools may be formed with $10,000 capital.

COMMISSIONS TO NON-RESIDENTS-Payment of commissions to a non-resident agent by a resident agent, except on property of non-residents, is forbidden. See "Resident Agents."

DEPOSIT-Foreign companies must have at least $100,000 deposited in some State of the United States, invested as per "Investments Prescribed." DOMESTIC COMPANIES-Sec. 2578. "The proposed corporators, a major

ity of whom must be residents of the State and not less than ten, shall subscribe articles of association setting forth their intention to form a corporation; its proposed name must not so closely resemble the name of an existing corporation doing business under the laws of this State as to be likely to mislead the public, and must be approved by the Commissioner; the class or classes of insurance it proposes to transact and on what business plan or principle; the place within the State of its location, and, if on the stock plan, the amount of its capital stock. The words 'Insurance Company' must be a part of the title of any such corporation." After meeting and organization, certified copies of the articles of association, etc., must be submitted to the Insurance Commissioner for his approval. On issuance of a certificate of approval the Commissioner shall collect a fee of $25. Capital must be paid in within twelve months, and no policies shall be issued until capital is all paid in.

EXAMINATIONS-Commissioner may examine any company whenever he deems it prudent to do so, and shall examine each domestic company at least as often as once in two years. A "foreign" company shall only be examined when, upon request of the Commissioner of Mississippi, the Insurance Commissioner of the State of the domicile of such company shall refuse or fail to furnish the information called for. Penalty for refusal to exhibit books or papers, fine or imprisonment, or both. Chap. 69, Sec. 2564. "Before granting a certificate of authority to any insurance company the Commissioner shall be satisfied by examination that it is qualified under the laws of the State to transact business therein, and as to its financial ability and condition as often as once in two years he shall personally, or by deputy or agent, carefully examine the affairs of each domestic company."

FEES-Each fire insurance company (except domestic companies paying ad valorem taxes) must pay a license fee of $100 (pro rated for portion of

year, if issued after March 1); marine company, $100. Fee for certificate of authority to each general or district agent or manager, $3 (including seal); for certificate of authority to each local or canvassing agent, $2 (including seal); filing and examining statement preliminary to admission, $20; mutual companies, $10; filing and auditing annual statement, $10; for copy of annual statement and certificate thereto, $5; filing any other paper required by law, $1; for each certificate of examination, condition. or qualification of company or association, $2; for each seal when required, $1; service process upon Insurance Commissioner as attorney, $2; for each examination of domestic company, $25 and actual expenses incurred; for each examination of foreign company, $25 per diem and actual expenses incurred; for copy of any record paper, 10 cents per hundred words and $1 for certifying same; for organization certificate of domestic company, $25; for recording change of capital, $5; for filing copy of charter, $20; for license to deal with unauthorized companies, $20; designation of Insurance Commissioner for service of process, $1; for each agent in a city of 2000 inhabitants or more, $30; city of less than 2000, $15. Fees payable to Insurance Commissioner. See "Taxes." See "Publication." FIRE DEPARTMENT TAX-No provision.

FIRE MARSHAL-Provision is made for the investigation of fires of suspicious origin, a tax of one-fifth of one per cent being levied on gross premiums to cover the expense of such investigations.


GENERAL PENALTY-A company's license may be revoked for any violation of law. For any violation of law not specifically provided for, a person may be fined not more than $500.

IMPAIRMENT-None permitted under penalty of revocation of license. Impairment not exceeding twenty-five per cent may be made good within three months.

INVESTMENTS PRESCRIBED-A domestic company may invest in real estate, at cost of not more than twenty-five per cent of its cash assets, for the convenient accommodation of its business. Capital may be invested by domestic companies in first mortgages on Mississippi real estate; United States or State bonds not selling below par, or in loans secured by such bonds as collateral; bonds or notes of any city, county or town of Mississippi, whose net indebtedness does not exceed six per cent of taxable values, or in any such bonds selling at a premium, or in loans secured by such bonds as collateral; real estate, not exceeding twenty-five per cent of company's net assets (except when taken under foreclosure, or for a debt); stocks of banks and trust companies which are worth a premium. A fire company must have $50,000 invested in the first three classes of securities before investing in others, and must not invest more than fifteen per cent of its assets in such stocks. Accumulations of domestic companies may be invested in United States, State, county or city bonds, and real

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