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AGENTS DEFINED-Sec. 3431. "Any person who for compensation solicits insurance on behalf of any insurance company, or transmits for a person other than himself an application for a policy of insurance to or from such company, or offers or assumes to act in the negotiating of such insurance, shall be an insurance agent within the intent of this article, and shall thereby become liable to all the duties, requirements, liabilities and penalties to which an agent of such company is subject." Sec. 3462. "Any person who shall solicit and procure an application for insurance shall, in all matters relating to such application for insurance, and the policy issued in consequence thereof, be regarded as the agent of the company issuing the policy and not the agent of the insured, and all provisions in the application and policy to the contrary are void and of no effect whatever." AGENTS' LICENSES-Each individual agent (each member of a firm) must procure a license which expires last day of February, annually. Applications for licenses must be made by company officials, under seal. Penalty for acting as agent without a license, fine of $100 to $500 for each policy written. Agent is liable on policies written for unauthorized companies. Sec. 3463. “No corporation or stock company shall act or be licensed to act as an agent or representative of any insurance company or association in soliciting, selling, delivering, writing or in any manner placing, or causing to be placed, any insurance policy or contract in this State." ANNUAL STATEMENTS-Must be filed on or before last day of February,

annually, showing condition as of December 31 last preceding. Penalty for failure to file statement or answer inquiries, $500. Commissioner may extend time for good cause. ANTI-COINSURANCE-No statute prohibiting use of coinsurance clauses. ANTI-COMPACT-An anti-trust law was enacted in 1908, which may be construed as prohibiting co-operation between insurance companies and agents. The matter has been referred to the Attorney General for his opinion. Concerning the publication and use of rates prepared by an independent rater, the Attorney-General says: "If the act of the insurance companies were simply to obtain information from the rating book, which information they used as they were pleased, the use of the rating book would not be a violation of law. If insurance companies with or without an agreement restrict trade and insurance, with or without a rating book, the act is illegal, and, if knowingly done, is a crime." The Insurance Com missioner states that in his opinion "a company should uniformly apply its schedule of rates without discrimination."

Sectional numbers are the same as the Harris-Day Code of Laws.

ANTI-DISCRIMINATION-The Insurance Commissioner construes Cha 79, Art. 1. of the Harris-Day Code relating to monoply as forbidding i surance companies to discriminate in rates. On "Agreement and Applic tion for License" is the clause. "The company agrees ** not to inte fere with any agent in the conduct of his business on account of said age representing companies that are commonly called 'union' or 'non-union companies."

ATTORNEY-The Insurance Commissioner of the State must be authorize to accept service of legal process.

CANCELLATION OF POLICY-Sec. 40. "Any policy issued by companie authorized to do business in this State may be canceled at an time at the request of the insured; or by the company by givin five days' notice of such cancellation. If the policy shall be cancele as hereinbefore provided, or become void or cease, the premiun having been actually paid, the unearned portion shall be returned on surrender of the policy or last renewal, the company retaining th customary short rate; except that when the policy is canceled by the com pany by giving notice, it shall retain only the pro rata premiums." CAPITAL REQUIRED-Company must possess at least $100,000 of paid-up or guaranty capital or surplus invested in such securities as domestic com panies are allowed to invest in.

COMMISSIONS TO NON-RESIDENTS.-Licensed agents may divide com missions with licensed agents or brokers of the same company or companies in other States.

DEPOSIT—None required. Foreign company must have $200,000 on deposit in some State for the benefit of United States policyholders. DOMESTIC COMPANIES-Sec. 3404. "Ten or more persons may form a corporation for the purpose of making any of the following kinds of insurance, to wit: (1) Against loss or damage to property by fire, hail. lightning, or tempest on land, or explosion of natural gas. (2) Upon vessels, freights, goods, moneys, effects, bottomry and respondentia interests, and every insurance appertaining to or connected with marine and inland risks of transportation and navigation." The incorporators shal file in the office of the Insurance Commissioner a certificate of organization, signed and sworn to by the president, secretary, and a majority of the directors, stating their intention to form a corporation and setting forth the name of the company, its location, the kind or kinds of insurance to be transacted, whether the company is to be stock or mutual, and, if stock the amount of capital, and the period limited for the duration of the company; also any other particulars necessary to make manifest the purposes of the corporation. Domestic company must have at least $50,000 of capital, guaranty capital, or surplus. EXAMINATIONS-Domestic companies must be examined at least once in each three years or upon the request of five or more persons pecuniarily interested therein who charge that the company is in unsound condition.

Outside companies may be examined at the discretion of the Insurance Commissioner. Companies examined must bear the expenses of such examination. If a domestic company is found to be unsound or its condition or management is such as to render its further proceeding hazardous to the public, its policyholders or its creditors, the Commissioner shall apply through the Attorney General for an injunction to restrain it from transacting further business. If an outside company is found to be in a similar condition the Commissioner shall revoke or suspend all certificates of authority granted to it or its agents and shall cause notification thereof to be published in newspapers of general circulation, and the company shall transact no new business until its authority is restored by the Commissioner. If, however, the ground for revocation or suspension relates to some matter other than the financial condition or soundness of the company or a deficiency in its assets, he shall notify the company not less than ten days before revoking its authority to do business, and shall specify the particulars of the supposed violation.

FEES-For filing the declaration or the certified copy of charter herein required, $30; for filing annual statement, reciprocal; domestic mutual farm companies, $5; for each certificate of authority to each agent of companies not incorporated under the laws of this State, $3; for each certificate to each agent of domestic companies, 50 cents; for each copy of paper on file, per folio, 20 cents; affixing seal, $1; appointment of attorney for service, $3; for examinations, expenses thereof; for service of process, $3; for appraisal of property for each mortgage deposited, $5; foreign fire insurance companies, $100; to be paid annually. Fees are collected by Insurance Commissioner and paid to the State Treasurer.

FIRE DEPARTMENT TAX-This tax is included in and a part of the two per cent State tax. Towns having fire departments file certificates with Insurance Commissioner, and insurance companies return with annual statement lists of net premiums in such towns.

FIRE MARSHAL-Provision is made for a State Fire Marshal to investigate fires, etc.

FOREIGN COMPANIES' HOME OFFICE STATEMENTS-Sec. 3425. "***The annual statement of a company of a foreign country shall embrace only its business and condition in the United States, and shall be subscribed and sworn to by its resident manager or principal representative in charge of its American business." GENERAL PENALTY-In cases where no specific penalty is prescribed, a violation of or non-compliance with law is punishable by a fine of $50 to $500. Sec. 3478.

IMPAIRMENT-When a domestic company's capital is found to be impaired, the Insurance Commissioner shall notify the company to make good the deficiency within ninety days, and if such deficiency is not repaired or the capital reduced as provided by law, he shall institute proceedings against the company. If the capital of an outside company is found to be impaired its authority to do business must be revoked. See "Examinations."

INVESTMENTS PRESCRIBED-A domestic company may invest 75 percent of its assets in public funds of the United States or the District of Columbia, or of any State or Territory of the United States; bonds or notes of any county, city, town, school or water district in Oklahoma or of any other State of the United States; mortgage bonds of railroad corporations (under certain restrictions); loans upon improved and unencumbered real property in any State, not exceeding 50 percent of market value; loans upon collateral securities not exceeding 90 percent of market value thereof; and such domestic companies doing business in other States or in foreign companies may invest funds required to meet obligations incurred therein in conformity to the laws thereof in the kind of securities that such corporation is allowed to invest in in that State. The remaining 25 percent of its assets may be invested in such classes of securities, not prohibited by law, as may be approved by the Insurance Commissioner. Real estate requisite for the convenient accommodation of the company's business may be held, and such other real estate as is taken in payment of debts, etc., may be held not exceeding five years (the Insurance Commissioner may extend the time for good cause). Sec. 3444.

Sec. 3441. "No domestic insurance company shall invest any of its funds in any unincorporated business or enterprise nor in the stocks or evidence of indebtedness of any corporation, the owners or holders of which stock or evidence of indebtedness may in any event be or become liable on account thereof to any assessment except for taxes, nor shall any such insurance company invest any of its funds in nor loan upon its own stock or in or upon the stock of any other insurance company, nor shall the stock of any such company be sold to, owned or controlled by any other corporation. No such company shall invest in, acquire or hold directly or indirectly, more than ten per centum of the capital stock of any corporation, nor shall more than ten per centum of its surplus be invested in or loaned upon the stock of any one corporation. No such company shall subscribe to or participate in any underwriting of the purchase or sale of securities or property, or enter into any transaction for such purchase or sale on account of said company jointly with any other person, firm or corporation; nor shall any such corporation enter into any agreement to withhold from sale any of its property but the disposition of its property shall be at all times within the control of its board of directors." LICENSED BROKERS-No provision.

LIMIT ON A SINGLE RISK-Ten per cent of capital stock and surplus. For inter-insurance associations, 10 percent of premium income at time of writing the risk.

LLOYDS General Ins. Law. Sec. 3402. "That in this Act, unless the context otherwise requires, 'company' or 'insurance company' shall include all corporations, associations, partnerships or individuals engaged as principals in the insurance business, except fraternal and benevolent orders. and societies." Sec. 3442. "***Individuals, firms, corporations or associa

tions of this State may insure one another against loss or damage by fire, lightning and tornado under the plan of reciprocal or inter-insurance, when engagements have been entered into for insurance, of not less than five hundred thousand dollars on not less than five hundred separate risks in this State, to be bound simultaneously upon the filing of their sworn statement, and the paid premiums on the said five hundred risks shall amount to not less than twenty-five thousand dollars, and if the said premiums do not amount to twenty-five thousand dollars, the insurers shall deposit either in cash or its equivalent such an amount as shall be necessary to make up the difference between the amount of premiums so received and the required amount of twenty-five thousand dollars, which deposit shall remain as a guaranty fund until the premium income shall amount to the requisite twenty-five thousand dollars; provided, further, that the said insurers shall not carry net on any single risk an amount in excess of ten per centum of the premium income at the time of writing the risk. In all other respects the said insurers shall comply with all the requirements of the laws of this State applicable to joint stock companies of this State engaged in the business of fire, lightning and tornado insurance; provided, that this section shall in no wise apply to farmers' mutual insurance companies; and provided, further, that no individual or individuals as such shall engage in the business of insurance in this State as principals, except as expressly permitted by this section." MISCELLANEOUS-Company licenses expire last day of February. Art. 2, Chap. 38, Harris-Day Codex, Sec. 3479. "No insurance company shall. knowingly, issue any fire insurance policy upon property within this State for an amount which, with any existing insurance thereon, exceeds the fair value of the property, nor for a longer term than five years." MUTUAL COMPANIES-A mutual company may be organized by not less than 1000 persons to insure dwellings, barns, farm property, country school houses, churches and contents and live stock against loss by fire, lightning, windstorms and hail. Mutual companies must have a surplus of not less than $100,000 before they are allowed to do business in Oklahoma. According to a ruling of the Attorney-General, annual statements must be filed yearly before the last day of February. Secs. 3506 and 3532. PRELIMINARY DOCUMENTS-Company must file with the Commissioner a copy of its charter and a verified statement of its condition, and obtain certificate to do business. See also "Domestic Companies." Certificate of compliance with laws of company's home State required annually. PUBLICATION-None required. Any advertisement showing assets must show liabilities with equal conspicuousness.

RECIPROCAL LAW-Sec. 3435. "Whenever the existing or future laws of any other State of the United States require of insurance companies incorporated by or organized under the laws of this State, and having agencies in such other States, or the agents thereof, any deposit of securities in h State for the protection of policyholders, or impose any other requi

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