Daily Davenport Democrat. [volume] (Davenport, Iowa) 1864-1874, 1868-05-27
LAWS OF IOWA.
Published by Authority.
CHAPTER lss.

LAWS OF IOWA.
Published by Authority.
CHAPTER Ass.
An ACT to Regulate Insurance Companies.
| Section I. Be ii enacted BY the General As
| sembly Of the State Of Iowa. That hereafter
when any number Of persons associate them
| selves together for the purpose Of forming IN
assurA company, for any other purpose than
| life insurance, under the provisions of chapter
| hfty-two. OF tho revision Of 1860 and all acts
amendatory and isupp lsmentsry thereto. they
shall publish notice OF such intention once in
| each week four weeks in some public newspaper
| in the county in which such insurance company
| IL proposed to be located; and they shall also
| make u certificate, under their hands, specifying
| the name assumed by such company, and BY
| wuich it shall be known. the object for which il
| shall be formed, the amount of its capital stock,
| and the place where the principal office OF said
company shall be located, which certificate shall
| be acknowledged before, and certified by some
| notary public or clerk of court Of record. and
forwarded to the Auditor of State. who shall
| submit the same TO the Attorney General for
examination, and If 1t shall be found by the said
| Attorney General to be in accordance with the
| rovisions of this act, and not in conflict with
| the constitution and laws Of the United States
aud this State, he shall make certificate of the
facts and return IL to the Auditor of State, who
shall reject the name or title applied for by any
company whss he shall deem the same TOO SINH
lar TO any one already appropriated BY any other
COMPANY. or likely - .,slsad The public :,
company shall have received the approval Of the
L Attorney General and Auditor Of etate, the said
company shall cause the same to be recorded ~
now required by law for recording articles Of in
corporal and said persons, when incorpcrt
ted, and having in oil respects complied with
the provisions Of this act. ere hereby authorized
to carry on the business of insurance, as named
IN such certificate Of incorporation, and by the
name and style providedsd therein, and shall be
deemed . body corporate with succession; they
and their associates, successors, and assigns to
have the same general corporate powers, and be
subject to all the obligations and restrictions OF
said chapter fifty two of revision Of 1850, and
Of sue rcts as may be amendatory or supple
mentary thereto, except as may be herein other
wise provided
SIC. 8. No Joint stock compsny shall be in
corporaied under the prov ision o! this act with
a smaller capital than fifty thousand dollars,
nor more than one million dollars may be
specified IN the certificate OF incorporation.
which stock shall be divided into shares of
hundred dollars ZACH OF which capital not less
than twenty five cent. thereof. and in no case
less than twenty-five thousand dollars shall be
paid up IN cash. The balance of the capital OF
said company may consist OF the bonds or notes
OF the stockholders; nor shall any company, on
the plan OF mutual insurance, commence busin-
ess IN this State until agreements have been en-
tered into for insurance width at least two hun
dred applicants, the premiums upon which shall
amount to not less than twenty five thousand
dollars. Of which at least five thousand dollars,
shall have deem paid in actual cash, and for the
remainder of which notes of solvent parties.
founded upon actual and bona fde applicants for
insurance, shall:ha been received. No one ofthe
notes received ~ aforesaid shall amount to more
than Ave hundred dollars; and no two thereof
shall be given for the same risk. or made by the
~ n a firm oVenNt WHARF the whole
amount Of such notes does not exceed the sun
Of tive hundred dollars nor shall any note be
regarded or represented ~ capital stock unless
policy be Issued upon the same within thirty
days after the organization Of the company TAX
Jag the same, upon risk which shall be for no
shorter period than twelve months. Each 81
said notes shall b. payable. in whole Or in part.
ct any time when the directors shall deem the
same requisite for the payment Of losses By FIRE
or INLAND nsvg alton. and such incidental s1pen-
sss - may be necessary foe transactiD9 the bus
insss Of said company. And 10 note sha1l be
stock unless the same shall b. accompanied By
. certificate Of justice Of the peace. notary
public, or clerk Of the District COURT Of the
county in which the person executing such note
shalt reside, the person making the same IL. in
his opinion, pccunisrly good and Responsible
for the same in property mot exempt from exc
cution BY the laws OF their State; end no such
note shall be surrendered while policy for which
1ES. 1. Haviug published the notice aud filed
publishers affidavit Of publication thereof with
the Auditor of State, together With the certih-
cate - required by the first section Of this oct,
the persons named in the certificate Of ineorpo
ration or majority Of them, shall be commits
sioner to open books for the subscription Of
stock to she company at such times and places
70 them may seem convenient and proper,
and shall keep the same open until the full
amount specified in the certificate, is subscribed;
SAAA r. =.
posed to open books TO receive propositions and
enter into agreements IN the manner and TO The
extent specified in the third section Of this act
Sac. 8. The affairs Of any company, organ
lied under the provisions OF this act, shall be
managed BY not imore than twentv-one nor by
fe ser than i've Directors. all of whom shall be
stockholders Within thirty days after the
subscription book shall have been filled, ma
iority OF the subscribers shall hold . meeting
for the election of Directors-each share EMIT
ling the holder thereof TO one vote; and the
Directors then elected shall continue IN Office un-
til their successors have been duly chosen and
have accepted the trust.
SEC. 8. Itshail be lawful for any insurance
company organic I'd under this act, or ipcorpo
rated under any law Of this State. to invest its
capital and the funds accumulated IN the course
OF its business, or any part thereof. in bonds
aud mortgages on unencumbered real estate with
Ia the SIsts OF Iowa, worth double the sum
loaned thereon exclusive Of buldings, unless
such buildings are insured in some responsible
company or companies. and the policy or poll
cies transferred to said company, AID slso n
stocks in this State, or stocks or treasury notes
of the United States,-in the stocks and bonds
Of any county or incorporated city in this 6tats
which may have been shereteSors auth0Fized 70
be issued BY he Legislature Of this 6tsts; end
toslend the same, o. cav part thereof on the
security Of such stocks or bonds, or treasury
notes. or upou boads and mortageA ~ azores aid
and not otherwise; and 70 change and r. invsst
from time 70 time require; but any surplus
stock Of any such company organized under
State-may be invested or losnsd upon the
pledge Of the public stocks or bonds Of Ike Usi
ted states. or any one Of the States, or the
stocks. bonds, OF other evidences Of indebted
ness OF any solvent dividend pay ing institutions
incorporated under the laws Of this State or Of
the United States, except their own stocks
provided always that the current market value
Of such SOCKS. bouds or other evidences Of in
dcbtedness shall be at all times, during the con.
tinusnces Of such loans. at least ten per cent.
more than the sum loaned thereon.
sEc.7 Upon receiving notification that the
requirements Of the preceding sections have
complied with, the Auditor OF State shall make
an examination or cAuse one to be made BY some
disinterested person officially appointed BY him
tor that rurpose-and IL Il ehaii be found lin
the examination b. made BY other thae the
Auditor, then the finding ahals be certified nm
oath)that the capital therein required Of the
company named according 70 the nsture of the
business proposed to be tfausactsd by such CON-
pssy, hes been paid in aad poessssed by u n