Buchanan County bulletin and guardian. (Independence, Iowa) 1866-1869, 1868-11-06

amount 81 such desired increase, not exceed.
ing sad naximurc. and thereafter su II com
pany shall be entitled to have the increased
amount Of capital fixed by said certificate,
and HE examination Of securities composing
The amount Of capital stock increased, sha ]
be made III the same manner as provided in
\ section seven Of this ac, for the apital stock
! first paid In.
Sec. Is. It shall not lie lawful for the
cireciors, trustees, or managers Of any in-
surance company, organized under this act,
or Incorporated, under any law in this State,
to make any dividends, except from the sur
| plus profit arising from their business and
and in estimating such profits, there shall lie
reserved ilercfrom sum equal to forty per
cent. Of The amount received as premiums
on unexpircd risks and policics, which
amount so reserved is hereby declared 10 be
unearned premiums and there shall also be
reserved 81 sums due the corporation on
bonds and mortgages, bonds, stocks, and
book accounts, Of which no part Of the prin-
cipal or interest thereon has been paid du.
ring the year preceding such estimate of
| profits and upon which suit for foreclosure
or collection has not been commenced, or
which, after judgment has been obtained
! years unsatisfcd and on which interest shall
mot have been paid and in case Of any sseh
Judgment the interes, due or accrued there's
on, and remaining unpaid, shall also Be re,
served. Any dividends made contrary 10
these provisions shall subject the company
making it TO a forfeiture OF their charter.
Sec. is. No company organized uLder
this act shall purchase, hold, or convey anv
~..ot< sntn al.
manner herein set forth, ,o-wt First
such as shall be requisite for its convenient
accommodation iu the transaction Of its busi.
ness; Second--such as shall have been
morigaged TO it in good faith, by way Of Sc.
curity TO loans previously contracted, or for
money due or, Third-such IS shall have
been conveyed to il in satisfactioa of debts
previously contracted in the legitimate Lusi>
ness Of the company, or for money due or.
Fourth-such as shal! have been purchased
at sales upon judgments, DEGREES, or mort.
cages obtained or made for such debts and
il shall not be lawful for any such company
to purchase, hold, or convey real estate in
any other case or for any other purpose. or
acquired in any other manner, except thatit
| may convey real estate which shall Be found,
in the course of its business, not necessary
for its convenient accommodation in the
transaction thereof; and all such last.men.
toned real estate shall be sold and convey
ed within three years after the same shall
have been deemed by the auditor of State
unnecessary for suck accommodation, unless
| the company shall procure . certificate from
the said Auditor that the interests of said
| company will materially suffer BY . forced
sale, in which event the sale may b. post
poned for such period as the said Auditor
| shall direct in said certificate.
Sec. IL. All notes deposited with any
mutual insurance company at the time Of iis
| organization, as provided in section three
hereof, shall remain as security tsr all losses
| aud claims until the Accommodations Of the
profits invested US required by the SIKH sec.
lion of this act shall equal the amount of
| cash capital required TO be possessed by
stock companies organized under this act,
the liability of each note decreasing propor>
tionately as tie profits are accumulated but
any note which may have been deposited
with any mutual insurance company subse>
quent to its organization, in addition 10 the
cash premiums on any insurance effected
with sucn company, may, at the expiration
Of the time OF such insurance, or upon the
cancellation by the company of the policy.
be relinquished and given up to the maker
thereof, or his legal representatives, upouhis
paying his proportion of losses and expenses
which NAV have accrued thereon during
| such term. The directors or trustees Of any
such company shall have the right to deter
mine the amount OF the note TO be given ia
addition TO the eesh premium bY any person
insured IN such company; and every person
efeetiag Insurance in any mutual company
aud also their heirs, executors, administra.
tors aud assigns, continuing to be so insur.
ed, shall thereby become members of said
company during the period ofinsuran nee, and
shall be bound to pay for losses and such
necessary expenses ~ aforesaid, accruing te
said company, in proportion to the amount
of his or their deposit note or notes; Pror..
ded, That any person insured in any mutual
company, except in the case of notes reauir
ed BY this act to be deposited 1t the time o.
its organization, may 1t any time return hi.
policy for cancellation, and upon payment
Of the amount due Mt such time u.on hi,
premium note, shall be discharged from fur
iher liability thereon.
Sec. ls. The directors shall. ss often a.
they deem necessary, after receiving notice
Of any loss or damage, settle and determine
tiiC sums W OS poiu W tue S0VcI0i mem ger,
thereof as their respective portion OF suct
loss. and publish the same IN such manner
as they shall deem proper, or the by-lawl
shall have prescribed but the sum 10 b.
paid by each member shall always be ii
proportion to the original amount oi his De.
post note Or notes, and shall be paid 10 the
officers OF the company within thirty days
after the publication Of said notice; and i
4 L. Il r n
days after personal demand or by letter fol
pay ment shall have been made, neglect OF
refuse TO pay the sum assessed upon him a
bis proportion Of any loss aforesaid, the di,
rectors may sue for and recover the whole
amount Of his deposit note or notes, with
costs Of sui ; but execution shall issue for
assessments and costs as they accrue only
and every such execution shall be accom-.
panied by n list Of losses for which the as.
sessment was made. II the whole amour,
Of deposit notes shall Le insufficient TO pay
the loss occasioned. the sufferers insured by
the said company shall receive, toward ma.
king good their RI rsspcctive losses, proper
tionate share Of the whole amount of said
notes, according to the sums 10 them respect
iyely insured but no member shall ever BE-
required to pay for any loss more than the
Whole amount Of his deposit note OF notes.
/ See. l9. Every insurance company here
after organized as provided in this act, shall,
il il be mutual company, embody the word
"mutual' ia its ii,lc, which shall appearup,
on tie drst page Of every policy aud renew.
al receipt; AMI every company doing bust.
ness as . cash stock company shall, upon
the face Of lis policies, express in some suit,
able manner that such policies were issued
| By stock companies.
| Sec. 20. II shalt be The duty Of the pres.
ident, or Of the vie president and secretarv
Of each company organized under this act,
or Incorporated under any Law os thi. State
or doing Business ia this State, annually, on
the first day Of january OF each year, OF
within twenty days thereafter, TO prepare mn>
der oath. aud deposit in the office oil lhe Au,
ditov Of State, q full, true and complete state-
ment Of the condition Of such company on
the last 0ay Of the month preceding that ia
which such statement Is fled, which last state.
ment shall exhibit the following items and
facts in the following form, vim:
First-Ths amount Of the capital stock Of
the company.
Sec0nd-The name Of the officers,
Third-1'he name Of the comr6ny and
where located.
Fourth-The amount Of It's capital stock
paid up. M
Fihh-The property o. assets held BY the