Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1875-04-14

!uuda, wnlch eertlheate small be recorded in tn
insurance department. aud from and after the date
OF the recording OF said certificate, all the policies
and renewals Of policies issued by said company
shall have printed thereon by said company q no
tee that the same issued under aud in Durs,1-
ance OF tins act referring to the by it's chapter
date, and title, and such policies and renewals Shall
be deemed TO have been issued and received subject
to the provisions of this act
| Sec. 3. After the date mentioned in anv s,,cb
resolution passed and fled it shall not be lawful
| for such company to make, declare or pay in any
form, any dividend upon its capital stock exceeding
| seven 60 per cent. per annum thereupon and upon
| the surplus funds to be formed hereunder until
after its guaranty surplus fund aud its special
serve fund shall [haye] together accumulated to au
amount equal to its said capital stock; and the en-
tire surplus profits Of such company above such an
Sua dividend OF seven 81 per cent. shall be equally
divided between, and be set apart to constitute the
said guaranty surplus fund and the said special re-
serve fndWhch said funds shall be held and used as
hereinafter provided, and not otherwise; and any
company doing business under this act, which shall
declare pay any dividend contrary to the provis
ions herein contained shall be liable to be proceed
ed against by the attorney general for the ts] dis
| solution.
Sec. A. Said guaranty surplus fund shall be held
and invested by such company the same it's CAPT
| tai stock and surplus accumulation, and shall be
| liable and applicable in the same manner as the
capital stock to the payment generally Of the losses
| of such COMPANY,
| Sec s. Said special reserve fund shall be invested
according to existing laws relating to investments of
capital by fire insurance companies and shall be de-
posted from time to time as the same shall accu-
| muate and be invested, with the state treasurer,
| who shall permit the company depositing the same
to change such deposits by substituting for those
Withdrawn Others Of equal amount and value toand
collect and receive the interest dividends upon
| such securities as the same may accrue; and such
special reserve fund shall be deemed fund con-
tributed by the stockholders to protect such COM
pany and it's policy holders other than claimants for
losses already existingo then incurred in of
| such extraordinary confagration CONGREGATIONS
| as hereinafter mentioned; and said fund shall not
be regarded as part portion of the assets in
possession of said company to be render
the same liable for any claim or claims for loss by
fire or otherwise except as herein provided.
| Sec. 6. In estimating the profit of any such
company for the purpose of making division
thereof between said guaranty surplus fund and
such special reserve fund, there shall be deducted
from the gross assets of the company including for
this purpose the amount of the special fund
| the sum of the following items First, The amount
! of all outstanding caims second, amount suffi-
cient to meet the liability of such company for the
| unearned premiums received on policies having less
than year to run from date of policy, and pro
| rata proportion of the premams received on the
policies having more than one year to from date
| of policy, and shall be known as the reinsurance
liability; third, the amount of its guaranty surplus
fund, and of its special fund; fourth the
amount of the capital of the company and fifth, in
terest at the rate of seven per cent. per annum
| upon the amount of the capital and of the said
| funds for whatever time shall have elapsed since
the last preceding cash dividend; and the balance
shall constitute the net surplus of the company sub
Ject to equal division between the said funds
herein provided
Sec. 7. In the event of any extensive conhagra-
ton or cOnt1agrations, whereby the claims upon
such company shall exceed the amount Of it's CAPT.
tai stock, and of the guaranty surplus fund provid
ed for by this act the said company shall notify the
secrearyof state OF the fact who shall then make
cause to be made, an examination of said company,
and shall issue his certificate of the result. showing
the amounts of capital of guaranty surplus fund.- Of
special reserve fund.- of reinsurance liability. and
other assets and upon his issuing such certificate
In duplicate one copy to be given the company and
one to be recorded in the insurance department, the
said special reserve fund shall be immediateyheld to
protect all pohcy-holders of said company other
than such as are claimants upon it at the time
such as became such claimants in consequence of
such condagration, confagrations; and the
amount of said special reserve fund and an amount
equal to the unearned premiums of such company,
to be ascertained hereinbefore provided shall
constitute the capital and assets of such company
for the protection OF poicyholders other than such
claimants and for the further conduct of its bust
ness, and such official certificate of the secretary
of state shall be binding and conclusive upon all
parties interested in such company, whether
stockholders, creditors, or pOicy-holders, and
upon the payment to the claimants, for losses or
otherwise, existing at the time Of caused by such
general confagraton or confagrations, Of the
amount to which they respectively entitled, in
proportion to their several claims of the full sum
of the capital Of such company, and of it's guaranty
surplus fund.- and of its assets excepting only such
special reserve fund, and an amount of its assets
equal to the liability of the company for unearned
premiums SO certified by the secretary of state,
such company shall be forever discharged from any
and all further liability to claimants and to
each of them and the said superintendent, shall,
after issuing his said certificate upon the demand
of such company transfer to it all such securities
shall have been deposited with him by such COM
pany such special reserve fund; and if the
amount Of such special reserve fund be less than
fifty per cent of the full amount of the capital Of
the company, a requsltion shall be issued by the
said secretary of state upon the stockholders to
make up such capital to that proportion of its full
amount, in the manner now provided by law in the
case of companies with impaired capitals. And,
provided further, That any capital impaired
shall be made up to at least the of two hundred
thousand dollars tsA0,o0c); and in said COM
pany, after such requisition, shall fail to make its
capital to at least said amount of $500 00O therein
directed, said special fund shall still be held
as security and liable for any and all losses
| ring upon policies of such company after such
confagration or conhagratons Such company
shall, in it's annual statement to the insurance de-
partent of this state set forth the amount of such
special reserve fund and Of its guaranty surplus
fund.
Sec. g. If at any time after said special reserve
fund shall have been accumulated ny any company,
it shall appear, upon examination by the said
| rotary Of state that the capital of such company
has in the absence of any such extensive coniagra
ton, become impaired SO to cause him to order
call upon the stockholders to make up such impair
ment, the board of directors of such company may
either comply with such order and require the
necessary payment by the stockholders, at their
option they may apply for that purpose SO much
of said special reserve fund will make such i'm
pairment good. No company doing business under
this act shall insure any larger amount upon any
single risk than is permitted by law to company
possessing the amount of capital irrespective
Of the funds hereby provided for.
Sec. 9. This act shall take effect from and after
its passage and publication.
Approved March s. 1878.
Published March %, 1851
CHAPTER $40
AN ACT to amend chapter 1874 ofthe revised stat
| utes, entitled 'Of inquests Of the dead"
The people of the State of Wisconsin, represented
in Senate and Assembly do enact as follows:
I md OH "