Daily globe., 1881-03-19
10Y

AN ACT to authorize and regulate within
this State, the business Of Insurance other
than Life, Fire and Marine.
Be it enacted by the Legislature Of the State OF
Minnesota:
Section l.. That no company or associa-
ton formed under the laws of this State, or
any other State, or foreign government shall
directly, or indirectly, transact the business
of insurance in this State, other than that
provided for by law in the departments Of
life, fire and marine insurance, without re-
ceiving certificate of authority from the
commissioner of insurance.
Sec. Q. No such company or association
shall be authorized by the commissioner Of
insurance to transact business herein unless
possessed of an actual paid up capital of at
least one hundred thousand dollars, and a de
posit Of at least one hundred thousand dol
lars, with the State Treasurer Of this State, or
with the chief financial officer or commits
sioner of insurance of the State where such
company or association is organized, duly as
signed to such officer in trust for the benefit
of all policy holders. Said deposit shall con-
sist of bonds or stock of the United States or
of the State where such company or associa-
ton is organized, or of bonds and mortgages
on improved unimcumbered real estate, worth
double the sum loaned thereon. The market
times be equal to one hundred thousand dol
lars.
Sec. 3. Such companies or associations
shall be required to comply with the laws Of
this State regulating the business of life in
surance in respect to the appointment of an
attorney to receive process, making annual
statements of financial condition, the pay
ment of taxes, and with all the other require
ments as far as applicable. The commits
sioner of insurance shall compute the reserve
fund to be held by such companies or associa-
tions by taking fifty per centum of the premi-
ums received upon all risks not expired at
time of making such computation. Whenever
the capital of any company or association au-
thorized under this act shall become impaired
erwise become unsafe it shall be the duty of
the commissioner of insurance to cancel the
authority of such company or association.
Sec. 4. The words "company" or tassocia-
ton" as used in this act shall be construed to
mean any company, association, corporation,
partnerships, individual or association of in
dividuals doing or attempting to do business
herein under any charter, compact or agree
ment or statute of this State or any other
State involving guaranty, contract or pledge
of insurance other than life, fire, or marine
underwriting.
Sec s. It shall not be lawful for any per-
son to act within this State as agent or other
wise in receiving CT procuring applications or
in any manner directly or indirectly to aid in
transacting the business of insurance permit
ted by this act, without procuring from the
commissioner of insurance certificate of au-
thority. Such authority shall designate the
name of the person authorized and the name
of the company or association for which he Ia
to act as agent, and the special kind of insur-
ance to be solicited.
Sec. 6. Every violation of any of the pro-
visions of this act shall subject the party vio-
lating to penalty, of two hundred and fifty
dollars for each violation, which shall be
sued for and recovered in the name of the
State of Minnesota, by the county attorney Of
the county in which the party violating shall
reside, upon complaint of any individual, and
the penalty when recovered shall be paid into
the treasury of such county. In case of non
payment of such penalty the party SO offend
ing shall be liable to Imprisonment for a Pc;
riod not exceeding six months in the discre
tion of any court having cognizance hereof.
1t shall be the duty of the commissioner of
insurance to notify the county attorney of the
proper county in writing of any offense
under this act which may come to his knowi-
edge, and it shall thereupOn become the duty
of such county attorney to at once cause pro-
ceedings to be taken for the punishment
thereof. In case any county attorney shall
wilfulIy neglect or refuse to perform his duty
:.
liable to penalty of one hundred dollars for
each and every offense; and the Governor may in
case of any such neglect or refusal appoint
some other person or persons to perform the
duties prescribed by this act, who shall, up n
being SO appointed, have like powers and du-
ties under this act as county attorney. And
in case of such appointment of any person in
place of the county attorney to prosecute for
violation of this act in any county, the county
commissioners shall allow and pay to such
prosecuting attorney reasonable compensa-
tion for all services performed by him as such
prosecutor.
Sec Z. This act shall not be held to apply to
hail insurance companies organized under
the laws of this State, nor to mutual aid as
sociations, benefit societies or cooperative
life insurance societies wherever organized.
Sec. s. This act shall take effect and be in
force from and after its passage.
Approved March 5, 1881.