The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1894-05-12
CHATTER 2a6.

Sections li3 f. F. C, H. j. X. l.. NJ, y, o, P. q.
K.
sEcTIoS l. BE Il enacted 5y ne Geaerdi ASsiaNgy, q
ALrr1aaAd That Article % of the Code OF Public
GENERAL laws title Corporations. sub title .lnsur-
anee Department be amended by adding sub
little designated Fraterna societies orders or asso-
ciatieiis" And also adding fifteen new sections 70
follow Immediately after Section llS . Of said Arti-
f4B H. I4 l. i43 j. ii3 X 143 L. 14S NJ l43 y, li3 o,
iIs p i4s a. r. read as to said re- pecive Sec
tons as follows:
Fraternal Beneficiary societies. Orders or Assocl-
atons
SIC. l4s E. A Fraternal beneficiary association
Is hereby declared 70 9 Sr@d oT rra1zed and ear
ried on for the sole benefit of its members and their
beneeiqFies and not for profit Esca sdh 1
of work and representative form OF government
and shall make provision only ioT the payment o.
members; subject 10 their compliance WIN us con-
slltution and laws. The fund from which the pay,
ment of such benefits shall be made, and tne lnn1
from which the expenses of such association shall
be betrayed shall be derived from fees assessments
and dues collected from its members. Payment OF
death benefits NAV be made o2ly to the widow
children, grandchildren, mother father, brother
sister grand parent, aunt uncle. niece, nephew,
frst co,9sn next OF Kin who would be distributes
OF the members personal estate If he died lntestate
10 aalaneed husband or afieuced wife of the men,
Der or to persons dependent upon the member Tor
food lodging, clothing or education, ana 10 none
otber Provided that payment can only be made to
beneficiary by reason Of dependency when y Is
established by documentary proof TO the Satisfaction
of the executive officers of such association tnAtthe
al the members death and no benefit ceruhcate
shall issue designating beneficiary by way Of de-
pendency unless such dependency shall be iuly sci
iorth in writing and established by documentary
proof to the satisfaction OF said executive oincers
prior TO the issuance thereof 9, spec
fed and then only by the consent OF sucn aSsocA-
ton. attested by its seal and the signature OF Us SUI
,reune secretary and supreme executive officer but
the member may surrender his Beneft Certlhcate
and have u new one issued to any one or more OF
the beneiiearies as above Speclhed, IN lhe manner
provided by the constitution and laws OF sucn asso-
ciation such association shall be governed by me
provisions of sections 1l3 10 sections l4S (Doth
inclusyel of this Article. and shall be exempt from
the provisions of the insurance laws OF TINS STATE
and no law hereafter passed shall apply TO them
unless they be expressly designated therein, pro-
yided that any corporations OF asSocatolis oIuers
or societies operating on the lodge system ana nav
ing rjtuaistic work In their lodges, councils or So
iees whose business il is in whole or IN part TO pay
at the expiration ola fixed period OF not less than hve
wears a sum not exceeding the maximum amount
named in their certificates paying dividend with
drawal surrender, old-age benefits or paying such
certificates at the expiration of life expectancy may
conduct their business in this State, under the pro-
visions governing fraternal beneficiary societies. or
ers or associations with this exception tha no suc
corporation association shall be permitted 10 PC
DIN ID or continue business in this State until it
shall have first deposited with the Insurance. Com,
Inissioners of this state the sum OF ten thousand
dollars in dyidend-bearng securities satisfactory
Ia said Commissioners as u guarantee LOT the pay,
ment of Certificates issued by IT, when deposit snai
he constantly maintained at that amount frovlued,
however that any such corporation or association
organized under the laws of any other state when
have under inc laws VI vi "hAeh ~ -
citizen deposit OF equal value for the purpose
herein mentioned shall upon proof of the existence
of such deposit. not be required 70 MAKE tne same
SEC. l43 F. Any such association coming Wltnln
the description of a Fraternal Beneficiary AsSoela
lion as sci forth in Section l4S of this Article Or
yanized under the laws OF this or any other State,
Province or Territory, and now doing business IN
this State. may continue such business PROVIDED
that ii hereafter comply with the provisions OF Sec
lions l4S II and li3 !, regulating annual reports anu
the designation OF the Commissioner OF insu nI
IT., ntuh nm
hereinafter provided: and shall file with the Com
missioner of Insurance duly certified copy oil It's
Charter or Act of Incorporation, its form OF Belet
Certificate also Certificate of the proper officer of
guch State, Province Territory, certifying that
such association is authorized to conduct It's business
therein where the laws of such State Province or
Territory require annual report OF the operations
ofsuch association or where its laws authorze sueh
certificate and thereupon said Commissioner OF In
sranee shall issue certificate to said association
authorizing IL 10 continue TO do business IN TINS
State for which he shall receive the sum OF twenty,
five dollars but If said association be Incorporated
under the laws of this State, or II II be ioreS cor
pOratiOn and by the laws of the state of its ncor
poration shall not be required to make report or the
certificate referred TO in this section shall not De an,
thorized by such law, then the Commissioner oi
Insurance shall make examination otis analrs IN
manner as provided in the next succeeding section
Section 14S 60 in like before Issuing such Ger
tiicate and until certificate is refused after exam
nation had provided, such association shall con-
tinue to do business in the State as heretofore
Immediately upon the passage of this Act the Com
missioner of Insurance shall notify the supreme
Secretary and the State Secretary OF all associations
described in Section li3 now doing business IN
This State of the provisions of this and the following
section and said association shall Tile the papers ~
this section required to be filed within two months
after receiving said notice. Inc expense OF tIle eN-
animation required under this section for asSoeia.
lions incorporated under the laws OF this state snail
not exceed fifty dollars.
SIC. lis G. Any such association coming within
the description of Fraternal Beneficiary ASsocla'
ton set forth in Section llS of tins Article or
eanized under the laws of any other State, Province
Territory, and not doing business III TINS SAte,
shall be admitted 10 do business within thls state
sFrI.,n l,aN# lad
Insurance a duly certified copy of its charter ana
articles of association, and copy of constitution
or laws certified by its Secretary or corresponding
ofiicer together with an appointment of the Com
missioner of Insurance OF this State as person
upon whom process may be served as hereinafter
proyided and shall pay said Commissioner of In
surance fee of twenty-five dollars for filing said
charter, copy of constitution and laws and appoint
ment of attorney; and provided that such aSsocia.
ton shall be shown by certificate TO be authorized
To do business In the state Province or ierIilory IN
which it is Incorporated or organized III case tue
laws of such State Province or Territory shall pro-
vide for such authorizations; and in case the laws OF
such State Province or Territory do not PROVIDE Ior
any formal authorization TO do business on the part
of any such association, then such association shall
be shown 10 be conducting its business in accord
ance with the provisions of Sections to Sections
1I3 both inclusive) of this Article, for wnlch pur-
nose the Commissioner of Insurance of this State
may personally, by some person TO be designated
by him. examine into the condition, analrs charac-
Ter and business methods accounts, books ana IN
yestments at its home Office, which examination
shall be ut the expense of such association, aud
shall be made within thirty days after demand
be paid by said association for such examination
the actual travelling expenses and not more than
ten dollars per day for each day actually employed
in such examination not TO exceed fifty dollars IN
the aggregate.
The Commissioner of Insurance shall issue a Ger
ticate to such association qualified us required IN
this section, authorizing it to do business WITHIN
this State for which certificate said association shall
pay to said commissioner the fee OF twenty-five
dollars.
SIG las II. Every such association doing business
in this State shall on or before the last day OF March
or mai 20 and file with the Insurance
Commissioner of this State report OF It's affairs ana
operations during the year ending on the thlrtyIrS
day of December Immediately preceding, when
annual report shall be In lieu OF all other reports
required by any other law. such reports shall pc
upon appropriate blank forms to be provided by the
Insurance Commissioner and shall be verified under
oath by the duly authorized ofhcer OF sucn aSsoch
tion and shall be Pr1 @ tb OF 19 COM
missioner under separate part entitled fIalerhal
Beneficiary Associations" The Insurance Commits
sioner is authorized and empowered al any time 10
address any additional inquiries to any such assoca-
alton in relation TO its doings condition, or any
other matter connected with its transactions relative
10 the business contemplated by Sections l43 Z to
Sections Il3 Doth inclusive) of this Article, and
such oficers OF such associations the Insurance
Commissioner may require shall promptly reply in
writing under oath to all such Inquiries II SO re
quired and in case after such inquiry the insurance
Commissioner shall have reason TO believe that such
association is insolvent or cannot meet us oDiga
tions to its beneiciaries certificate holders or is
conducting It's business IN an illegal manner, ne
may by some person designated by him, examine
the accounts, books and Investments OF SAID soca-
tion at its home office at the expense OF sald asso
citation not to exceed in the aggregate the sum OF
fty dollars Each such association filing its an
nual report shall pay to the Insurance Commits
sioner the SUN oftwenty-five dollars
SEC. I43 l. Each such association now doing or
hereinafter admitted to do business within this
state and not having its principle office within this
state and not being organized under the laws OF
This State shall appoint in writing the Insurance
Commissioner his successor in office to be its true
and lawful attorney upon whom all lawful process
in any action or proceeding against 1t may be
served and in such writing shall agree that any
lawful process against IL which is served on said In
suranee Commissioner shall be OF the same legal
force and validity as If served upon the association
and that the authority shall continue in force so
long as any liability remains outstanding IN TINS
state. Copies Of such certificate certified BY SAID
insurance Commissioner shall be deemed sufficient
evidence thereof and shall be admitted in evidence
with the same force aud effect the original thereo.
might be admitted Service upon such attorney
shall be deemed sufficient service upon such asso-
citation. When legal process against any such asso-
citation is served upon said Insurance Commissioner
he shall Immediately notify the association OF such
service by letters prepaid and directed TO us Resi-
dent Secretary. aud Supreme or Chief Secretary or
corresponding officers and shall within two days
after such service forward in the same manner