The Republican. [volume] (Oakland, Md.) 1877-current, 1898-06-02
CHAPTER c25.

AN ACT TO ADD ANOTHER SECTION TO
TO ARTICLE. % OF THE CODE OF PUB-
Lie GENERALLAWS. TITLE "CORPOR-
ATOMS" SUBTITLE INSURANCE
COMPANIES" TO BE KNOWN AS SEC
TON liza. @
Section |. Be it enacted by the General As
sembly of Maryland, That an additional sec
ton, to be designated as Section lllA, be ad-
ded 10 Article . of the Code OF Public Cen
eral Laws of Maryland, title Corporations -
subtitle insurance Companies" to follow
after Section ia. to read of follows:
lliA. ANY mutual or cooperative asses
ment, life, accident or health insurance COM
gany, heretofore incorporated, after having
given notice once week for six weeks OF
its intention to do so, and of the meeting
hereinafter provided for in two daily news
papers published in the county or city where
such corporation is located, may with con
sent of two-thirds Of the members present at
any regular annual meeting or at any special
meeting duly called for the purpose or with
the consent in writing OF two-!hirds of the
members OF such corporation and the consent
of three-fOurths OF its directors, become a
joint stock corporation, subject to the exist
ing laws of this state applicable to such cor
poratiOnS. The policy holders of said COM
pany shall have the first right to subscribe to
said stock, subject to such equitable regul;t-
lions as the directors may prescribe but all
such subscriptions must be made in cash and
at not less than part, and the assets and liza
DllIIltS Oh inc mutual comp shall there
upon be and become the assets and Iiabiii-
ties of the Joint stock company exec OF so far
as hel Elm otherwise provided. The reserve
1und, II any OF the mutua company shall be
and become reserve of tn joint STOCK CON-
pany, except so much of id reserve fund as
may on examination by Insurance Com
missioner be deemed to be he interest in said
reserve fund of those men erS of the Mutual
Company who do not des' Ito become mem
berS OF the said stock con any, and said re-
serve, less the provision made above for the
fnt, e fa.i
ers, or any part thereof may be deposited
with the Treasurer or Insurance Commits
sioner OF Maryland as guarantee capital for
the payment of the policies reinsurance issud
by said company. as required by Section ll6
and Section l2S of this Article: and. the Mu-
tual Policies, and all the rights and liabiii-
ties attached thereto, and all the powers and
obi cations of the company with reference
to the same shall SURVIVE so long as said poli-
cles shall remain force except that such poll
cieS shall be thereafter considered aS policies
for the largest amount which, according to
their terms, might be payable hereunder, in
case the assessment provided for should yield
sufficient amount to pay the same. and if
any certain number of assessments be Speci-
fled upon said policies as payable by the
holders thereof, the company shall not be en-
titled to levy any further assessments, even
although such right may have been expressly
reserved in the policy, provided, however,
that before any such company shall be enti-
tied to do business as u stock company as
aforesaid, the insurance cOmmi ssionef shall
upon request value the assets of said com
pany and its outstanding policies, and shall
find and give hs certificate that the admitted
assets OF said company, including its capital
stock. are sufficient to provide reserve upon
all outstanding policies. as required by the
laws of this state in relation to insurance
companies.
Section 2. And be it enacted That this Act
shall take effect from The date OF its passage.
Approved April 9th. 1898.
LLOYD LOWNDES, Governor.
LOUIS SCHAEFER
Speaker of the House OF Delegates.
JOHN WRIT RANDALL,
President of the Senate.
We hereby certify that the aforegoing is a
correct copy of an Act of the General Assem-
bly, of Maryland, passed at the January SEES
sion, 1893
II. HOUSEHOLDER,
Chief Clerk of the House of Delegates.
MARTIN NJ. HIGGINS,
Secretary of the Senate.