The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1903-03-11
AN ACT.
No. 20 j
Is. 11s.

AN ACT.
No. 1907 Is. 119.
To amend Sections ZIG d54D, III 1888.
Ills q549), 1119 $3.50, and 1920 d55D of
the Code of Alabama.
Section l. Be 1t enacted by the Legis-
lature of Alabama. That Section 1116 of
the Code of Alabama of 1896, be amended
so as to read as follows: Section 1116
C54D. What are mutual aid, benefit and
industrial companies or associations; re-
quirements.-All companies or associa-
tons whether voluntary or Incorporated
under the laws of this State or any other
State, doing In this State a business lin
tied to the issuing of certificates or poll
cies to, or agreeing with. their members
or policy holders upon the birth or death
of any child. upon marriage, death, sick
ness or upon any physical disability of
such member or policy holder. to pay
money or render aid to him or to others
dependent upon him or beneficiary desig-
mated by him, which money or aid is de-
rived from donations or from fees, dues
and assessments, are mutual aid, benefit
or industrial companies or associations.
Such associations or companies shall not
be authorized to transact business in this
State until they have first submitted their
charter, constitution, bylaws and certih-
Gates of membership, policy, to the In
times not less than five hundred bona
fide members or policy holders, and at
least one thousand dollars paid in as a
benefit fund for the use of Its members
or policy holders. Such benefit fund must
either be paid in cash or in bonds of either
the United States, the State of Alabama,
or of a county or municipality of said
State of the face value of one thousand
$1,000 dollars. Such benefit fund shall
be kept on deposit with the Insurance
Commissioner of Alabama, and kept by
him as an indemnity fund for the benefit
of its members or policy holders In this
State. Provided, however that any such
company or association making such de-
post shall be entitled to the income
thereof, and may. from time to time, with
the consent of the Insurance Commission
er, change In whole or In part the securi-
ties which compose the deposit for other
competent securities of equal value.
Sec. O. That Section iii of the Code of
Alabama of 1896 be amended so as to
read as follows: Section iii d54s). Re-
port to Insurance Commissioner That
every such company or association shall
on or before the first day OF March of
each year, file with the Commissioner of
Insurance a report OF its operations dur
ing the preceding calendar year, includ-
ing the number of existing members or
policy holders, the number who have be-
come members or policy holders during
such year. the total receipts and expen-
ditures itemized. This report shall be
upon blank forms provided by the Insur-
ance Commissioner and shall be verified
by the aff1davit Of the president and sec
rotary of the company or association,
which report shall be published as are
other reports of the Insurance Commits
sioner in his report to the Governor.
tax OF one ger centum on net premiums
received In this State after the passage
of this act during the calendar year pre-
ceding meaning gross premiums less re-
turn premiums, and twenty 800 dollars
license fee shall be paid by each company
or association when report Is filed and
before license shall be granted to trans
act business In this State provided that
sny company or association paying to the
State tax on It's property or shares If
Incorporated. may deduct the same from
this tax. Provided. further, That no
city. town. village or other municipality
shall charge a license fee In excess of
one-half d-O of that charged by the State.
Provided. further, that the Deputy In
surance Commissioner shall be paid
gum equal to. but not exceeding $500 per
annum, the same to be paid out of the
revenues received under this section
Any company or association failing or
refusing to make the report and payment
as required by this Act shall not be IL
censed by the Insurance Commissioner
and any company or association issuing
certificates or policies without such IL
cense may be enjoined by the Insurance
Commissioner or any citizen in a court of
competent jurisdiction from issuing GER
tificates or policies and upon the perma-
nent granting of such injunction each Of
ficer and agent of such company or asso-
citation shall be fined by the court grant
ing the injunction not less than ten dol
lars nor more than one hundred dollars
or may be imprisoned not less than ten
days or more than one hundred days for
each certificate or policy thus issued
Sec. 8 That Section 111S of the Code OF
Alabama of 1896 be amended so as to read
as follows: Section 111S d54s). Principal
office and service of process Insurance
Commissioner license. Every such COM
many or association, before commencing
business In this State. SHALL by a duly
executed instrument filed In the Office OF
the Insurance Commissioner. designate
some place as the principal office of such
company or association in the State and
constitute and appoint the Insurance
Commissioner. or his successor. its true
and lawful attorney, upon whom all law
full process in action or legal proceeding
against 1t may be served; and the COM
pany or association shall agree that any
lawful process against II which may be
served upon its said attorney shall be of
same force and validity as IL served on
the company or ton, and that the
authority thereof shall continue in force
irrevocably as long as any liability re-
mains outstanding against It in this State.
Any process issued by any court of rec
ord In this State, and served upon such
commissioner by the proper officer of the
county in which said commissioner may
have his ONCE. shall be deemed SUM-
Client process on said company; and it Is
hereby made the duty Of the Insurance