The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-11-17
MUST KEEP OUT.
National Mutual Church Insurance
Co. Hasn't Compiled With Law.

The National Mutual Church Insur-
ance company will not be allowed to
DO business in Kansas-unIess it
complies with the Kansas laws and
operates as any other insurance COM
pany in Kansas has to. This is an
uItimatum issued by the insurance de-
partment upon a legal opinion from
Attorney General Coleman.
The company is organized in IIli-
nols. with headquarters at Chicago. It
conforms to the insurance laws of
Illinois Il writes insurance on
churches and parsonages but instea d
of having a regular agent the pastor
or some member of the church gen
orally prepares the application and
sends it in
superintendent Luling has takei-
the view that this is not complying
with the Kansas laws regarding the
admission of insurance companies to
TINS state The company has insisted
that II does not have to comply with
the kansas laws. inasmuch as all the
business is transacted in Chicago. Su-
pertntendert Luling passed the ques-
tlon up to Attorney General Coleman
Tor an opinion, who rendered the fol-
lowing:
Dear Sir: I am in receipt of yours
OF recent date in which you ask for an
opinion from me as to whether or not
1t is violation of the statutes of this
state to take applications or be other
wise interested in procuring insurance
on property in this state by an insur-
Mutual Church Insurance company of
Chicago. AS 1 understand it, this
company is organized under the laws
of Illinois and is subject to the insur-
ance department of that state and has
not been authorized to engage in BUSH
ness in this state. 1t employs no
agents here and writes insurance only
on churches and parsona ges- The in
surance is effected by some one inter
ested here sending descriptions of
property, applications, etc, TO the Chi
cago office, where the policy is written
and then forwarded here. The claim
in Chicago and therefore the laws of
Kansas cannot apply to the business.
An examination of the statutes of this
state will disclose that section 1891 Of
the general statutes of 1901 provides
that any persons forwarding applica-
TONS descriptions of property or in
any other manner aiding or assisting
such insurance company to write in
surance on property in this state is
guilty of violating said section The
claim that whereas the policy is writ
ten beyond the limits of this state and
dues are payable there, writing fnsur-
ance in this state is not doing business
within the state, in my opinion is en-
tirely untenable. Yours truly.
(Signed) &C. G. COLEMAN,
Attorney General
Inasmuch as the company nor any
of its officers are in Kansas and there
is no way to get at them legally, they
are not liable for illegally writing in
surance on Kansas church property,
but the persons who lay themselves
liable to the Kansas law are the min
listers or church members who send in
the applications. There is a Kansas
law which makes it a misdemeanor,
punishable by a heavy fine, for aiding
in getting business for an insurance
company not authorized to transact
business in Kansas.
If the National Church company is
not amenable to the laws of Kansas
there is no way TO compel it to pay
losses in this state. It has no standing
in Kansas courts and no property in
this state, so if it chose to resist a loss
there would be no way of compelling
in the courts to pay. That is why the
insurance department insists upon
its complying with the laws of the
state and becoming amenable to them
before writing insurance on Kansas
propertv.