The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1907-01-11
AMERICAN EXPERIENCE TABLE OF
MORTALITY As A BASIS FOR PREMIUM
Requires Adequate Rates With an Annual
Accounting and Distribution...Desi9.
mates the Plans
Of Insurance and Observation-Disclosures Societies
Under Supervisionof the Commissioners Office
...Is Of the Most Important Bills to be
BROUGHT Before the LEGISLATURE this Winter
Geo. A. Bands of Grand Forks is Author.

entitled to participate in said account
ing shall be retained by the society
and disposed of at the next annual ac-
counting. Any member entitled to par
ticipate in any accounting shall re-
ceive from the society of which ne is
member a statement of the account
ing as the same may be made under
the provisions Of this act, which state
ment shall show in detail the facts
upon which said accounting is based.
Sec. s. FUNDS AND ACCOUNTS
KEPT SEPARATE. Every fraternal
beneficiary society transacting BUSH
ness in this state shall keep the funds
and properties, books and accounts of
the members paying upon the basis of
the American Experience Table of
Mortality separate from the funds and
properties, books and accounts of the
members whose assessments and pay
ments are not based upon said mortal
ity table, and the rights Of the members
and the liability Of the society to the
members and their benefciaries shall
be determined accordingly. @
Sec. 6. VALUATION OF CERTIFI-
GATES. The commissioner of insur-
ance shall have supervision, direction
and control over all fraternal benefi-
ciary societies licensed to transact
business or organized in this state,
and shall have authority, whenever by
him deemed expedient or necessary
and as often as he may be requested
by the society, to value all contracts
of insurance issued by fraternal bene-
ficiary societies authorized to transact
business or organized in this state, the
expense thereof to be paid by such
society.
sec z. AGE OF MEMBERS. Every
fraternal beneficiary society authorized
to transact business in this state may
admit as members persons between the
ages of sixteen and sixty years, and
who are otherwise eligible.
Sec. 8. BENEFICIARIES. The bene-
f1ciaries of members of fraternal bene-
t1ciary societies authorized to transact
business in this state shall be limited
to the members of the family, heirs
of, blood relations of, afflanced wife or
affifanced husband of the members, or
to persons dependent upon the member
for support, or to the members estate.
Sec. 9. PLANS OF INSURANCE. All
fraternal beneficiary societies trans
acting business in this state and col
lecting payment from its members
based upon the American Experience
Table of Mortality snail have authority
to issue contracts of life insurance
upon the following plan:
q)s Level life premiums.
(2) Twenty-year payment premium.
(3) Step rate OF. natural premium to
age 65, then level or then terminating.
(4) Level to age 65, then terminal
ing.
Sec. TO- TRANSFER OF OLD MEN,
BEERS. Every fraternal beneficiary So
ciety complying with the provisions Of
sections one, two or three hereof, shall
have authority, but are not required,
to transfer its members paying prem
iums not in accordance with the Amer
lean Experience Table of Mortality
without medical examination, provided
to the classes or plans which
do pay premiums based upon
the American Experience Table
of Mortality without medical examin-
alton, provided the transferred member
be rated and required to pay premiums
at his attained age at the time of
transfer based upon the American Ex-
perience Table of Mortality with inter-
est not exceeding az per centum per
annum.
Sec. II. CONTRACTS VOID. All
contracts, laws, rules, regulations or
provisions of any fraternal beneficiary
society in conflict with the terms of.
this law shall be null void, and nom
enforcible.
Sec. ~. REPEATING CLAUSE. All
laws and parts of laws in conflict here
with are hereby expressly repealed.
In his special report to E. Y. Sarles,
Mr.. Cooper says in comment upon the
proposed legislation:
"The foregoing proposed legislation
Is not revolutionary. regret that it
cannot be said to be evolutionary. The
needs by It sought to be remedied ex-
listed when the societies were first
created and even slight understanding
of insurance principles would have
then taught the necessity for such
action as is here required. Those needs
have continued to the present time,
increasing perhaps in the Importantly
for the remedy.
"The proposed legislation is neither
drastic nor radical, but on the con-
trary is ultra-conservative. 1t is how
ever, the conservatism of intelligence
and desire for stability, and not the
conservatism of ignorance, fear or
inertia.
81 call particular attention to the
fact that this proposed legislation does
not in any way disconcert or disturb
the present membership Of any society;
II that membership be satisfied with
existing conditions they may continue.
simply point out the errors of their
plan and the evils that seem inevitable.
with respect to future members,