The citizen., 1914-05-08
PUBLIC GENERAL LAWS, 1914.
CHAPTER 152.


section Sixth of Section 100 of Ar
ticle 20, of the Code of 1904 OF
Public General Laws of Maryland,
entitled Corporations" subtitle
Insurance Department" providing
for the examination of insurance
companies and for compensation 70
be paid the examiners.
Section l. Be il enacted by the
General Assembly of Maryland, That
subsection Sixth of Section 160 of
Article 20 of the Code OF 1904 of Pub
lie General Laws OF Maryland, enti-
tied Corporations" subtitle 'Insu-
rance Department" be and the same
is hereby repealed and re-enacted,
with amendments, so as to read as fol
lows:
SixtA. Before granting certificates
of authority to an insurance company
TO issue policies or make contracts
OF insurance, the Insurance Commits
sioner shall be satisfied by such ex-
animation and evidence as he sees ht
to make and require, that such COM
pany is otherwise duly qualified ul-
der the laws of this State to transact
busines therein; once at least iuring
his term of Office he shall cause the
affairs of every insurance company
organized under the laws OF this State
to be thoroughly inspected and exam
ined, with special regard TO It's finan-
cial condition and its ability TO full
fill its obligations, and shall ascer-
tain and determine whether or not it
has complied with the laws of this
State; he shall also cause an exami-
nation of every such company to be
male whenever he deems it prudent
to do so, or upon the request of five
or more of the stockholders, credi-
tors, policy-holders or persons pecu-
niarily interested therein who shall
make affidavit of their belief, with
specifications OF reasons therefor,
showing a prima facia case that such
company is in an u1sound condition;
and whenever the Insurance Commits
eioner may have reason to doubt the
solvency or the correctness of the
statement of any company not organ
lied under the laws of this State,
which may have been licensed to 10
business in this State. or which may
be applying for said license, he shall
communicate such doubts, and the
reasons for them, to the Insurance
Commissioner or other officer charged
with the supervision of insurance cor
porations of the S ate in which said
company is located and if he is not
satisfied from the information obtain
10, s.r,iN
er or other officer. or from officers
of the company, that the condition
of the company is such to warrant
him in permitting it to transact bus
mess in this State, ul Ter the provis-
ions of this Article, he shall notify
such company that it will be neces-
sary for him to have its affairs ex-
amined. Whenever an examination OF
any insurance company doing busi-
ness in this State shall be determin-
ed upon under the provisions of this
Article, the Examiner of the Insu--
ance Department and such other per
son or persons who shall be appointed
by the Insurance Commission for that
purpose shall visit such company at
its principal Office and make thor
ough examination into all lis affairs;
ald il such company shall refuse to
permit such examination. or shall re
fuse free access to all its books and
papers, or shall in any way prevent
or obstruct thorough examination
into its affairs, he shall not grant
license to such company, or if IL
cense shall already have been grant
ed, he shall at once revoke it and
publish the fact Of such revocation
in one daily newspaper published in
the City of Baltimore The Examin-
er of the Insurance Department shall
be paid by the company whose affairs
are examined his travelling and
other expenses. and in addition
thereto sum to be approved by the
Insurance Commissioner, not exceed
ing, however fifteen dollars ($1500)
for each and every day that he shall
be engag in any such examination,
said per diem expenses to be
in add ion to the compensation
provided in Section 159-A of this Ar
tjcle; and such other person or per-
sons who may be appointed by the In
surance Commissioner for any Of the
purposes mentioned herein shall
each be paid by the company whose
affairs are examined their travelling
and other expenses, and in addition
thereto, a sum to be approved by the
Insurance Commissioner not exceed
ing, however, ten dollars $4,000 per
day for each and every day that he
o. they are engaged in any such ex-
animation; except that the Insurance
Commissioner may employ one spe-
aial nyaDninar min a tiOn that
in his judgment may require Sucl
employment, who shall be paid by the
company whose affairs are examined
his travelling and other expenses, and
in addition thereto, a sum to be ap-