Arizona republican. [volume] (Phoenix, Ariz.) 1890-1930, 1916-07-09

of the insurance code of Arizona c. |
c. Thompson, head of the insurance
department of the corporation com
mission has prepared the following
Taxes and Fees Collectable by In
surance Department
Sec IA, Insurance Code, provides:
For filing Articles of Incorporation
! or Charter ior certified copy of Arti-
/ cles of Organization required to be
| filed with Corporation Commission.
! $500.
Filing Amended Articles of Incor-
poration or certified copy thereof,
$1,000.
For issuing Certificate of Author
ity. $4,000.
For each renewal Certificate of Aux
thority, $4,000.
For filing Annual Statement of
Condition and Report of Arizona
Business, $500.
For copy of papers filed in the
offices of the Corporation Commits
sion, per folio, 20.
For filing other miscellaneous pa
pers (each) s100.
For each agents license, 81 co.
Section 2274, Revised Statutes of
Arizona. 1913 provides that all for
eign corporations doing business il
this state, except purely charitable
social, fraternal, benevolent and re-
lgious institutions. not used or held
for profit, shall pay an annual reg
istration fee of Fifteen Dollars. Thi:
fee is to be paid irrespective of al
other fees
Insurance companies, being foreign
corporations, we charge each com
pany the registration fee and include
it in the annual statement, at which
time it is paid by the companies.
Taxes
All foreign companies are required
to make and file an annual state
ment of their business on or befor,
the first day of March of each year
and the taxes are due and payable
At the time of filing the annua
] statements. Taxes are payable to tn,
state treasurer, through the Corpora
ton Commission. Checks or draft
4 should be made payable TO the Cor
A poration Commission.
4 The tax due is two eco per cen
y VI Ailc SlOSS premiums tOHtCltQ y
I contracted for on business writer
] in this state, after deducting fror
1 he gross premiums the amount PAL
4 policy holders in this state as re
! urned premiums and also after de
tucting the amOrnt paid on premium
= 'or reinsurance on business in thi
=, state
Reciprocal Tax
! Section - Insurance Code. pre-
tides that:
If, by the laws of any other stat
ny taxes, fines penalties. license
'ees deposits or other obligations
Prohibitions. in the aggregate add
tional to or in excess of those in
,Osed by the laws of this state. vi
on foreign insurance companies ar
heir agents and solicitors are in
posed on insurance companies of tn
state and their agents doing busine
n such states, like obligations al
prohibitions shall be imposed on &
insurance companies of such sta
md their agents doing business
his state so long as such laws sh;
emain in force.
AS to the application of the r
ciprocal Tax Law. as quoted abo,
We have endeavored to enforce ii
keeping with the provisions contain
therein, but have had some contr
versy over the basis of taxation r
garding the taxes in question, as I
State Insurance Departments do r
have a uniform rule in establish
this basis.
Underwriting Agencies
Ii is a ruling OF this departing
hat all fire insurance companies O
Grating in this state shall procure
separate license for each underwr
J | ing agency operated by said compa
md secure separate agents licens
IS make segregated annual stateme
IF all business written in the sta
The same as the so -called Pare
"a Company" The equity of this
quirement is based on the fact Il
- he underwriting agency is esta
. 'ished to enlarge the activities of
parent company, by covering a larl
field and reaching much grea
:olume of business without reveal
% the insuring public that the bl
ness thus acquired is covered by
parent company.
Manifestly, such methods prev,
other companies from entering
field and making just competiti
w for business available from any civ
territory.
Furthermore, when a fire insurar
n company makes application for
% certificate of authority to do busin,
in state, it makes that Applicant
: for a specific company, giving
title, and the license is issued accoi
-. ingly Therefore, equity demar
that when subsidiary companies.
undertaking companies, are esta
lished, they should be regarded
distinct companies and compelled
NJ meet the same requirements as
eS original or parent company.
E y$S Only about twenty five (25Gt)
III cent of the operating companies ha
NJ resorted to these underwriting met
DDS, and in justice to the remaini
- seventy-five $50 per cent Il
choose to continue to do busin,
al as original or parent companies.
insist that they are entitled to
protection secured to them by
IA laws under which they were admit
"a and the observance of which la
81 they have steadfastly maintained
.NS Resident Agents Law
D Unjust act through Resid,
v9L Agents..