Chap. 624.—An ACT to amend and re-enact an act entitled an act making it un-
lawful for insurance companies not incorporated by the laws of the State of
Virginia, but legally admitted to do business therein, to place, or cause to be
placed, insurance on property in this State in offices outside of the State in
violation of the tax laws of the State of Virginia, and prescribing penalties for
violation of the same, and prescribing the duties and compensation of the
auditor of public accounts in relation thereto, and providing for renewal of
license privileges of companies doing business in this State.

Approved April 2, 1902.

1. Be it enacted by the general assembly of Virginia, That an act en-
titled an act making it unlawful for insurance companies not incorpo-
rated by the laws of the State of Virginia, but legally admitted to do
business therein, to place or cause to be placed insurance on property in
this State in offices outside of the State in violation of the tax laws of the
State of Virginia, and prescribing penalties for violation of the same,
and prescribing the duties and compensation of the auditor of public
accounts in relation thereto, and providing for the renewal of license
privileges of companies doing business in this State, approved February
five, eighteen hundred and nincty-six, be amended and re-enacted so as to
read as follows:

1. Unlawful to insure property in the State of Virginia, except
through resident agents.—Be it enacted by the general aseembly of Vir-
ginia, That fire, accident, health, employers’ liability, steam boiler, plate
glass, surety, and burglary insurance companies not incorporated by the
laws of the State of Virginia, but legally authorized to do business in
this State, shall not make contracts of insurance on property herein save
through regularly constituted agents of such cempanies residing in the
State of Virginia: provided, however, that this act shall not apply ta
railroad companies and other common carriers engaged in interstate com-
merce; and the writing, placing, or causing to be written or placed any
policy of fire, accident, health, employers’ liability, steam boiler, pate
ylass, surety, and burglary insurance in contravention of this act,
hereby declared to be a violation of the laws of this State providing fot
the payment of taxes by forcign insurance companies permitted to do
business in Virginia.

2. Violation of act; penalty.—Any company or officer, or agent thercof,
legally admitted to do business in Virginia violating any of the provis-
ions of this act shall be punished by a ‘fine of not less than one hundred
dollars nor more than five hundred dollars for cach offense; and when
any such company shall have been found to have so violated this act,
upon the first offense its license to do business in this State shall also be
revoked for a period of ninety days; and the auditor of public accounts
of this State shall be required to cause a notice of such revocation of au-
thority to do business in this State to be published in any paper of gen-
eral circulation published in the city of Richmond, and after the publi-
cation of such notice it shall be unlawful for any person, agent, firm, or
corporation of such insurance company or companies to procure any new
applications for insurance in such company or companies, or to issue any
policies of renewals therein, pending reinstatement of such company or
companies’ authority to do business in this State. And any com-
pany or companies whose license may be so revoked by the auditor of
public accounts of this State shall not be again permitted to do business
in Virginia until all taxes and penaltics due on said conviction shall
have been paid, together with any expenses that may he due under the
provisions of this act, to the auditor of public accounts of this State.

3. Duty of auditor of public accounts.—Whenever the auditor of pub-
lic accounts of this State shall receive information of any violation of
the first section of this act, whether such information shall be by an ex-
hibition of the policy or policies about which complaint is made, or upon
affidavit of party or parties preferring charge, it shall be his duty, in
person or by deputy, to forthwith cause an investigation of the correct-
ness of such charge or charges of violation of the first section of this act,
and when necessary to obtain conclusive in formation, shall visit such
company or companies’ offices where such contract may have been written,
made, or recorded, and examine the books and records of the same: pro-
vided, the expenses of the said auditor shall he paid in advance by the
person or persons making the charge, to be refunded to said person or per-
sons should the charge be sustained. Any company or companies refusing
to exhibit its or their books and records for his inspection shall be deemed
to be guilty of violating the provisions of the first section of this act,
and the penalties provided herein shall be immediately enforced against
such company or companies by the auditor of public accounts of this
State in the manner prescribed by sections number five hundred and
seventy-four, five hundred and seventy-five, five hundred and seventy-
six, five hundred and seventy-seven of the Code of Virginia.

4. Expenses of auditor of public accounts.—The auditor of public ac-
counts of this State, or his deputy, shall receive as a compensation for th
services rendered under the third section of this act his necessary travel.
ing expenses and all reasonable expenses incurred, together with ten dal
lars per diem, which sum shall be charged against the company or com.
panies so found guilty by him, and collected from such company or com
panics. In case such company or companies be found not guilty, th:
necessary traveling expenses and other expenses incurred by him shall t
retained out of the moneys paid in advance by the person or persons pre
ferring the charges.

5. When annual license to issue.—Renewal of privilege to transact th
business of fire, accident, health, employers’ liability, steam boiler, plan
glass, surety, and burglar insurance in this State by companies not incor
porated by the laws hereof shall only issue after the secretary or manage:
of such company or companies so desiring to renew license to do busines
in Virginia shall first have made oath that no policy or policies of in
surance covering property in State of Virginia has been issued during
the twelve months preceding, except by resident agents of such compan
in Virginia duly commissioned, and until and after such company o1
companies shall have complied with other laws heretofore adopted by thi:
State and now enforced in respect to the admission of companies of othe:
States and countries.

6. This act shall be in force from its passage.