Chap. 117.—An ACT to amend and re-enact Section 4272 of the Code of Vir-
ginia relating to assessment or co-operative life or casualty corporations,
companies, societies or associations. [S B 171]

Approved March 5, 1936

1. Be it enacted by the General Assembly of Virginia, That section
forty-two hundred and seventy-two of the Code of Virginia be amended
and re-enacted so as to read as follows:

Section 4272. Companies to File Copy of Charter, Statement of
Business, Et Cetera; What Such Papers to Show.—Any company or-
ganized under the laws of this or any other state of the United States,
for the purpose of furnishing life, accident, or indemnity insurance,
either upon the assessment plan or by periodical premium payments,
fixed in amount, to meet death losses in accordance with American
experienece tables of mortality, or that is carrying on the business of
life or accident insurance upon either the assessment or periodical
premium payment plan, shall deposit with the State Corporation Com-
mission of this State (first) a certified copy of its charter or articles
of association; (second) a copy of its statement of business for the
year ending the thirty-first day of the next preceding December, sworn
to by the president and secretary, or like officers thereof, setting forth
the number aand amount of certificates of membership or policies in
force, and a detailed account of its expenditures, income, assets and
liabilities ; (third) a certificate sworn to by the president and secretary,
or like officers thereof, setting forth that it has paid, and has the ability
to pay, its certificates or policies to the full amount named therein,
that its certificates or policies are payable only to beneficiaries having
a legal insurable interest in the life of the member or insured, and that
an ordinary assessment upon, or the periodical premium collected from,
its members is sufficient to pay its maximum certificate of membership
or policy issued therefor, if any, or thereafter to be issued to residents
of this State to the full amount or limit named therein; (fourth) if
a foreign or alien company, a certificate from the Insurance Commis-
sioner or other officers charged with the duty of executing or enforc-
ing the execution of the insurance laws of its home state, certifying
that it is legally entitled to do an insurance business in its home state;
(fifth) a copy of the application for membership for insurance, and of
each form thereof, if more than one form is used; (sixth) a copy of
the form of certificate of membership or policy, and of each form
thereof, if more than one form is used; (seventh) a copy of the con-
stitution and by-laws, and of each and every edition thereof; and
(eighth) a certificate from the State Treasurer that it has complied
with the provisions of section forty-two hundred and eleven of the
Code of Virginia, by depositing with him securities of the kind de-
scribed in said section of market value of ten thousand dollars.

Any such company or association for furnishing life, accident or
indemnity insurance that shall show by the above described papers that
all indemnities to beneficiaries are in the main provided for either by
assessments upon members made when needed by said company or
association, or by payments at a fixed date or dates, but with the right
reserved by such company or association to make additional call or
calls; or, if definite periodical premiums, without the right to make
such additional call or calls, are used, such premiums shall show that
they are sufficient to pay average death losses in accordance with the
American experience table of mortality with interest at not more than
four per centum, and that its mortuary surplus fund is sufficient to
meet death losses in accordance with said tables of mortality, shall all
or either of them be held to be a company or association doing busi-
ness upon the assessment plan; provided, that said periodical premiums
do not include the reserve element of the legal reserve systems of life
insurance, defined in section forty-two hundred and fifty-six. When
any such company has complied with the provisions of this section, it
shall receive a license and certificate of authority to do business in this
State.