Chap. 312.—An ACT to amend and re-enact Section 4204 of the Code of Virginia,
as heretofore amended, relating to capital and surplus of insurance companies
and deposits of bonds and securities by such companies. [S B 269]

Approved March 28, 1940

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

Section 4204. No insurance company shall be hereafter organized
under the laws of this State, on the stock plan, with less than one
hundred thousand dollars capital and fifty thousand dollars surplus
fully paid in.

No insurance company except companies transacting the business
of industrial sick benefit insurance or industrial life insurance on the
weekly or monthly payment plan organized under the laws of another
State or territory or district of the United States, organized on the
stock plan, hereafter applying for a license to do business in this
State, shall be allowed admission to this State, unless such company
shall be possessed of at least two hundred thousand dollars capital
fully paid in and invested as required by the laws of the State where
such company was organized; provided, however, that the foregoing
requirements in this section contained shall not apply to such life
insurance companies as were on February fifteenth, nineteen hundred
and twenty, licensed in this State, nor to renewals of such licenses.

No insurance company incorporated outside of the United States
hereafter applying for a license to do business in this State shall be
allowed admission to this State unless such company shall have de-
posited with the Treasurer of the Commonwealth or with the proper
officer of some State of the United States, for the general protection
of its policy holders, the sum of at least two hundred thousand dollars
in the interest paying bonds or stock of the United States or of this
State or of any municipality or county thereof or in the interest paying
bonds or stocks of some other State of the United States or of some
municipality or county thereof of a market value of two hundred
thousand dollars, or in bonds and mortgages on unencumbered real
estate in this State or some other State of the United States of at
least double the value of the amount loaned thereon or as otherwise
required by the laws of the State where such deposit is maintained.

This section shall not be construed to repeal or in any way affect
the provisions of section forty-two hundred and eleven of the Code
of Virginia.