Chap. 29, An ACT to amend and re-enact section 4222 of the Code of Vir-
ginia, as heretofore amended, relating to resident agents of insurance com-

- panies, countersignature of insurance policies, and discriminations by insur-
ance companies and agents, so as to prescribe requirements as to residence
and place of business of registered agents of insurance companies in certain
cities and towns located partly within and partly without this State.

[H B 19]
Approved January 14, 1937

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

Section 4222. Insurance companies not to do business in Virginia
except through resident agents; countersignature; exception; discrimi-
nations prohibited; agents not to make agreements not expressed ir
the policies ; notice to companies to refrain from making discrimination
exceptions——(a) Insurance companies, legally authorized to do bust-
ness in this State, except life, title and ocean marine insurance com.
panies, shall not make contracts of insurance or surety on persons o1
property herein, except through regularly constituted and registerec
agents of such companies residing in and having their principal place:
of business in the State of Virginia; no contract of insurance or surety
covering persons or property in this State, except contracts of life
title and ocean marine insurance, shall be written, issued or delivered
by any such authorized insurance company, or any of its representa
tives, unless such contract is duly countersigned in writing by a regu
larly constituted and registered agent of such company whose residence
and principal place of business is in this State; no salaried officer, mana
ger or other salaried representative of any legally authorized insurance
company, except a mutual insurance company, unless he be a bona fide
registered resident agent, shall write, issue or countersign any contract o:
policy of insurance or surety, or any renewal thereof, covering persons 01
property in this State, except contracts or policies of life, title anc
ocean marine insurance ; provided that this section shall not apply to rail.
road companies and other common carriers engaged in interstate com:
merce ; and provided further that in cities and towns located partly with-
in and partly without this State the requirements of this section as tc
residence and principal place of business of agents shall be construec
as met if such agent shall have his residence or principal place of busi-
ness in any part of such city or town, and the state in which such city
or town is located shall have established, by law or regulation, like
requirements as to residence and place of business of such agents.

_ (b) No life insurance corporation doing business in this State shal
make any discrimination in favor of individuals of the same class or
of the same expectation of life, either in the amount of premium
charged or in any return of premium, dividends or other advantages.
No policy of life insurance shall be issued or delivered in this State if it
shall purport to be issued or to take effect, at an age lower than the
actual age of the applicant at the time of the original written applica-
tion.

(c) No agent of any insurance corporation shall make any contract
for insurance or agreement as to such contract other than that which
is plainly expressed in the policy issued. No insurance corporation or
agent thereof shall pay, or allow or offer to pay, or allow as an induce-
ment to any person to insure, any rebate of premium, or any special
favor or advantage whatever in the dividends to accrue thereon, or
any inducement whatever not specified in the policy.

(d) If it shall appear to the satisfaction of the State Corporation
Commission after due hearing upon notice, that any insurance com-
pany or corporation is issuing policies or making contracts that are
directly or indirectly in violation of this section, the commission shall
require such company or corporation, and its officers and agents, to re-
[rain within twenty days from making any such policy or contract:
provided, that nothing in this chapter shall be so construed as to forbid
2 company transacting industrial insurance on a weekly payment plan
with weekly collections of premiums at the homes of the insured, from
‘eturning to policyholders who have made premium payments directly to
he company at its home office or district offices, the savings which the
‘company effects through such direct payment, or to forbid a life insur-
ince company from allowing its bona fide employees to receive a
commission on the premiums paid by them on policies on their own
Ives.

2. An emergency existing, this act shall be in force from its passage.