CHAPTER 261

An Act to amend and reenact § 88.1-85 of the Code of Virginia, relating to
compensation permitted officers and directors of insurance compantes.

[H 870]
Approved March 81, 1966

Be it enacted by the General Assembly of Virginia:
1. That § 88.1-35 of the Code of Virginia be amended and reenacted as

llows

8 $8.1-36. Nothing contained in §§ 88.1-88 and 38.1-84 shall prohibit
any Officer or director of any such insurance company from receiving the
usual salary, compensation or emoluments for services rendered in the
ordinary course of his duties as an officer or director, if such salary, com-
pensation or emoluments be authorized by vote of the board of directors
or other governing body of such company, nor as prohibiting the payment
to an officer or director of any such company who is a licensed attorney at
law of a fee or fees in connection with loans made by any such company if
and when such fees are paid by the borrower and do not constitute a charge
against the company. Nothing herein contained shall prevent a life in-
surance company from making a loan upon a policy of insurance issued by
it and held by the borrower not in excess of the net cash value of such
policy. Nothing contained in § 88.1-34 shall prohibit any director of any
such insurance company from receiving compensation which ts usual and
customary in his business with respect to transactions in the ordinary
course of business of the insurance company and the director; provided
that the insurance company makes written request to the Commission,
setting forth under oath complete details concerning certain transactions
or certain types or classes of transactions which it intends to conduct with
a director and the Commission gives its written approval thereof. No
approval granted hereunder shall imply that the Commission approves any
investment of any insurance company. The Commission may from time to
time, after notice and hearing, issue such rules and regulations consistent
with the provisions of this section as it deems appropriate.