Chap. 368.—An ACT to amend and re-enact an act entitled an act to provide
whole family protection for members of fraternal benefit socicties, approved

March 27, 1918. [S B 10]
Approved March 22, 1928
1. Be it enacted by the general assembly of Virginia, That an act

approved March twenty-seven, nineteen hundred and eighteen, be
amended and re-enacted so as to read as follows:
Section 1. Any fraternal benefit society authorized to do business
in this State may provide in its laws, in addition to other benefits pro-
vided for therein, for the payment of death and/or annuity benents
upon the lives of children between the ages of one and eighteen years
at next birthday, upon the application of some adult person, as the laws
of such society may provide, upon whom such child is dependent for
support and maintenance. Any such society may, at its option, organize
and operate branches for such children and membership in_ local
lodges and initiation therein shall not be required of such children,
nor shall they have any voice in the management of the society. The
death benefits payable as above provided shall in no case exceed the
following amounts at ages at next birthday at time of death, respec-
tively, as follows: one, twenty-five dollars; two, fifty dollars; three,
seventy-five dollars; four, one hundred dollars; five, one hundred and
thirty dollars; six, one hundred and seventy-five dollars; seven, two
hundred dollars; eight, two hundred and fifty dollars; nine, three hun-
dred and twenty-five dollars; ten, four hundred dollars; eleven, five
hundred dollars; twelve, six hundred dollars; thirteen, seven hundred
dollars; fourteen, eight hundred dollars; fifteen, nine hundred dollars:
and sixteen to eighteen years, where not otherwise authorized by law,
one thousand dollars.

Section 2. No benefit certificate as to any child shall take ettfect
until after such examination or inspection as may be required by the
laws of the society, nor shall any such benefit certificate be issued
unless the society shall, when first engaging in this class of business,
simultaneously put in force at least five hundred such certificates, on
each of which at least one assessment has been paid. The death beneht
contributions to be made upon such certificate shall be based upon the
“Standard Industrial Mortality Table’ or the “English Life Table
Number Six,” or the society may use a table based. upon its own
juvenile experience of at least ten years and covering not less than one
hundred thousand lives with a rate of interest not greater than four per
centum per annum, or upon a higher standard; provided that con-
tributions may be waived or returns may be made from any surplus
held in excess of reserve and other liabilities, as provided in the laws
of the society, and, provided further that extra contributions shall be
made if the reserves hereinafter provided for become impaired.

Section 3. Any society issuing such benefit certificates shall main-
tain on all such certificates the reserve required by the standard ot
mortality and interest adopted by the society for computing contribu-
tions as provided in section two, and the funds representing the benent
contributions and all accretions thereon shall be kept as separate and
distinct funds, independent of the other funds of the society, and shall
not be liable for nor used for the payment of the debts and obligations
of the society other than the benefits herein authorized; provided that
a society may provide that when a child who is eligible for benent
membership reaches the minimum age for such membership, such child
may be so admitted into such society upon compliance with such re-
quirements as may he provided by the laws of the society, and upon
such admission any reserve upon such juvenile certificate shall be
transferred to the benefit or reserve fund of the society. If the child
be not admitted to benefit membership, the juvenile certificate shall
terminate upon the child’s reaching age eighteen, or any younger age
fixed by the laws of the society as the maximum age at death for the
payment of juvenile benefits. Neither the person who originally made
application for benefits on account of such child, nor the beneficiary
named in juvenile certificate, nor the person who paid the contributions,
shall have any vested right in such certificate, or any new certificate
issued to such child, but the nomination of an eligible beneficiary shall
be left to the child so admitted to benefit membership.

Section 4. An entirely separate financial statement of the business
transactions and of assets and liabilities arising therefrom shall be
made in its annual report to the insurance commissioner by any society
availing itself of the provisions hereof. The separation of assets, funds
and liabilities required hereby shall not be terminated, rescinded or
modified, nor shall the funds be diverted for any use other than as
specified in section three, as long as any certificates issued hereunder
remain in force, and this requirement shall be recognized and enforced
in any liquidation, reinsurance, merger or other change in the condition
of the status of the society.

Section 5. Any society shall have the right to provide in its laws
and/or the certificate issued hereunder for payments on account of the
expense or general fund, which payments shall or shall not be mingled
with the general fund of the society as its laws may provide.

Section 6. A society shall have full power to provide for means of
enforcing payment of contribution, designation of beneficiaries and
changing such designations, and in all other respects for the regulation,
government and control of such certificates and all rights, obligations
and liabilities incident thereto and connected therewith, not at variance
with the provisions of this act.

Section 7. All acts or parts of acts inconsistent with the provisions
of this act are hereby repealed.