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No such consolidation or contract of reinsurance between a resident and non-resident company shall take effect, unless and until the consolidated or reinsuring company, if such company is a non-resident, shall file with the Director of Trade and Commerce of this State a power of attorney appointing said Director of Trade and Commerce, and his successors in office, or any official who shall hereafter be charged with the supervision of the business of insurance in this State, the attorney for service of said non-resident company, upon whom all lawful process against said company may be served. Said power of attorney shall be irrevocable so long as said non-resident company has outstanding in this State any contract of insurance, reinsurance or other obligation whatsoever, and shall by its terms so provide. Service upon said attorney shall be deemed sufficient service upon the company.

§ 10. If the state in which a non-resident consolidated company, or non-resident company reinsuring the risks in whole or in part of a resident company, is incorporated shall require the maintenance with. any official of such state of a deposit of the legal reserve on the policies so assumed, and such non-resident company shall maintain such deposit, then the Director of Trade and Commerce of this State is authorized to deliver to the proper custodian of such funds in the state in which the said non-resident company is incorporated such deposits as he may hold pertaining to the policies so assumed by the consolidated or reinsuring company. If a consolidated or reinsuring resident company assumes the risks, in whole or in part, of a non-resident company incorporated in a state which requires the maintenance with a state official of a deposit of the legal reserve on the policies so assumed, then the Director of Trade and Commerce of this State is authorized to receive from such official such deposits as he may hold pertaining to the policies so assumed. Such consolidated or reinsuring company shall, within sixty days after the transfer of such deposit, notify the holder of every policy secured by such transferred deposit that the transfer has been made; and the president and secretary of such company shall, within thirty days thereafter, file with the Director of Trade and Commerce an affidavit of the fact that due notification to policy-holders, as provided for herein, has been given. The amount of deposit to be maintained from time to time for each policy on which liability is assumed shall be at least equal to the amount which would be required in the state where such deposit has theretofore been maintained. Except as herein otherwise provided, such deposit so maintained in this State shall consist of securities authorized by, and shall be subject to, and transactions in regard thereto shall be regulated by the provisions of an Act of this State entitled, "An Act to provide for the deposit of reserve and the registration of policies and annuity bonds by life insurance companies of this State", approved April 18, 1899, in force July 1, 1899, and all Acts amendatory thereof.

§ 11. Whenever articles of consolidation or a contract of reinsurance shall be filed with the Director of Trade and Commerce, there shall also be filed with him a certificate, executed by the president and

attested by the secretary, or the executive officers corresponding thereto, and under the corporate seal of each of the consolidating or contracting companies, verified by the affidavits of all such officers, setting forth all fees, commissions or other compensations or valuable considerations paid or to be paid, directly or indirectly, to any person or persons, firm or firms, corporation or corporations whomsoever, for in any manner securing, aiding, promoting or assisting in any such consolidation or reinsurance.

§ 12. No director, officer, or member of any such company or companies, except as fully expressed in the articles of consolidation or contract of reinsurance, shall receive any fee, commission, other compensation or valuable consideration whatever, directly or indirectly, for in any manner aiding, promoting or assisting in such consolidation or reinsurance.

§ 13. Any person violating the provisions of section 12 of this Act shall be punished by a fine of not less than one thousand dollars and not more than five thousand dollars, or by imprisonment in the county jail for not more than one year, or by both fine and imprisonment, as may be determined by the court.

14. No action or proceeding, pending at the time of the consolidation or reinsurance, to which either of the consolidating companies or the contracting companies may be a party, shall be abated or discontinued by reason of such consolidation or reinsurance, but the same may be prosecuted to final judgment in the same manner as if the consolidation or reinsurance had not taken place, or the consolidated or reinsuring company, if the reinsurance agreement so provides, may be substituted in place of any such company so consolidated or reinsured, as the case may be, by order of the court in which the action or proceedings may be pending.

§ 15. An Act entitled, "An Act in relation to consolidation and reinsurance of life insurance companies", approved May 29, 1909, in force July 1, 1909, and all Acts or parts of Acts inconsistent herewith, are hereby repealed.

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(SENATE BILL No. 346. APPROVED JUNE 23, 1919.)

AN ACT to amend section 8 of an Act entitled: "An Act to organize and regulate county fire insurance companies," approved June 2, 1877, in force July 1, 1877, as amended.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: Section 8 of an Act entitled: "An Act to organize and regulate county fire insurance companies," approved June 2, 1877, in force July 1, 1877, as amended, is amended to read as follows:

§ 8. Such companies may issue policies only on detached dwellings, barns (except livery, boarding and hotel barns) and other farm build

ings, school houses and churches and such property as may be properly contained therein; also other property on the premises and owned by the insured; also live stock (hay and grain in the stack) on the premises of the insured, and anywhere in the territory of the company for any time. not exceeding five years and not to extend beyond the limited duration of the charter, and for an amount not to exceed fifteen thousand dollars ($15,000) on any one risk. Said policies may cover loss of, or damage to, live stock, harness and vehicles temporarily taken from the territory of the company: Provided, said live stock, harness and vehicles be not removed to exceed twenty-five miles from the territory of the company. All persons so insured shall give their obligations to the company, binding themselves, their heirs and assigns, to pay their pro rata share to the company of the necessary expenses and of all losses by fire or lightning which may be sustained by any member thereof during the time for which their respective policies are written and they shall also, at the time of effecting the insurance, pay such percentage in cash and such other charge as may be required by the rules and by-laws of the company.

APPROVED June 23, 1919.

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AN ACT to amend sections 3, 14 and 16 of an Act entitled, “An Act to authorize the organization and to regulate county mutual windstorm insurance companies", approved June 4, 1889, in force July 1, 1889.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That sections 3, 14 and 16 of an Act entitled, "An Act to authorize the organization and to regulate county mutual windstorm insurance companies", approved June 4, 1889, in force July 1, 1889, be amended to read as follows:

§ 3. The number of directors shall be not less than nine nor more than fifteen, a majority of whom shall constitute a quorum to do business-to be elected by ballot from the corporators and hold their offices until their successors are elected and qualified. In the election of the first board of directors each corporator shall be entitled to vote in the manner as hereinafter designated. All subsequent elections, except to fill vacancies, shall be held at the annual meeting of the company, which shall be on the second Saturday in January in each year, and every person insured shall be entitled to cast in person by ballot one vote for each one of the number of directors to be elected.

§ 14. It shall be the duty of the secretary to prepare an annual statement showing the condition of such company on the thirty-first day of December and present the same at the annual meeting.

§ 16. It shall be the duty of the president and secretary of every such company on the first day of January of each year, or within one month thereafter, to prepare under their own oath, and transmit to the Director of Trade and Commerce a statement of the condition of the company, on the thirty-first day of December then next preceding, in such form as the Director of Trade and Commerce may direct. If upon examination he is of the opinion that such company is doing business correctly in accordance with the provisions of this Act, he shall thereupon furnish the company his certificate, which shall be deemed authority to continue business the ensuing year, subject, however, to the provisions of this Act. For such examination and certificate the company shall pay one dollar ($1). Each company shall pay at the time of organization ten dollars ($10) for the services of the Director of Trade and Commerce, all of which shall be paid into the State treasury and applied to the insurance fund.

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AN ACT to amend section 3 of an Act entitled, "An Act in regard to the dissolution of insurance companies," approved February 17, 1874, in force July 1, 1874.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That section 3 of an Act entitled, "An Act in regard to the dissolution of insurance companies", approved February 17, 1874, in force July 1, 1874, be amended to read. as follows:

§ 3. The charters of all insurance companies incorporated in this State, which, either from neglect or by vote of their members or officers, or in obedience to the decree of any court, have ceased, or shall hereafter cease, for the period of one year, to transact the business for which they were organized, shall be deemed and held extinct in all respects. as if they had expired by their own limitation; and the Circuit Court shall have authority, upon application, by the petition of the Director of Trade and Commerce, or of any person interested, to fix, by decree, the time within which such companies shall close their concerns; provided, that no legal proceeding shall be necessary against any mutual corporation when such corporation is shown by affidavit of its officers to have no assets, liabilities or members, and provided, further, that this section shall not be construed to relieve any such company from its liabilities to the assured or any of its creditors.

APPROVED May 21, 1919.

FIRE, MARINE AND INLAND NAVIGATION INSURANCE COMPANIES. 1. Amends section 1, Act of 1869. § 1. Not less than 13 may form company what may be insured.

(HOUSE BILL No. 188. APPROVED MAY 21, 1919.)

AN ACT to amend section 1 of an Act entitled, "An Act to incorporate and to govern fire, marine and inland navigation insurance companies doing business in the State of Illinois," approved and in force March 11, 1869, and as subsequently amended.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That section 1 of an Act entitled, "An Act to incorporate and to govern fire, marine and inland navigation insurance companies doing business in the State of Illinois," approved and in force March 11, 1869, and as subsequently amended, be amended to read as follows:

1. That any number of persons, not less than thirteen (13), may associate and form an incorporated company for the following purposes, to-wit: To make insurance on dwelling houses, stores, and all kinds of buildings, and upon household furniture and other property, against loss or damage by fire, lightning and tornadoes, or either or any of said causes and the risks of inland navigation and transportation. Any and all insurance companies heretofore or hereafter incorporated under the provisions of this Act, which shall, in the declaration and charter provided to be filed, have expressed an intention to make insurance, or shall have power to make insurance against loss or damage by the risks of inland navigation or transportation, shall have power to make insurance upon vessels, boats, cargoes, goods, merchandise, freights, and other property, against loss and damage by all or any of the risks of ocean, lake, river, canal and inland navigation and transportation, and against loss or damage by explosion, whether fire ensues or not, except upon steam boilers and pipes, fly wheels, engines and machinery connected therewith or operated thereby.

APPROVED May 21, 1919.

FRATERNAL BENEFICIARY SOCIETIES.

1. Amends section 7%. Act of 1893.

of

87. Change in articles association effective only when approved by Director of Trade and Commerce.

(HOUSE BILL No. 186. APPROVED MAY 21, 1919.)

AN ACT to amend section 7% of an Act entitled, "An Act to provide for the organization and management of fraternal beneficiary societies for the purpose of furnishing life indemnity or pecuniary benefits to beneficiaries of deceased members or accident or permanent indemnity disability to members thereof; and to control such societies of this State and of other states doing business in this State, and providing and fixing the punishment for violation of the provisions thereof, and to repeal all laws now existing which conflict herewith", approved and in force June 22, 1893, as subsequently amended.

SECTION 1. Be it enacted by the People of the State of Illinois, represented in the General Assembly: That section 7% of an Act

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