1. This Chapter may be cited as "The Insurance Companies Act."

2.

In this Chapter unless the context otherwise requires

(1) The expression "Minister" means Minister of Finance and Customs.

(2) The expression "Company" means and includes any corporation or any society or association incorporated or unincorporated or any partnership carrying on the business of in

şurance;

(3) The expression "Agent" means the chief agent of the company in Newfoundland named as such in the power of attorney hereinafter referred to, by whatever name he is designated;

(4) The expression "Agency" means the principal office or place of business of the company in Newfoundland;

(5) The expression "Newfoundland Policy" or "Policy in Newfoundland" means a policy issued by any company licensed under this Chapter to transact the business of life insur

ance in Newfoundland, in favor of any person or persons resident in Newfoundland at the time when such policy was issued, and "Policy-holder in Newfoundland" means any such person as aforesaid.

3. (1) No company or person except as hereinafter provided shall accept any risk or issue any policy of life insurance or grant any annuity on a life or lives or receive any premium or carry on any business of life insurance in Newfoundland, or prosecute or maintain any suit, action or proceeding either at law or in equity, or file any claim in insolvency relating to such business without first obtaining a license from the Minister to carry on such business in Newfoundland.

(2) Before issuing a license to a company legally formed elsewhere than in Newfoundland, the Minister must be satisfied that the corporate name of the company is not that of any other known company incorporated or unincorporated, or any name liable to be confounded therewith or otherwise on public grounds objectionable.

4. The license shall be in such form as is from time to time determined by the Minister, and it shall expire on the 31st day of October in each year, but shall be renewable from year to year.

5. The Minister, as soon as the company applying for the same, has deposited in his hands the security hereinafter mentioned, and has otherwise conformed to the requirements of this Chapter, shall issue such license as aforesaid.

6. Every company carrying on the business of life insurance shall, before the issue of such license, deposit with the Minister in such securities as are hereinafter mentioned, the sum of twenty-five thousand dollars.

7. It shall be lawful for the Minister to receive the deposit of such company in Newfoundland, British, British Colonial or foreign Government securities at their then market value.

8. Every company shall, before the 31st day of October in each year, furnish to the Minister a statement of its affairs as nearly as possible according to the form provided in Schedule A., made up to the last balancing day of the company, and in default shall be liable to a penalty of ten dollars for every day after said date during which such default

9. If it appears from the annual statements or from an examination, as provided by this Chapter, of the affairs and conditions of any company carrying on the business of life insurance, that its liabilities to policy-holders in Newfoundland, including matured claims and the reserve or re-insurance value of outstanding policies, as hereinafter described, after deducting any claims the company has against such policies, exceed its deposit in the hands of the Minister, the company shall be called upon by the Minister to make good that deficiency by depositing such further sum in securities as hereinbefore mentioned, with the Minister, as shall be sufficient therefor, and on its failure to do so within sixty days, he shall withdraw its license.

10. If any securities other than those above mentioned are offered as a deposit they may be accepted at such valuation and on such conditions as the Minister directs.

11. If the market value of any of the securities which have been deposited by any company declines below that at which they were deposited, the Minister may notify the company to make a further deposit so that the market value of all securities deposited shall be equal to the amount which it is required by this Chapter to deposit, and on failure to make such further deposit the Minister may withdraw its license.

12. So long as the conditions of this Chapter are satisfied by any company, and no attachment or notice of any final judgment against the company, or order made by the proper Court in that behalf for the winding up of the company or the distribution of its assets is served upon the Minister, the interest upon the securities forming the deposit shall be handed over to the company as it falls due.

13. Any company obtaining such license as aforesaid, shall, before the transaction of any business of insurance, file in the office of the Minister a certified copy of the Charter, Act of Incorporation or Articles of Association of the company, and a power of attorney from the company to its agent in Newfoundland, under the seal of the company, and signed by the President and Secretary or other proper officer thereof, and verified as to its authority by the agent of such company in Newfoundland, or by notarial certificate.

14. Such power of attorney shall declare at what place in Newfoundland the chief agency of such company is or is to be established, and shall expressly authorize such attorney to receive service of process in all suits and proceedings against such company in this Colony in respect of

any liabilities incurred by the company therein, also to receive from the Minister all notices which the law requires to be given or which it is thought advisable to give, and shall declare that service of process for or in respect of such liabilities and receipt of such notices at such chief agency, or personally on or by such attorney at the place where such chief agency is established, shall be legal and binding on the company to all intents and purposes whatsoever.

Whenever any such company changes its chief agent or chief agency in Newfoundland, such company shall file a power of attorney as hereinbefore mentioned, containing any such change or changes in respect there f, and containing a similar declaration as to service of process and notices as here'nl efore mentioned, and every company shall, at the time of making the annual statement hereinbefore provided for, declare that no chance or amendment has Leen made in the Charter, Act of Incorporation or Articles of Association of the company, and that no change has been made in the chief agency or chief agent without such amendment or change having being duly notified to the Minister.

16. After such power of attorney is filed as aforesaid, any process in any suit or proceeding against any such company in respect of any liabilities incurred in this Colony may be validly served on the company at its chief agency, and such service shall be deemed to be service on the company.

17. Every company obtaining such license as aforesaid shall forthwith give due notice thereof in the Royal Gazette, and at least one other newspaper in the Colony, and shall continue the publication thereof for the space of one month, and the like notice shall be given when such company shall cease, or notify that they intend to cease, to carry on business in Newfoundland.

13. Any person who shall deliver any policy of insurance on behalf of any such company without a license as aforesaid, or if such license shall have been withdrawn without the renewal thereof or without filing the copy of the Charter, Act of Incorporation or Articles of Association of the company, and a power of attorney as hereinbefore provided, shall be liable to a penalty not exceeding five hundred dollars for each contravention of this Chapter, which penalty may be recovered in the Supreme Court of Newfoundland by any person suing for the same; a moiety of which penal

ty when recovered shall go to the person suing for the same and a moiety to the Minister for the use of the Colony.

19. The Minister shall cause an examination to be made from time to time upon all matters connected with insurance as carried on by the several companies licensed to do business in Newfoundland or required by this Chapter to make returns of their affairs.

(1) The Minister shall cause a record to be kept of the several documents required to be filed by each company under this Chapter, and shall

(a) Cause to be entered in a book under the heading of each company the securities deposited on its account with him, naming in detail the several securities, their par value, and the value at which they are received as deposit;

(b) In each case, before the issue of any new license or the renewal of any license, cause a report to be made to him that the requirements of the law have been complied with, and that from the statement of the affairs of the company it is in a condition to meet its liabilities;

(c) Keep a record of the licenses as they are issued.

(d) Cause the agency of each company in Newfoundland to be visited at least once in every year, and the statements of the conditions and affairs of each company to be examined carefully, as required under this Chapter, and a report thereon made to him as to all matters requiring his attention and decision.

(e) Cause to be prepared for him from the said statements an annual report showing the full particulars of each company's business giving items classified from the statements made by each company.

(2) The officers or agents of such company shall cause their books to be opened for the inspection of the Minister, and shall otherwise facilitate such examination so far as it is in their power, and for that purpose the Minister may examine under oath the officers or agents of such company relative to its business.

(3) A report of all companies so visited shall be entered in a book