|
|
|
|
|
|
|
|
|
|
|
|
ART. XXIII] INSURANCE DEPARTMENT. 143
dollars. The cost of promotion, including commissions to the stock
salesmen and all expenses of organization of whatever character, shall
net exceed five per centum of the subscription or selling price of each
share of stock, and the Insurance Commissioner shall require this pro-
vision to be plainly set forth in the stock subscription agreement or
contract for the sale of stock. No part of the commissions to the sales-
men or other organization expense under any subscription for stock
shall be payable until such share or shares of stock have been fully
paid for in cash or securities of equivalent value. The subscription to
or sale of stock in any such company in series is prohibited, except
that after a company is organized and actively engaged in the insurance
business, the Insurance Commissioner is empowered to authorize it to
sell a new issue of stock at an advanced price on conditions not other-
wise inconsistent with the provisions of this Section. The fiscal agent,
person or corporation engaged in promoting the organization of any
such insurance company shall be required to give to the Insurance Com-
missioner a surety bond in the amount of ten per cent, of the proposed
maximum capital of such company for a faithful performance of the
undertaking in accordance with the provisions of this Section by both
himself and his salesmen.
Any violation of the provisions of this Section shall be deemed a mis-
demeanor and shall be punishable by a fine not exceeding one hundred
dollars for the first offense, and by a fine of not less than one hundred
dollars or more than one thousand dollars for each subsequent offense.
1904, art. 23, sec. 170. 1902, ch. 1, sec. 1260. 1910, ch. 541 (p. 74).
1916, ch. 526.
187. No insurance company, corporation or association chartered,
incorporated or organized under the laws of the State of Maryland,
shall hereafter engage in or carry on the business in this State of be-
coming surety or guarantor on bonds of any kind, or the business of
issuing policies of insurance of the classes known as employers or public
liability, personal accident, plate glass, steam boiler, burglary, sprinkler
leakage, credit indemnity, health, title insurance and mortgage guar-
antee or any other kind of insurance, until such company shall obtain
first from the insurance commissioner of Maryland a license of author-
ity for that purpose.
1904, art. 23, sec. 172. 1902, ch. 1, sec. 126E. 1916, ch. 526.
189. Each company, corporation or association chartered or organ-
ized as aforesaid, except life, fire, sprinkler leakage, wind storm, hail
storm, cyclone, marine and title or mortgage Guarantee Companies or
associations, and except insurance companies described in Sections 193
and 194 of this Article, or insurance companies doing what is known
as The Industrial Insurance Business, upon applying for said license
shall pay to the insurance commissioners the sum of fifteen hundred
dollars for the same; Title Insurance or Mortgage Guarantee Compa-
|
|
|
|
|
|
|
|
|
|
|
|
 |
