Show WE LAV LAWS k ARE DEAD LETTER Seem to Be Enforced by Au Authorities Authorities Authorities in Most Super Superficial fi ial Manner REAL EXAMINATIONS RARE LEGISLATURE FAILED TO PRO PROVIDE PROVIDE PROVIDE VIDE NEEDED REVISION Attention has hag been called to tha th provi provisions ion of ot the Utah laws for or the regulation of ot insurance companies by b the recent tall fall failure sire ure of ot the National Mutual Insurance company of ot Omaha The board of luca education t lIon tion carried of ot insurance in this thie concern and may be held responsible re ae a a policy holder for a part of its debts In the case calle of tills thu company as well ai as of ot others which are known to flourish in ir inthis InthIs this section it does not appear that tins tiN U secretary of state or the state bank ex ox examiner examiner have taken sufficient interest in examining their affairs to appraise the public of ot the conditions which have been found to exist in at least this one case Duty to Probe Yearly The law creating the office of bank banI ex cx examiner examiner makes it his duty duly to examine into the thc condition of ot all companies doing bus bm business mess iness in th the state at least one a year and oftener if It the secretary of or state shall haIl eo so direct In the case caso of the National Mutual neither the examiner nor the see sec secretary of state slate seemed med to have been aware of its condition although It wrote f worth of or insurance in this state this year For this reason the crash cra h when it came was u aa entirely unexpected The laws also give the secretary of state power ower to 10 revoke the license of any corn com company pany pan doing business s in the state whose who e condition is not satisfactory At the tile best the administration of ot the rather weak insurance laws of the state is js don doin apparently in a most superficial manner and arl little attention is paid to them About an all that is necessary for any to do to gain gam ain admittance is to tofile tofile tofile file a Ii statement with the secretary pay IRY payA IRYa A fee and aJ d go ahead for tor there Is no record of an any of f them having been heen molested by strict investigations Revision Was Defeated At the tite hut session of the legislature a trong effort was made to secure the pas past tage t of K It law a state mate department of or insurance with a It special elial commissioner at itt its head healt The Th insurance coda codo co o adopted by the convention of middle western gov governors ov ernora AntI and attorneys general at their meeting in Chicago after atter the insurance scandals sandals in the east was wu revised accord according ing to the needs of or this state and incorporated into the law For Fee some seine reason It was never seriously considered and met m t rl death ath in the senate nate Two almost eal il d bills were Introduced covering this I one by b Senator Banner flenner X Smith and an the Ute other oUter by Senator Charles Charls CharlesR CharlR R B Hollin The following sections taken from th the present pr nt statutes In regard to insurance may mar be Interesting in view of the situa situation situation tion as u it has been bee explained From the Statutes Any insurance company doing business In title state without hawing having the certificate certificate cate of ot authority of or the secretary of state Shall hall forfeit to the state stale Sift for every days das neglect to procure cure such certificate pro that in no case Rae shall the fine tine ex exceed exceed exceed 1000 Any person placing Insurance or soliciting or receiving applications for insurance for any lany ny company authorized to 4 transact business in this state without 4 having his certificate of authority shall forfeit to the state the sum of or 25 for rl r each days day neglect to procure such certificate provided that in no case shall the fine exceed SO The penalties provided for tor forIn torIn forIn In this section shall be he recovered by suits Instituted in the name Dame of ot the state slate by the attorney general or by the county count attorney attorney ney JPY of any in which the company proceeded against is engaged In the th trans traWl transaction transaction action of or business or in which the agent or solicitor resides when the proceeding IB Is brought against a him Individually Power of Revocation Tho The secretary tary of ot state must withhold or revoke the certificate of authority or orthe orthe the agents of any corporation domestic or foreign which shall neglect or fail fall to toi i with the provisions of this thIn chap tr hr or which in his hi judgment is conduct conducting conducting ing jug its business illegally or in violation of its articles of ot Incorporation or bylaws or is practicing deception upon its mem members membErs bers hers or the Ute public or pr is pursuing a plan that Is III injurious to the interests of its members or r the or whose affairs are in an unsafe condition It shall be lw the duty of the secretary of state ate whenever ver he be shall deem it expedient tnt ent to require the bank examiner to ex examine examine amine into the methods and affairs of any domestic insurance company doing business in this state and If necessary to appoint one ono or more disinterested persons to assist the bank examiner in making malting such examination Upon the application of or f policyholders therein ne shall require an examination into the af affairs affairs fairs lairs of any an foreign insurance In company transacting business in this state Duties of Bank Examiner The governor by and with the consent of the senate shall appoint a suitable person to be he railed called the bank examiner exam in or who shall examine Into the affairs of ev cv every every ery corporate bank loan trust trum or guar guarantee guarantee antee association building and loan as aa association and insurance company domes domestic tic or foreign except foreign companies transacting Ing business in this state at least ast once in each year and Rod oftener if the secretary of state shall deem it nee necessary necessary essary He shall shaH examine into the at af affairs lairs fairs of foreign companies at such times as the secretary of state shall deem such weh examination necessary nece ary and he shall per perform perform perform form such other duties as may be sub subscribed subscribed subscribed scribed by the state board of examiners or by the law |