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from such company securities in the amount required by the law under which such deposit is made on deposit and in trust for the policy-holders of such company.

The value of such securities must be equal to the value of interest-bearing bonds of the United States government, but none of such securities must be estimated above the pa value of the same, nor above their market value.

[Special deposits in state treasury.] The commissioner must, upon the receipt of such securities, forthwith make a special deposit of the same in the state treasury, in packages marked with the name of the company from whom received, where they must remain as security for policy-holders in the company to which they respectively belong; but so long as the company continues solvent he must permit it to collect the interest or dividends on the securities so deposited, and from time to time to withdraw any such securities on depositing other securities in the stead of those to be withdrawn. Such new securities to be of the same value and character mentioned in this section, but such securities must not be withdrawn from the state treasury unless upon the written order of the company making the deposits, which order must be indorsed by the commissioner, or upon the order and authority of some court of competent jurisdiction. If the deposit is of mortgages, it shall be accompanied by full abstracts of title or policies of title insurance or certificates of title issued by a duly organized title insurance company authorized to transact business under the laws of California, and the fees for examination of title, unless accompanied by such certificates of title or policies of title insurance, and the fees for appraisal of property shall be paid by the company making the deposit. If the deposit is of stocks or bonds, it shall be accompanied by the fees necessary for the appraisal thereof.

History: Former section repealed and present enacted March 8, 1907,
Stats. and Amdts. 1907, p. 160. In effect immediately.

§ 619. DEPOSITS, CERTIFICATE FOR. CONTENTS OF. Whenever an insurance company has deposited with the commissioner the requisite security, in conformity with the requirements of the preceding section, the commissioner must issue to such company a certificate, under his official seal, of such deposit, for each state or country requiring the same, which said certificate must state the items and amount of securities so deposited, and that they are of the value therein represented.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 161. in effect immediately. $ 620. DEPOSITS RETURNED, WHEN. Whenever any insurance company so depositing securities with the commissioner has paid, canceled, or reinsured all its unexpired policies outstanding in the state, satisfactorily to the insurance commissioner, and all its liabilities under such policies are extinguished, or assumed by other responsible companies or corporations, then, if on application of such company, duly verified, and from an examination of the books of the company, and of its officers under oath, the insurance commissioner is satisfied that all of its policies are so paid, canceled, extinguished, or reinsured, he must deliver up to the company the securities deposited;

[Proviso.] Provided, however, that pending such examination the securities requested to be withdrawn may at the discretion of the commissioner be delivered to the depositor upon the condition that the applicant deposit with the commissioner securities of like value; and whenever the laws of any other state or country, by reason of which section six hundred and twenty-two of the Political Code of this state is brought into force, shall be repealed and abrogated, then any deposit which shall have been made with the commissioner, under and by reason of said section six hundred and twenty-two of the Political Code, must be delivered up to the company making the deposit.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 160. In effect immediately. $ 621. EXAMINATION OF SECURITIES. [DEFICIENCIES TO BE MADE UP, WHEN.) The commmissioner must make an annual examination of the securities received by him from each insurance company, and if it appear at any time that the securities deposited by any such company amount to less than the sum required for the purposes for which the deposit was made, he must notify the company thereof, and unless the deficiency is made up within thirty days after notice, the commissioner must revoke the certificate of authority previously granted and countermand all the certificates he may have issued to the company under this chapter, and give notice thereof to the officers of the several states to whom the certificate may have been transmitted.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 160. In effect immediately. $ 622. RETALIATORY CLAUSE. When the laws of any other state or country, any taxes, fines, penalties, licenses, fees, deposits of money or of securities, or other obligations or prohibitions, are imposed on insurance companies of this state doing business in such other state or country, or upon their agents therein, in excess of such taxes, fines, penalties, licenses, fees, deposits of securities, or other obligations or prohibitions, imposed upon insurance companies of such other state or country, so long as such laws continue in force, the same obligations and prohibitions of whatsoever kind must be imposed upon insurance companies of such other state or country doing business in this state.

[Character of deposit of securities.] And whenever under this section any deposit of security shall be made in this state, such deposit shall be made in bonds of the United States government, or in those of the state of California, or in interest-bearing bonds of any of the countries (counties) or incorporated cities and towns of the state of California, not in default for interest on such bonds, which said securities must be estimated at not exceeding their par value nor their market value.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 162. In effect immediately. $ 622a. TAX ON GROSS PREMIUMS, OTHER THAN CALIFORNIA COMPANIES. Every insurance company other than life, not organized or incorporated under the laws of California, and doing business in this state, and every other insurance company other than life, whose charter may be owned, or a majority of whose stock may be controlled, or whose business may be carried on in the interest, or for the benefit of any insurance company or association not organized or incorporated under the laws of California, shall annually pay to the insurance commissioner, for the state, a tax of two per cent upon the amount of the gross premiums received upon its business done in the state, during the year ending on the preceding thirty-first day of December, less return premiums, reinsurance in companies authorized to do business in this state, and losses actually paid on its business in this state, and every life insurance company not organized or incorporated under the laws of California, which does business or collects premiums or assessments in the state, shall annually pay to the insurance commissioner, for the state, a tax of one per cent upon the amount of the gross premiums received upon its business done in this state during the year ending on the preceding thirtyfirst day of December.

[Construction.] This section shall not be held or construed so as to relieve any company or organization from any tax, fee or other obligation or charge imposed upon it by the provisions of section six hundred and twenty-two of this code, and whenever the taxes imposed by the application of section six hundred and twenty-two exceed those imposed by the application of this section the provisions of the former section shall prevail.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 160. In effect immediately. $ 623. BONDS FROM FOREIGN CORPORATIONS TO BE FILED. The commissioner must require every company, not incorporated under the laws of this state, now transacting or proposing to transact insurance business by agent or agents in this state, before commencing such business to file in his office a bond in favor of the people of the state of California, to be signed by the company, as principal, with two sureties, to be approved by the commissioner, in the penal sum of twenty thousand dollars, the condition of such bond to be as follows:

1. That the company and its agents will pay all state, county, and municipal property and license taxes, in the manner and at the time prescribed by law;

2. That the company named therein will conform to all the provisions of the revenue and other laws made to govern them;

3. And that the company will promptly pay all fees, assessments, taxes, penalties, and fines that may be laid upon or against such company. Such bond may be sued on in the same manner and shall be subject to the same rules governing official bonds.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 163. In effect immediately. 624. SEPARATE BOND REQUIRED, WHEN. Whenever the same company desires to collect premiums of insurance for more than one company, the commissioner must require a separate bond. as provided in the preceding section, for each company so represented by such company.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 163. In effect immediately. $ 625. COMMISSIONER TO FURNISH ASSESSOR WITH CERTAIN INFORMATION. The commissioner must, before the commencement of each fiscal year as fixed in the revenue laws, furnish the assessor of the county in which the principal office of any company doing business of insurance is

situated, all the data concerning premiums collected by and all other necessary information in relation to the business of such company as will assist the assessor in the performance of his duties.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 163. In effect immediately. $ 625a. LIST OF INSURANCE COMPANIES TO BE FURNISHED COUNTY CLERKS. The insurance commissioner of the state of California must make up and certify to the county clerk of each county of this state a complete list of all corporations engaged in the business of making, guaranteeing or becoming a surety upon bonds or undertakings required or authorized by law, holding certificates of authority to transact such business in this state, which list shall set forth:

[What list shall show.]
1. The full corporate name of such corporation;

2. The name of the state, territory or country under whose laws such corporation is organized ;

3. The date of the certificate of authority issued to such corporation to transact such a business in this state.

From and after the date when the list aforesaid shall have been certified as herein before provided, the said insurance commissioners shall likewise certify to the county clerk of each county of this state, the same facts concerning any other corporation thereafter authorized to transact such business in this state.

[Revocation, etc., of authority-Certificate to clerk.] Whenever the certificate of authority of any such corporation to do business in this state shall for any reason be surrendered, revoked, canceled, or annulled, or whenever the said certificate of any such corporation has been suspended as provided in section one thousand fifty-six of the Code of Civil Procedure of this state, or whenever any such corporation whose certificate of authority has been so suspended, again becomes authorized in law to do business in this state under such certificate of authority, the insurance commissioner of this state shall forthwith certify to the county clerk of each county of this state, the name of such corporation, and the date of such surrender, revocation, cancelation, annulment or suspension, or of renewed authority to act under such certificate.

History: Enacted March 23, 1907, Stats. and Amdts. 1907, p. 977. $ 626. FULL COMPLIANCE WITH LAW TO BE REQUIRED. The commissioner must require from every company, before and after engaging in the business of insurance, a full compliance with all the provisions of title two, part four, division one, of the Civil Code applicable thereto; and every company neglecting to comply with such requirements is subject to the fines and penalties therein prescribed.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 163. In effect immediately. $ 627. STATEMENTS, ETC., TO BE BASED ON GOLD-COIN VALUES. All statements, estimates, percentages, payments, and calculations, required by this chapter to be made, either by the commissioner or companies, must be made on the basis of gold coin of the United States.

History: Former section repealed and present enacted March 8, 1907,
Stats. and Amdts. 1907, p. 163. ` in effect immediately.

§ 628. SEPARATE VALUATION OF POLICIES. When the certificate of the insurance commissioner of this state, of the valuation of the policies of a life insurance company, as provided in the next section of this code, issued to any company organized under the laws of this state, shall not be accepted by the insurance authorities of any other state, in lieu of a valuation of the same, by the insurance officer of such other state, then every company organized under the laws of such other state doing business in this state, shall be required to have a separate valuation of its policies made under the authority of the insurance commissioner of this state, as provided in the next section.

History: Former section repealed and present enacted March 8, 1907,

Stats. and Amdts. 1907, p. 163. In effect immediately. $ 629.

LIFE INSURANCE COMPANIES MUST FURNISH DATA FOR VALUATION OF POLICIES. Every life insurance corporation organized under the laws of this state must, on or before the first day of February of each year, furnish the insurance commissioner the necessary data for determining the valuation of all its policies outstanding on the thirty-first day of December then next preceding. And every life insurance company organized under the laws of any other state or country, and doing business in this state, must, upon the written requisition of the commissioner, furnish him, at such time as he may designate, the requisite data for determining the valuation of all its policies then outstanding;

[Basis of valuation.] Such valuations must be based upon the rate of mortality established by the American Experience Life Table, and interest at four and one-half per cent per annum on all outstanding risks written prior to January first, 1892, and such valuations must be based upon the rate of mortality established by the Combined Experience or Actuaries' Table of Mortality with interest at the rate of four per cent per annum on all outstanding risks written from and after the thirty-first day of December, A. D., one thousand eight hundred and ninety-one, up to and including the thirty-first day of December, one thousand nine hundred and seven, and such valuations must be based upon the rate of mortality established by the American Experience Table of Mortality with interest at the rate of three and one-half per cent per annum on all outstanding risks written from and after December thirtyfirst, nineteen hundred and seven. When the laws of any other state or territory require of a life insurance company organized under the laws of this state a valuation of its outstanding policies by any standard of valuation different from that named in this section, the insurance commissioner is hereby authorized to make such valuation for use in such other state or territory, and to issue his certificate in accordance therewith.

[Employment of actuary.] For the purpose of making the valuations, the insurance commissioner is authorized to employ a competent actuary, whose compensation for such valuations shall be one cent for each thousand dollars of insurance, to be paid by the respective companies whose policies are thus valued.

History: Former section repealed and present enacted March 8, 1907,
Stats. and Amdts. 1907, p. 164. in effect immediately.

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