Pennsylvania Act 1959-774 — AUTHORIZING RECAPITALIZATION OF LIMITED LIFE INSURANCE COMPANIES

Act text

AUTHORIZING RECAPITALIZATION OF LIMITED LIFE INSURANCE COMPANIES
                 Act of Dec. 30, 1959, P.L. 2095, No. 774             Cl. 40
                                  AN ACT

     Authorizing the recapitalization of limited life insurance
        companies and limiting the amounts for which such companies
        may issue policies.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

        Section 1.  Any limited life insurance company, in addition
     to powers heretofore granted to it, is hereby specifically
     empowered to issue policies agreeing to pay a total of not more
     than five thousand dollars ($5,000) in event of death from
     natural causes nor more than ten thousand dollars ($10,000) in
     event of death from accidental causes, and may issue policies of
     endowment insurance agreeing to pay not more than five thousand
     dollars ($5,000) upon maturity thereof: Provided, That the total
     amount of insurance issued by the company on any one life shall
     not exceed the limits stated in this section: And provided, such
     company meets the capital and surplus requirements stated below.
        (1)  In the case of stock companies, such company shall have
     a capital of one hundred fifty thousand dollars ($150,000) and
     shall have, in addition thereto, a surplus paid in at least
     equal to one-half the amount of its capital stock. Any limited
     life insurance company may revise its capital stock structure so
     that it shall have a capital stock of one hundred fifty thousand
     dollars ($150,000) divided into shares of not less than ten
     dollars ($10) par value, payment for which shall be made in
     lawful money at the time of subscribing.
        (2)  In the case of mutual companies such company shall have
     surplus in the sum of not less than one hundred fifty thousand
     dollars ($150,000).
        Section 2.  This act shall take effect immediately.