Pennsylvania Act 1931-199 — AUTOMOBILE PROTECTION ASSOCIATIONS

Act text

AUTOMOBILE PROTECTION ASSOCIATIONS
                 Act of Jun. 12, 1931, P.L. 574, No. 199              Cl. 40
                                  AN ACT

     Prohibiting certain persons, corporations, associations and
        companies from engaging in the business of soliciting and
        accepting premiums or dues and selling policies or contracts
        guaranteeing to owners of motor vehicles the services of
        attorneys or providing for the towing of motor vehicles, or
        to hold themselves out to the public as authorized to engage
        in insurance business, or in the kind of business usually
        transacted by insurance companies, associations or exchanges,
        although transacted under some other name or description,
        unless such corporations, associations and companies are
        incorporated or organized as insurance companies,
        associations or exchanges, and registered and licensed by the
        Insurance Department; and providing penalties.

        Section 1.  Be it enacted, &c., That it is unlawful for any
     person, corporation, company or association to do business,
     within this Commonwealth, as an individual or as a corporation,
     or protective or cooperative company or association,
     incorporated, organized or formed for the purpose of soliciting
     and for accepting premiums or dues and selling to purchasers
     policies or contracts guaranteeing to owners of automobiles,
     motorcycles or trucks the services of attorneys in event of
     damage to persons or property arising out of the operation of
     automobiles, motorcycles or trucks, or providing for the towing
     of any damaged automobile, motorcycle or truck, or to hold
     himself or itself out or to represent himself or itself to the
     public as being engaged in insurance business or as being an
     insurance company, insurance association, person, company or
     association authorized to engage in any kind of insurance
     business, or to do the kind of business usually transacted by
     insurance companies, insurance associations and insurance
     exchanges, although transacted under some other name or
     description unless such person, company or association is
     legally incorporated or organized and doing business under the
     laws of this Commonwealth as an insurance company, insurance
     association or insurance exchange, and is duly registered and
     licensed to do business by the Insurance Department.
        Section 2.  Any person, company, corporation or association
     violating the provisions of this act shall, upon conviction
     thereof, be sentenced to pay a fine of not less than five
     hundred dollars or more than one thousand dollars; or such
     person or the members or officers of any corporation, company or
     association responsible for the violation of this act shall be
     imprisoned in the county jail for a term of not less than six
     months or more than one year, or by both such fine and
     imprisonment, in the discretion of the court.
        Section 3.  The provisions of this act shall not apply to
     automobile clubs organized under the laws of this Commonwealth
     as corporations of the first class.