2. INSURANCE COMPANIES CHAPTER 167.-ONTARIO INSURANCE ACT, p. 1563. CHAPTER 167. An Act respecting Insurance Companies. SHORT TITLE, s. 1. Joint Stock Companies, ss. 4-7, 38. Insurance Companies, ss. 8-19. CHANGE OF NAME OR HEAD Office, ss. 20-23. MUTUAL AND CASH MUTUAL COM PANIES: Branches and Departments, ss. 2426. Guarantee Capital, ss. 27-29. Share or Stock Capital, ss. 30-39. GOVERNMENT DEPOSITS, SS. 40-52. LICENSE, SS. 53-63. FEES PAYABLE TO PROVINCIAL TREASURER, s. 63. INTERNAL MANAGEMENT OF MUTUAL AND CASH MUTUAL COMPANIES, ss. 64-87: Admission and withdrawal of Management of property, s. 91. Investment of capital, s. 93. Treasurer to give security, s. 97. Remuneration of directors, s. 98. BOOKS, ACCOUNTS AND RETURNS, ss. 99-105. CONTRACTS OF FIRE INSURANCE— GENERAL PROVISIONS, SS. 106113: Term of contracts, s. 106. Minimum rates, s. 109. Policies binding on company, s. 110. Notification of additional insurance, s. 111. Optional with directors to pay certain void claims, s. 112. Cancellation of policies, s. 113. STATUTORY CONDITIONS, S. 114: Variations in conditions, ss. 115117. Proof of loss, s. 118. APPEALS, S. 119. INVESTIGATION OF LOSSES, s. 120. PREMIUM NOTES AND ASSESSMENTS, ss. 121-134. LIMITATION OF POWER OF CASH MUTUAL COMPANIES TO INSURE FOR CASH PREMIUMS, s. 135. EXECUTION AGAINST MUTUAL OR CASH MUTUAL COMPANY, 136. PAYMENT OF LIFE INSURANCE POLICY WHERE BENEFICIARY RESIDENT OUT OF THE PROVINCE, S. 137. INSPECTION OF COMPANIES, ss. 138 150. LIQUIDATION AND WINDING UP OF ER MAJESTY, by and with the advice and consent of the Province of Ontario, enacts as follows: Short title. Interpretation. 1. This Act may be cited as "The Ontario Insurance Act." 50 V. c. 26, s. 1. 2. Where the words following occur in this Act they shall be construed in the manner hereinafter mentioned, unless a contrary intention appears: "Province." 1. "Province" and "Legislature" mean respectively the "Legislature." Province and the Legislature of Ontario. "Treasurer." 2. "Treasurer means the Treasurer of the Province; or any member of the Executive Council to whom from time to time may be transferred, either for a limited period, or otherwise, the powers and duties which are by this Act assigned to the Treasurer. "Inspector." 3. "Inspector" means the Inspector of Insurance for the Province. "Company." 4. "Company" means and includes any corporation, or any society or association, incorporated or unincorporated, or any partnership, or any underwriter, except as provided by section 3, that undertakes or effects for valuable consideration, or agrees or offers so to undertake or effect, in the Province, any contract of indemnity, guarantee, suretyship, insurance, endowment, tontine, or annuity on life, or any like contract which accrues payable on or after the occurrence of some contingent event. "Offer to undertake contracts. "Contract.'. "Written." "Provincial Company." "Canadian Company." "Municipality." Rev. Stat. c. 184. "Mutual Insurance." Mutual Company." 5. The expression "offer to undertake contracts" shall include the setting up of a sign or inscription containing the name of the company; or the distribution or publication of any proposal, circular, card, advertisement, printed form, or like document in the name of the company, or any written or oral solicitation in the company's behalf. 6. Contract" means and includes any contract or agreement, sealed, written or oral, the subject matter of which is within the intent of sub-section 4. 7. "Written," as applied to any instrument, includes written or printed, or partly written and partly printed. 8. Provincial Company" means a company which has its head office in Ontario. 9. "Canadian Company" means a company incorporated or legally constituted in the Dominion of Canada, but which has its head office in some Province of Canada other than Ontario. 10. "Municipality" has the same meaning as in The Municipal Act. 11. “Mutual Insurance" means insurance given in consideration of a premium note or undertaking with or without an immediate cash payment thereon; and "Mutual Company means a company empowered solely to transact such insurance. 12. "Cash-Mutual Company" means a company organized "Cash Mutual to transact mutual insurance, but empowered to undertake Company." contracts of insurance on both the cash plan and the premium note or mutual plan. "Inland 13. "Inland-Marine Insurance" means marine insurance in respect of subjects of insurance at risk above the harbour of Marine InsurMontreal. ance. 14. "Member" means a policy-holder on the premium note "Member.” plan; but as to those mutual, or cash-mutual companies, which, in terms of this Act have guarantee or joint stock capital, Member" includes, where the context so requires, any holder of one or more shares of the capital. 15. Registry Office" means the registry office of the reg- "Registry istry division within which the head office of the company is Office." situate; and "registrar" includes the registrar and deputy "Registrar." registrar of such registry office. 50 V. c. 26, s. 2. APPLICATION OF ACT. 3. The provisions of this Act shall not apply: 1. To a company licensed by the Dominion of Canada, Dominion except as to sections 114 to 120 inclusive, which shall apply licensees exto all fire insurance, companies transacting business in except as to Ontario. empted, sections 2. This Act shall not apply to any benevolent, provident, Also certain industrial, or co-operative society not requiring a license for societies. any such contract as aforesaid before the passing of this Act. 50 V. c. 26, s. 3. INCORPORATION OF JOINT STOCK COMPANIES BY LETTERS PATENT. 4-(1) The Lieutenant-Governor in Council may, on the Formation of written recommendation of the Inspector, approved by the companies. Treasurer, or some other member of the Executive Council, Rev. Stat. grant by letters patent, under the Great Seal, a charter c. 157. to any number of persons not less than five, who shall petition therefor, constituting such persons and others who may become shareholders in the company thereby created a body coporate and politic for any purpose or object within the intent of this Act; but such incorporated company, before undertaking, effecting, or offering to undertake or effect, or soliciting any contract within this Act, shall file in the office of the Inspector satisfactory evidence that this Act has been complied with in respect of stock subscribed and of calls thereon paid, and further shall make the necessary deposit and be licensed as hereinafter provided. Rev. Stat. cc. 156, 157. Directors. Capital stock. (2) To every company so incorporated The Ontario Joint Stock Companies' General Clauses Act and The Ontario Joint Stock Companies' Letters Patent Act, shall apply in all unprovided cases so far as not repugnant to the express provisions of this Act. (3) To every joint stock company heretofore incorporated and acting under license of the Province the Acts cited in the last sub-section shall also apply, except where repugnant to the express provisions of this Act, or to the special Act of the Province incorporating the company, or to any Act of the Province amending the special Act of incorporation. 50 V. c. 26, s. 4. 5.-(1) The affairs of every company incorporated under section 4 shall be managed by a board of not less than five nor more than nine directors. (2) The first five of the persons named in the charter of incorporation shall be directors of the company until replaced by others duly named in their stead. (3) The after directors of the company shall be elected by the shareholders in general meeting of the company assembled, at such times, in such wise, and for such term, not exceeding two years, as the by-laws of the company may prescribe. 50 V. c. 26, s. 5. 6. The capital stock of a company incorporated under section 4 shall be as follows: 1. If a fire, or fire and inland marine, or accident, or life, or life and accident, or guarantee, or surety company, the capital stock shall be not less than $500,000, with liberty to increase the same to $1,000,000 with the assent of the LieutenantGovernor in Council; and before applying for license the company shall furnish to the Inspector satisfactory evidence that of the said capital stock at least $300,000 has been subscribed for and taken up bona fide, and that $30,000 of the said subscribed stock has been paid into some chartered bank. 2. If a live stock insurance company, the capital stock shall be at the least $300,000, with liberty to increase the same as in sub-section 1, to $500,000, of which, as in said sub-section, $150,000 shall be shewn to have been subscribed, and $15,000 to have been paid into some chartered bank. 3. If a plate glass insurance company, or a company insuring against the explosion of steam boilers, the capital stock shall be at the least $100,000, with liberty to increase the same as in sub-section 1, to $250,000, of which as in said sub-section $60,000 shall be shewn to have been subscribed, and $6,000 to have been paid into some chartered bank. 50 V. c. 26, s. 6. powers. 7. The corporate powers of any company, whether incor- Forfeiture of porated under this Act or under any special Act, shall be for- corporate feited by non-user, during three years after the date of its incorporation; or if, after a company has undertaken contracts within the intent of this Act, such company discontinues business for one year; or if its license remains suspended for one year; or if its license is cancelled otherwise than by mere effluxion of time and is not renewed within the period limited in section 46; and thereupon the company's corporate powers shall ipso facto cease and determine, except for the sole purpose of winding up its affairs; and the High Court, upon the petition of the Attorney-General, or of any person interested, may by decree limit the time within which the company shall settle and close its accounts, and may for this specific purpose, or for the purpose of liquidation generally, appoint a receiver. 50 V. c. 26, s. 7. FORMATION AND INCORPORATION OF MUTUAL AND CASH- 8. Ten freeholders in any municipality or association of Meetings 'to municipalities may call a meeting of the freeholders thereof to establish comconsult whether it be expedient to establish therein a fire panies, how insurance company upon the mutual or cash-mutual principle. 50 V. c. 26, s. 8. called. 9. The meeting shall be called by advertisement, mentioning Advertisethe time and place and object of the meeting; and the adver- ment of meettisement shall be published once in the Ontario Gazette and ing. for three weeks in one or more of the newspapers published in the county. 50 V. c. 26, s. 9. 10. If thirty freeholders of the municipality are present at Subscription the meeting, and a majority of them determine that it is ex- books. pedient to establish a mutual or cash-mutual fire insurance company, they may elect three persons from among them to open and keep a subscription book, in which owners of property, movable or immovable, within the Province of Ontario, may sign their names, and enter the sums for which they shall respectively bind themselves to effect insurances with the company. 50 V. c. 26, s. 10. 11. Where fifty or more persons, being owners of movable When meeting or immovable property in the Province of Ontario, have signed may be called. their names in the subscription book, and bound themselves to effect insurances in the company, which in the aggregate shall amount to $100,000 at least, a meeting shall be called, as hereinafter provided. 50 V. c. 26, s. 11. |