life, and, in the case of Mississippi individuals, firms, or corporations indemnifying themselves through reciprocal contracts are exempt.

The Colorado law prohibits the licensing of any one as agent, broker, or solicitor who is not a resident of the state, and the Kansas law prohibits the commissioner from licensing anyone not a resident of the state. The Alabama, Nebraska, and Texas laws require companies to file an affidavit that it has not violated any provisions of the act for the preceding twelve months, and the Minnesota law requires companies to appoint as its agents in the state residents thereof."

Some of the laws contain other special features, particularly relating to division of commissions. Delaware, Idaho, Montana, Mississippi, Colorado, Pennsylvania, Tennessee, North Dakota, Utah, Arkansas, Florida, and West Virginia require that the agent countersigning the policy shall "receive the full commission thereon when the premium is paid."

The laws in the following states make no mention of commissions: Alabama, Arizona, Connecticut, Georgia, Illinois, Iowa, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Hampshire, New Jersey, Oklahoma, Ohio, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wyoming, Missouri, and Kentucky.

The commissioners of Michigan and Wyoming have ruled that agents cannot divide commissions with non-resident agents or brokers, while the attorney general of Kansas has ruled that division of commissions and exchange of business with non-residents is not illegal. The Ohio department has ruled that agents doing business in Ohio must be residents of Ohio and licenses will not be issued to non-residents.

The law of New Mexico prohibits any agent, broker, or solicitor to pay or promise to pay either directly or indirectly any fee, brokerage, or other emolument of any nature to any non-resident person, firm, or corporation "for the obtaining, placing, or writing" of any policy of insurance covering property in New Mexico. Kansas prohibits any authorized company from authorizing or allowing any non-resident person, agent, firm or corporation from issuing or causing to be issued any policy on property in the state. Vermont requires all policies to be countersigned by a duly authorized resident agent of the company issuing the policy, although brokers' licenses may be granted "to persons resident in any other state, if the laws of such state permit the issuance of brokers' licenses to residents of this state."

Wisconsin requires that the agent countersigning the policy" shall be paid the commission on the policy." The laws of Nebraska and Texas prohibit any company from authorizing, allowing, or permitting any non-resident" to issue, sign, countersign, or to deliver or cause to be delivered any policy except through licensed resident agents of such companies. North Carolina, Louisiana and South Carolina permit the division of commissions between non-resident and resident agents.

Mississippi. The legislature in 1916 enacted the following:

"Section I.

Be it enacted by the Legislature of the State of Mississippi, That no fire, fire marine, accident, health, employers' liability, steam boiler, plate glass,

1

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RESULTS OF FIRE UNDERWRITING IN THE UNITED STATES

fidelity, surety, burglary, or other insurance company, except life insurance companies not incorporated under the laws of this state, authorized to transact business herein, shall make, write, place, or cause to be made, written, or placed, any policy, duplicate policy, or contract of insurance of any kind or character, or any general or floating policy, upon persons or property in this state, except after the said risk has been approved, in writing, by a local agent, who is a resident of this State, regularly commissioned and licensed to transact insurance business herein, who shall countersign all contracts of insurance, and receive the full commission thereon, when the premium is paid, to the end that the State may receive the taxes required by law to be paid on the premiums collected for insurance on all persons and property situated in this State, provided, however, that the provisions of this Act shall not apply to individuals, firms, and corporations indemnifying themselves through reciprocal contracts and not employing local agents."

Section 2 of the act provides that "Any company wilfully failing to observe or comply... shall be subject to and liable to pay a fine of ($500) Five Hundred Dollars for each violation thereof, and for each failure to observe and comply with the foregoing section."

The Kentucky legislature in 1916 enacted the following, which is Section 207 of an act creating the state insurance board:

No insurance company shall write, place, or cause to be written or placed, any policy or contract for direct insurance upon any property in this Commonwealth, except through an agent, licensed in this Commonwealth.

The section does not apply to property in transit while in the custody of a common carrier, or to the rolling stock or other property of a common carrier used by it as such, nor to mutual companies or interinsurance associations. Another section provides that "no license shall be renewed to an agent for a stock fire insurance company unless he is a bona fide resident of this Commonwealth."

RESULTS OF FIRE UNDERWRITING IN THE UNITED STATES. The following general statement of the fire insurance business by joint stock companies in the six years from 1910 to 1915. inclusive, is compiled from the New York fire insurance reports. The statistics cover, practically, all the principal joint stock companies doing business in the United States, and are for December 31 of each year named:

RETAIL

LUMBERMEN'S INSURANCE

ASSOCIATION, Minneapolis, Minn. Organized 1894. J. H. Queal, president; A. R. Rogers, vice-president; W. G. Hollis, secretary; B. C. Bowman, treasurer; O. D. Hauschild, managing underwriter.

RETAIL MERCHANTS ASSOCIATION MUTUAL FIRE INSURANCE COMPANY, Springfield, Ill. Organized 1898. George S. Connolly, president; W. W. Swett, Jr., secretary.

RETALIATORY OR RECIPROCAL LAWS. Thirty-nine states inflict retaliatory penalties on the companies of other states or of other states and countries. New York appears to have originated this kind of legislation as far back as 1865. With few exceptions the laws of the several states, though expressed differently, are practically the same, and the purpose, or intent, is clearly expressed in the New York law, re-enacted in 1892, which follows:

"If by the existing or future laws of any State an insurance corporation of this State having agencies in such other Sate, or the agents thereof, shall be required to make any deposit of securities in such other State for the protection of the policyholders or otherwise, or to make payments for taxes, fines, penalties, certificates of authorty, license fees, or otherwise, greater than the amount required by this chapter, from similar corporations of such other State by the then existing laws of this State, then and in every such case all insurance corporations of such State, establishing or heretofore having established an agency or agencies in this State, shall be and they are hereby required to make the like deposit for the like purposes in the insurance department of this State, and to pay the superintendent of insurance for taxes, fines, penalties, certificates of authority, license fees, and otherwise, an amount equal to the amount of such charges and payments imposed by the laws of such other State upon the insurance corporations of this State and the agents thereof."

Retaliatory or reciprocal laws are now in force in the following states: Alabama, Arizona, California, Colorado, Connecticut, Delaware, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Dakota, Tennessee, Texas, Vermont, Washington, Wisconsin, Wyoming, West Virginia. In addition to the above Arkansas has a retaliatory law which is made applicable only in respect to deposits, and Nevada has a law applying to assessment companies. [For text of laws see Cyclopedia for 1913-14, 1915, and earlier volumes. Also taxation and fees, this volume.]

The laws of Wisconsin, Texas, Pennsylvania, Nebraska, Indiana, Missouri have features not found in the laws of the other states, which extend the scope of the retaliatory provisions, while the laws of New Hampshire, Connecticut, and New Jersey differ materially in the application and scope of the retaliatory or reciprocal features. The New Hampshire law makes the retaliatory feature apply if "any state shall by its laws deny any insurance company or citizen of this state any rights or privileges which are granted to insurance companies or citizens of that state," or if the insurance commissioner or other official, "shall have power to revoke the license of any company of this state for writing insurance in that state other than through or by a citizen.

of that state. The laws of Connecticut and New Jersey besides making the retaliatory features apply to any "obligation, prohibition, or restrictions" imposed on companies, also extend the retaliatory features to apply in case a license is refused after a "certificate of solvency and good management," or, in the case of New Jersey, a certificate of the result of any examination made by the department has been filed with such department.

RHODE ISLAND ASSOCIATION OF LOCAL INSURANCE AGENTS was organized in July, 1900, with the following officers: President, C. H. Beach; vice-presidents, H. Bull, Jr., C. A. Morgan, and G. H. Smith; secretary and treasurer, C. F. Newcomb. James Gallivan, Jr., Providence, is president; and Thomas J. Freeman, Providence, secretary and treasurer.

RHODE ISLAND INSURANCE COMPANY of Providence, R. I. Organized 1907; capital, $400,000. George L. Shepley, president; Emil G. Pieper, vice-president and secretary; Tunis Johnson, Jr., assistant secretary.

RHODE ISLAND MUTUAL FIRE INSURANCE COMPANY, Providence, R. I. Organized 1848. John R. Freeman, president and treasurer; Theodore P. Bogert, secretary; Benj. G. Buttolph and Edwin D. Pingree, vice-presidents.

RICHLAND MUTUAL INSURANCE COMPANY, Mansfield, Ohio. Organized 1850. C. Cummins, president; R. Smith, secretary.

RICHMOND INSURANCE COMPANY of New York. Organized in 1836 as the Richmond County Mutual; reorganized as a stock company in 1907. Capital $200,000. J. F. Smith, president; James Feeny, vice-president; D. G. Wakeman, secretary.

ROCKY MOUNTAIN FIRE INSURANCE COMPANY, Great Falls, Mont. Organized 1911; capital, $265,200. George Lloyd, president; John E. Dawson, John Lucas, E. B. Martin, vicepresidents; Leo P. McMeel, secretary and managing underwriter.

ROSSIA INSURANCE COMPANY, THE, St. Petersburg, Russia. Carl F. Sturhahn, United States manager, Hartford, Conn. (Reinsurance business.)

ROYAL EXCHANGE ASSURANCE of London. Richard D. Harvey, United States manager, 92 William Street, New York.

ROYAL INSURANCE COMPANY, Limited, of Liverpool, England, commenced business in the United States in 1851 and transacts fire, marine, and all other kinds of insurance business as described in Sections 110 and 150 of the Insurance Laws of the state of New York. Edward F. Beddall, general attorney for the United States;

William Mackintosh, secretary; Cecil F. Shallcross, manager; John E. Hoffman, marine underwriter, New York department, 84 William Street, New York; Milton Dargan, manager Southern department, Atlanta, Georgia; Messrs. Field & Cowles, managers, New England department, Boston, Mass.; George W. Law, manager Western department, Chicago, Ill.; Rolla V. Watt, manager Pacific Coast department, San Francisco, Cal.

Assets held in the United States for the special protection of American policyholders, as of December 31, 1915, $13,760,250; liabilities, $9,847,695. United States surplus, $3,912,555.

RUBBER MANUFACTURERS' MUTUAL FIRE INSURANCE COMPANY, Boston, Mass. Organized 1885. Arthur H. Lowe, president; Benjamin Taft, secretary.

RUSSIAN REINSURANCE COMPANY, St. Petersburg, Russia. Paul E. Rasor, United States manager, New York.