11. By subscribing therefor in a Memorandum of Agreement, duly executed, in duplicate, with a view to the incorporation of the Company, Your Petitioners have taken the amounts of stock set opposite their respective names, as follows:

NOTE.-If any payment, in cash or otherwise. has actually been made by any petitioner on his stock, particulars thereof may be set out here.

YOUR PETITIONERS therefore pray that Your Honour may be pleased, by Letters Patent under the Great Seal, to grant a Charter to Your Petitioners constituting Your Petitioners and such others as have or may become subscribers in the Memorandum of Agreement and stock-book of the Company thereby created, a body corporate and politic for the due carrying out of the undertaking aforesaid.

And Your Petitioners, as in duty bound, will ever pray.

Signatures of petitioners.

Dated at

.......

. . . this . . . . . . . ...day of... ....18 . 60 V., c. 28, Sched. B.; 61 V., c. 19, s. 7.

Signatures of witnesses.

Short title.

INSURANCE COMPANIES AND

CONTRACTS.

R. S. O. 1897, CAP. 203.

An Act respecting Insurance.

HE

ER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

1. This Act may be cited as "The Ontario Insurance Act." 60. V., c. 36, s. 1.

Application of
sections 99-
105.

The board may pass bylaws.

When by-laws

able.

POWERS OF DIRECTORS-GENERAL PROVISIONS.

(All Provincial Insurance Companies.)

98. Sections 99 to 105, inclusive, shall apply to all Provincial corporations registered on the Insurance Company Register. 60 V., c. 36, s. 98.

100.-(1) The board may from time to time make and prescribe such by-laws as to them appear needful and proper respecting the funds and property of the company, the duty of the officers, agents and assistants thereof, the effectual carrying out of the objects contemplated by this Act, the holding of the annual meeting, and all such other matters as appertain to the business of the company, and are not contrary to law, and may from time to time alter and amend the said by-laws, except in cases with regard to which it is provided that any such by-laws shall not be repealed, or where the repeal would affect the rights of others than the members of the company, in any which cases such by-law shall not be repealed.

any of

(2) Every by-law of the board shall be duly entered in the are not repeal- minute book, and unless and until amended or annulled by the board, or by a general meeting of the members, shall be deemed to be a by-law of the company.

board to

(3) There shall be filed with the Insurance Registrar copies By-laws of of all by-laws that may from time to time be passed by the bind comcompany or the board. 60 V., c. 36, s. 100.

pany.

issue deben

promissory

103.—(1) The board may issue debentures or promissory Directors may notes in favor of any person, firm, building society, banking or tures and other company, for the loan of money, and may borrow money notes for therefrom on such debentures or promissory notes for any term loans. not exceeding twelve months, and on such conditions as they think proper, and may renew the same from time to time for Assets of the any such term, the whole of the assets, including premium notes liable for the of the company, being held liable to pay the same at maturity, but no such debenture or promissory note shall be for a less sum than $100.

company to be

same.

debentures,

(2) All the debentures and promissory notes at any one time Amount of outstanding shall not exceed one-fourth of the amount remain- etc., limited. ing unpaid upon the same premium notes. 60 V., c. 36, s. 103.

MUTUAL AND CASH-MUTUAL FIRE INSURANCE COMPANIES:

THEIR INTERNAL MANAGEMENT.

secs. 107-141.

106. Sections 107 to 141, inclusive, shall apply only to Application of mutual and cash-mutual fire insurance companies. 60 V., c. 36, s. 106.

Admission and withdrawal of members.

107. The company may insure on the premium note plan any Power to property within the scope of the company's license, and the insure. maker of the premium note shall as from the date of the acceptance of the risk by the company be a member of the company, and shall be entitled to the like rights, and be subject to the like liabilities as other members of the company. 60 V., c. 36,

s. 107.

Members.

premium

108. In a cash-mutual company the premium note shall, Liability on subject to section 111, be liable for claims arising against the notes. company generally. 60 V., c. 36, s. 108.

members.

109. No member of the company shall be liable in respect Liability of of any loss or other claim or demand against the company, otherwise than upon and to the extent of the amount unpaid upon his premium note or undertaking. 60 V., c. 36, s. 109.

sons not eligi

123. No agent, or paid officer, or the banker of the company, Certain per or person in the employment of the company, other than the ble to be manager, shall be eligible to be elected as a director, or shall be elected allowed to interfere in the election of directors for the company.

60 V., c. 36, s. 123.

directors.

Company may ium notes.

Premium Notes und Assessments. (Mutual and Cash-
Mutual Fire Insurance Companies.)

127. (1) The company may accept the premium note or the accept prem- undertaking of the assured for assurance, and may undertake contracts in consideration thereof, said notes or undertakings to be assessed for the losses, expenses and reserve of the company in the manner hereinafter provided.

Form of premium notes.

(2) Where the premium note or undertaking is made upon a sheet or page which contains other matter, the premium note or undertaking shall be so entitled in conspicuous type, and shall be separated from such other matter by a blank space of at least an inch wide carried across the sheet or page, and if such other matter requires, or is intended to receive the assent of the maker of the premium note or undertaking, such assent shall be evidenced by a signature wholly distinct from the signature to the premium note or undertaking, and any violation of this section shall render the premium note or undertaking absolutely null and void; but the notice required by section 138 of this Act to be embodied in or indorsed upon the premium note shall not be deemed to be "other matter " within the meaning of this sub-section. 60 V., c. 36, s. 127.

Contract not

to be invalidated by

erroneous statement in application unless material.

Materiality,

144.

APPLICABLE TO ALL CONTRACTS OF INSURANCE.

-(2) No contract of insurance made or renewed after the commencement of this Act shall contain, or have indorsed upon it, or be made subject to any term, condition, stipulation, warranty or proviso, providing that such contract shall be avoided by reason of any statement in the application therefor, or inducing the entering into of the contract by the corporation, unless such term, condition, stipulation, warranty or proviso is limited to cases in which such statement is material to the contract, and no contract within the intent of section 2 of this Act, shall be avoided by reason of the inaccuracy of any such statement, unless it be material to the

contract.

(3) The question of materiality in any contract of insurance how decided. whatsoever shall be a question of fact for the jury, or for the Court if there be no jury; and no admission, term, condition, stipulation, warranty or proviso to the contrary, contained in the application or proposal for insurance, or in the instrument of contract, or in any agreement or document relating thereto shall have any force or validity.

60 V., c. 36, s. 144.

INSURANCE OF THE PERSON.

General provisions applicable to all Insurers.

secs. 148 to 165.

14%. Sections 148 to 165, inclusive, shall apply to insurance Application of of the person within the meaning of clause 46 of section 2. 60 V., c. 36, s. 147.

for payment

148.—(1) In any insurance of the person, where the money Days of grace payable by way of premiums, dues or assessments (not being of premiums. the initial premiums, dues or assessments), under any contract whatsoever, is unpaid, any of the persons hereinafter mentioned may within thirty days from and including the first day on which the money is due, by registered letter or otherwise, pay, deliver or tender to the company at its head office, or at its chief agency in Ontario, or to the company's collector or authorized agent, the sum in default. On payment, delivery or tender as aforesaid by the assured, or by any of the beneficiaries under the contract, the contract shall be deemed to have been ipso facto revived or renewed, and any stipulation or agreement to the contrary shall, as against the assured or his beneficiaries, be utterly void, the thirty days herein before mentioned shall run concurrently with the period of grace or credit (if any) allowed by the insurer for the payment of a premium or of an instalment of premium, and nothing herein contained shall be deemed to extend the period of grace or credit beyond the total of thirty days. This sub-section shall not be deemed to extend the time allowed for the payment of contributions or assessments by section 165 of this Act.

60 V., c. 36, s. 148.

abate.

149.-(1) Where the age of a person is material to any Error in age contract and such age is given erroneously in any statement or not to avoid warranty made for the purposes of the contract, such contract benefit to shall not be avoided by reason only of the age being other than as stated or warranted, if it appears that such statement or warranty was made in good faith and without any intention to deceive, but the person entitled to recover on such contract shall not be entitled to recover more than an amount which bears the same ratio to the sum that such person would otherwise be entitled to recover as the premium proper to the stated age of such person bears to the premium proper to the actual age of such person, the said stated age and the actual age being

both taken as at the date of the contract.

Provided that in no case shall the amount receivable exceed Proviso. the amount stated or indicated in the contract.

Provided, also, that where the application for and contract of Proviso. insurance expressly limit the insurable age, and where the actual age of the applicant for insurance at the date of his