Page:United States Statutes at Large Volume 48 Part 1.djvu/1187

 73d C ONGRESS. SESS. II. CH. 672. JUNE 19, 1934 . 1161 intendent contains provisions on any one or more of the several foregoing requirements more favorable to the policyholder than hereinbefore required. The provisions of this section shall not apply to policies of reinsurance, or to policies issued or granted in exchange for lapsed or surrendered policies, or to group insurance. SE C. 4. PRO VIS ION S PR OHI BIT ED IN LIFE-INSURANCE POLICIES .-NO Provisions prohibited policy of life insurance other than industrial insurance, annuities, es m insurance poli- and pure endowments, with or without return of premiums or of premiums and interest, shall be issued or delivered in the District or be issued by a life company organized under the laws of the District after the 1st day of January next following the passage and approval of this Act if it contains any of the following provisions (1) A provision limiting the time within which any action at law Limitation of actions. or in equity may be commenced to less than three years after the cause of action shall accrue. (2) A provision by which the policy shall purport to be issued or b ooze appicatffon take effect more than six months before the original application for made. the insurance was made. (3) Except for provisions relating to misstatement of age, sui- set tle men ts at ma- turity at less than cide, aviation, and military or naval service in time of war, a pro- amount on policy. vision for any mode of settlement at maturity, after the expiration of the contestable period of the policy, of less value than the amount insured on the face o f the policy plus di vidend additi ons, if any, less any indebtedness to the company on or secured by the policy, and less any premium that may, by the terms of the policy, be deducted. This paragraph shall not apply to any nonforfeiture provision which employs the cash value less indebtedness, if any, to purchase auto- matic paid-up or extended insurance. (4) A provision for forfeiture of the policy for failure to repay failure Forfe iture of p olicy , any loan on the policy, or to pay interest on such loan, while the to repay loan. total indebtedness on the policy, including interest, is less than the loan value thereof. (5) A provision to the effect that the agent soliciting the insurance Soliciting agent as is the agent of the person insured under said policy, or making the agent of insured. acts or representations of such agent binding upon the person so insured under said policy. A prov ision the of funeral benefits in Payment of funeral (6) pe rmi tti ng pa yment benefit s in me rcban- merchandise or services, or permitting the payment of any benefits dis e. other than in lawful money of the United States. (7) A provision permitting either contracting to pay, or the pay- e . Payment of funeral ment of, funeral, burial, and other expenses to any designated under- taker or undertaking establishment, or to any particular tradesman or business man, so as to deprive the persons entitled by law to dis- osal of body of pose of the body of a deceased, or in anyway to control such persons in procuring and purchasing said supplies and services in the open market with the advantage of competition. SEC. 5. STANDARD PROVISIONS REQUIRED IN ANNUITIES AND PU RE Standard provisions required in annuities ENDOWMENT CONTRACTS .-On and after January 1 following the paS- and pure endowment sage and approval of this Act no annuity or pure endowment con- contracts. tract shall be issued or delivered in the District unless and until a copy of the form thereof has been filed with the Superintendent and copy to be Wed. formally approved by him. Except in the case of a reversionary annuity, otherwise called a "survivorship annuity ", or an annuity contracted by an employer in behalf of his employees, n o annuity or p ure endowment contract shall be so issued or delivered in this District unless it contains, in substance, the following provisions First. A provision that there shall be a period of grace, either of Period of grace. thirty days or of one month, within which any stipulated payment
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