2146 ARTICLE 48A

surplus that may be found to exist in the assets of such corporation over
and above all its liabilities, including the legal reserve for all outstanding
policies in force, as ascertained and certified by the Insurance Commis-
sioner as hereinabove provided at the date of its reorganization as a stock
company, shall be held as a fund for the security of the creditors of the
company, and shall under no circumstances pass to the ownership of the
stockholders, be distributed among them or be used or encroached upon
for the payment of dividends upon the capital stock.

The mutual policies and all rights and liabilities attaching thereto, and
all the powers and obligations of the company with reference to the same,
shall survive so long as said policies shall remain in force, except that
such policies shall thereafter be considered as policies for the largest
amount which, according to their terms, might be payable thereunder in
case the assessments provided for should yield a sufficient amount to pay
the same, and if any certain number of assessments be specified upon said
policies as payable by the holders thereof, the company shall not be en-
titled to levy any further assessments, even though such rights may have
been previously reserved in the policy.

An. Code, 1924, sec. 100. 1922, ch. 492, sec. 97. 1927, ch. 313.

133. (Companies Converted Prior to July 1, 1916.) Such mutual,
cooperative or assessment industrial insurance companies, organized and
doing business in this State prior to January 1, 1914, as actually converted
prior to July 1, 1916, in conformity with the law providing for the con-
version of such companies, may have a paid-up capital less than fifty thou-
sand dollars, but not less than ten thousand dollars; provided, that in no
case shall the assets of any such company at any time be insufficient to
provide full legal reserve upon all outstanding policies as required by law,
over and above all bona fide debts and claims against it, exclusive of capital
stock; and provided further, that no such company having a paid-up cap-
ital stock less than fifty thousand dollars shall issue any certificate or other
form of contract for the payment of a greater sum of money in the aggre-
gate than one thousand dollars ($1,000) upon the termination of any one
life or combination of lives.

An. Code, 1924, sec. 101. 1922, ch. 492, sec. 98.

134. (Insurance of Infants.) Companies as mentioned in sections 126,
132 and 133, upon complying with the requirements of this article with
reference to such companies, may make such contracts of insurance as
are allowed by said sections, both of adults and infants, provided how-
ever, that in all cases of the insurance of infants, some adult shall be-
come responsible for all obligations of any such infant to the company
writing said insurance.

An. Code, 1924, sec. 103. 1922, ch. 492, sec. 100.

135. (Bonds Required of Industrial Agents.) Every industrial life,
accident or health insurance company doing business in this state, shall
require from each of its agents or collectors in this state a good and suffi-
cient bond for not less than fifty dollars. Failure to require such bond
shall, in each and every case, be deemed to be a misdemeanor, and upon
conviction, the company so adjudged to be guilty shall, for each such
offense, be subject to the penalties specified in section 67, and in addi-