1096 LAWS OF MARYLAND [CH. 538

bank of deposit by the board of directors, or said committee
thereof and unless the vote authorizing such investment, sale
or loan, or approval of the place of deposit has been duly
recorded in the books of the company.

154G. No domestic company hereafter acquiring title to
real estate under the conditions of any mortgage owned by it.
or by purchase or set-off on execution upon judgment for
debts due it previously contracted in the course of its busi-
ness, or by other process in settlement for debts, shall hold it
for a longer period than five years without permission granted
in writing by the Insurance Commissioner: nor shall any such
company hereafter invest in real estate except to the extent
that may be necessary for its convenient accommodation in
the transaction of its business, and then in no case to exceed
ten per cent of its invested assets, including cash in banks.

Such company shall not engage in buying or selling goods,
wares or merchandise, except articles insured by it on which
losses are claimed, and except in replacing, rebuilding or re-
pairing insured property as provided in its policies, nor en-
gage in any business other than as specified in its charter
or agreement of association and expressly authorized by law.

154H. Such company shall maintain unearned premium
and other reserves in the same manner, and upon the same
basis as required of domestic stock insurance companies trans-
acting the same kind of insurance ; provided that such com-
panies as write all. or the major portion of its policies, to
expire on some certain date, or levy annual or periodic assess-
ments against all policies in force payable on some certain
date, shall maintain unearned premium reserves computed pro
rata for the unexpired portion of the term. All reserves re-
quired to be maintained as aforesaid, shall be set up as a
liability in all financial reports of or concerning each such
company filed with the State Insurance Commissioner. The
State Insurance Commission may prescribe any reasonable
basis other than the above for reserves for losses or claims, or
may permit such reserves for losses or claims, when based upon
the premium income, to be computed upon the net premium
income after deducting any so-called dividend, or premium
returned or credited to members.

154I. Such company not possessed of assets at least equal
to the unearned premium reserve and other liabilities, shall
make an assessment to provide for such deficiency upon only