THEODORE R. McKELDIN, GOVERNOR                     153

(2) the sum of any indebtedness to the association on the cer-
tificate, including interest due and accrued, and a surrender charge
equal to 2 1/2% of the face amount of the certificate, which in the case
of insurance on the lives of children, shall be the ultimate face amount
of the certificate, if death benefits provided therein are graded.

However, in the case of certificates issued on a sub-standard basis
or in the case of certificates, the reserves of which are computed upon
the American Men Ultimate Table of Mortality, the term of any ex-
tended insurance benefit granted including accompanying pure en-
dowment, if any, may be computed upon the rates of mortality not
greater than 130% of those shown by the mortality table specified in
the certificate for the computation of the reserve.

In the case of certificates issued after December 31, 1955 for which
reserves are computed on the Commissioners 1941 Standard Ordinary
Mortality Table or the 1941 Standard Industrial Mortality Table,
every paid-up non-forfeiture benefit and the amount of any cash sur-
render value, loan or other option granted shall not be less than the
corresponding amount ascertained in accordance with the provisions
of the laws of this State applicable to life insurance companies issu-
ing policies containing like insurance benefits based upon such tables.

252.  Beneficiaries. No beneficiary shall have or obtain any vested
interest in the proceeds of any certificate until the certificate has be-
come due and payable in conformity with the provisions of the insur-
ance contract. The member shall have the right at all times to change
the beneficiary or beneficiaries in accordance with the constitution,
laws or rules of the association. Every association, by its constitu-
tion, laws or rules, may limit the scope of beneficiaries.

An association may provide for the payment of benefits not ex-
ceeding the sum of $300 as funeral benefits to such person or persons
as may reasonably appear to the association to be equitably entitled
thereto by reason of having incurred expense occasioned by the burial
of the member.

253.   Qualifications for Membership. Any association may admit to
adult beneficial membership any person not less than 15 years of age
AT HIS nearest birthday who has been examined by a legally qualified
physician, and whose examination has been supervised and approved
in accordance with the laws of the association, or who has made
declaration of insurability acceptable to the association. Any such
member who shall apply for additional benefits more than 6 months
after becoming a beneficial member, shall pass an additional medical
examination, or make an additional declaration of insurability, as
required by the association.

Any person so admitted prior to attaining the full age of 21 years
shall be bound by the terms of the application and certificate and by
all the laivs and rules of the association, and shall be entitled to all
the rights and privileges of membership therein, to the same extent
as though the age of majority had been attained at the time of appli-
cation. An association may also accept general or social members
who shall have no voice or vote in the management of its insurance
affairs and may issue juvenile certificates on the lives of children
under the age of 21 years or under the minimum age for adult bene-
ficial membership whichever is loiver.