PUBLIC LAWS-CH. 792-OCT. 9, 1940 Hearing. Unauthorized solic- itation or representa- tion. When license not required. Unauthorizedinsur- ance. "Company" con- strued. Penalty. Prviso. Inappllability of ection. Licensee for lines In unauthorized oom- Pt p. 10B1. (f) Said license is being used primarily for the purpose of obtaining commissions on policies on which he, on his own account, pays or is to pay the premiums, or on which the premiums are paid or are to be paid by any person who receives or is to receive any benefit, direct or indirect, from the commissions obtained, or on which the premiums are paid or are to be paid by any partnership, association, or corporation of which he is a member. Before the Superintendent shall revoke or suspend the license of any such person he shall give to such person an opportunity to be fully heard, and to introduce evidence in his behalf. SEC. 37. UNAUTHORIZED SOLICITATION OR REPRESENTATION.-It shall be unlawful for any person, without conforming to the provisions of this Act, directly or indirectly to represent himself as having authority to solicit, negotiate, effect, procure, receive, or forward directly or indirectly any policy or renewal thereof, or to attempt to effect insur- ance, surety, or indemnity contracts covering any person or insurable interest in the District, or to countersign any policy or renewal thereof. SEC. 38 . WHEN LICENSE NOT REQUIRED. -T he provisions of this Act relating to the licensing of policy-writing agents, soliciting agents, salaried company employees, and brokers shall not apply to the sale of personal accident insurance in the ticket offices of railroad companies or other common carriers, or in the offices of travel bureaus, nor to the business of life insurance, fraternal benefit societies, or ocean marine insurance, nor to insurance covering the property of railroad companies and other common carriers engaged in interstate commerce. SEC. 39. UNAUTHORIZED INSURANCE. -Except as provided in section 40 of this Act, no person shall act as agent in the District for any company which is not authorized to do business in the District, nor shall any person directly or indirectly negotiate for or solicit applica- tions for policies of, or for membership in, any company which is not authorized to do business in the District. The term "company" as used in this section shall include any association, society, company, corpora- tion, joint-stock company, individual, partnership, trustee, or receiver engaged in the business of assuming risks of insurance, surety, or indemnity, and any Lloyd's organization, assessment, or cooperative fire company, or any reciprocal or interinsurance exchange, fraternal beneficial association, order, or society, and any company, association, or society, whether organized for profit or not, conducting a business, including any of the principles or features of insurance, surety, or indemnity. Any person who violates any provision of this section upon conviction shall be fined not less than $100 nor more than $1,000 for each offense, or be imprisoned for not more than twelve months or both, and any such person shall be personally liable to any resi- dent of the District having claim against any such unauthorized com- pany under any policy which said person has solicited or negotiated, or has aided in soliciting or negotiating: Provided, That the provi- sions of this section shall not apply to any person who negotiates with an unauthorized company for life insurance, or for policies covering his own property or interests, nor shall the provisions of this section apply to the officers, agents, or representatives of any company which is i process of organization under the laws of the District, and which is authorized temporarily to solicit or secure memberships or applica- tions for policies for the purpose of completing such organization. Prosecutions for violations of this section shall be upon information filed in the police court by the corporation counsel or any of his assistants. SEC. 40. LICENSES POR LNEws UNAUTmORIzED COMPANIES. -Any agent or broker licensed in the District may, upon payment of a license fee, as provided under section 41, be licensed to procure policies from companies which are not authorized to do business in the District 1080 [54 STAT.
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