A FABMEBS' MUTUAL FIEE INSURANCE COMPANY. 25 



by this company on such building, or on its contents, shall immediately cease. 



(d) Liability of the insured. — The liability of the insured shall be limited 

 to his pro rata share of the losses and expenses of the company, plus a 

 reasonable contribution to the reserve. 



(e) Joint or concurrent insurance. — Property insured in this company 

 shall not be insured in other companies except with the written consent of 

 this company. Where joint insurance is permitted, this company shall be 

 liable only for such part of the loss as the insurance carried in it represents 

 of the total insurance carried on the property, whether the insurance carried 

 in the other company or companies is valid or not. 



(f) Insurance to be specific — Buildings shall be separately described, 

 and the value of each building and the amount of insurance thereon shall 

 be stated in the application and in the policy. The value of each class of 

 other property and the amount of insurance thereon shall be similarly stated. 



(g) False statement by applicant. — A false description of the property by 

 the applicant or any false statement by him, either in regard to ownership or 

 relative to any other material fact, shall render the insurance on the property 

 in question void. 



(h) Sale of property and transfer of policy. — The sale of insured prop- 

 erty shall immediately suspend the insu-ranee thereon, and unless application 

 for transfer of the policy is received and accepted within 10 days after the 

 date of sale, the policy shall be canceled. A policy may be transferred or 

 assigned by obtaining the consent of the company and paying a fee of 50 

 cents. 



(i) Removal of property and changes in form or use. — The permanent 

 removal of personal property, or any change or alteration in the form, occu- 

 pancy, or use of a building affecting it as a risk by increasing the fire hazard, 

 shall render the insurance thereon void, unless the consent of the company 

 has been previously obtained for such removal or change. 



Sec 11. Reduction and cancellation of insurance. 



(a) Action by the insured. — A member may at any time, upon written 

 request to the secretary and the payment of all valid claims against him, 

 have his policy canceled. He may also, upon showing cause, have the amount 

 of his policy reduced. 



(b) Action by the company. — The company may, upon five days' notice, 

 for refusal to remedy dangerous conditions, or for any other cause deemed 

 sufficient by the board of directors or their representatives, cancel any policy 

 or any part thereof. 



(c) Return of unearned premium or assessments. — When cancellation 

 takes place at the request of the insured the company shall return such part 

 of the premium or last regular assessment as remains after the deduction of 

 one-eighth thereof for each month or major fraction of a month that has 

 elapsed on the current policy year : Provided, That should the pro rata cost 

 of insurance for such period exceed the short-term rate above prescribed, the 

 actual pro rata cost shall be deducted. When cancellation takes place at the 

 initiative of the company, such part of the premium or regular assessment 

 shall be returned as is proportional to the unexpired part of the current policy 

 year. 



Sec 12. Fees and assessments. 



(a) Policy fee and initial premium. — A policy fee of $1.50 and an initial 

 premium to be fixed by the board shall be paid by the applicant, or satisfac- 

 tory security for their payment shall be given by him, at the time of making 

 application for insurance. For additional insurance a member shall be charged, 



