A farmers' mutual fire insurance company. 27 



building in which they are kept : Provided, That the board of directors shall 

 have power to prescribe rules under which kinds of property not specifically 

 hereinafter enumerated may be placed in one or the other of the following 

 classes, or in additional classes created by the board. 



Class A. — Brick or stone dwellings with roof of slate, metal, or other non- 

 combustible material, when properly rodded against lightning. 



Class B. — Brick or stone dwellings with wooden roof, when properly rodded. 



Wooden dwellings with roof of noncombustible material, when properly 

 rodded. 



Unrodded brick or stone dwellings with roof of noncombustible material. 



Class C. — Wooden dwellings with wooden roofs, when properly rodded. 



Unrodded brick or stone dwellings with wooden roof. 



Unrodded wooden dwellings with roof of noncombustible material. 



Granaries, corn cribs, and hog houses located not less than 100 feet from the 

 dwelling, nor less than 50 feet from the barn, such buildings being properly 

 rodded in all cases where the insurance applied for is $200 or more. 



Live stock not pastured during the summer months except where all fences 

 are properly grounded. 



Class D. — Barns properly rodded. 



Unrodded wooden dwellings with wooden roofs. 



Granaries, corn cribs, and hog houses located nearer the dwelling or the barn 

 than as specified for Class C, or lacking the lightning protection required for 

 that class. 



Live stock pastured during the summer months where fences are not properly 

 grounded. 



Class E. — Unrodded barns and other property deemed to be of similar hazard. 



(1)) Initial premium rates 1 and basis of assessment. — The rates of initial 

 premium for the various classes of property shall be determined by the board of 

 directors, and shall be so adjusted a,s normally to cover one year's cost of in- 

 surance together with a reasonable contribution to the reserve. Assessments 

 shall also be determined by the board, shall be based on the initial premium, 

 and shall constitute a fixed percentage thereof, being equal to, greater, or less 

 than 100 per cent, as the needs of the company may require. 



Sec. 15. Losses. 



(a) Prevention of loss. — It shall be the duty of the insured to cooperate 

 with the company in making his property as safe from loss as may be reason- 

 ably possible. In case of fire he shall use his best endeavors to save his property 

 and to protect from further damage such parts thereof as are not destroyed. 



(b) Notice of loss. — A member incurring a loss shall immediately notify the 

 company, and the latter shall promptly provide for the adjustment of such loss. 



(c) Statement of loss. — It shall be the duty of the insured, when so re- 

 quired by the company, to make a complete and sworn statement of the loss in- 

 curred by him. Such statement shall include a complete list of the property 

 'lost or damaged and the value thereof before the loss occurred, and shall in- 

 dicate the time of the loss, the member's knowledge or belief as to the cause 

 of the loss, and if by fire, his knowledge or belief as to how such fire originated. 



(d) Settlement of disputed claims. — In case of disagreement between the 

 adjuster or adjusters and the member sustaining the loss, the company and 

 the insured shall each select one person, not an officer or director of the com- 

 pany nor a relative of the insured, and the two so chosen shall select a third. 

 These three shall constitute a board of arbitration, and their award shall be 



1 Suggested rates for the classes of property above outlined may be found in the appli- 

 cation form (p. 30) under " Summary." 



