.A FARMERS’ MUTUAL FIRE INSURANCE COMPANY. 25 
by this company on such building, or on its contents, shall immediately cease. 
(ad) 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 te 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 POoLICY.—The sale of insured prop- 
erty shall immediately suspend the insurance 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 590 
eents. : 
(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- 
paney, 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 comMPpANy.—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 shouid the pro rata cost 
of insurance for such period exceed the short-term rate above prescribed, the 
actual pro rata cost shall be deducted. Whén 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) Poticy 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, 
