Joseph McKenna

“ No agent is authorized to accept risks of any kind or make or modify contracts, nor have they ever done so. The officers of the company reside and have always resided in and near the city of New York, and had and have their offices and places of business at the home office. All risks are accepted and contracts made, modified, and discharged at the home office.
The manner of taking applications for insurance and the final issue of policies is alleged, which shows that the ultimate judgment of their character and acceptance is reserved for the home office. ”

“ This legislation is in effect attacked by the contention of the insurance company. We have already pointed out that if insurance is commerce and becomes interstate commerce whenever it is between citizens of different states, then all control over it is taken from the states, and the legislative regulations which this court has heretofore sustained must be declared invalid.
The number of transactions does not give the business any other character than magnitude. ”

“ The subject came up again for consideration in passing upon a statute of Massachusetts which levied a tax upon all premiums charged or received by any fire, marine, and fire and marine insurance company not incorporated under the laws of the state. The law was sustained. It was said: 'The case of Paul v. Virginia decided that the business of insurance, as ordinarily conducted, was not commerce, and that a corporation of one state, having an agency by which it conducted that business in another state, was not engaged in commerce between the states.'
Fire Asso. of Philadelphia v. New York. ”

“ Certainly not that which takes place before and after the transaction between the plaintiff and its agents in secret or in regulation of their relations. But put agents to one side and suppose the insurance company and the applicant negotiating or consummating a contract. That they may live in different states and hence use the mails for their communications does not give character to what they do; cannot make a personal contract the transportation of commodities from one state to another, to paraphrase Paul v. Virginia. ”

“ The plaintiff is a New York corporation, with its home office in New York city, and has transacted and does transact the business of life insurance on a large scale in all of the states of the United States, and with persons residing in every country of the civilized world. It commenced to transact its business with residents of Montana in 1869, and its business has progressively increased until its total insurance in force in that state amounts to $10,023,445, calling for premiums amounting to $343,664.93. ”

“ The company also employs an agency director by contract in writing directly with the home office through the mails, who supervises the work of soliciting agents and recommends those who desire to become such. The company also employs medical examiners, with specified duties, their employment being negotiated through the mails, and their reports are made through the mails, and if further information is desired, the home office obtains it by correspondence through the mails. ”

“ It is provided that the agent shall render the list, and if he refuses, or to make affidavit that the same is correct to the best of his knowledge and belief, the amount may be assessed to the best knowledge and discretion of the assessor. The corporations and companies are subject to no other tax under the laws of the state except on real estate, and the fees imposed by law. ”

“ Rep. 110, and in New York L. Ins. Co. v. Cravens, 178 U.S. 389, 44 L. ed. 1116, 20 Sup. Ct. Rep. 962. The latter case has special application, for the plaintiff in error here was the plaintiff in error there, and the case concerned life insurance companies and their policies. In that case it was contended that a policy of mutual life insurance was an interstate contract and the parties might choose its 'applicatory law.' The contention was made in many ways and with great amplitude of argument and illustration. ”

“ It was a regulation of insurance companies not incorporated by the state, and required their agents to be licensed upon the performance of certain conditions. Subsequently, by the act incorporating Chicago, the legislature imposed on all foreign insurance a tax of $2 upon the $100, and at that rate upon the amount of all premiums which should be received. It was made unlawful for any company to transact business until the payment was made. The state supreme court sustained the tax and this court affirmed its action, resting the decision on Paul v. ”