N.Y. Insurance Law § 4507: Juvenile members

§ 4507. Juvenile members. (a) An authorized society may admit to adult

insurance membership any person not less than fifteen years of age at

nearest birthday. Any person so admitted prior to attaining the full age

of eighteen years shall be deemed competent to contract for life

insurance benefits, and to exercise and enjoy every right, privilege and

benefit provided by any life insurance certificate on the life of such

minor subject to the limitations contained in section four thousand five

hundred eight of this article as to the designation of beneficiary.

(b) Any such society may provide in its constitution or by-laws for

the admission, as juvenile insurance members, of children less than

eighteen years of age at nearest birthday. They shall have no voice or

vote in the management of the insurance affairs of the society. Life

insurance benefits may be made payable upon the lives of juvenile

members, upon the application of some adult person, in accordance with

the by-laws, rules or regulations of such society, and in amounts which

shall not exceed the limits specified in section three thousand two

hundred seven of this chapter.

(c) Juvenile members insured under certificates issued pursuant to

this section, if eligible for adult membership, shall be transferred to

and become members of the adult branch of the society upon attaining the

minimum age for adult membership under the laws of the society. Upon

such transfers made pursuant hereto, the mortuary reserve funds accruing

against such certificates and an equitable share of any surplus funds

pertaining thereto shall likewise be transferred to the adult mortuary

fund.

(d) Any such society may provide in its by-laws that mortuary

payments, meaning that portion of contributions allocated to the

mortuary fund and to reserves on outstanding contracts, received under

new certificates issued on or after January first, nineteen hundred

thirty-nine, covering the lives of juvenile members, may be mingled with

the mortuary or reserve funds held on classes of adult certificates on

which adequate reserves are maintained not lower than those required by

the minimum standards of valuation prescribed by this article for adult

certificates issued on or after January first, nineteen hundred

thirty-nine. Except as hereinbefore provided, every such society shall

maintain the mortuary and reserve funds on insurance on the lives of

juvenile members and the accretions thereto, separate and distinct from

all other funds of the society, and the same shall be held as a trust

fund available exclusively for the payment of benefits under such

contracts.

(e) Any such society insuring the lives of juvenile members may

provide in its by-laws, rules and regulations for payment on account of

the society's juvenile expense fund, and that such payments may be

mingled with the general expense funds of the society.