308(1)The form, terms and conditions of the applications and policies of insurance of the insurer shall be determined by the board in conformity with the provisions of this Act and shall be subject to the approval of the Superintendent and any policy may be renewed at the discretion of the board by a renewal receipt instead of a new policy, on the insured giving his premium note therefor.

308(2)Every application and policy shall bear the words “Mutual Company - subject to pro rata distribution of assets and losses” together with a statement of the company’s total reserves as of the thirty-first day of December preceding the date of the application or policy, printed or stamped in large type and in red ink at the head thereof.