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NATIONAL HEALTH INSURANCE ACT, 1924.

(e) A member of an approved society on terminating his membership shall, unless he is a person who entered into insurance within the two years immediately preceding the date on which he gave notice of desire to terminate membership and has not previously been transferred from some other approved society, pay to the society the prescribed fee. (2) Where an insured person duly ceases to be a member of one approved society and becomes a member of another approved society, there shall, subject to the provisions of this Act, be transferred to that society in respect of that person a sum (in this Act called " transfer value") representing the liability under this Act of the first-mentioned society in respect of that person (exclusive of any liability to provide additional benefits), and calculated in accordance with tables to be prepared by the Minister.

(3) The foregoing provisions of this section shall apply to the termination of membership of a branch of an approved society in like manner as they apply to the termination of membership of an approved society, subject to the following modifications :

(i) In the case of a person desiring to terminate his membership of a branch for the purpose of transferring to another branch of the same society, proviso (b) to subsection (1) of this section shall have effect with the substitution of the central authority of the society for the Minister and proviso (e) to the said subsection shall not apply unless the rules of the society so. provide; and

(ii) The power under proviso (c) to the said subsection shall be exercised by the central authority of the society subject to the consent of the Minister. (4) If any officer, servant or agent of an approved society directly or indirectly pays or provides, or offers to pay or provide, any fee or part of any fee payable under this section, he shall be liable on summary conviction to a fine not exceeding five pounds.

(5) Any person being a member of an approved society to whom a certificate of exemption is granted under this Act, or who ceases to be an insured person, shall upon the grant of the certificate or on so ceasing, as the case may be, cease to be a member of the society:

Provided that if any person within one year after so ceasing to be a member of a society becomes an employed contributor, he shall on making an application for the purpose within the prescribed time be entitled to be re-admitted as a member of the society, and the society shall re-admit him accordingly.

(6) The suspension of a member of an approved society from benefits shall not be deemed to deprive him of his membership of the society.

44. TRANSFERS TO FOREIGN AND COLONIAL SOCIETIES.-(1) If an insured person ceases to be permanently resident in the United Kingdom and becomes a member of any society or institution established in a British possession or foreign country, of a kind similar to an approved society, which is approved by the Minister, or of any branch established outside the United Kingdom of an approved society, the transfer value of that person, or, in the case of a deposit contributor, the amount standing to his credit in the Deposit Contributors Fund, shall be paid to that society or institution or branch, but no such payment shall be made unless the Minister is satisfied that the society, institution or branch in question gives corresponding rights to any of its members becoming resident in the United Kingdom.

(2) Where an arrangement has been made with the Government of any British possession or with the Government of any foreign State, whereby insured persons may be transferred to a society or institution established in the British possession or foreign State similar to an approved society or the Deposit Contributors Fund, and members of any such society or institution may be transferred to approved societies or to the Deposit Contributors Fund, the Minister may make such arrangements as may be necessary for any such transfer as aforesaid, and for the determination of the amount to be transferred in any such case, and of the rights to which any person transferred is to be entitled.

14 & 15 GEORGE 5, CHAPTER 38.

(3) Nothing in this section shall affect the right of a society under this Act to refuse applications for membership, and this section shall have effect subject to the foregoing sections of this Act which make provision for the case of persons resident outside the United Kingdom and for the making of mutual arrangements between the United Kingdom and the Irish Free State.

45. TRANSFER VALUES OF EMIGRANTS WHO REMAIN MEMBERS OF APPROVED SOCIETIES. (1) If a person who has for not less than five years been a member of an approved society for the purposes of this Act ceases permanently to reside in the United Kingdom, and does not join such a society, branch or institution as is mentioned in the last foregoing section, and the approved society is willing to permit him to remain a member of the society and to become entitled to benefits independently of this Act, the society may, subject to regulations, transfer from the account of the society under this Act to the credit of the society independently of this Act such sum as would have been credited to the Deposit Contributors Fund had the member ceased to be a member of the society and become a deposit contributor, and so much of any reserve value which may have been credited to the society in respect of him as would in such a case have been cancelled shall be cancelled.

(2) This section shall have effect subject to the foregoing sections of this Act which make provision for the case of persons resident outside the United Kingdom and for the making of mutual arrangements between the United Kingdom and the Irish Free State.

46. TRANSFER VALUES OF PERSONS LAPSING FROM INSURANCE.—If an insured person, being a member of an approved society, ceases to be an insured person, his transfer value shall be carried to the Reserve Suspense Fund hereinafter in this Act mentioned.

47. PROVISION AS TO MEMBERS OF APPROVED SOCIETIES WHO ARE MINORS.— Any member of an approved society who is a minor may execute all instruments and give all acquittances necessary to be executed or given under the rules of the society, but shall not be a member of the committee or a trustee, manager or treasurer of the society or any branch thereof.

Insurance Committees.

48. CONSTITUTION OF INSURANCE COMMITTEES.-(1) There shall be an insurance committee for every county and county borough.

(2) Every insurance committee—

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(a) shall be a body corporate by the name of The Insurance Committee for the county (or borough) of

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(b) shall have perpetual succession and a common seal;

(c) shall, subject in every case to the consent of the Minister, have power to take, purchase and hold land for the purposes of this Act without any licence in mortmain.

(3) Every such committee shall consist of such number of members as the Minister, having regard to the circumstances of each case, determines, but in no case less than twenty or more than forty, of whom—

(a) three-fifths shall be appointed in such manner as may be prescribed so as to secure representation of the insured persons resident in the county or county borough who are members of approved societies and of the insured persons so resident who are deposit contributors in proportion, as nearly as may be, to their respective numbers;

(b) one-fifth shall be appointed by the council of the county or county borough; (c) two members shall be appointed by the local medical committee for the county or county borough ;

(d) one member shall be a duly qualified medical practitioner appointed by the council of the county or county borough;

(e) the remaining members shall be appointed by the Minister:

NATIONAL HEALTH INSURANCE ACT, 1924.

Provided that

(i) The regulations with respect to the appointment of members to represent insured persons shall provide for conferring on the approved societies which have members resident in the county or county borough the power of appointing the representatives of those members, and, where an association of the deposit contributors resident in the county or county borough has been formed under the regulations, for conferring on that association the power of appointing the representatives of the deposit contributors; and

(ii) of the members appointed by the council of the county or county borough two at least shall be women, and of the members appointed by

the Minister one at least shall be a duly qualified medical practitioner and two at least shall be women.

(4) Where in pursuance of the provisions of this Act any part of the cost of medical benefit is defrayed by the council of the county or county borough the Minister may increase the representation of the council and make a corresponding diminution in the representation of the insured persons.

(5) Provision may be made by regulations

(a) with respect to the appointment, quorum, term of office and rotation of members and proceedings generally of the committee, including the appointment of sub-committees consisting wholly or partly of members of the committee; and

(b) with respect to the employment of officers and the provision of offices by the committee, including the use by the committee, with or without payment, of any offices of a local authority, but subject to the consent of such authority; and

(c) for the constitution of district insurance committees, and for apportioning among the several district insurance committees any of the powers and duties of the committee; and

(d) for regulating the relations of district insurance committees to the insurance committee and to one another; and

(e) for modifying the provisions of subsection (3) of this section in their application to an insurance committee consisting of less than forty members:

Provided that the Minister in making regulations under this paragraph shall have regard to the desirability of maintaining, so far as practicable, the proportion between the several classes of persons to be appointed as members of insurance committees as prescribed by the said subsection.

(6) At least one woman shall be on every sub-committee constituted by an insurance committee for dealing with the administration of any benefit.

(7) Any insurance committee may, and, if so required by the Minister, shall combine with any one or more other insurance committees for all or any of the purposes of this Act, and where insurance committees so combine, the provisions of this Act shall apply with such necessary adaptations as may be prescribed.

49. DEFAULT BY INSURANCE COMMITTEES.-(1) Without prejudice to his power to take any other proceedings, the Minister may, if after a public inquiry he is satisfied that by reason of the default of an insurance committee in the performance of their duties the administration of medical benefit or of the benefits of deposit contributors in the area of the committee is being prejudiced, by order declare that the existing members of the committee have vacated their office.

(2) Every such order shall provide for the appointment forthwith, subject to the provisions of the last preceding section of this Act, of a new committee, and may contain such provisions as seem to the Minister expedient for authorising any person to act in the place of the committee pending the appointment of the new committee.

50. POWERS AND DUTIES OF INSURANCE COMMITTEES.—(1) An insurance com

14 & 15 GEORGE 5, CHAPTER 38.

mittee shall, in addition to the other powers and duties conferred and imposed on them by this Act, have the following powers and duties :—

(a) They shall make such reports as to the health of insured persons within the county or county borough as the Minister may prescribe, and shall furnish to him such statistical and other returns as he may require, and may make to him such other reports on the health of those persons and the conditions affecting the same, and may make such suggestions with regard thereto as they may think fit, and the reports and returns so made shall include such reports and returns as will enable an analysis and classification to be made of the persons who are deposit contributors:

(b) They shall make such provision for the giving of lectures and the publication of information on questions relating to health as they think necessary or desirable, and may, if they think fit, for that purpose make arrangements with local education authorities, universities and other institutions. (2) For the purpose of assisting insurance committees in the exercise and performance of their powers and duties under this Act, and with a view to promoting co-operation between such committees and the councils of counties, boroughs, and urban and rural districts, any medical officer of health may, at the request of an insurance committee and with the consent of the council by whom he is appointed, attend meetings of the committee and give such advice and assistance as is in his power.

(3) The Minister shall forward copies of any reports, returns, and suggestions made under this section to the councils of the counties, boroughs, and urban and rural districts, which appear to him to be affected thereby or interested therein.

(4) For the purposes of this section, the expression "council of a borough" includes the mayor, aldermen and commons of the City of London in common council assembled, and the council of a metropolitan borough.

51. LOCAL MEDICAL COMMITTEES.-Where a local medical committee has been formed for any county or county borough or for any area for which a district committee has been constituted and the Minister is satisfied that the committee is representative of the duly qualified medical practitioners resident in the county, county borough or area, he shall recognise the committee, and where a local medical committee has been so recognised, that committee shall, subject to regulations, be consulted by the insurance committee or district committee, as the case may be, on all general questions affecting the administration of medical benefit, including the arrangements made with medical practitioners for giving attendance and treatment to insured persons, and shall perform such other duties and shall exercise such powers as may be determined by the Minister.

52. CONSULTATION WITH PRACTITIONERS WHO HAVE ENTERED INTO AGREEMENTS WITH INSURANCE COMMITTEES.-Where under this Act or any regulations it is the duty of an insurance committee to ascertain, in respect of any matter affecting the administration of medical benefit in the area, the opinions and wishes of the medical practitioners who have entered into agreements with the committee for attendance on and the treatment of insured persons whose medical benefit is administered by the committee, they shall do so through a committee appointed by those practitioners in accordance with regulations (in this Act referred to as "the panel committee "), and the panel committee shall perform such duties and shall exercise such powers as may be determined by the Minister, and in any area in which no local medical committee has been recognised under the provisions of the last preceding section of this Act, a panel committee may be recognised as the local medical committee for that area.

53. PHARMACEUTICAL COMMITTEES.-In every county or county borough there shall, in accordance with regulations, be elected by the persons who have agreed to supply drugs, medicines and appliances to insured persons whose medical benefit is administered by the committee, a local committee (in this Act referred to as "the pharmaceutical committee "), and the pharmaceutical committee shall, subject to regulations, be consulted by the insurance committee on all general ques

NATIONAL HEALTH INSURANCE ACT, 1924.

tions affecting the supply of drugs, medicines and appliances to insured persons, and shall perform such duties and exercise such powers as may be determined by the Minister.

PART III. SPECIAL CLASSES OF INSURED PERSONS.
Deposit Contributors.

54. DEPOSIT CONTRIBUTORS.-(1) Until the thirty-first day of December, nineteen hundred and twenty-five, and subject to any regulations made under this section, the following provisions shall apply in the case of an insured person (in this Act referred to as a deposit contributor ") who has not joined an approved society within the prescribed time, or who, having been a member of an approved society, has been expelled or has resigned therefrom and has not, within the prescribed time, joined another approved society :

(a) Contributions by or in respect of a deposit contributor shall be credited to a special fund to be called the Deposit Contributors Fund:

(b) The sums required for the payment of any sickness, disablement or maternity benefit payable to a deposit contributor, except so far as they are payable out of moneys provided by Parliament, shall be paid out of the money standing to his credit in the Deposit Contributors Fund, and his right to benefits shall be suspended on the sums standing to his credit in that fund being exhausted:

(c) Such sum as may be prescribed shall in each year be payable in respect of each deposit contributor for the purpose of the cost of medical benefit: (d) The sums payable in respect of a deposit contributor for the purposes of medical benefit and towards the expenses of administration, shall, except so far as they are payable out of moneys provided by Parliament, be deducted, at the time and in the manner prescribed, from the amounts standing to his credit in the Deposit Contributors Fund:

(e) Upon the death of a deposit contributor, one-half of the amount standing to his credit in the Deposit Contributors Fund shall be dealt with as if it were a sum payable to an insured person by way of benefit under this Act and unpaid at the date of his death, and the balance thereof shall be transferred to the Reserve Suspense Fund:

(f) Where a deposit contributor proves to the satisfaction of the insurance committee that he is permanently resident outside the United Kingdom onehalf of the amount standing to his credit in the Deposit Contributors Fund may be paid to him:

Provided that the foregoing provision shall have effect subject to the foregoing sections of this Act which make provision for the case of persons resident outside the United Kingdom and for the making of mutual arrangements between the United Kingdom and the Irish Free State. (2) Provision may be made by regulations for

(a) Applying any of the provisions of this Act relating to members of approved societies, with the necessary modifications, adaptations and exceptions to deposit contributors:

(b) Enabling the accounts of deposit contributors to be kept in terms of contributions, and the amounts payable to or in respect of deposit contributors on account of benefit to be fixed as nearly as may be in terms of contributions, and for prescribing the conditions subject to which the benefits of deposit contributors shall be paid or provided :

(c) Prescribing the amount which may be charged in respect of the expenses (by whomsoever incurred) of administering the benefits of deposit contributors and for providing for the payment of and otherwise regulating those expenses.

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