The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1867-01-10
Fire Insurance Losses.

Mr. EDIToR:-By the late report of the Mas
sachusetts Insurance Commissioners, it appears
that in the eighty-three fire insurance compa-
MES doing business in that State, their
combined losses and expenses exceeded the
Premiums received by $11l9,156, and that it
would cost $11, i'll ,316 to Ie-insure all their
outstanding risks; this added to the excess of
losses, &C., over their receipts, shows the large
sum of $2,2sO,A72 as sunk by these eighty
three companies during the year ending No
vember LIST, 1866. From this can be seen the
great necessity for the increase of rates recent
-ly made, and it is found that thirty three per
cent. additional premium would have to be
added to the receipts to allow these companies
to make themselves WHOLE without adding any
thing to surplus account. 10.
The companies doing business in Massachu-
sets are but small portion of those of the
whole country, and it is safe to calculate that
at least SIS 100000 has been sunk by the COM
panies throughout the United States, during
the past year. -at9.
This truly disheartening state of affairs to
the underwriters, and the continuance Of ex-
tensive CONGREGATIONS throughout the country,
was calculated to create alarm for the future,
and'were it not for the stringent measures
adopted by the underwriters, and the increase
of rates, we should fear the consequences.
Had the various insurance companies con-
tinued to do business, as they had done here
and elsewhere, paying losses and insuring at
non-remunerative rates, the history Of fire in
surance companies for 1866, would have been
one of sad account As it is, the advance in
rates here as elsewhere, has saved many compa-
MES from bankruptcy, yet, notwithstanding this
one of the largest companies in New York,
now doing business in this city, has recently
called upon its stockholders for an assessment
of forty per cent. on the capital, to make good
its impairment by recent heavy losses.
Cheap insurance is not the best for the COM
munity at large, as the insured and the insurers
both, are thus often made to suffer. 2e
The experience of the past two years has
been such as has never before been witnessed
in this or any other country. History does
struction and loss. What then shall be done?
Let the business community and property
holders stand by the insurance companies and
they may be sure the insurance companies will
stand by them, as they did, after the sad fire of
July 4th, in this city; but if they CONTINUE to
cry out Combination" "the Ring" etc, and
use other epithets such as are now applied (by
some of our fellow citizens) to those who arc
required to do the best thing they can to save
{ the companies they represent, from ruin, they
can have no right to expect security or indem-
nifty in the day OF calamity, should it ever
again overtake them. 81 01 nc ,goaa9a
If the trader sells his goods for less than the
cost, he must expect to fail. II an insurance
company continues to take risks at less than
they can afford to carry them at, it win also be
sure to fail; hence it is the duty Of every good
citizen to be willing to pay fair and just
equivalent for the risk these companies assume;
this being done, all will be safe; without it all
will be uncertain. oae f4g5 salW.D. T..