The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1867-03-25
law passed by the

INSURANCE. law phSSeu ny the
Legislature last winter on the subject
of Insurance is'creating Considerable
stir among the insurance, companies
hereabouts. We understand the foreign
companies decline to comply with the
requirement that they shall each make
n deposit with the State Treasurer, for
the reason that the law gives them no
guaranty for the security Of the dePos,
1t. They are therefore preparing TO
withdraw their agencies, and are al
ready refusing to take any more risks.
The general understanding Is, we be-
ieve, that the deposits are required on
ly of the foreign companies. This was
no doubt the intention of those in
whose interest the law was passed, but
the law itself seems to have different
effect. We quote the substantial pro-
visions OF the act. The first section
provides that "All insurance composites
establishing agencies or doing business
in this State, except life and accidental
insurance companies" shall pay the
State an annual tax of 3 per cent. on
their gross receipts. The second sec
ton proceeds to say that "the said conn
panies shall deposit with the Treasurer
OF this State, S25, 600 in money or United
States securities" as security to policy
holders; and, further, that "the said
deposit shall be retained and held for
that purpose as long as said companies
have outstanding or unexpired policies
| on property within this State, or unad-
justed habilities." The third section
provides that il any company without
complying with this law, TRANSACT
business within this State, or make or
| renew any contract of insurance." such
company land every agent or officer
thereof acting in the matter In this
State, in behalf of such company, shall
for every such offence forfeit not less
than twenty nor more than two hun
dredIdoIlars."
One thing seems clear from the word
ing of this act, that all the companies,
home and foreign alike, are put on
precisely the same footing. The lam
guage "All Insurance companies estab-
fishing agencies or doing business in
| this State" certainly includes all; and
the language OF the second section,
'the said companies shall deposit" re-
fers to that quoted from the first, and
is in effect that "all insurance compa-
MES establishing agencies or doing
business in this State. shall deposit"
&c.
The question then for all the compa-
MES is, whether they would have any
security for their deposits, in the abb
sence Ola specific provision. The treas
| urer would not be responsible to them,
of course but we should think the
State would be; but if all companies
complied, the sum placed in the Treas
urer's hands would be very large, per-
haps near million of dollars, while
the bond of that officer to the State is
only 10000; so that the responsibility
of the Treasurer to the State would be
very insufficient under such circum-
stances.
The law is at best very crude one.
| Construed strictly, it will be seen that
it only requires one deposit of SIS, 900 to
be made by all the companies together,
yet it is not to be supposed that was the
| intention. The next Legislature ought
to establiSha Committee on the English
Language, through whose hands every
bill should go before becoming a law,
so the laws may mean what they are
intended to.