The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1869-01-26
TUESDAY, JANUARY 26, 1869.
a Princely OHce-A Rich Political
TbInVn.


''Insursnoe Bureau" similar to that in New
York and Connecticut. The design OF this was
clearly to increase the revenues OF the Sta'e,
protect our citizens against the deoeptlons oi
bogus companies, and to open new held lor
the investment of capital by our own clulens'
bv providing proper laws for the establish
ment of Pennsylvania Insurance Companies.
As the laws are now, and as the wants OF our
people are, there can be no doubt but that the
whole system is rotten at the core. The fees
of the District Attorney OF Philadelphia
county for examining the books OF foreign
companies, through an agent, amount to
SIS, 900 per annum or over, while the State
gets nothing of this large sum. The estab-
lishment Of home companies is almost impos-
sible under existing laws; so that we are
throwing into the hands of foreigners all our
vast insurance interests, and receiving but
comparatively small bonus for the State
although the companies are mulcted to a high
figure. There is, therefore, in the whole bu-
siness OF insurance in the Keystone State q
fruitful field for renovation.
The Governor having directed attention to
IL, d DLll was lubIOuuOSu AhSO bhO l1OupO VI
Representatives, and reported favorably on by
the Committee on Ways and Means, which is
entitled can Act to establish an Insurance De-
partment." Granting to the author all the laud-
able desire in the world for the accomplish
ment of reform, we cannot see in his bill
any remedy for the evils complained of. In
the first place, the mere appointment OF an
N 80 tho MOI fnr
our ills. We want careful revision OF the
insurance laws of the State. The defect
mainly to be remedied is there. Such revi-
sion cannot be done in week by bill. 1t
needs attention and study. AS this bill bears
upon its face marks of crudity, far as it goes,
and does not pretend to correct the evils of
the laws, but merely "charges the Commis-
sioner with the execution of all laws already
passed." 1t is easy to see that it does not cure
the defects.
But even supposing that it was intended to
leave the revision of the laws to distinct legis-
lative action, still the proposed law does not
meet the wants of the people. 1t makes the
Commissioner an autocrat. He has power,
solely at his discretion, to refuse to allow any
company to issue policies within our borders.
He has power to cut them off at any moment.
Section seven says:-"Whenever he is
satisfied that any company has not the requi
site assets for doing safe and legitimate
business, or is exceeding its powers, or failing
to comply in any way with all the require
ments of the law, by its officers or agents, he
shall at once revoke all authority he may
have given to the same.' This is, of course,
q fearful power, and he is the sole Judge as to
what may 'satisfy" him. Surely, with this
sort of influence he should be required to give
heavy security, so that there should be some
check on fayoritism, malice, or corruption.
The ldW proposes that his security be fred at
ten thousand dollars. Such sum as this is a
premium on bribery and Partially. 1t should
be five times that sum.
While, however, the responsibility is as
slight as possible, not so the fees. Ths Com
missioner is given a commission for three
years, and is not removable except for "gooa
and sufficient cause" Now what will this
political plum be worth His salary is $4,000,
"which shall be the fall remuneration for his
services" Now this does not mean, apparently,
that he shall receive no fees. 1t merely means
that he shall not come at the end of the year
and receive an extra appropriation for extra
labor. Such is the way the law reads. If it
means otherwise, it should be more clearly
expressed. This view is strengthened, as he
is in the same section given an additional sum
of $500 for travelling expenses. And, again,
little further on, "the following shall be the
fees to be paid to the Insurance Commissioner
by the companies or their agents, which fee
shall be paid in advance" Nowhere is it said
"which fees shall be paid into the treasury of
the State" If such is the intention, the
theory of Talleyrand that the use of words is to
conceal ideas has good instance furnished.
Now what are these fees
For filing charter $4,000
For filing changes 1000
For filing annual statement 1000
For each certificate of authority 500
For copy Of paper filed (per fOliO) 10
For certifying. lOO
In addition to these, the companies must
obtain the licenses hereafter from the Com
missioner, and not from the Auditor General,
and for this we suppose the old fees continue,
sav s1O license. The report of the Auditor
Genaral for lS67-the one we have on hand
shows 22O agents of foreign companies in
Pennsylvania paying taxes, not to count oul
own companies. Now what will be the feei
OF the Commissioner Let us sum up
Salary 5000