New-York tribune., 1871-10-21
INSURANCE.
THE CHICAGO CRISIS.


RECEIVERS APPOINTED FOR TWO MORE INsoLv-
ENT COMPANrHs-A CIRCULAR FROM SUPER
INTENDENT MILLER-A TABLE OF TIE sUs-
PENDED COMPANIES.
Two additional insurance companies TOOK
refuge In the courts yesterday and rumOrs arc in crcu
laton that several other companies will be obliged to
,uspend operations to-day. In the suit Of James Bowen
against the Washington Fire Insurance Company, to
wind up the affairs OF the Company George saterlce,
President was appointed receiver by Judge
Ingraham. in the Supreme Court Chambers,
and an injunction was granted restraining
the Company from doing any further business
The capital Of the Company is 100000 aud the surplus 10
claimed TO range from $4,000 to 100000 portion OF
the assets however, IN tho form Of mortgages which
will require time for collection. The losses are under
stood TO be about $500 O although the officers OF the
company claim that they may be less The Company mas
issued policies for marine we'll as fire Insurance. Inc
President stated last evening" that he was unable TO
estimate the actual osses although he Ind sent several
agents to Chicago for the purpose of consulting with
policy holders,
In the suit OF the Market Fire Insurance Company,
Judge Ingrnham appointed Henry P. Freeman receivers
and on application Of George W. Montgomery, an inunc
ton was granted restraining tho Company from doing
any farther business The suspension Of this Company
has been previously announced. Its capital is Soooo
and its assets are said to about OO Its losses are
not positively known.
Much excitement prevailed yesterday in the vicinity
Of the insurance Offices in lower Broadway, and many
sensational rumors in circulation The Secretary
Of prominent company, whose losses nave neen
inconsderable, told TRIBUNE reporter that
he had private information which justified
him In asserting that three moro leading
companies would not last Is hours. 1--WE will have chaos
for time in insurance circles" he added but 1t will all
end in restoration Of confidence and resumption OF
business under healthier relations Companies Ike mine
which have comparatively clean scores from the chicago
fire. are already doing q magnificent business"
In order the uncertainty with regard to GER
tain companies the superintendent Of Insurance has
addressed the following circular letter to every company
doing business in this city:
ISsuGANcE DGPARTxsST srETH NEvYoRK,}
T rr.ssan. OA s.'ae, Of I..uTo1ss coropsnts. g.,
co ohs pat Of =: West the S::. IT. S9s . hi
soSpssiss doing business in tie HovYO will thea
Ss ear sSs PcSe %GSSS & sIss 1S.,t u II er apd S
Other os-S month October he time Ofsts,smsat
S @ is Bo1iT,y Statements tOr.rsd uESn & The ,s. bs 5, D
Of Clpi form Sers IN i,c'qsd YO1g &C.
Tho letter is accompanied by blanks, aud asks intor
nation on the following points; Gross present assets
nv CScaso 8e fcnsnTancs fund according to The New
York sandard total losses by the Chicago fire. and total
The attention Of the pocr holders in insurance com
panies which have suspended snouo De GreeGeG 10
questionable practice on the part OF certain companies
in this CITY, In whOh insurances are removed from
The money paid for premiums for the continuance OF these
policies Is taken from the assets OF the suspended cOmna
n.y. manifes y the disadvantage Of policy holders who
transfer insurance is perfe ted without the knowledge
Of other pOcyhOders, whose money taken
support other Insurance companies instead allowing
the insured 10 secure their insulanccs where
their own judgments will dictate. This Is
praotced Ivy prominent companies and large amounts OF
money Will thus he used to rCtnSuTe outstanding risks,
thus containing tbs business OF the companies Tor
period Of perhaps five ycarS-the time OF expiration OF
long policies Hence prominent insurance men assert that
the longtime policy system should meet With the con-
dCmnatUn Of honest insurers, and claim that the
Of insurance companies and the insurng public
better subserved by iusurn2 for single year tln
upon the OnGterm principle. the practice above de
scribed 10 allowed to continue, receveFsp Will remain
IN force five years. thus delaying the settlement and nnaI
adjustment Of all claims Of the suspended companies.
AS matter Of equity TO other Insurance companies 1t
claimed that this practice should be stopped at
once, and shut the superintendent OF the
Insurance Dcpa lnon should take measures 70 suppress
the practice and give the insured in suspended companies
sprOmpt and easy cancellation of their policies and
pense and at early day the business Of the cOmpa
hos be closed and the assets be distributed among
the losers by the disastrous fire.
The following table, prepared from the private memo
randa of leading Company, shows that bl companies
have suspended thus far Many other companies in the
Western States have undoubtedly been crippled; but 10
Trustworthy information Of their financial condition has
yet boon obtained. Only OF the Cleveland companies
has formally closed but from the statements OF New
York agents in that city 1t appears that the others are
hOpeleSsy embarrassed
WE