Worcester daily spy. [volume] (Worcester [Mass.]) 1850-1888, 1871-11-27

TO The Editors Of the Worcester Spy:
In these exciting times with the fire insurance
companies of our country, and especially Of our
own state since the great fire at Chicago, in con-
sequence of which very naturally large por-
ton of the people are disturbed in their insur-
auce is it not well TO consider little she situa-
ton of things and not allow the great calamity
to Chicago to oyerslladOw some of the causes
which have affected directly so large portion Of
the people bytrequiring them to pay double and
in many instances treble insurance premium
in their haste TO rcinSurc the property that has
been SO suddenly uncovered by the failure of SO
many stock companies?
The full extent Of the liability Of these, as
well as OF those companies that have been, largely
crippled in their resources by the disaster, is not
known to the community.
We see in The newspapers of the day not ces
and advertisements OF insurance companies and
agents setting forth the narrow escape of some
and the slight losses of another and the assets OF
another above the hundreds of thousands of
dollars losses at Chicago, while others boasting-
~ assert the thought, pleasing to them, to be
interested in the losses and their ability to pay,
&C.. all pointing to a long round of figures rep
resenting their assets. Still the community arc
in the same darkness as 10 their situation as be-
fore, not knowing how many times their assets
another western city.
Experience and observation teach the lesson
that something besides the long row of figures
attached TO the name ola company, is necessary
to make that company safe and acceptable to
the community.
Too often do the agent and broker, influenced
by no other than selfish motive, (their com.
missiOn), lead aStray a hard working, indus
trlOuS man, by the comparison of figures of as
sets attached to the names of companies,
binding the eyes of their victim from the fact
that these companies Of the smallest assets are
Ottenumes the soundest and strongest
Mean as it may seem, there are cases where A
committee OF Investment, connected With some
of our institutions of savings some one of
which Is an insurance agent or broker, through
whom all policies must come, as no others will
he taken as collateral on a loan, subiectinn the
borrower, in some instances, to pav A Iargcr
amount Of insurance money than the interest
on the loan.
1t was but the other day gentleman came
into my Office, handing me policy Of another
office, saying: This is the fifth policy of in.
surauce ! have paid Il premium on the past wear
and now TO my chagrn, find my policy Of no
good to me- A pretty heavy assessment for
stock companies to make on the assured, five
tunes the amount Of the premium paid, and no
Insurance. An assessment unbeard Of as made
by any mutual company in this state, against
whom the argument is always made, Dread of
assessment" "For the first time, am going to
act for myself, and place the risk without the
advice Of any one"
wise conclusion. have no doubt he acted
ludielously and placed his risk where he will
not be disturbed, certainly not by any western
cOnhagration.
Now, while we deplore the great calamity to
lineage and couutenance the paying in full every
dollar OF the obligations of every insurance com
pahy interested in the losses OF that blighted
city, we should not let pass unimproved the
lesson oil that imprudenee, growing out of
grasping, 0yerreaching operations Of companies
causing such heavy drain upon the people of
this state, Tor whose protection and benefit they
were incorporated.
Is it not a grave question and one worthy or
serious consideration whether stock and mutual
companies chartered under the laws of our own
state, should not be required tf not restrietedl
10 return ~ the insurance commissioner annual.