Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1871-12-28


Up to the Chicago loss of about $780,
600 there was no question of the suffici-
ENJOY of the assets to meet all liabi lies
not counting the 100000 of premium
notes-but the heavy losses in Chicago by
that Company wiped out, as alleged, the
available cash assets in the opinion of the
Commissioner, and the Company were
obliged to suffer the loss incident to re-
lection in that State.
This led us to look at this claimed as
set Of So, 223,s47 IL of premium notes held
by the Company with view Of the Com
psny's legal and equitable right to the
credit of the same.
We found all these notes secured by
legal lien upon the property insured, for
the payment of part of the premium for
which they were given, the balance hsv-
ing already been paid in cash. We found
the workings of these premium notes
such, under the provisions of the charter,
as to not only create legal lien upon the
property insured up to the face of the
notes, less any portion paid, but enab-
ling the Company in its corporate name
to enter up Judgment as by confession
for any assessment or assessments made,
with costs, upon which execution may
Immediately issue to the Sheriff, com
mspdjng him to sell enough of the pro-
perty to cover the Judgment and costs of
suit.
We find also that no sale or assignment
of the property by the insured who has
given his lien note to the Company, con-
ditioned for the faithful payment of all
assessments made in any way, affects the
incumbrance, but the same remains in
full force in law till the end of the term
Of insurance fer the payment of the pre-
MUM on which the notes were given.
There are also many other sections ia
cilitating the prompt enforcement of the
payment of the assessments made upon
the premium notes up TO their face, il re
quisite, for the payment of any and all
losses occurring during the term for
which the notes were given, but the above
ia the subsistence and quite sufficient to
convince US Of the fact that those pre-,
MUM notes so secured are real available
cash assets-as good as frst-olass bonds
and mortgages land far better for many
reasons. They are better secured and
more expeditiously made availabls.
We see no reason therefore why this
Company sbouid not be credited with the
additional asset of $6.223 SALTS, with
which. through an assessment of the
requisite per cent, to raise cash at any
time 70 meet all occurring risks.
The security, therefore, we maintain is,
and always must be. ample to meet all
risks, and the Company is entitled to the
confidence of the public.
We might state in confederation of the
opinion here given, that the Company is
paying oil it's risks in full-those of Chi
csgo inc)uded-and in fact is obliged to
do 20. 1t is a mutual company, "a we
stated, with inherent self-su staining
powers. The history of the Company
also has proved its plan of collection of
premiums to have been safe and economi-
cal and ldiciously managed. Whenever
the Company needs money to pay Losses,
it has an ample fopd npan which to draw,
beyond all question.
The tirade which has occasionally ap-
peared against its claim toFthe possession
of available assets of over $4,000, 900, in
some of the periodical insurance journals.
has not been we'll founded. The Company
only needs TO be understood to com pei an
of confidence in its sol |
veucy and ecor omy.
We are satisfied that the Massachusetts
Insurance Com missioner has not been
made fully acquainted with the nature OF
he available cash assets OF this Company
Dr he woull not have MIDI the decision
be has. We have no doubt that upon
proper presentment of the facts the Com
missioner will review the opinion by him
given aud render t. tho Company the JUS
ice 1t il entitled to-