New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-03-20
TIE LEGISLATURE And The INSURANCE
COMPANIES

Gentlemen of the Legislature should not get
confused OF tins insurance business. Real legal
safeguards against such calamities as the mis-
management of the Security are earnestly de-
sired. Meddling inquiries about salaries and
other points of business management, whose
yindication is always and only TO be found III the
success they secure, can only harasS an interest
that is already struggling against heavy enough
odds No objection would be made toward
any thoughtful legislation really looking
toward protecting the public. But protecting
the public is very different from the blind raid
upon the insurance interests in committee
rooms and otherwise which is now urged, and
from which the public can receive nothing but
detIiment.
The feeling created by the failure of the
Security and other large companies has been
seized upon by some of the leaders OF the
Assembly as an opportunity to make political
capital. Others, and perhaps the greater num-
Der, Join in the cry in the hope OF frightening
the companies into a compromise or III other
words compelling the companies to buy them off.
Actuated by these different motives, large
number of members of the Assembly are
taking every possible step to harass, investi-
the State. That many of these gentlemen
know scarcely more about insurance than they
do about the Koran, and that they are generally
vOung men, unfamiliar with business opera
lions of magnitude, while the interest they
are attacking amounts to hundreds of millions
of dollars, and permeates every fiber
of the business not only of this city but
of the United States, are matters which do
not enter into their considerations.
1t is time, however, that these proceedings
were stopped. Our business community are
eagerly welcoming n revival or confidence.
One by one our various industries are lifting
themselves from the slough of dcspond into
which they have so long been plunged. From
the capitalist to the laborcr the hope
is that better times are at hand. I'M
der these circumstances they cannot
afford anything tending to destroy the conf
dencc which has been so long i'll returning, or
restore the stagnation which has brought dis
tress into many households.
The large insurance companies of this city
have. like every business man, suffered more
or less from the hard times and the dcprecla-
ton which has taken place in all securities,
even to Government bonds. While there can
be no question, however, rs to their solvency,
it is no difficult task, in the existing state of
the public mind, to destroy confidence
so as to impair their business and
inhict severe losses upon them, which losses
will in turn react upon those having policies
with them, or upon whose property they may
hold mortgages. The business community want
no bankruptcies that are not needed; no re-
criynrsLiDS where the demand for them Is not
plain. They feel that the needless failure OF
"A single prominent company in the present
state of business might bring upon us anew all
the disasters from which we have apparently
escaped. We can assure hIessrs. O'IIare, Purdy
and the rest that the road 10 popular favor Is
not through harassing the insurance companies
The people want safeguards for the future
not wrecks Of what we have.