Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1878-10-24
Fire Insurance a Necessity.

rire insurance Necessity.
The world must pay for its rapid
movements. The increased revolution
OF machinery generates friction, dan
ger, and destruction; but the demand
for three days work in one is irresisti-
bic, and we submit to this increased
wear and tear and count it as a part of
the expense ofthe business.
Destruction by fire is one of the ele-
ments of this expense; and this has
wonderfully increased within a few
years The manifold forms of lumina-
ton and lubricating oils, the infinite va
ring of material in manufacturing, ig-
nltable by the slightest friction, or by q
breath as it were, to say nothing of ex-
ploslons and spontaneous combustion,
have added vastly to the ratio of loss.
Insurance Tepays that loss IN part: and has
therefore, become indispensable to COM
merce, manufacture and indeed to al
most every business or form in which
earthly possessions are invested. Only
those in daily contact with it arc aware
how thoroughly in entwines itself
around every bill of lading; how it car
ries on its broad shoulders the grain in
transit or IN elevators. bank advances.
real estate securities, and the credit of
every merchant for the goods upon
his shelves, and gives the sense CT Sc
curity with which every man
rests his head upon his pillow. 1t
stands next to railway and banks in the
amount of capital invested 1t is the
citadel to which all fly for refuge in
time Of the greatest disasters. 1t is the
sea-wall erected to arrest the swelling
tide. 1t is the financial reserve which
on many hard fought battle field has
saved the day, and enabled the scattered
legions to reform their lines. 1t is true
breaches are sometimes made in the
walls of the fortress-the pillows over
leap the barriers-the last column IS
mined the castle, and those depending
on it for safety have been lost; some
times the guardians have been false,
and stolen its splendid munitions. All
this because in the last analysis every
human enterprise depends upon the
honesty aud wisdom of man. But the
fact remains these are the best that
have vet been devised to meet the i'm
perative want. There is no possibility
of dispensing with insurance, and man
kind will not try to do so.
The capital invested in these compan-
les has not been extravagantly remuenr-
tive. The New York reports show a
very moderate average, while Chicago
Boston and St. Johns show where
almost a hundred companies disap-
peared from sight with all their capital
and Accommodations. Indeed, we need
not look beyond the fires occurring
since 1871 for the cause of the financial
distress. An amount equal to half the
national debt has been annihilated, and
the drafts to replace this loss have left
a vacuum vastly greater than the con-
traction of the currency, or the amounts
tied up by wild railroads.
Realizing the supreme importance of
this interest, it is well for the public to
enquire whether the pressure for Glow
rates. is not going beyond the point of
safety. This prop, upon which the
whole business structure leans, may be
hewed so thin that it cannot sustain the
weight. Competition is great, and
every man feels justified in getting the
lowest rate in the market. No excep-
ton can be taken to this; but just one
step beyond is the ''yawning gulf of
bankruptcy, or abandonment Of the
business, neither of which is desired or
can be tolerated by any healthy interest
of the country.
There is q tremendous depreciation
of values going on throughout the
world; and there is an unseen but act
ual connection between this shrinkage
and the loss by fires; and it is no
time to weaken this buttress, upon
which all pecuniary interests lean more
than ever, because it is more difficult to
replace dollar lost now than in ordin-
airy times.
These thoughts have run away with
me, and 1 have used more space than
intended, calling attention to the fact
that the. demand for low rates is being
pushed so far as to compel prudent com
panies to retire, while others join the
"devil take the hindmost" race for
whatever premiums they can get, with
a very we'll defined purpose of taking
care ofthemselves IN time.
The "Nadison'' is a company willing
to write as low as compatible with their
promise never to Issue policy which
could not be redeemed. Adhering to
this rule it is one Of the few companies
that saved any money in the first half
of1878. Thishas also been aided by a
careful wedding out of old risks, by
watchfulness in selecting new ones. and
eeor ony in expense. That this new de-
parture Las met the approval ofthe pub
| lie is evidenced by the fact that we can
pay our usual dividend and all losses
and expenses from the premiums of
1873 and Shnr, q rn tin Of Gosh nScntc to