New-York tribune., 1879-01-21
CArsEe OF THF-ADvANCF.

4 NATURAL RtsULc OF ET"KLE-S INSURANCE Bf
SNAIL CuUPtNW.-A LAfGa ADNASCE - RATES
oN PROPERTY u THr DRY GOODS rI-1EIcI.
The fact that two great fires have occurred
within q wccK IN what l. generally known a. lhe al!
good. district, involving ioss oi aboHt Si,1Ooooo
while the il the same proper w was III excess
of tht sum seem, to have aroused the Insurance com
r,r;e, dgiu IN NcT-YoTE. m some II, asurt at
least 10 a Of the Tc situation oi ahar' no "e'Fo
measures have been taken toc,ahrha uniform advance
in the rates premiums CHARGED by the different com
panics hui a multantGus movement BEGAN >,steriay'
winch resulted in putting nv the rat charged All t'
lending conpanie, doing business IN the c''y, on al
average nearly 100 cent as compared with the pre-
mlums charged two weeks ago.
The local Board of Underwriters this city aftera
determined effort to MAINTAIN agreed rates on "pcche"
classes of risks that continued during period Of sew
era year, decided March -. 1877, To make rates
advisory, ~ it had already become apparent. even
10 those who desired not to see, that little
/ or no reference being paid to th' e.
| tabished tariff. Following this action OF The
local board in the following May the National Board oi
Fire Cbd,rwtitcrs which Tor several years bad been
dong n attcnptngto d. throughout the country what
had been left to the New York board To accomplish III
th,, city-eniOrce schedule rates classified risks
adopjcd resolution referring the matter OF idcs ~ me
local boards N The different cities. Practically TINS
/ resulted in "a dissolution If the National Board
/ nr at l,ast in cutting the principal
country Since that trnc each company has be Ell left TO
pursue it, own course charge such rates Of premium as
1t might think proper might be able to obtain an,
in word t. transact its own business III Its own way
without any reference 10 the views OF lis CO.
workers in the business. At the same time
rates were being abandoned Jy The counl anes values
were dcurcciatiuc and the values Of stock held by
/ the leading merchants Of the city were continually
| growing less The abaud0nmyut Of AL attempts 10
| maintain schedule rates followed by " Tree
! light" on the rart Uf Large number or th'
! compauies seeking patronage III this country, IN
! which actual rates became greatly reduced Not
/ on Y have the companies made large reductions
III the prices named in their policies but rebates con
| ces,ions commissions OF Vbaeyerl the underwriters
may have pleased to call them, have been readily granted
to tie publc until the amount Of cash revenue derived
hy the companies bee little more tHau onc-haf the
rr rates in existence prior to the dissolution OF tie
two boards above mentioned.
There has been decided difference Of opinion among
what are generally known the conservative compa-
MES the policy 10 be pursued In order to re-
establish considered payinE rates. The man.
ayers some of The oldest and strongest companies
in this city have maintained that the best
thing TO be done under The circumstances was
to permit the reckless and weaker componirs that do
n local business principally to their length which
couldnOt be long. 1t claimed, with little or no
accumulation Of assets serious fires, Involving the
loss oi several millions. the continued transaction OF
business actual loss was sure to leave those com
panes practically bankrupt and the sooner Tins took
place the for tho more conservative companies
Other leading underwriters have insisted that
such course would prove TOO expensive,
to justify its adoption, and consequently from time 10
time efforts have been made, the first Of which took
place at the time OF the dissolution Of the National
Board, 10 form a Rate Association, each member OF
which, regardless OF the action OF the companies that
were not connected with the association, should
/ u4ain %
| meeting of the underwriters in this city,
which Was attended by the representatives
OF severtyfour companies, six,y-nine companies
voted favor Of establishing such an association, and
a committee appointed TO prepare the necessary ar
lccs Of agreement. plan Of operations, etc This com
mttee has not reported but IL is very generally bo
lioyed that the recent losses VIII materially hasten the
completion OF the organization, aud that before long
most OF he companies dong business in this city will
agaln bind themselves to maintain tariff rates
Meantime without any attempt TO bring about a
cert Of action most of the companies Yesterday
yauced the charged risks within the drygood dis
jc, nearly 100 Der cent. The old tariff based upon
80 cents premium torbe 500 OF insurance Tor standard
frstcass reproof risk Very few buildings, however,
come up hi, standard. aud for each additional
verage tariff rat" charged IA dryg ods merchant IN
the part of tie city between go aud - cents
Connection dur The past two reduced this rate
from 80 40 cents. In nearly every instance whore
ucwals made Yesterday, or additional RISKS taken,
! the insured were exicted and oba,ncd TINS advance
| does not apply, however, as yet, to dwellings,
or other cass sc5 o. hazard not included IA
/ the dry good, district. It is true, a,
! has been reported. that there great
excitement, either among ,he insurance companies
themselves the cIdnts The adj rates,
nor that thrr- any disposition TIE part OF the
panIcs 10 contest claims OF he merchants who nave
he, burned II tie recent great hIrs The work OF
the adIl>crs has not reached h point, and. at most
the companies refuse 10 IHv Uhy tie claims OF
! those IN whose places tie ire, originated. There
WAS % good deal OF talk yesterday among the
writer's about tine myStcr on oi t' fact thar
great fir, had Occurr,d ju-t after the frs, Of III
within small district. aud tna 9th r. dad cXtin-
cI!shCl before serious damage dcnc \
rrrt Insurance remarked yes ord1y: " h We 10
doubt origin of thrsc fires. aud hnk there IL
"A diSposOn among tbs INSURANCE COupauts the
! matter TO The bottom"
4 Cispatch from Boston ycscrIay said that IN con
Sruucnc. of The recent great hrcS ms city, b. which
Boston Insurance companies ,uhcIcd htIVIiy meeting
| wA~ held that cIty yc,t,ldy to what action
srnnld be tdScn. Ten comptn,es Represented and
trlfs st-rncics. II voted pedlrut
/ sh a tariff uf rates aud committee uf nyc Wa aV-
Doincd CONSIDER subject Of an increase rates