The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1879-01-11

DEMoRAIlzED CONDITION OF THE BUSINESS
THE BOARD OF FIRE UNDERWRITERS FAVOR
TIE FORMATION OF A TARIFF ASSOCIATION.
The New York Board of Fire Underwriters met yes
terday at their rooms No. 1856 Broadway. The object
of the meeting to hear the report of the special
committee of nine appointed at the last meeting to
inquire into the causes and to consider what action
in their opinion should be taken to remedy the pres
emit demoralized condition of the business of tire in
surance in this city and vicinity.
Mr. John d. Cocks, chairman of the committee,
ported the following most prominent unavoid-
able causes: First. the depression which
has characterized all kinds of business for
several years; second. the shrnkage OF
values. thus reducing The volume of insurance
needed and the increase of capital in competition for
this diminished volume of business. The commit
tee he said. think that the only hope for change
these conditions must be based upon return of gen
eral business prosperity and the revival of the trade
and commerce of the country. Among the other
avodabe causes he added are the failure to sustain
uniform tariff OF rates. ths allowance of rebate to
the assured and the payment of excessive commits
sions to brokers'
THE REMEDIES PROPOSED.
The remedies proposed for the above causes by
the committee the establishment of uniform
tariff of net rates, without rebate deduction to the
assured and restriction of the rate OF commission
to brokers' The COMMITTEES thinks IL by the COM
mon consent Of all the companies ana agencies, an
agreement could be had these points it would 30
far toward saving the business from that destruc-
ton to which the present uncontrolled competition
IL leading it, The committee further report that, in
case plan is agreed upon, perfect
ity must be maintained toward one another
by all companies; if companies doing
agency business agree to and do sustain
local rates in this city the local companies which
have agencies but WHICH take risks other cities
over their own counters, must sustain the local
tariffs OF the places where the risks are located
Companies which have adhered to the system of re-
bate have also the right to demand that the abolition
OF that system shall be accompanied by lower rate
OF commission to brokers' as evidence to the
sured OF an honest effort the part of the compa-
MES to reduce this expense of the bust
ness. The committee therefore amended that
the members of the Board should take the
necessary action to form tariff association place
upon the clerks table the proposition to form such
association. let the companies voluntarily and
unanimously come forward and sign it, and then,
Il they agree upon plan of action, the remedy for
the present generalization will be in their own
hands. The committee thinks the fears that such
organization may bind those who faithful its
rules without holding proper check on those who
are not are groundess.
The report adopted by vote of 70 to 4. and
after the meeting the seveuty-nine companies which
voted III the affirmative had consultation and de-
cided to meet on Tuesday, January a. for the pur-
pose of considering the question of the formation OF
tariff association.