Savannah morning news. [volume] (Savannah) 1868-1887, 1883-08-25

THE INSURANCE MOVEMENT.
General Opposition to Increased
Rates and the Average Cause.-The
Conference with the Banks-HOw the
Underwriters Look at the Matter
The conference yesterday between the
banks and the committee representing the
cotton. rice and naval stores interests OF
Savannah. in reference 10 the issue "l
loans on insurance policies bearing lne
average or reinsurance clause. resulted
in a demand BIZ the banks for nfty per
cent. additional insurance, OF money al
ranced On such policies as collateral Sc
curity.
The conference was held at noon in the
Directors room Of the Savannah Bank and
Trust Company-all the banks Of the city
being represented. The matter was fully
discussed. The unanimous opinion Of the
bank officers and the committee was that
a repeal Of the law requiring a deposit Of
$4,000 with the state by the insurance
companies would tend 10 secure better in
-urance rates.
The requirement Of this deposit tends TO
keep the insurance business within the
control Of a few companies who are privi-
legged 70 exact such rates and impose such
conditions as they choose without fear of
competition. With regard 10 the average
clause the hanks are in favor Of its IT,
rn0yal. As institutions Of public trust
they are required 10 advance loans only
upon the sOundest security. In con-
sequence Of the co-insuTance clause
which provides that in case
% loss under a policy 70 which il i at
tached the company shall be liable only
for such proportion Of the whole loss as
the amount Of the insurance bears to the
cash value Of the whole property insured
at the time Of the finer they are unable
70 determine what may be the value Of the
security they accept. In view Of this
fact they are compelled to exact
additional insurance as a margin upon
which % issue the loan. A continuance
If the present policy il is believed Will
seriously cOmDlicate business transac-
tiGus and tend 70 the injury Of our com
mercisl interests. The requirement OF
the - per cent margin places an embar-
- upon the business Of the merchant.
b. the repeal Of the law requiring the
license deposit Of $4,000. and the removal
Of restrictions upon the insurance bust
ness. II is believed that strong and sol
vent companies would at once enter the
territory. and issue policies under more
favorable conditions. and AT more salts
factory rates than are now obtained.
\ petition 70 the Senator and Repre-
advantages % follow a repeal of the
license deposit law by inviting cOmpeti-
ton IN Insurance business. and asking
their efforts u secure its repeal. was
adopted by the committee. and forwarded
20 Atlanta last night. and also a similar
petition 10 the commercial exchanges in
other cities Of Georgia. asking their CO
operation in the movement.
The local Board Of [ Underwriters are
rH1 80
the movement. They believe that the
+ average clause and the increased rate
F 0f insurance promulgated by the
southeastern Tariff Association are
detrimental ~ their interests. They re-
sisted the advance in rates and the
enactmeHt- Of the association were
adopted by the local board under
passage Of the license deposit
law by the legislature and are strongly
IN favor Of lis repeal. \ conference will
be held to-day between the committee
and the underwriters when the matter
viii be considered AT length and some
definite action taken.
y mass meeting OF all merchants and
others interested in the movement Will be
held at the City Exchange on Monday
evening. when united action will be taken.
L memorial 20 the General Assembly will
+ 5e presented for adoption and steps viii
: he taken leading 30 the securing Of more
advantageous rates aud insurance with
+ out Objectionable restrictions.
Failure of "A Big Dramatic Enterprise.
The announcement Of the stranding in
Chicago Gf the George Edgar Shakespeare
ian Company which was booked for
/ three nights engagement in this city in
October. is received with regret by Sayan-
nan theatre-gOers. The company was
regarded as probably the strongest
theatrical combination on the Ameri-
I can stage, aud was composed Of
I such well-kn0wn talent as sarah Jewett,
+ Ada Ward, Henrietta Naders, Frank
Aiken. William Davidge and others. The
scheme was first placed on foot last
March. the intention being TO form a first.
] class company to present ShakespeaTian
I drama. The organization owed its exist
Z ence to \. &. Wheeler, a writer for the
press: g. I. Neyhart. theatrical specu-
/ lator, and W. II. Davidson. a young
man, who is a Wall street specu-
+ latoT. The company started out
from New York about four weeks
ago. Before the start some trouble
l was experienced, and before the train
/ left the depot several members Of the
company who had grown uneasy APP
preached the acting manager who repre-
+ ist Of the scheme, and asked him if there
/ was any trouble about money matters,
7 With a cOmplacent smile upon his face
Z the placid representative of visionary
+ thousands jumped to his feet. and, slap
/ ping himself on the breast, said he had
/ a draft for $1,000 in his pocket which he
would cash when the party reached Chi
cagO. His statement was believed, but
after Chicago was reached and the COM
I pany had partially played its engagement
] 10 miserably poor houses It was found that
I DaVidsOn's agent did not have a dollar.
/ Repeated kilograms were sent to New
/ York for money by Manager Edwards last
Saturday, bUt the persons to whom they
I we're addressed did not even deign TO
answer them. The result is that the
disabled company will after Saturday
I night disband and its members rs best
/ they can will get back to New York. The
disbanding Of the combination is regretted
/ all over the country in dramatic circles,
and especially Ia Savannah. where many
If those prominently connected with it
7 were well known. Manager johnson has,
/ however. already 1lled the dates with
/ other popular attractions.
s.Taudss Paril,~ on Mondax EvauinU