Seattle daily post-intelligencer. [volume] (Seattle, W.T. [Wash.]) 1881-1888, 1884-09-21
Nst RANCE RATES.

| 1ANsE RATES.
| The Coast Rezfs,e IN, A-,.. -
nselestinR collection of notes and fact
S.''e 70 the insurance business O,
tt sa,s coast. Talking Of the recent leeis
nas.oh ia th's state regarding a tax OF
Insurance policies, Portland CORE
spo"leni says; Insurance clmpanie,
are neither children hor fools. ane
~nsn some wise granger GOT a Law
9Asseo in the Oregon Legislature call
InE io' Que per cent tar or the pre
mum OF every policy issued. we mean
ing tne conpan'osJ simply. in our gen
e1o-iiy' called on the assured 10 pay fol
VA iItiie lnxury, or else 90 without In
sur nre. This applies TO the mort.
.aA ihs' ~ well as other monu
nents OF legislative wisdom.
IN ~ article on CITY and Countr,
sas. tue hee,ein takes the ground
suat property holders outside OF ths
laiee cities should not gramble at hiob
Iaees' IL says that lower rates are
cnaIeea IN large cities like San Fran.
CISCO oecanse the favorable loss ratio
~ tue latter Is the result of superior
RECOMMENDING facilities. The steam
engines and other appliances, the eIec-
sI,o aihtm system, the short interval
urt"ssn tne alarm and the arrival of
Ine nremen, the abundance OF water
restrict the Losses and keen
sne risk within reasonable bounds. y
Inc weak link IN the argument
tue assumption that none bat
metropolitan dwellers posss % these
safeesafds. Astoria, for exam
PIE, nas steam engines and other
Appliances, the electric fire alarm sys-
tem, the short interval between The
e,arm ana the arrival of firemen, the
abundance of water" all of which our
contemporary cites as arguments for
low rates, and vet Astoria pays the high-
est rates OF any city on the coast. There
are several reasons why Astoria pays
such high insurance rates. The princi-
pal reason is-just because she does.
Our city is looked upon as bonanza by
insurance men. when a little x25, coo
blaze in Spokane Falls or Waila WaIIa.
or elsewhere in this Northwest, causes
the board companies to lose. they CON
sole themselves with the reflection that
they play even" on Astoria.
This has been denied, but the matter
is susceptible of proof. As prominent
insurance agent in this CITY said to us
share of insurance in Astoria for nearly
eight years, and $500 would cover ali
the losses to my companies occasioned
by fires in this CITY," Insurance rates
are higher now with all our costly ap.
plianoes than when We had nothing but
an old hand engine and a few feet OF
leather hose. OF course Justice suo-
Rests the statement that risks are rated
on higher markings. but the fact re-
mains that in the belief of many there
exists in this city in the important mat.
ter of fire insurance an onerous and un-
just tariff in the rates charged.
The foregoing, from the 4storia,.. is SO
applicable to Seattle that we reproduce
1t entire. We have come to regard fire
insurance and fire insurance companies
as delusion and snare. Local ex.
perience has been that their promises
are never kept. Their rates are
higher now than they were ten years
ago. Then there was no protection
whatever against fire. Our citizens were
told that rates would be lowered il they
would get hand engine and organize a
company. The engine was got and the
company organized. The rates we're
not lowered. The people were told,
thsugh, that An engine and n company
were of no practical good without els
terms. This Was reasonable, and the
cisterns we're b lit. Tbe rates re-
mained for time the same as ksfore
When a change came the rates were
raised. and the charge of 10 per cent
was stablished. We were told that our
are appara atus was not sufficient; steam
engine Was needed. it was bought. but
it didn't bring down the rates of insur-
ance q particle. Then the lack of fire.
proof buildings WAS put forward.
These, too, were provided; bnt they
seemed to have no effect outside their
own walls. With view to lessening
the risks, fire limits were established,
another steamer WAS bought, and hook
and ladder outfit, inclines built down
to the sea, an abundant supply OF water
secured, hydrants placed on the street
o~rners. more oisterns, hose, oempanies
Of firemen. brick buildings, improved
streets aud innumerable other things
obtained. with the result that on the LIST
of September new rates went into effect.
which are higher than any that ever
before prevailed. Rates in brick build
ings were raised, though there never yet
has been loss here IN one of them. In
wooden ranges rates bavs be-, put up
from and 3 per cent. per annum 90 ID.
and from 10 to II. At the same
time the companies have ont down
the commissions OF local agents. These
rates are cxtortionate. They are charges
far beyond the actual risks. They are
rates beyond the power of the average
business to pay: and upon the best
lines of business thew are a tax of the
most exhaustin9 character. Nothing in
the past history of the town iustifiss IL.
Rates in Portland are only about half
what they are here. and yet the losses
there of the past year have been al least
800 per cent. greater than they have
been here. This is unjust and injurisus.
Our people are quietly resenting it by
the Withdrawal OF their patronage.
Few risks are being renewed, and IL IL
to be hoped the number will continue
TO be lesssned, until the companies are
brought to their senses aud q maximum
rate OF per osnt. established. BY in
creasing our precautions in the future
rs in the past. by prohibiting the erec-
ton of wooden buildings in the bust
ness quarter OF the CITY, by widening
our streets. putting mp brick and stone
houses-things that have been done and
are being done all the time-we can di-
minish the actual risks 30 the minimum,
and then With comparative safety take
them ourselves, and hold them until
the companies conclude that our patron
age is worth getting at one-half or one
third present rates.
s,oHoMrsa iNsTirUTE.
EpIroR observation-disclosures
The mast delichtful ride 1 ever en-.