Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-09
ALL is NOT HARMONY
In The Ranks of the Big Fire Insur-
ance Writers of Pittsburg.
DISSATISFACTION In THE CAMP,
Caused by the White Lead Trust Placing
All of Its Business
IN THE HANDS OF A NEW YORK BROKER

All is not harmony at oresentin the camp
OF local insurance underwriters.
Most OF the dissatisfied seen yesterday
were rather guarded in their utterances, but
one under promise that his name should
not be used, had this to say:
The action of four OF the leading fire in
surauce companies having agencies in this
city has given rise TO a good deal of unlavor-
able comment among the insurance fra
ternitv. 1t seems that the White Lead
Trust lately formed, and which embraces all
the white lead concerns In the city, has can
celed all the fire insurance on the plants
here and replaced the same through New
York broker, the s1me being placed with a
syndicate formed nv the Phoenix, of Brook
lyn; the 'Phpnix, of London; the Com
mercial Union, of Philadelphia, and the
London, Liverpool and Globe. All four
OF these companies have authorized agen-
cies who are presumed to have entire con-
troll of the business written here. A stand
ing rule of the Board of Underwriters, we
understand, precludes agencies here from
paying commission to New York or other
outside brokers on all business Iegitim ately
belonging to this field, and this
action OF the companies named
in ignoring the usual methods
and courteses of the business, and taking
the entire lead business, at one swoop, from
our local agencies, that have heretofore con-
trolled if, is decidedly new feature OF the
trust business, and. if continued in the same
manner by all other trust combines, will
J L. H.
similar concerns in the city.
Threats of Kind of Boycott.
"a number OF insurance men feel that an
injustice has been done the general business
anu have resolved to discontinue all exchange
business with the companies named and decline
to renew on expiration any business now writ
ten by them. What may be the result of such
action remains TO be seen. 1t is sufficient to say
thar insurance men. other than those represent
ing ne four companies named. have no hesIta-
tiOn in forcibly expressing themselves against
II. One agent says if these four companies de-
sire To enter into combination to write all
the trust business in the country they
lad better retire from the local business alto
g-ther.
Tie Jumbo business, as it is called has
never been popular with the insurance frater-
nitv nor has the experience of the companies
writing such business been very satisfactory,
either 10 themselves the assured. IL is a
ma of no little surprise to see the Pho ix,'
Of Z ooklyn, trying IL again after her former
expert nee
\ number of people said by this informant to
be agCrleved were sought. J. w. Arrott did
not have much to say. but he looked as though
lie might say considerable if disposed to do so.
lie smiled when asked If, as alleged, the local
agencies of the Big -Four" had been seen and
placated for allowing a New York broker 10
write the business over their heads. He said it
took away some business that he had lately
possessed.
William Jones was not in his Office, and
clerk denied any knowledge of the Matter.
Not Regarded as Very PalatabIe.
Thomas d. Kellar, Manager of the German
Insurance Company OF New Y ork, said as he
was not individually concerned, the matter
had not been brought to his attention, but, of
course, it could not be regarded by them as
palatable.
John D. BiCgert, local agent of the
"PhPnix, of London. one of the big Four"
said he had been sick and knew nothing of the
arrangement.
William G. McCandless, of the Commercial
Union" of Philadelphia, made light of the
matter. stating 1t was a tempest IN a teapot
and noJ worth talking about.
Mr.. kennev. of Edwards & Kenuey, of the
London, Liverpool and Globe, talked in general
way like one who was on the inside and not
under the necessity of putting on sackcloth
and ashes. He admitted that the arrangement
much of the pattern of which complaint
was made. but appeared TO think there would
not be so much friction anticipated in some
quarters He said the placing of the insurance
had been put into the hands of broker in
New York. and be could place it to suit him
self in the hands of 4 or 40 times companies
as he saw fit.
The Standard Oil Company Is supposed by
some to be the power that directs the business.