The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1893-02-23
FOR INSURANCE MEN.
Several Bills to Regulate Their
Business.
OBJECTIONS BRIEFLY STATED.
d. A. Spencer Tells the Other Side
Fire waste ON the Coast In 1893
The Wildcats Dying.

Several bills have been introduced in the
legislature to regulate the business Of in
surance companies which are strongly
opposed by the insurance interests, a.
detrimental not only to themselves but to
the public generally. The objections to
them were stated to Posr-IxrELLrGEscER
reporter yesterday by D. A. Spencer. man
ager of the Home Insurance Company, in
an interview in which he said:
The bill introduced to prevent combinations
OF companies and agents, known a. the anti.
compact bill, gives an irresponsible person the
right to cite the manager Of any insurance com.
pany. or its agents, before the insurance com.
missioner, and gives the commissioner power to
require the manager or agents to appear before
him 1t . specified time and place to suswcr TO
such complaint, to administer 0aths, issue sub
poenas for witnesses, issue commissions for
taking testimony by interrogation, to cause the
companies to produce their books and papers,
and otherwise to harrass and annoy the COM
paniee. The immediate effect would be to cause
all the companies known As board companies
to withdraw from the state, and SO deprive
our property owners and business men of the
insurance necessary to the transaction of their
business. The idea is largely prevalent, among
many people ct least, that the board prevents
competition, which 10 entirely untrue, as there
are fully 1cO companies of good standing now
doing business in the United States that have
not cared to come into the field, all OF which
can come in without becoming members of the
board. ii they choose to do 30. The truth Is
that the business of Washington has not yet
been profitable field for fire insurance COM
panes, aud that 10 the true reason why there 10
not more competition.
Among other bills was one requiring every In
surance company, life, fire and accident, to pub
lish statement in detail in q newspaper in
every county in the state where they have IN
agent As detailed statement of the assets of
some OF the companies would fill a good-sized
book, it Is easy to what the result OF the pas
sage OF such dill would be- The task would
be too OnerOus for any of the companies to
stand. am glad to say that the insurance COM
mittee of the house decided to report against
the passage of this bill.
Another bill, intended without doub: to bcne-
fit the people of the state, required all insur.
ance companies to invest one-half of their gross
receipts in the state. As a very great many of
the fire companies at least pay ont considerably
more than half their gross receipts in losses, IL
can easily be seen that the passage of this bill
would work q very great injustice to those com.
panies am glad to say, in this case also. the
insurance committee decided to report against
the passage of the bill.
There are also several other bills which would
not affect the insurance companies seriously.
with possibly one exception-ihat known a. the
valued policy law. This bill makes the amount
OF insurance written upon any building prima
facie the value of the building, and 10 bid for
arson. as any man, who BY Misrepresentation,
can get his property insured beyond its value,
would have very great advantage against the
company in the event of ita loss by fire. The
fact 10. insurance contracts are 90 frequent that
every man taking out policy ought to know
that his contract only provides for the actual
less or damage caused by the fire within the
limit of his policy. and if he insures for an
amount in excess of the actual value there does
not seem to me any good reason why he should
be paid for that excess.