New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-06-30
MR.. PIERCE DEFENDED.
THE STATE SUPERINTENDENT OF IN
SURANCE NOT INVITED TO Ex-
ANIME THE NETWORK LIFE.

PRESIDENT INGALLS, ACTION CRITICISED BY THE
REPRESENTATIVES, OF RIVAL COMPANIES
Further inquiry among insurance peop.e and others
has developed the fact that the matter OF the dis
satisfaction Of the NewYork Life people with the
New-York Insurance Department IL one rather
affecting the private handing OF the New-York Lie
Insurance Company than the administration OF the
Insurance Department 1t is claimed that the avs OF
the State OF NewYork do not require the State lnsur
ance Department to make exhaustive examinations OK
life insurance companies. unless the superintendent
has reason to believe there IL something wrong In
company's condition management. The custom,
therefore, has prevailed to exact very carefully pre-
pared sworn reports from the companies at the
end of each year. showing al material facts IN
detail, and thus enabling the Insurance Department
TO Judge OF the condition Of the companies Unless
he questions the veracity OF those making the re-
ports. he Is quite abe, say insurance people. to
pass upon the sovency OF a company without spend
ing the months necessary to investigate personally
their affairs In addition to this, II has been the
custom Of the department, considerable intervals
OF time to make more particular Investigations
sometimes at the request of the companies them
se.ves and sometimes upon the superintendent
own suggestion. Such an examination Is said TO oe
now In process, under the direction OF the HON.
James F. Pierce. Superintendent OF the insurance
Department OF the State of NewYork, OF two OF the
largest life insurance companies-name.y the Mu-
tua, Life and the Equitable LIE. superintendent
Pierce completed very exhaustive examination
OF the New-York Life Insurance Company ABOUT
three years ago, the result of which was the re-
tlrernent of President Beers and the e.ection OF
Mr. Mccall to the presidency OF that company
IS not known whether Superintendent Pierce
n cans to examine the New-York Lie again this
yea. or not but it is presumabe that he consderea
the last examination of that company suticient
until he had completed the examination OF the other
two companies.
A gentleman who is In a position to speak from
a full knowledge of the subject said yesterday:
1T is a very strange thing that the friends of the
New-York Life Insurance Company should make an
attack upon Superintendent Pierce for his attitude
in regard to the proposed examination OF the New
York Life Insurance Company by the Insurance de-
partments Of seven States outside OF New-forN
These friends of the New-York Life have .ed the
newspapers to state that Superintendent Pierce had
been invited to cooperate and assist In this ex-
animation and that he had declined Instead OF this
being So Just the opposite Is the case. The foHow-
ing is a copy OF the letter which Mr.. Mccall wrote
to Superintendent Pierce when he asked the other
departments TO examine him:
New-York Life Insurance Company.
No BAG Broadway. New-York June g. 1894
Honorable f. Pierce. Superintendent Of Insurance
Albany New-York.
Dear SIR inclose herewith copy OF a letter ad-
dressed to Of the Departments Of other States
relative to examination Of this company THIS year
I know how busy you and your assistants Will be IN
other directions from general reports; hence the request
to the outside officials. am very respectfully yours
JOHN A. MCALI.. President
ut will be seen from this that far from asking
Superintendent Pierce to cooperate Mr.. Mccall
Jumps clean over his head and gives the excuse to
him that he knows he IS too busy. FRIENDS OF MI
Pierce consider It very remarkable that the New
York Life should cause him to be abusel for not
u.fera h.a
primarily by the insurance departments of other
States The matter being one entirely outside of
Mr. Plerce's domain, he, in accordance with his
CUSTOM turned the whole matter over to the AT
General for his official advice and submitted
the Attorney-Generals reply to the New-fork ihte'
whereupon the friends Of the New-fork bfe at
tackled the opinion OF the Accomplishment and
made use Of 1t to support theory or hosuhty on
the part of the superintendent to an examination.
a hostility which seems only to exist on the side
OF the New York Life against the New-YOrk In
surance Department and the ACKNOWLEDGEMENT.
The friends Of the New-York Life further attack
the Superintendent Of Insurance for not examining
the Mutual Life and the Equitable Life, when as
a matter of fact he has been examining those COM
panles for long time past and proposes to con-
tnua the same until the work is done. Ii is very
difficult 70 say just what the motive Is In all TINS
1t cannot be that the New-York Life do not con-
slider the opinion of the New-York Insurance De-
partment as a valuable one. for an examination Of
their literature. which has been spread DTOaucast
over more than one country during the last three
years, will develop the fact that very large par
of their claim for public credit Is based on th'1r
continued and emphatic boast that they hsu pseh
tendent of the Ncw-York INSURANCE Department,
and had received his certificate. the New nofK
Life even went so far as to print ms IeS'a IA
ton their official annual reports. ana indeed Mr
Mccall owes his present position to the taet t t
Superintendent Pierce found the New-fork LIE
in a condition which required change OF manage
ment a change which actually took place and re-
suited in Mr. Mec1ls election to ne sa preS . IN w.
demanded that the Superintendent OF the state Oh
examine the affairs Of Of the companies organized
under the laws OF this State ana furthermore, tnat
he should not be embarrassed by coupling with MN
in such examination the heads of departments IN
other States, unless with his exprcsse approDa'loh
obtained in advance The whole aiIablr ev i,h
vertisng more than with material ana essential
questions one important fact stands out IN me me
whole confused state of things namely that an
the big companies are going to be examined ana
portunity know how they stand
This statement supplemented by the follow
ing from Mr.. Gage f. Tarbeli, third vlcc-presdent
Of the Equitable Life Assurance Society:
II cannot give much information" sad he. about
the matter of the attack of the New-lork Life IN
slrance Company the New-lork Insurance De-
partment, because 1t Is affair outside OF the
Equitabe's concerns DO know tina; it has been
Falsely stated that superintendent Pierce. OF The
New-Yorh Insurance Department has failed 10 make
an examination Of the .arger companies l have
seen a statement in the paper from one Of the OIL
GERS OF the Mutual Life, that superintendent Pierce
has been examining their company for some time
past. and know Of my own knowledge that he
has hal the affairs of the Equitable under nvesti-
CATION for months past and that It is expected
that he viii complete his Investigations during this
year and make a report of the same. THIS will In
volve all matters which come within the puryew
of supervising officer IN his position, and the re-
suit as reported will be Of immense importance 20
policy holders and the public This Investigation by
Mr. Pierce has been commenced with the cordial
acquescence of the society. Indeed. | think that
our president. Mr.. Hyde. himself requested the ex-
animation to be made as ong ago as last autumn.
I'm reply the question as TO whether the allega
ton made by friends Of the New York Life. that
this investigation Is a secret one. would say that
nothing could be more absurd. We have not tried
10 make an advertisement out Of the fact that Il
was going on but II has proceeded in the usual way,
81. kaA. t1IIhl