The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-06-15

An Insurance Paper Explains Why
They Are High.


Rough Notes for June.
Propertyholders in Indianapolis have
views regarding rates for fire insurance,
and their views are not as diversified as
we could WISH They all know that rates
are too high. and to our personal knowl-
edge they have firmly held to this opinion
for more than twenty years. They also as
fault lit for the prevalence of high rates, and
they never reason further in an attempt
find out why they pay too much, as they
rich banker the other day. ehdeavored to
convince the writer that Indianapolis peo-
pie were paying too much for their insur-
ance." We would have no argument with
him, but admitted his statement without
reservation, and blamed him as much as
any other man in the city for the excessive
astonished, the banker asked an explana-
ton. We called his attention to the fact
that the city had grown rapidly during the
past ten yearS-covered third more area.
Yes. But that should not increase the fire
insurance rate. No, not If the fire depart
ment were keeping pace with the growth
of the city. Then the streets are greatly i'm
proved, and twenty miles of smooth as
phalt pavements facilitate the runs to the
fires. Yes. and that should tend to reduce
rates? Certainly. Then the water works
company is adding scores of miles of large
mains, that afforded abundant water at any
desired pressure; and should not rates come
mark that he did not see why he was at
fault for high rates. Simply, we said. be-
between 'I fire losses a and Rates for insur-
ance. and use your powerful in
t fiuence with the Board Of Pub Pub,
will result in a reduction of the premiums
you pay. Any bl0ck in the central portion
OF the city contains much more or value
exposed to a confagraton than 1t did ten
years ago. The buildings are much higher
and the contents are twice as valuable
as they were then, and the insurance COM
panieS are liable TO sustain much heavier
losses than ever before. But years
ago the fire department could bring eleven
streams of water TO bear on any single
fire. 1t cannot command single stream
more than it could at any of the great
fires ten years ago; its hose is not as re-
liable as 1T was then, and 1t has no water
tower with which to subdue fires in tall
buildings. Now We have a new hazard, the
electric lighting, the most defective known
in any city the size of indianapolis, that
we have known to start seven fires at
one time in almost as many seconds and
ii is no wonder rates keep up. Really the
it is the duty of the rich men of the
city to bring a pressure to bear upon the
Board Of Public Safety that will compel
it to equip the fire, department with more
machinery; establish more fire companies;
furnish a water tower, and utilize the
splendid streets and the water supply for
police department appears to be well cared
for by the city authorities, as it should be.
But let the criminal classes make way
with one-half the value OF property an
nually destroyed by fire and money would
be at once forthcoming in any required
OF indianapolis exhibited the same anxiety
10 save their property from fire they do
to protect themselves from thieves and
burglars rates for fire insurance would be
merely nominal compared with what they
are now. Insurance does not lessen the
less, the companies collect in premiums
the amounts sufficient to pay for the ag-
gregate carelessness and indifference of the
citizens regarding the prevention and
prompt suppression of fires.
Next month We propose to say something
about the dangers to be apprehended from
defective electric lighting, knowing we
do, that rates for fire insurance in In
dianapolis will continue to prove a burden
some tax so long as present conditions re-
latng to the fire department and electric
lighting are maintained by the city author
tiles.