The times. [volume] (Richmond, Va.) 1890-1903, 1896-01-16
FIRE INSURANCE BILLS.
INSURANCE MEN FIGHT THE
"DfiCED POLICY, MEASURE.
The Committee Decides to Recommend
That IL DO Not Pass-Petition
Prom Insurance Agents.

length. were held yesterday by the Sen
ate Committee on General Laws and bills
of much interest to insurance men dis
cussed. The committee took under dis
cussion Mr. Williams valued policy
bill. and after argument had been made
by several insurance men, decided TO
recommend TO the Senate that it shall
not be passed.
PROMOTE INCENDIARISM.
At the morning session, Mr.. Vireinius
Newton addressed the committee al
length upon this bill. He warned the
committee that the passage OF the bill
would place incendlar1sm at a premium,
thereby causing the insurance companies
TO raise rates on the better class OF
property in the cities, and TO decline al
! property not under the protection Oh
ire department because OF the greatly
/ increased numl er OF fires, which would
Z prove perennial fruit OF such leSisia-
/ lion. He tenominated the bill as vicious
I IN every particular, and opposed 10 pupic
. policy.
At the conclusion of Mr.. Newton's adj
1 dress, the committee postponed further
consideration OF the mater untll o ciOch
| IN the afternoon. ,
! Al the afternoon session Mr.. J. -.
| Moore presented to the committee inter-
| csting and instructive statistics from The
! few States having had experience WIN
| similar laws, all of which showed an
! increase I'm inccndiarism sufficient TO
cause a repeal of these acts. lie read
opinions from Governors state officlais,
| insurance commissioners the New YORK
Chamber Of Commerce, and other bodies.
| setting forth the dangerous results or any
I measure similar to the bill under DIS
/ cussiOn
Mr.. Moore stated that his companies
! found property not under protection ~
| FIRE departments so Improbable as ir
surance risks that they refuse to insure
country property for him, except in iso-
! lated cases.
INSURANCE MEMS PETITION.
Mr.. Robert Lecky. Jr., presented the
! following from the Virginia Association
Of Fre-Insurance Agents:
We. the undersigned, representing the
| business of insurance In our vicinity beg
/ 10 submit our request that you exert Your
influence against Senate bill 105. known
I as the valued policy bill. introduced by
, Mr. Williams. of Mecklenburg
Numerous reasons against the passage
! Of this bill can be presented, put TOT
| breyity, We name only three or the most
i, That for the safety of the villages
| In our State, having no water-works OF
fire department. It is important that
| every insurer should remain intefestth
financially in all his property 10 me eN-
| tent of oue-fourth. thereby reducing the
Hability fo COMMUNICATIONS arising from
/ causes, other than purely accidental.
2. That the operation of the three,
| fourths-value clause is not UNJUST, anu
| we ask that you read the clause TOT IN
I formation. noting that the clause doe7
/ not apply to partial destruction OF prop
! erty.
LIABLE FOR THREE-FOURIHs.
1t Is a condition of this policy, that IN
the event of loss or damage py nt s,,s ~
the property insured. this company snaii
| not be liable for an amount greater tnan
/ ihree-fourths Of the cash value OF we
I same-nOt exceeding the amount OF sai '
! policy-at the time Immediately preceu-
/ ing such loss or damage, ana IN me
: event Of other insurance on the properly
/ insured. then this company shall hot ne s
| liable for more than us proper no" %
} throe-fourths such cash value at the
time of the fire. -
3. That experience of years has demon
/ strated that property not protected can
not be insured without this clause, eN-
I cent AT loss in excess Of present prem
, ium income, which loss VIII greatly re-
1 duce the number OF companies nov Von
! senting to carry this business for our
/ customers.
INJURE COUNTRY MERCHANTS.
! Mr.. Lecky, speaking for the Virginia
| insurance companies, stated that lheze
[ companies were insurins the greater pr
I OF the country property i'm the STATE anu
] that the enactment Of this law WOuld
so increase the loss ratio on the class
| as TO require an advance or rates "i'o a.
/ refusal to insure all except selected p"Sl-
i ness. beyond the protection OF hre Ir-
. partments. Such a law would prac tcally
debar the country merchant from insur-
lie He showed the great Inconvenience 10
| tobacco dealers. COMMISSIONER, COT
/ ton factors. and this class OF insurers,
/ because they would have 10 insure 10y
! designating various packages, etc., pS
| marks and numbers
MIR Lecky used Illustrations from va
rious cities and towns in the state 10
support his argument
Mir. l.. Il. Warren explained the prac-
| teal application of the value-clause rs
| used In country property, and pointed
| out with force the damaging result OF a
| ed-policy bill. causing annoyance ~
| honest men. and a boon 10 incendlafIes.
| Senator Keezell addressed the com
/ mittee on behalf OF the country mutual
| insurance companies, stating thal tne
| enactment of the law would force them
| all out Of business. as their business IS
conducted solely on the principle OF not
| insuring for more than three-iourths OF
the value Of any property. re stated
! that his company had used the three
| ouarter-yalue clause for twenty-five
years, and. as a result had been insuring
! their members for rates much below that
J charged by the regular companies.
The committee then went into eXecu-
/ tive session and decided 10 report The
bill adversely, as stated above
TO REPEAL THEIR CHARTERS.
This committee yesterday reported IA
vorably to the Senate bills repeating the
charters of the following insurance CON-
FIrst National Fire Insurance Com
! pany. of Fredericksburg.
I old Dominion Fire Insurance Company,
| OF Portsmouth.
German American Fire Insurance Com
! panv of Virginia, dOins business IN kich-
mond -
Proyident Fire Insurance Company, OF
! Richmond.
Atlantic Fire Insurance Company of
! Richmond.
! Company OF Alexandria
Planters Insurance Company or Alex
andria.
| Potomac Fire and Marine Insurance
| Company of Alexandria.
Phoenix Fire and Marine insurance
| Company Of Alexandria
| United States Fire Insurance Company,
Of Alexandria
National Home Insurance Company Of
America. doing business at Alexandria.
Farmers and Mechanics Insurance Com
| pany. or Alexandra.
Potomac Insurance Company. of Alex
andra.
of Alexandria.
A iii regulating the sale and purity
of commercial fertilizers was reported
The committee reported the bill autho-
,.izing the United States Security Life and
rr1si company TO do business In this
state without making deposit with the
Treasurer This IS the company repre-
sented here by Mr.. John r. West, and
conducts a business different from that
/ of other insurance companies.
PROVE THEIR STANDING.
Senator Mushbach, the patron of the