El Paso daily herald. (El Paso, Tex.) 1881-1901, 1897-12-09

of bonds for $50, 200, to be voted for OF
the 7th, was not ratified by the tag
payers, that tive would have to d.
away with all of our paid firemen. ex
cept the engineer and driver of She
engine, and sell all of the horses, ex
cept the engine horses. This would give
us saving of $1,000 the frs
month, in the way of salaries, horses
| and horse feed. A return TO our ole
fire repar ment system of 1880 can be
easily made without mourning increas
ed insurance RATES, for the in surance
companies have naie GO allowance for
our improved fire fighting service. The
mayor labors under misappreheps sion
in suggesting that the insurance com
panies have made mo allowance for
our improved fire fighting service"
While it may be true that the rates are
not lower DOW than they were befo. e
the city established the paid depart
ment and purchased q fire engine, we
must not forget that prior to 1898 the
Fl e insurance agents in the city of Ell
Paso, each one Op=rsted on his own
lines and there was competition be-
tween the companies and agents and
the cutting of rates; and insurance
agents in the city of Juarez also COM
peted with them in doing business in
this city, and thus the rates were
kept down by competition, which has
not existed since about the be ginning
of 1894. Since the last named date,
the state insurance laws were SO
amended that agents representing
companies that have not duly qualified
themselves to do business in the state
cannot write insurance, and the in
surance companies of the United
States have established practically a
uniform and fixed rate throughout the
country. These rates are fixed, not
upon the amount of business in the
city or town, nor upon the character
OF the buildings, but are based eX-
cluslvely upon the me ADS pOss essed by
each city and town for the purpose of
fighting fires and the rate is regulated
oy the efficiency of the fire departu ent
of each city. These rates are divided
into four classes. and are fixed upon
what they call basing rates; that is, q
rate fixed for an insulated building of
brick or stone with metal roof of one
or two storys, with a certain extent of
floor surface. Taking this basing
rate as standard, it is increased In
exactly the same proportion 10 tie city
of each class as experience has de-
more hazardous. The basing rate in
cities of the first class is $l.CQ per
800 90 on business property and about
75c on residences. In cities of the sec
ond class, it is S1.l5 per $4,000 on
business property and about
zoe on residences; in cities
Of the third class, S1.4O per
81CO 90 on bus mess houses and about
Site on residences. ard in towns of the
fourth class, it is 81 IS per 800 90 on
business houses aud their contents. |
The CT les of Galveston, Dallas, San
Antonio and Fort Worth are the only
first class C ties in Texas: and while it
Is not probable that there is a single !
usiness building in those cities which |
q actually insured as low as 81 90 per |
blO0 90 because the re are none SO isol- |
ated as to authorize slch rate), still
The insurance on buildings and con-
;ents is based on that rate. The city |
If Ell PasO, on account of efficient fire |
is rated better than cities !
IT the second ella 8, and the bssing rate
or Ell Paso is 81 10 per 500 on business
ionses and contents and the average
ate of insurance on business houses |
md their contents is 81 80 per $4,000,
Ind on residepc es about SOC per 800. 90. |
After careful inve stiga,ion. | find |
hat about $50, 900 has been paid out in |
he last IL months in this city as prem
ums on Insurance and about one fifth !
If this, say $4,000, is insurance on
aud The remainder On bust. !
Jess property. II the city of Ell Psso !
cuts down her paid Fl department so !
Is to cripple its efficiency, it would pass
It once into the third class, and if the !
suggestions of the mayor are carried
tut. it would pass into the fourth class !
+ it passes into the third class, it will
'ause an increase in insurance rates of
1t least 80 cents on the $4,000 value
N business property, viii h will in
rease the SAC, 900 paid out this year to
46, 666. SO, and the insurance on res
d=nces will be increased at least 10
yer Gel t, making S11 200 paid in prem
ums, Or a tota' increase of premiums
# s., 666 &C. If the suggestion of the
mayor is adopted and Ell Paso should
lass into the fourth class, the increase
n insurance AMI premiums on business
will amount to 81, 1888 SO, but
mere probably would not be any furth-
r increase on residences except in a
ew ms ances on account of proximity
o o.her buildings. And adding the
bove 100000 increase on residence
property if put in the third class, the
nnual premiums paid by our citizens
ould be increas ed S15, 1873. 33 if we ere
educed to fourth class fire Protection.
'ou will thus see that tt e effici ency of
b fire department. regu ates The rate
insur ance, aud our present system
ives US q bette rate than cities of The
ecood class, and nearly equal to
tiles of the first class; and just
i the proportion that its eff
cheney is destroyed, the insurance
ate will be raised, and the amount of
money drawn from the city in premiums