The morning news. [volume] (Savannah, Ga.) 1887-1900, 1898-04-23
WILL KEEP ON THEIR SHIPS.
o. S. $, AND n. AND VI. LINES WILL
TAKE OUT WAR RISKS.

TAKE OUT WAR RISKS.
The War VIII Not Cut on Snvannah's
Merchant Lines-War Risks ON
Vessels and CargOes Are Now be-
ing Arranged-The Rates Very
High, 21k Per Cent. a Month During
Hostilities-RniI Lines VIII Con-
veyr Freight the SchOOners Have
Let AIOne-Conhdence in Washing
ton-saIe of the Baltimore Liner
Chatham.
The vessels of the Ocean Steamship Com
pany and the Merchants and Miners
Transportation Company will continue to
be run during the war. This announce
ment was made yesterday by Vice Presi-
dent John NJ. Egan for the Ocean Steam
ship Company. War risks will be taken
out to cover the vessels and their car
goes. The same, notice has been given by
the Merchants and Miners Transportation
Company.
The sale of the steamship Chatham of
the Merchants and Miners Line to the
government for an auxiliary cruiser was
officially announced yesterday. The Chat
ham is one Of the Baltimore and Provi-
dence liners and has made but one trip to
Savannah. She is one of the finest YES
sells in the feet and is the only one sold
Her sale will not interfere in any way
with the Savannah line.
1t has been the policy of some of the
steamship lines 10 take off their vessels
during Ia xaraYs 81,
the lines interested in the Gulf business
discontinued their vessels some days ago.
The Ocean Steamship Company and the
Merchants and Miners Transportation
Company, since they run their vessels be-
tween ports more out of range of the scene
of present hostilities, have determined 10
continue business.
The Ocean Steamship Company is now
negotiating for insurance to cover the yes
sells and their cargoeS. The rates charged
In time of war on marine insurance are
very stiff, and 1t will cost the company a
pretty penny to carry it's insurance. The
vessels have for some time been insured in
sinking fund carried by the owners
This plan will be in suspension for a time,
and the war risks will be secured at the
high rates demanded.
1t is likely that it will cost the company
~ per cent. month to carry its insur-
ance. This is the rate demanded when
the insurance is placed after the actual
commencement of hostilities. Had the COM
pany taken out its insurance some time
ago, when there seemed to be only
chance of war, the rate would not have
been so high. Insurance could then have
been secured from l to 21a per cent
month.
The insurance will be placed by the
Ocean Steamship Company with a New
York broker, who will distribute it among
several companies. 1t will indemnify the
company in case of capture, seizure, de-
struction, arrest, taking at sea, restraint,
detalnment by men of war, kings princes
and peoples, loss by privateers, and by
Instructions or other war means used for
purposes of blockade or defense. The lat
ter provision will insure the property of
the company should one of it's vessels run
afoul one Of the submarine mines that
have been placed in the Savannah river.
The steamship company has to obligate
itself not to allow contraband of war
aboard any of its vessels. This would
make It, dangerous for the insurance COM
panies. as the discovery of contraband
aboard would cause the seizure of the yes,
sells Contraband of war, as far as Is
now known, will consist of arms, NUM-
tions and coal.
Mr. Egan was asked If the increase In
insurance rates would be followed by a
corresponding increase in rates for freight
and passengers by the steamships. He an
swered that he could not yet say whether
there will be any increase at ALL An
other railroad and steamship official in
speaking of the probable increase in rates
by the Ocean Steamship Company and the
Merchants and Miners Line said 1t will
doubtless be made. He said the only thing
that could induce the companies not to
increase the rates would be the desire to
keep their business. preventing it from
falling to the rail lines by carrying it at
the present rates. He went on to say that
the railroads will not be affected in any,
way by the war, SO far as transportation
of freight and passengers is concerned,
and that their rates will remain the same
The railroads have already been asked
to furnish low rates on lumber from Sa>
vannah and other Southern ports to the
North. The coastwise schooners have
ceased to run on account of the war ana
danger OF capture, so that it becomes nec-
essary for the lumber TO be moved, even
OF the greater rates demanded by the rail
lines. Mr.. d. F. Jack and Mr. James
Menzies, freight traffic manager and gem
eral freight agent, respectively, of the
Plant System, have gone to Washington
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