The times. [volume] (Richmond, Va.) 1890-1903, 1898-07-29
Homo Institutions.

Editor Of the Times;
sir.-On two occasions recently editori-
ais have appeared in your paper regret
ting that 80 much money was sent no. IN
for insurance premiums. we ln'nn'
however. that YOU failed 20 discriminate
between different classes Of insurance
and that the reference made 10 n loan
made Mr.. Letter i'm Chicago shows that
won had life insurance I'm your mind at
tho time the last article was written
though YOU DO refer 90 two local COM
uari.s I'm Richmond that are doing a goog
brsinoes and deservedly receiving por-
ton OF the patronage of the people OK
Virginia.
ma LEGISLATURE OF Virginia is respon-
sfble for the failure OF virginia COM
NAMES 20 obtain the patronage or the
eiHzons of other States in bringing into
mis- state premiums from the other
states as the deposit laws of Virginia
makes IL necessary for any Virginia IN
eurauoe company desiring 20 do business
outside OF the state 10 deposit per cent
of it's capital stock ion every state ne
fore ~ can receive the authority or the
insurance officials OF that State 20 trans
act the insurance business III would
therefore. require a company Of q very
large capital and large surplus 20 do
business outside Of Virginia. ! THINK
however. that you are somewhat mis-
taken as 10 the desire OF tho Virginia
pc0Ule 90 do business with their own peo-
BE. This matter Of homo Insurance mas
been tried az various times. ana the goou
people Of our state seem 10 look soihe{
what askance upon local Insurance ana
seem 10 prefer the companies or otner
States and foreign lands 10 companies
managed by their own people.
At the last session of the Legislature
a charter was granted 60 the Mutual
Firo Insurance Company the purpose -
the company being to furnish insurance
at actual cost 20 the people or Virginia
and TO conhne fits operation 10 virgin"
alone. The LEGISLATURE I'm granting me
charter required that contracts for in-
surance should be entered into for not
loss than $4,000 before tho company
could commence business. The financial
hacker of the company died about the
time ft was expected that the company
would be noatcd and an effort was MADE
fo obtain the necessary amount required
Iv the charter by tho insurance or cifcu-
lars. and some 300 circulars weren sent
ont to- the best merchants and manuii-c-
tuners I'm the State. stating tho OBJECT oI
the company and its endeavors 10 tur-
rf-h insurance 20 the people OF Virginia
af actual cost and though the charter
of this company was granted 10 some
OF the most prominent citizens or Rich
mond whose names alone should have
been sufficient guarantee that the CONF
nauv would De honestly and properly
managed. the people were so little ln-
torestcd In this matter that only about
one half Of tho necessary insurance re-
ouirel hv the chrtor MS above stated. was
euuscuoed. RE company, therefore WIS
unable 20 start and until someone with
enterprise enough to furnish the. nece.s-
earv financial backing can be found. moth
Ing can be done towards furnishing
choapcr Insurance and retaining the
money - home which Is now sent TO
other States
could furnish Won with a number or
instances that would convince Won that
our people prefer 10 trade with people
of other states rather than amongst
themselves bur If you are sufficiently
interested en- this subject 10 take 1T mp
asking the rapsrs Of the different cities
90 express their views ON the subject. u
mieht he possible ttat this Mutual Com
p1nv. which was % 20 organized FOR the
benefit OF the Virginia people alone.
could possibly be foated and insurance
furnished the people OF Virginia az act
mai cost INSURANCE.
Richmond. Va, July %. 1sa2.