Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1898-02-20
nntea Of Insurance. Etc.

To the Editor Of the Dispatch;
Will YOU kindly inform me as TO the rate
NJ insurance uhe average rate on cotton
factorles and tobacco-factories, and their
,..esecfiye contents2 To make 1t palmer,
what I want especially is the rate of in
surance on the one as compared with the
other.
would also be glad to know about the
average proportion Of fires In tobacco
towns as COMPARED with towns whose
principal interest is the cotton trade.
DURHAM, READER"
Trinity Park, Durham, n. c.
As the rates obtained by insurance COM
panles are published only in the aggregate
for all classes Of property, and not speci-
fcally by classes, we know Of no way TO
ascertain the average rate for all the COM
ranies on any particular class of risks
FOR the whole United States. But we
give below the average rate on cotton and
tobacco-factories obtained by a prominent
company carrying large number OF risks
Of these two classes in Virginia and North
Carolina; and as the rates obtained by
an the stock companies are about the
same. these may be safely accepted as
the actual average rates for all such COM
panies on these two classes Of property,
excluding such risks as have been declined
ty this company as undesirable, because
extra hazardous on account Of bad condl-
ton or surroundings, and which, OF
course, are rated higher.
The company referred to has written
OF renewed during the sixteen years
ISL TO 1896. inclusive-in Virginia and
North Carolina s62 cotton-miIls, Of which
Is we're knitting-mills, at an average rate
Of ss4 During the last ten years, how
ever, so many new mills have been erect
cd Of standard construction, and equipped
with automatic sprinklers and other ap-
planes for protection against fire, and so
many OF the old mills have been in like
manner improved, that the average rate
has been greatly reduced aI-S time.
There are many cotton-milS - South
and in the New England ~ To- Insured
today In stock companies d rate OF
&C., while some are written as low as
2o. and IL woId be entirely safe to say
that the cotton-mills OF Virginia and
North Carolina to-day are not paying an
average rate Of more than soc. on the 500.
Cotton-mllls have paid the companies
fair margin OF profit in past years, but II
is very doubtful If any money can be
made on them at present rates.
The company above referred to. during
tbs period given, has written or renewed
10 Virginia and North Carolina 2.7S5 to-
bacco-factories. stemmeries and prizeries,
aud IS cigar and cigarette-factories'
making a total of ESQ. at an average rate
q LSC. which has resulted in a loss to the
company Of 145 per cent. Of the premiums
received Many companies have Jared
worse on this class, and the experience OF
This Particular company is believed to be
considerably better than the average ex-
psnence Of companies writing this class.
Thus, II win be seen that the rates on |
ioDacco-factorles are entirely too low TO /
01er any prospect OF profit to the compa-
nles. and that the answer TO the second
part Of your query is, that towns in which |
TIE chief industry is the manufacture OF
tobacco, have. on the average, been much
more subject 10 fire loss than the towns
whose chief Industry has been the manu-
i%eture OF cotton