New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-03-02
NEW RULES FOR INSURANCE MEN.
THE FIRE UNDERWRITERS AGREE TO
LIMIT COMMISSIONS AND TO RE-
STRICT BRANCH AGENTS TO
TNRATED RUSINES

The Tariff Association Of NewYork (F1re I'm
derwriters on Friday Of last week laid on the
table the report OF It's Executive and Rate COM
mittecs. acting joint committee. recommend
ing the adoption OF a q per cent commission on
"unrated business" and such regulation OF branch
offices as should insure the compensation OF up
town agents upon a uniform basis. For the adop-
ton OF the report the unanimous vote OF tho men,
bers Of the association present required. but
one member. W. S. Banta. through his representa-
tive cast n vote in the negative. The meeting adj
journed until yesterday. at which time. Mr. Banta
having reconsdered his action. the Joint commit
tees repor, was adopted
singular feature Of tho report Is that. although
the adoption OF the rules laid down in II required
a unanimous vote, those rules arc subject TO re-
peal at any meeting by 90 per cent vote. The
first OF the stipulations is that mo brokerage In
excess OF o per cent shall be paid unrated
risks" Then follow many regulations ns 10 branch
agents. In the district south OF West Houston and
Grand SITS. in this borough branch agents are
allowed. the only exceptions TO the rule being IN
the case Of the Rutgers Peter Cooper and Far
ragut companies. in that district. Between that
line and Forty-second-st. any member may have
two branch agents. and he may have two between
Forty-second and One hundredth SITS. two north OF
One hundredth-st and four In Brooklyn two In
the Western District and two In the Eastern).
Branch agents In Manhattan and Tho Bronx are
prohibited from accepting risks outside OF those
boroughs. and write no minimum or speciilcalIy
rated risks. but only unrated risks and branch
agents in Brooklyn are to conine their writings to
Long Island the same restrictions as to sorts OF
risks applying TO them rs to the branch agents IN
Manhattan and The Bronx. The compensation OF
the branch agents Is to be either by fixed salary.
the member employing them paying all expenses
OF every kind Including brokerage. and the amount
OF salary paid TO any branch agent shall be
proper subject OF inquiry under the terms OF the
constitution: or by commission not eHceed'ns ~
tted m hA
company on non-rated risks. after deductins such
brokerages as have been actually paid or are pay
able In accordance with the rule limiting brokerage
TO Is per cent: said commission OF 10 per cent 10
cover salaries office rent and every other expense
OF whatsoever kind. except brokerage and taxes,
and not be increased by salary. contingent or IN
any other way directly or Indirectly
Branch agents must be in charge OF bona noe o.
fees. and member must be Responsible for ms
branch agents conduct. A branch agent wiiiui,y
have his appon, mept EVOKED No brokers shall be
eligible to appointment or employment IN any ca
der similar regulations They are to be compen-
stated only By fixed salary. and can represent each
allowed TO bind. write or issue any policy or pay
or rcceivany commission. their duties being cleri-
Besides adopting this report, the association
passed resolution for the appointment by the pres
dealing with the brokerage question and limiting
the payment OF rebates.
The approval OF the joint committees report Is the
most important step taken In long time by the
association. and is confidently believed to be act
making strongly for the stability OF the organza-
ton. The non-tarin companies 1t ia said likely
to renew their applications for membership in
the Tariff Association. this time without conditions,
the conditions which they previously had affixed
TO their applications have now been complied with.
There has been complaint the part OF small
companies at the practice OF large companies In eff
fecting reinsurance with non-tarim companies, and
the sentiment In the association now Is strongly
against such course; but the reception Of all the
present non-tarf companies into the association,
which now seems so probable. would OF course oper-
ate to remove in the near future that ground OF dis
satisfaction