Evening journal., 1899-06-12
ECONOMIC INSURANCE.
Criticism Of Ford S Methods
Stirs Things Up.
DR.. EDW. FOWLER TO INVESTIGATE

DER THE JURISDICTION OF THE
STATE INSURANCE COMMISSION
ER-DrRECTORs TALK.
The publication OF the letters OF State
Insurance Commissioner DR.. Edward
Fowler relative to the business methods
of the Economic Insurance Company OF
America has had It's effect and we arc
Informed That the company has sent In a
report OF hts operations to The insurance
department. and that DIT. Fowler Will
come to Wilmington to-day or to-mor-
row and make an examination OF the
Economics Office.
We have no doubt but that DR.. Fowler
WIN find everything IN applc-pie order
when he arrives on the ground, for Il Is
not the habit of even bad housekcepers
10 leave things In a topsy-turvey condl-
tl0n when guests are expected to arrive.
Much has beon said about the motives
of the Evening Journal for laying before
the public gaze some OF the Inside facts
In relation to President Ford's conduct OF
tho business OF the Economic Insurance
Company Of America, but whether these
motives were good or bad. Il matters not
to the public Tho motives have nothing
10 do with the case II the publication
referred TO has 1.-THE effect Of compelling
Ford's company to comply with the state
iaws provided IN the wisdom OF the Leg
islature for the procction OF the policy
holders OF companies doing an Industrial
business. and the esEconomic Is compelled
TO place Itself under 'the direction OF the
Insurance Department as are the Pru-
dentlai, the Metropolitan and other simi-
lar companies. the Evening Journals
work will have been well done, and the
results viii have Justified tho means.
MIR David Lindsay vlce-prcsident OF
the Economic Life. Is reported to have
said
"The report 40 the insurance commits
sloner by the Economic Company was not
delayed because OF anything In the ar
fairs Of the company, which O. wished to
conceal. The stock company only went
into business the FIRST Of September. 1898
thon taking over the business and risks
of mutual Assessment society Of similar
name. The annual reports are made u,
OF The first day OF January IN each year
at which date this year the present com.
pany had been in business only about
four months. There seemed. therefore tC
be no particular necessity to make any
report, covering such a brief period IN,
report could not cover a past years busl.
ness. Mr.. Fowler, however. Insisted upor
a report as OF January !. 1899 and tn,
company had actully sent II before Mr.
Edwards made his attack upon the rom
pany
1T can scarcely be possible that in,
public wiz place any dependence upor
Mr.. Edwanis' opinion OF the company
because everyone must realize that 1t q.
based wholly upon his dislike for ant
fight with Mr. Ford, the president of th,
company.
In behalf of the Economic Insuranc,
Company, I can readily assure the publ,
and its policy holders That h IL flnan.
cialy sound. with lts capital wholly un.
impaired and with a fun legal reserve
The business OF THE company is economi.
cally managed, and It mas back OF Il sucf
names as are sufficient guarantee OF a..
absolute good faith and financial ability
Moreover, the success of the company
I'm securing new business has been phe.
nomenal. No Industrial company dolnf
business In this state can show 80 muci
| nCit Increase of income during the period
In wliich the Economic has been organ
lied, as our company can show. 1t mas
be that this was The motive which i'm
PEELED the alleged Insurance man who at
tempted to help out Mr.. Edwards by hii
interview, published In 'uhe Journal. 4
Epeak as he did.
Although THE death losses Incurred b.
all Industrial companies have been dis
proportionately large for the past mint
months. the Economic has paid ever,
claim promptly, and is ready and able u
keep up IT'S past reputation In this par
ticular."
From Mr.. Lndsays statement w
gather that the Economic Company tool
cover the business and risks Of a mutua
assessment society OF similar name" ant
then went right on and did the business
OF an Industrial insurance company OF
lines laid out for mutual assessmen
soceity. which is a clear violation Of th
intent Of the insurance laws designed q
give policy holders some security 10
their Investment.
H. II. Ward. personal attorney 10
Peter ]. Ford and attorney for Ford
company, says;
Il can back up every word Mr.. Lind
say has said about the Economic 1t
OF course a small company as yet, bu
nearly every industrial company wa
small at fits beginning. Our company ha
/ not yet been put to the shifts which som
OF the largest Of the Industrial companie
We're forced TO adopt when they first al
i business. The size Of an insurance com
II pany has nothing to do with It's solvenc
or with the safety OF its policy holders
A large company, improperly or extrava
gantiy managed, Is less centain and SAT
for It's policy holders than a small com
pany wen managed.
"Thc public are tolerably familiar wit
the business and personal reputation q
every stocbholder. director and officer .
our company. and must know that ther
Is not one Of them who could or w0ul
permit himself to DO anything or perm
the Economic Company 10 DO anythinl
not perfectly square. or anything unjus
It IS a home company. with It's entire 10
vested capital home capital. It's succes
In this community will keep in circula
tion in this state enormous sums {
money which have heretofore passed int