The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-02-21
FRATERNAL INSURANCE SOCIETIES.
Senate Passes a BiII-DiscussiOn Over
n hmO Concern.

Senate Passes a BiII-DiscussiOn Over
a Richmond Concern.
The first thing considered in the Senate
yesterday morning was House bill No. AS.
providing for giving the State control Of
f~raternal beneficiary associations by requir-
ing them 10 file reports with the state
auditor. AS was anticipated, considerable
discussion ensued, but the friends of the
measure were too strong for the opposition
and the bill was passed without the change
of a word being made. Senator Binkley
offered an amendment to allow fraternal
associations to issue endowment policies by
inserting the sentence: And for the pay
ment of maturity benefits from the earnings,
a-ccumulations and assessments after speci-
fed periods at the end of the portion Of
Section l which reads: Each association
shall have a lodge system, with ritualistic
form Of work and representative form Of
government, and shall make provision for
the payment of benefits in case of death,
and may make provision for the payment of
benefits in case of sickness, temporary or
permanent physical disability, either as the
result of disease, accident or old age, pro-
vided the period of life at which the pay
ment of physical disability benefits on ac-
count Of old age commences shall not be I'M
der seventy ears" In explaining the
amendment Senator Binkley said it was only
just to allow associations which issued such
certificates to take advantage of the pro-
posed law, inasmuch as while he was per-
sonally of the opinion that fraternal insur-
ance was not good, there were a large num-
Der Of people who thought differently, and
these people were entitled to have it if they
desired. In reply to a question from Sena-
tor Burns the Wayne county senator adj
mitted that the amendment was offered in
the interests of the Continental FraternaI
Union of Richmond. Senator Burns in OPP
posing the amendment said that it was
offered for the benefit of such associations az
the defunct Iron Hall, which promised many
things and fulfilled few of their promises.
Senator Wood spoke against the amend
ment, as It practically killed the bill and
allowed ~deadbeat associations to come
within the law and mulct the people.
Senator Hawkins, while against the Rich
mond concern, advanced the opinion that,
II 1t was a vicious organization, it should
be brought under the control of the State.
Senator Gilbert said he was against the
amendment because. while such organiza-
lions ought to be brought under State con-
troll, the amendment was inserted in a sec
ton which merely defined a fraternal or
ganlzatlon. He suggested that the proper
thing for the friends of the Richmond con-
Germ to do would be to introduce a bill to
bring 1t under State control. While speak
iASs AC wv dIOlL several SIltelS Oh paper
on which were the names of dozens of the
leading citizens of Richmond. who wanted
the amendment defeated. Senator Hugg
supported Senator Gilbert's remarks by
saying that Senator Binkley's amendment.
If adopted, would allow the Continental
Fraternal Union, which is not, in any
sense, a fraternal organization, to take adj
vantage of a law framed for the better Sc
curity of members of fraternal and benevo-
lent orders having insurance departments
connected with them. He reiterated the
statement that the concern was an Iron
Hall organization pure and simple, and that
as a matter of fact, one of the present man
ayers Of 1t was formerly an organizing
deputy of the defunct Order of the Iron
Hall. The amendment was lost.
Senator hawkins introduced another
sion after the word exist" following the
words knights of Pythias, in Section 10,
which reads as follows: This act shall not
apply to any corporation, society or asso-
citation carrying on the business of life,
health, casualty or accident insurance for
profit or gain. but it shall apply only to
fraternaI beneficiary associations as defined
in Section ] of this act; this act shall not
affect or apply to any grand or subordinate
lodge of the Ancient Order of Free and Ac-
cepted Masons, Independent Order of Odd
Fellows, Improved Order of Red Men or
knights of Pythias as they now exist, nor
to similar orders or secret societies, nor to
any association not working on the lodge
system, or which limits it's certihcate-hold-
ers to a particular class, or to the employees
of a particular town or city, designated
firm, business house or corporation"
The amendment reads: Nor to any other
order or society organized and operated
under the voluntary association act; pro-
vided, that any such order or association
may elect to operate under the provision of
this act by the adoption OF a resolution to
that effect, by its supreme body or SUI
preme governing committee, and filing trip
licate copies thereof with the auditor Of
state as in case of articles of Incorporation
in Section s Of this act"
Senator Nusbaum opposed this amend
ment stoutly, maintaining that such in
situations did a business which working
men could not afford to participate in, and
that such concerns had no fraternal fea-
lures connected with them In the end
the amendment was defeated. and Senator
Burns thereupon secured the passage of
the bill under a suspension of the rules.
The vital provisions of the bill are:
Every such association doing business
within this State shall. on or before March
l Of each year. make and file with the audi
tor of state of this State a report Of it's
affairs and operations during the year end
ing Dec. 81 Immediately preceding. together
with a certified copy of its laws, rules and
regulations; provided, that no such asso-
State prior to the passage of this act shall
be required to make such report until il is
two years old. If such association is
found, upon examination OF its report and
laws, to be doing business in accordance
with the provisions of this act, the auditor
Of state shall issue il a license to do bus
mess within this State for one year, for
which he shall charge Il fee of s.. The fund
from which the expenses of such associa-
ton shall be betrayed shall be derived from