The times. [volume] (Richmond, Va.) 1890-1903, 1899-11-29
WEDNESDAY, NOVEMBER Doth.


A representative insurance man has bcen
down I'm Mississippi doing a little mis-
sionary work lie asserts that the insur-
ance companies feel that it is high time
for the people 20 know that an associa-
ton Of fire Insurance companies organ
ized f1r the purpose OF making uniform
rates IS not "a trust and should not he so
classified That such companies could not
exist without some agreement MS 10 rates.
p, then goes on to say that his experience
insurance companies. and also a member
~ the executive committee of the South
east Tmin Association for the past five
years. corvinces him that the companies
IN that association would guarantee a
reduction of % per cent I'm the basis
rates Of Grc insurance on property in Mis-
s.ssipri within twelve months after the
adoption OF a complete set Of laws similar
10 those now I'm force IN North Carolina,
regulating fire insurance"
The Legislature Of Virginia IS soon TO
assemble. and We commend these sug-
gestoas to that body. Fire insurance is
business. and it is conducted on scien-
ufc principles. Companies which write
Gre insurance take two risks the physi-
a, ;isk cnl the moral risk. The physi-
cot r'-f an plies 10 tho property insured,
the moral risk To the person who takes
the policy. The rate for the physical risk
is regulated by the character Of the risk.
II the risk S. 6rst-class the low rate is
given. The rule is. the smaller the risk
the lower the rate. the greater the risk
the higher the rate. 4 man may always
ct lower rate by improving his risk
Tho physical risk is a tangible thing. The
insurance agent may look az it and form
am intelligent opinion as 10 what it is
but this is not true of the moral risk
No insurance agent can say when be i'm
sures a piece of property whether or not
the owner viii deliberately burn It down.
This As a risk so intangible that IT IS i'm
possible for the insurance agent 90 form
any sort of estimate. ID IS just here that
the law comes in and helps the insurance
companies.
We believe that there should De- a reg
ulsr system of fire Inspection throughout
Virginia. When "a man dies under pecul-
EAR circumstances the coroner views the
remains and decides as 10 whether or not
there SHAH Doe am inquest II he decides
that an inquest is necessary. he calls a
Jury and they inquire into the case. This
rule should apply. also. TO fires. After
every fire there should Doe am inspection
ana. Or necessary. there should Dee an I'M
yestigation as 70 the origin OF the fire
if the jury has reason 90 believe that
the owner OF the property deliberately
SET 30 on fire. their suspicious should be
reported 10 the grand jury and II the
grand jury finds evidence sufficient %
warrant au Indictment. the accused should
De tired for the offence. In short, the
State should exert itself 90 detect and 20
deter this heinous crime. The State should
Do everything I'm its power TO reduce the
moral risk TO the minimum and II so
there should Doe, no doubt. a correspond
ing reduction Ga insurance rates.
This is a practical question and should
be- dealt with I'm a practical way. 1t too
often happens That when Insurance reg
uiauons are proposed in the Legislature
taly originate with some domagogue. who
wants % make a llttle cheap political cap
ial Tor himself ADJ such legislation. I'm
nine out Of TN eases. viii DO moro harm
than good. Let the Legislature through
the proper committee. confer with the
Insurance agents Of Virginia. hnd out
from them what legislation IS necessary
70 lower the rates and then. II practical
be. De- this legislation Doc enacted.
TIE Insurance man whom We have
quoted says that be- can suggest leglsla-
zion In Mississippi which will reduce in
sufanco rates q per cent IG The Legs
lature Of Virginia should accomplish this
Il would confer a great boon on the prop
erty-owners Of the State