The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1899-01-11
PINGREE'S MESSAGE.
Governor Of Michigan to the s. te
Legislature.
IMPORTANT SUBJECTS HANDLED.
Laws Are Recommended Which the
Executive Believes Would Be of
Great Benefit to the State.

Great Benefit to the State.
Insurance Companies should he Thor
oughiy Rssponsibie Before Doing Busi-
ness in Michissn-rhe subject of Taxa
tion Dweit Upon at Considera Length
Laws should Be Enacted to Restrain
MonopoIy-The Governor Against Ex-
pansion Thinks War with spain Could
Have Been Averted by Diplomacy.
Governor Pingree in his message to
the state legislature starts out by de-
claring that Michigan has entered upon
a new era of prosperity and develop
ment. He reviews the good work OF the
five state institutions for the care or
children and makes recommendation
which will be OF farther benefit to
them. The governor then gives in tab
ular form the cost Of maintaining the
various state institutions under the
jurisdiction OF the board of correction
and charities for the fiscal years 1897
and 1898 Upon the question of insur-
ance the governor says:
More than 1000 900, 900 of insurance
is carried upon the lives and property
of Michigan citizens. Twelve millions
of dollars are paid annually in premi-
ums. So universal has become insur-
ance protection. that few persons are
now without it in some form. The work
of the insurance department OF the
state during the last two years is so
well known as TO require no comment
here. The annual saving to the people
of the state OF more than 5000, 600 in fire
premiums alone is a record to be proud
of. The closing up of more than thirty
irresponsible companies, the arrest and
conviction OF several offenders, togeth-
er with other effective work, has dem
onstrated that the department has been
well administered. l believe, how
ever that more stringent laws are need
ed along many lines. Two years ago
in my inaugural message l recommend
ed that the anti-compact law relating
TO fire insurance be amended so as to
include Michigan as well as foreign
companies. Conforming TO such sug-
gestion the house, by unanimous vote,
passed a bill and sent ii to the senate.
For some reason, known only TO the
few, the senate committee, though ur-
gently requested to do so, could not be
induced to report the bill TO the senate
for action. Again | recommend that
this law be amended so as to make il
possible to break and crush out the
trust and compact by which rates are
now practically beyond competition.
Should Il Clothed with Authority.
Owing to the nature of the insurance
business the policy holder can know
very little as to the solvency or meth
DDS of the companies with which he in
sures. For this reason, the depart
ment having supervisory powers over
these companies should not only be
charged with painstaking responsible
ity, but should be clothed with ample
authority to Immediately apply for re-
ceivers for home companies and to
revoke the license of foreign compa-
MES when they are found violating the
laws of the state. and that without be
ing subjected to the delays Of months
and years of litigation in federal courts.
The assets and reserves Of insurance
companies ought TO be sacredly guarded
by the most stringent laws No COM
pany should be permitted to hold itself
out TO the public under false colors,
nor to solicit business by false repre-
sensations. There is room for various
kinds and plans of insurance. In the
come so well known that. when the
state grants a license to a company.
with permission to advertise and solicit
business, the state ought to make GER
tain that the plan OF insurance and the
law under which the company is in
corporated is sufficient to make the
company what il pretends to be-a life
insurance company. and not one for
few years only. The payment of losses
for a few years will afford little or no
excuse for carrying hundreds of men,
bers beyond an insurab'e period through
age and infirmity and then leaving them
without indemnity or possibility of get
ting it. 1t is your duty to carefully
Investigate these and other matters in
this field. and when they are called to
your attention to give them Thoughtful
consideration"