The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1899-07-18
About The Danger Of Fire From
The Lava Overflow.
LOOKING UP THEIR INSURANCE
Inquiries From tiilo Merchants az
to the Tia b mites Of insurance
Co.'s from Erup,ions.

In the mail brought from Hilo by the
Kinau last Sunday were several letters
from Hilo people TO insurance agen-
cies here, inQuiring as TO the liability
of the insurance people in case of fire
caused by lava overhows. In other
words suppose the present stream of
molten lava now pouring forth from
the side of Mokuaweoweo in the direc-
ton of Hilo should reach that city and
engulf it or cause its destruction by
fire, would the insurance companies
have to pay the policies on the burned
buildings? To a layman this would
seem an easy question to answer, but
of several insurance men to whom IT
was put none cared 10 answer it of
hand. Some said it would be time to
think about 1t when loss actually
took place. while others preferred TO
make no definite answer until they had
looked the matter up.
After some consideration of the
question submitted to me, which
must confess is a novel as well as an
important and interesting one" said
one of the leading insurance agents
last evening, my conclusion is that
there is no doubt of the liability of The
companies for any losses which may
occur from the causes mentioned. Mind
you, this Is only my personal opinion,
but base II on the following reasons:
Have you ever read your insurance
policies through. | thought not. Very
few people do. You will find that such
an event as lava overflow Is not pro-
vided against irf any policy have ever
seen. In fact, 1t Is so uncommon an
occurrence that insurance men have
never thought of providing against it,
In the general run Of policies there is
only one clause which even remotely
suggests the liabilities arising out of
volcanic eruptions, and that is one
which provides that the company shall
not be liable for loss caused directly
or indirectly by explosions of any kind
earthquake or lightning, unless lire
ensues, and in that case for the dam
age by fire only. We insure against
damage from lightning occasionally
but only by specific agreement.
Now" proceeded the agent. there
Is really nothing in that section that
covers the case. Many people would
say offhand that the companies would
not be liable because volcanic erup-
ton is an act of God, as the insurance
term is. but you will find on reading
your policies that an act of God is not
mentioned or provided against. All
bills of lading provide against loss
from storms, hurricanes, typhoOns and
acts of God, but our marine policies
insure against loss on the very eXcep-
tons made by the bills of lading,
Whether a volcanic eruption and sub
sequent lava overflow is an act OF God
or a freak of nature cuts no ice with
insurance companies. We insure
against fire and when the insured
property is destroyed by fire We have
TO pay the policy. Now in the case OF
lava overflow reaching Hilo, the in
tense heat which would precede Il
would ignite the buildings and they
would be destroyed by fire before The
lava reached them. II the flow shout
reach Hilo. that place would be de-
stroyed by fire before being buried
under lava. and in that case we should
have to pay every dollar of insurance
on the place. If there should happen
in the future to be an eruption OF vol
canic sand and ashes similar to those
of past ages of which We have abund-
ant evidence here in Honolulu, by
which houses and towns were buried
instead of burned, as occurred at Her.
culaneum and Pompeii, then the Ques-
ton of liability would be very DOUBT
full and the insurance companies
would refuse payment"