The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1901-08-15
TRUST IN
INSURANCE
MacfarIane Scores
Board of Un-
derWriters.
DECLARES RATES
MUCH TOO HIGH
Merchants Association Refuses to
Act-Steamship Companies
May be Called to Time.
TRUSTS in insurance furnished

TRUSTS in insurance furnished
text for an attack upon the
Board Of Underwriters at the
meeting Of the Merchants Association
Yesterday afternoon. The attack came
rom F. c. Macfarlane, who spoke upon
,bs high rates of insurance and the
necessity for more favorable ratings,
and drew from r. F Lange a warm de-
f-nss Of the Board and its business
methods. and at the same time some
light upon the methods of rating.
The meeting of the Association was
ire quarterly gathering and was held
IN the board room of the Hawaiian
Trust & Investment Co. In attendance
upon the meeting were Vice President
Dimond, Secretary Harris, Messrs.
Lange. MacFarlane. Gonsalves. Roe
dick. Wichman, Forester, McInerney.
Aqerbach Phillips, Pinkham. Rothwell,
Barnes and Angus. The Association
95k no definite action except in the
natter Of freight for Island steamers,
rhIch subject was ordered investigated
By the board of directors.
The most interesting matter was
mat introduced when E. c. Macfarlane
suggested that the Association should
,onsider the matter of insurance rates.
The Board of Underwriters, he said,
3ontrolled the rates, and in his opinion
this Board was an association in the
restraint Of legitimate competition, and
Is such was an illegal combination. He
said that he was of opinion that should
he conditions existing be brought to
The attention of the United States Dis
ulet Attorney, action would be taken
Is was done in the matter of the plumb
eFs trust. Mr. Macfarlane called at
'ention to the fact that several busi-
less houses signed an agreement to
aQt buy from commercial travellers, and
4 Shen this was known the District At
''vney notified them that they had bet
Sf Withdraw from the combination,
which was done. He said he did not
AheW why this trust should be allowed
| F" 90 business on the lines adopted. He
@'d the same kind of combinations had
received attention in the States and
"Hiethlng should be done here. Rates
insurance were out of all reason, and
! 'Aere was no such combination there
would be competition. Outside compa-
aeS ne asserted, had made rates here,
ou' mad been compelled to withdraw
men, as they were afraid of reprisals
10 other places.
Nr. Lange took exception to what
.aU oeen said. as he was a member of
oodrd Of Underwriters. Some rates
a,'Haps were too high he admitted, but
a1FFe there was an objection there was
l.Fays an adjustment of the difficulty.
i went on to say that the Board had
"e lh'ngs which no single agent could
Such as the mapping of the city, the
"saton Of every risk as to its 10
p, on and its surroundings. The
u. ne said, had sent to San Fran
.of Mr.. Query to do this work and
--O peen thoroughly well done. He
~, oh 10 say that there were certain
n. III which the rates had been made
-s, ~ ana cited the E. o. Hall & Son
As SAYING that If the exact nature of
,,, 7,ouS mad been known there would
,,r Dven no company which would
! dNen the risk at the rates fixed.
isiu not be fair, he said, for the
na,Lon n,,..- TO take action upon the
lad 'y denouncing a Board which
CITY 1e nothing but good for the
ssyirr = Finkham took up the discussion
ustb%a mat ne had encountered the
and ~ VI the non-board companies,
allovas III IaVor Of the plan which was
eQritv mere as offering greater Sc
uigb, " me insured. While the rates
TnoA5 =, high. he said, he was con-
prOpa, ,-a' 'ne rating system was the
ssntly sl SNe' as the rating was intelli-
saIs cos -OAe. He did not think whole
Hsss an5 .lon was wise in any busi-
Eistz u sdia the plumbing trust still
shi.h t. Sa3d it was not good policy
ater.affoate As Gown business, as the
eat The a., vas not good, and thought
'assi0I tn tb'I should be rather by per-
esks NJ .aIisne said he would not
.sspssla5nn0 NOTION but that he thought the
q ins,irorould would have a good effect
.aqg here aace companies had a soft
satsrnsn,7' and if there could be a
sfag The u the losses and premiums
aa astoa,t past i've years the showing
ass. ba b',lsh the people. AS to re-
Te Was saiu he did not think that
A] cnanCp that