The new enterprise. (Madison, Fla.) 1901-1908, 1902-01-23
ODD INSURANCE RISKS.
THEY ARE INCREASING IN VOGUE
CONTINUALLY EVERYWHER
Marine Companies Take the oueerest
Freak Risks Due to High Rates
Charged by Express Companies
How Banks Insure Notes.

charged by Express Companies
How Banks Insure Notes.
Everybody remembers the insurance
on the life of ]. Pierpont Morgan taken
out by stock spectators in London
when the steel trust was being organ.
tied, says the New York Commercial
Advertiser. Few persons, however,
probably recall that when Queen Vic
toria's jubilee celebration had been
arranged owners of windows overlook
ing the line of the parade and suitable
to be rented to spectators, took out
insurance policies against bad weather
which would have Kept the crowds
away.
Such policies are classed by insur.
ance men under the general head Of
fancy risks" These include also
the insurance of gate receipts at exhi-
billions and at athletic competitions,
of guarantees given in the course Of
trade, Of municipal bonds or other Sc.
curities which probably are genuine,
but may be forged. The insurance OF
fancy risks" has increased tenfold in
recent years.
These forms of insurance are pc.
culiar to English companies In this
country the business follows more
conservative lines.
Marine insurance companies have
the greatest variety and freedom in
the matter of fancy risks" From at
first insuring specie and bars Of
precious metals in transit on the high
seas, they passed naturally to the in.
surance of packages of money in the
form of bank bills, treasury notes or.
green backs sent through the mails
and registered. The great develop
ment of this kind of insurance took
place half a dozen years ago, when
the rates Of express companies were
advanced. Since then the express
companies have reduced their terms,
and now competition between them
and the insurance companies is brisk.
The banks are, OF course, the prin-
cipal shippers of money. A tide ex-
lists in the movement Of currency al
most as regular as the recurrence of
the seasons. This is due to the re-
quirements Of farmers for small bills
with which to pay their hervesters.
Funds sent to big cities at low inter.
est rates are drawn out in the summer
and fall for the handling of crops. Sill
yer dollars, under law Of congress
designed to encourage their circula-
ton, are expressed free by the govern.
ment, but for small bills the banks
have to pay expressage.
Bankers say that insurance Of reg.
istered mail packages containing
money is increasing. Insurance com.
panies issue policies to the banks,
which, in turn, have only to mail to the
underwriters a memorandum of each
shipment when it is made. The policy
issued covers loss from any cause
whatever, and extends from the time
the package is registered to the sign.
ing Of the receipt by the bank to
whom 1t is addressed. Bills are sent
to the insured banks at the end OF
each month.
The usual causes of loss are due to
theft and fire. One company in this
city promptly paid a claim Of $4,000
to a bank few months ago. The
package containing the money had
been stolen from an express car in
Montana by train robbers. It was af.
terward ploughed up in a field near the
track by a farmer The underwrit.
ers lost nothing. About year ago a
New York postoffice employee stole a
package containing $4,000 while car
rying it from the general postoffice to
a railroad station. The thief was ar
rested, $500 of the money was re-
covered, and he is now serving time.
Uncle SAM" said an insurance
man, lately, rs very keen in detecting
theft in the postal service, and losses
from that cause are rare. If they
were frequent we should not be able
to insure these operations on such low
terms. A few years ago foreign ma
rine insurance companies, through |
their agencies in this city cut into this
field considerably, but the state super.
intendent of insurance got after them
because their charters did not speci6.
cally authorize them to do this bust.
ness, The check was only temporary,
however. Many of them moved across
The North River to Jersey City, where
laws are not go severe, and
pursue their business from there"