Waterbury Democrat., 1902-02-20
ADVANCE IN INSURANCE RATES.
Fires in Waterbury and Paterson Dis
 astrous for Companies.


 astrous for Companies.
 Hartford, Feb. 20.-At largely at tended meeting of fire insurance com- panies, held Tuesday afternoon at the rooms of the Down Town association, New York city, resolution was adopt ed providing for an advance i'll rates throughout the United States east of the Rocky Mountains with the excep- ton of New York city and its immedi- ate vicinity. For long time the fires have been very heavy, and during 1901 a remarkable number of fire insurance companies were forced to liquidate on account of their serious losses. The Paterson and Waterbury confiagra- tons, coming on the heels of a bad year, were so disastrous as to result in prompt action by insurance companies
 The text of the resolution was ob- tained by the Journal of Commerce and Commercial Bulletin from an off clal source, and is as follows:
 That after considering the present condition of the country as affected by the large and numerous fires which nave occurred during the past three years, rendering the business unprofita- Die and forcing the withdrawal of many companies, the hardship of the situation being emphasized by the con- fiagrations of the last few weeks. with no prospect of relief, they are of the unanimous opinion that not only the good of the companies but the safety or the public demand that rates should De immediately and largely advanced. aid that unless such advance is promptly made the companies Will be forced to withdraw their indemnity. They therefore agree that throughout the country rates shall be advanced on mercantile stocks ill all the buildings except such as are occupied as dwell lngs above the grade floor and on frame store buildings; also on all manufacturing risks and other specia! hazards which have not been rated un- def revised and approved schedules within one year''
 II was also agreed ito advance the rates on all such risks 25 per cent and upward, as may be equitable in each case, and that this advance shall % into effect Immediately and continue until such risks can be specifically rated under proper revised and ap- proved schedules"
 This decision of the chief officers of the companies will be communicated to their general, state and special agents and through committees to the various associations in the western, southern, New England and Middle states associations. The underwriters voted that they would not permit poli- cies to be cancelled and rewritten while rates are being adjusted, in order to avoid the advance The list of com panies present cannot be obtained. as the meeting was a private one, but it Is known that all important fire insur- ance companies doing business in the I Unlted States, with a very few excep- tons, were represented. The senti- ment of the meeting was in favor of making the advance effective through out the field as rapidly as possible. After the adjournment the fire insur- ance managers returned to their offices and some of them notified their gen. eral agents in the west and south as to the proceedings at the conference. Un- derwrters estimate that the advance Will probably be sufficient to put the fire insurance business on footing where it will make a profit instead of a loss.
 I Since January 1, 1901, thirty well. known fire insurance companies have either retired altogether from business or withdrawn from large sections of 1 the country. Some of these were very old established institutions, and their discontinuance has made it difficult for many merchants having large values subject to one fire to procure sufficient insurance from the companies legally authorized to do business.