The Leon reporter., 1902-12-25
no INSURANCE FOR STATE.
Chairman Connie Tells Why and
the Wherefore. (

LuS tANOiGaCIC.
AT the quarterly conference of the
executive heads of the state institutions
at Des Moines last week, John Cownie,
chairman OF the board of control, read a
paper in which he took decided stand
against insurance Of state property and
gave reasons therefor. 1t was in line
with Investigations made by the board
the past year in regard TO the insurance
business and was called forth by reason
Of some criticism of the board for its
failure TO have insurance on the build.
ings which have been burned.
MIR. Cownie called attention TO the
fact that the buildings burned at the
state institutions in recent years have
been the old buildings, which, by reason
of their poor construction, were almost
q menace to the lives of those VINO were
domiciled therein, and while new and
better buildings will take their places,
the fact remains that the state has suf-
fered great loss by fires. A prudent
't''-l - Sa''''o' S9i''eS ieaSy Insurance
''' $50 -. sn"s "ple"i
strange that the state legislature has
never made any provision for the in.
VI '''''S piopei - po1 ON 'iie
'4''s " saia 'i'S's ene
position of the state is different with
the individual, that while the t,estruc.
49, % s.'s p,'pe' " " .i'e '"t'ef ny lile
- ~. : ui'' anu Nhs 'oss
~, - -, = ''t''.''e' ~ '"'' io'-
~ 49, - 80. ~ - :. sl'ol' 'i'"''s'' ss
'i'e 'o'' "'ai4 Do ,'is''s7e' '''aol'fs "'' esls
- ~. = 80 go "'i0'o 4'''' ''es''i
,''''3 - - "o'''t 'ei'
s', = no = 'E''Ne
o''i' i'''''''' S''i'''' ''<'' y % - 80 q
INSURANCE 4 BUSINESS.
"But it NAV be said, )" continued Mr.
CowEie, "that the state would be the
gamer by carrying insurance en- its
property, and in case of loss.from fire
would receive more in return than it
has paid for insurance. Ii this be true,
then the insurance companies would be
the losers, and the eyauestion arises, how
long would these insurance companies
exist if the losses exceeded the premi.
ums paid? Fire insurance is a business,
perfectly legitimate and filling an i'm
portant position In the business world
h,,t hn NJ c.l,x
panies are neither fools nor are they do
ing business for nothing. 1t costs a
great deal of money to carry op the
business of insurance in a proper man.
ner. No claim is made by insurance
AN, an;es that all tho n,,nav rooeinod
:.
~ premiums IS ie.uri'eu 10 'lelf pat
rons, the only legitimate claim that can
be made being that in case of loss if.
will fa,l NOT all on single indiv;dn., ~
. -, ,:-.,, y
n''a' ou' VIC uisi'ie'l aiions large NUM-
Der OF policy holders
"According to the last report of the
o,d;tor of state tbaro w.s no;d i, Jou,o
g..
~ li'e insu' "lioe GUN pa.ies ~ 'he year
1901 premiums aggregatlng "a, ,S6S, ,661 .54,
land the losses paid amounted to s., $50.
-oz o. bo;,o s51 "a, rat,,.,.a for los,o,
- Ns 60 ios'''
iof every 9loo received IN premiums,
This would indicate thrifty business
and yetit is reported that the com
n,n nies s,u tho vesr ;s net n,of;..h,o
t'sl''N1 3A' ~ = ol'' ''O.e'
ana large nuhper OF Ihe companies
are withdrawing from the state for. this
reason,
wu ~ ,ror,n rr cosu
,..r, .:,,:
10
ana equipments belonging TO the state
and under the board of control,n con-