The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1903-03-15
FIRE LOSSES ARE
MORE THAN PROFIT
Insurance Companies in Ala
bama Have Lost Money
NUMEROUS LARGE BLAZtS
Birmingham Fires Are Said to Have
Caused the Bad showins-JournaI
of Legislation the Largest
on Record.
NUMEROUS LARGE BLAZES

Montgomery, March 4.-(Special)-Ac-
cording to the figures shown in the re-
port of Deputy Insurance Commissioner
E. R. McDavid, five insurance companies
doing business in Alabama last year lost
money The ratio of losses to premiums
of the sixty companies doing business IN
the state ranges from 81 per cent to a5l
per cent The average losses OF all the
eonpanies is set down at 63s per cent. 1t
is estimated that the insurance companies
use about 40 per cent of the premium
money for expense purposes. This mold
ing good, the average loss of the COM
panies doing business in this state last
year was 3S.
These figures are rather astonishing,
when it is considered that the rate OF
Insurance was increased for the year by
25 per cent. For instance the report OF
Mr.. McDavld shows that the total fire
risks written in 1901 was SlOS 476'37o' the
average on all property being $l.55. The
total fire risks written during 1902 was
500. GAG. 1893, and the average rate was
SITS.
Mr.. McDavid explains that the ex-
tremely heavy average losses of the past
year were largely due to the several big
fires in Birmingham. The losses to the
insurance companies in that city were
three times as great as the amount of the
premiums collected.
The report shows the following compar-
alive statement of the business done i'll
Alabama for the past four years:
1899 =. :. ....... 81, 40l,176 5 S094 56 80
1900 - -. :. 1,655, 100 SS02S1 $50
1901 -. -. 49,. 1872, 769 94O9H o59
1902 -. ........ 1,959,396 1,251,SS9 bSS
Total fire risks written during 1901, $lOS
476,37O; average rate, S1.55.
Total fire risks written during 1902, Sl09,-
GAG, 1913; average rate, S.7S.
The following insurance companies have
withdrawn from Alabama during tho
year. Firemens of Baltimore, Imperial of
London, Mutual Life of Louisville, IRE
insured) Sun life of Louisville, Gein-
sured); u. S. Life of New York, U. s.
Health & Accidental of Saginaw.
The following companies have been adj
mitted to Alabama during the year:
Fire-American Central Insurance COM
pany, St. Louis; Indemnity Fire Insur-
ance company, New York company, New
L
company, Providence, R. l.. Life-Illinois
Life Insurance company Chicago; Ma
tional Life Insurance company, Montpe-
1ier, VT. CasuaIty-Aetna Indemnity
company, Hartford
Under the careful management Of
Deputy Commissioner McDavid. the insur-
ance department is proving splendid
revenue producer for the state. Within
the past three years the income of the
department has been increased by more
than $4,000, reaching $66.s3l for 1902. The
entire expense of the department, includ-
ing salaries. was $2913.
1t is probable that the receipts will be
largely increased for the present year,
as the last legislature mace mutual aid
associations amenable to the laws of the
department. This is expected to increase
receipts by from $4,000 to $1,000 annually.
State Pardon Board.
The state pardon board held a short
session this afternoon. Only one case was
up for consideration, that of Ben Lang
| ley of Randolph county, who was con-
Victed of an attempt to bride juror At
torney General Wilson and State Auditor
Sowell declined to recommend pardon
, in this case, but Secretary of State
IIefiin, minority of the board, will make
a report to the governor. recommending
the pardon of Langley, claiming that
there was no intention on the part Ct
Langley to bride the juror and that there
are grave doubts as to his guilt
1t is the first time the members of the
board have failed to agree on their re-
ports to the governor.