The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-04-08
Life Insurance Standards.

The Horton insurance bill, applying to
old line life insurance companies, Is not
conceived in the interest of the people
Of this state.s 1t is a retaliatory measure
jagainst%insl1rahce companies organized in
states having a high standard of re-
qliirenlents as to their own companies
and as to companies from other states
seeking to do business In those states.
We do not believe that any kind of life
insurance is too good for the people Of
Minnesota. But the effect and purpose Of
this bill is to shut out Of the state life
insurance companies organized under
fstate laws requiring the highest standards
of strength and reliability. Manifestly
such a bill is not asked for by the people
of the state. Thrust be inspired by some
other interest than that of the insured
who are not to be benefited by being de-
prived of the opportunity to invest in any
thing that is good in the way of life in
surance. ~ l.. -. .--.-
The bill provides that when a life in
surance company of Minnesota Is excluded
from any state, the companies organized
under the laws of that state shall be ex-
r cluded from Minnesota. It Is true that
there is a. proviso In. the first section
which says that this exclusion from Min
nesota shall not be operative where Min
,nesota companies neglect to comply with
the laws of such other state, but this
proviso Is expressly confined to the first
subdivision of the bill while other sec
: tons bar out of this state outside COM
panies from states which exclude Mime
sofa compa MES, without saying anything
about the neglect of Minnesota COM
panies to comply with the laws of such
other states. Manifestly the. proviso does
not amount to anything, for If it~operated
effectively to require compliance by Min
nesota" companies with the standards OF
other states, as 1t pretends to act. in the
first section, there would be no purpose
served by the law and it would amount
to nothing.
t# But 1t Is not intended to amount tc
nothing. It is intended to compel other
states to adopt our standards and admit
our companies or else suffer the exclusion
of their companies from Minnesota. This
probably, will amount to nothing where
IL
where they are higher 1t means that the
( companies organized under such higher
standards, if too high for compliance by
our companies, shall be shut out of the
state and the people of Minnesota shall
not be permitted to insure. In them
No legislation of this character can be
in the public interest. An insurance com
nanv ia a tr11st institution. If s,,eto ;,,, (,
relation. to the man who buys insurance
for the benefit of his family of peculiar
responsibility and no standards Of excel
lence can be too high for institution.
which undertake sacred trust Of tina
+ kind.
II Minnesota does not see fit to max,
her standards as high as some of tn,
older states there may be good reasons
for that in a new state, but that is n,
Z reason why the policy of retaliation shoult
be adopted against states which hav
higher STANDARD s. This can have onl,
one result. The states affected are no
b going to lower their standards at the de
mand OF Minnesota, but the people 0
Minnesota are sure to suffer by this mar
row etaliatory policy B.
Senator Horton succeeded in some wa
In dragooning this bill through the senat
by one vote more than necessary. 1t ha
gone to the house where it lis to be hope
It win receive careful consideration, and
It gets. such consideration it seems t
us that 1t must =be apparent to- the mem
beers that it Is not conceived IN the In