The Washington times., 1903-08-23
MANY QUEER RISKS
IN INSURANCE WORL =

In every way to the life assurances which
men take out. This company's inspectors
and examiners go from place to place,
. studying the horses. the cows, and the
| dogs that are to be insured The men
also make photographs of the policies
subjects. These photographs prevent
| fraud: they make a dead animals identi-
hcation perfect; they make It impossible
for any dishonest person. foisting a
! worthless carcass on the company, to
collect insurance upon some valuable
animal that is still alive.
An animal insurance agent said the
other day:
Il have issued policies on horses. dogs,
cattle. chickens. sheep. elephants. lions.
bears. eagles. CRATES, alligators, snakes,
| parrots and a hundred other creatures,
I have two ways OF issuing a policy.
Suppose, for instance. that Alfred
Gwynne Vanderbilt is going to send a
| team OF coaching horses abroad His
agent comes 20 me and says he wishes
to insure the horses during their pass
age over. ask him what sum he wants
the policy made out for. and 1 set him
| rate based upon the character OF the
boat on which the horses will sail. The
rate varies from 2 to per cent. ac-
cording TO the boats speed, record and
safety. II my terms suit the agent Mr..
Vanderbilt's policy is made out. No ex-
haustive examinations are gone through
and no precautions against fraud are
taken. IN a policy of this kind I work
on what is termed a moral risk Know
ing my patron, know 1t is unnecessary
to guard against fraud. for the reason
that fraud would be beneath my patron.
Practically, all animals of value that
cross the ocean are insured.
Rates Are High.
I'm the other sort of policy issued TO
poor and unknown men I take every
precaution. make thorough examina-
ton OF the animal.
Il test it's lungs; take a note OF its
markings. and its age Then issue my
policy, the amount OF which is never
more than two-thirds OF its value.
THE rates in animal insurance are
at present high. This is because the
biggest live stock insurance company in
America failed few years ago. This
con pany was a mutual concern, and its
Offices were in Philadelphia. / believe
that nearly every live stock owner in
Pennsylvania had his animals insured
in IL. Its rates were so disproportion-
ately low that the average horse living.
say, ten years. would, being insured for
$3.50. pay into the company SIS. and .hen
die. Losses came right and left. The
reaction from that fatal error in rates
is now very evident, and TO take out a
life insurance on an animal today IS an
expensive thing
Valuable race horses, as they tour
the country for the various race meet
inGs. carry insurance.
These rates, varying from 5 per cent
up. are not for life. but for six months
or year. The rate they pay is. on the
average, 10 per cent. Thus a $1,000
policy on horse costs $500 a year. The
rate. you see. is huge. The policy
though, is a good one. 1t is payable
Tor death from any cause. Should the
horse. for instance. be shot on account
Of injuries received from a fall, the full
amount would be paid It's owner, the
same as though the animal had died
natural death.
Tropical animals are insured. as
rule. only during journeys that they
make. An elephant. a lion, a tiger, a
giraffe. say, will be insured for its trip
across the Atlantic to America. The
Lloyds issue most of these policies
They run from one-half OF / per cent
up 10 and per cent, according 10
the nature Of ;he animal and the char
acter Of the voyage It is to take"