The Montgomery advertiser. [volume] (Montgomery, Ala.) 1885-1982, 1904-07-11
INSURANCE REPORT
SECRETARY OF STATE M'DAvID
MAKES STATEMENT.
Receipts of Department Have Been
Doubled Since Its Establishment.
Deputy Commissioner Harry
Shorter C0mplimented.

State Insurance Commissioner e. r.
McDavid has issued his annual report
for tho year 1908 with a showing of
the collections made up to April 80.
The collections have doubled since
1898, when the department was estab-
lished in the office of the Secretary Of
State
Total receipts for the year 1908 were:
State tax on premiums. .$50,94I.D5
Company licenses ........... 1l,674.00
Licenses for 5000 agents. at
$3.50 each .....,.......... 11,231.59
Total ...................S 73,S4745
Expenses of department. SO. 2,816.62
Net receipts vi, U3O,6S
The receipts of the department up
to April 80 Of this year were $s3,1ss.1O.
Talking this amount as an average, the
total receipts for the year will be near
ly 100000, twice the sum collected In
1898.
While the receipts have more than
doubled, the expenses of the Office have
remained practically stationary. the
cost of running the Office in 1898 be-
ing $2,444.36, while last years expenses
were $2,S16.62 and since the installa-
ton of the Office the salary of the Dep
uty Commissioner has been advanced
$500.
There are in the State 1913 insurance
companies. 65 fire, IS life, 20 miscel-
laneous and mutual aid. During the
year past three fire and one casualty
retired, and four fire and Ave life COM
panies entered business in Alabama.
The fire companies did a good bust
ness. both gross and net. Their re-
ceipts were 100000 in excess OF the
year 1902, with a loss ratio OF 63.0s in
HI
below the average loss ratio for seven
years, which Is SIS per cent
The rate decreased in the year from
1.7S to 1857, though this is above the
average for seven years, which is
1.62.
During the past twelve monthe the
last mutual fire company in the State,
the Southern Mutual of Birmingham,
went out of business. This is the last
OF those organized under the mutual
law, which has been repealed. There
are three stock corporations in the
State now, the Atlanta Birmingham,
with Alabama headquarters in Biz
mingham; the Stonewall and the Fac
tors and Traders, In Mobile.
The law governing mutual aid as
sociations has been rigidly enforced.
the result being that these companies
have dropped from about forty to eight,
and two others trying to enter. Inc
State now makes them put up guar
antee of $1,000, pay 500 year license
and l per cent OF the gross premium
receipts 1t appears as II the State
will receive over $4,000 this year from
this source alone. This has brought
great protection to the ignorant classes
who patronize these companies, and
they now give equitable dealing.
In his report to the Governor. Mr..
McDavid expresses pleasure at the
good showing of the department. and
is gratified that there is no friction
at this time between any company or
interest and the department. He says
some Of the laws are inadequate and
that some new laws are needed, but
as IL is three years until the Legisla
ture meets. he will make no recon-
mendation as yet He compliments the
new deputy commissioner, Mr.. Harry
r. Shorter, and saysNe is getting &C
duainted with the work rapidly. and
is making a valuable man in the place.