The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-02-08
TOPEKA PAYS IT.
Notwithstanding Good Fire Rec
ord Insurance Rates Increase.

In a communication to the State Jour-
nal R. L. Cofran of the Western Foun-
dry and Machine Works says:
Can you, through your columns,
give or advance any reas son why our
fire insurance rates should be advanced
40 per cent as has been done recently
Notwithstanding our fire losses have been
much less than usual. 1t would seem
to the inexperienced that with our I'M
excelled fire department, which always
gets there, and the showing made by
our excellent fire chief, that rates should
be lower instead of higher.
1T may be possible that one reason
was to pay for the banquet given to
the insurance agents by the rate fxers
not long ago, ana it may not The citi-
zens generally would like information
on this subject. Certainly our risks are
no greater than they have been hereto
fore. 1t would be a good idea for our
Commercial club to do a little 1nVeSu-
eating along this line"
In an effort to get satisfactory an
swer to Mr.. CofranS query a reporter
for the State Journal laid it before one
or two prominent insurance agents and
rating men in Topeka
Charles S. Elliott, of the Elliott &
Criswell agency, said:
IF Mr.. Cofran desires to know the
reason why the insurance rates nave
been raised on his class of goods it Will
be necessary for him to go still further
back than the agents to the company
which gives the insurance. He is quite
right in saying that the premiums on
some classes of risks. mercantile risks
generally. have increased within the
last year or so. The insurance COM
panies are constantly examining the
records of their fire losses and compar-
ing them with the income from their
Individual classes. Each class must
look out for itself and the premiums
on a given one must cover the fire
losses. In the past year there have
been very heavy losses over the coun-
try on iron working establishments,
packing houses and large mercantile
esta blishments, and on all these the
rates have advanced 1 am not in pos
session of the figures upon Which these
conclusions are based and can say only
further that the rates of insurance are
not estimated upon the fire losses in
single community but upon the country
at large. The fact that Topeka has a
first-claSs fire department gives insured
property a better position among the
insurance companies risks but does
not prevent the fact being considered
that there have been heavy, losses else
where on insured property"
Charles e. Eldridge of the Eldridge
Inspection bureau said:
Every fire risk is considered indi-
vidually 1 do not have Mr.. Cofran's
property in my recollection just now
but there may be some special reason
why his risk is greater. The present
! schedule of rates has been in effect
since last May so that there have been
no changes recently in it. When you
take up discussion of insurance rates
you have got to go straight to the bot
tom of the matter and consider indi-
vidually each risk. The fire losses over
the country during each year are con-
sidered carefully and the corresponding
rate of premium is computed upon the
loss. In a town the matter of fire pro-
lection is considered and one town may
on all risks receive an advantage that
is withheld from an unprotected town.
There have been no sweeping changes
either up or down on the premiums of
dwellings or upon many kinds of mer-
camille risks but under the head of spe-
cial hazards, wood and iron working
shops, packing houses and large stores
where the goods are exposed the cost
| of insurance has ADVANCED"