The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-10-04
.HOLDUP BILLS IN
THE LEGISLATURES
President Mccall Says Insurance
Officials Tremble Every
New Year.
HINTS AT GRAFT IN
STATE DEPARTMENTS
Mccall Insinuates Nevada Insur.
ance Commissioner Wants
Something.

Something.
New York, Oct. 4.-John A. Mccall.
president Of the New York Life Insur.
ance company, testifying before the
legislative investigating committee to-
day In statement on the general legis-
that three-quarters of the bills on in
surance legislation introduced into the
various states were Matchmaking bills
He went into detailed statement Of
general legislation, saying:
With the beginning Of every year,
q dare say, it is the feeling Of every ex.
ecutiye Officer know it is Of myself
of the year we shall be badgered and
harrassed to death in every state in
the union by the introduction Of bad
bills Of every kind. Sometimes men Of
honor will feel they have right to
amend law and their motives are all
right, but mainly the general insurance
legislation Of this country emanates
from those who are DESTROYS Of striking
at insurance companies
Blackmailing Bills.
ct believe that threefourths of the
insurance bills introduced in the United
States are Matchmaking bills. The man
agements OF these companies really
t1emble, in the beginning Of the wear.
as to what they have to encounter dur.
| ing the following six months of the
year.
CIT is condition which I think your
| committee can do much to provide
against i fit will but pass law similar
to the Massachusetts law-which has
been very effective, think that every
bill introduced shall be lodged or re-
ported in the office of the secretary al
| state.'
Slap at Nevada Men.
President Mccall said, before the in.
surance inquiry began today, that the
company had received telegram from
Samuel Davis, the superintendent of
insurance of Nevada, saying that he
proposed to consult the attorney gen.
eral of that state with view to a.
4 possible revocation of the New York
i do business in Nevada
He would act, said Mr. Mccall,
"unless certain gentlemen did certain
things that would require consider
able amount Of resignation on their
part. I don't think they will do it,
altogether his way.''
John c. Mccall, secretary Of the COM
pany, stated there were only $4,000 per-
sons in the entire state and that ], 100
of them were policyholders The COM
pany has never thought it worth while
to have a branch office in Nevada. but
all the business was transacted from
California and Utah.
For the first time since the investiga-
ton began, James McKeen, associated
with Mr.. Hughes as counsel for the
legislative committee, conducted the ex-
animation. Mr.. McKeen, who has been
studying the technical end of life in
| o,,ro oponoH nv or3fIinInr fn Mr.
Mccall the power and scope of the COM
, mittee and said it's report to the legis-
: lature will in no way be limited by the
? testimony taken at these sessions.
How Reports Are Made.
Mr.. Mccall described in detail the
system used in making reports to state
, Insurance departments and also ex-
! planned the mortality tables used by the
| New York Life. He was questioned as
to surrender values under the Massa-
chusetts laws, and also as to MONITOR
fixture laws. He said the first MONITOR
fixture law was known as the law OF
1861 and was the result of general
! demand that policyholder should be
!. remunerated for premiums paid If the
I policy was surrendered before its ex.
: piration.'s
Mr.. Mccall said company surplus
: is earned by lesser mortality thar
y that assumed to be probable, and also
q by securing rate OF interest on money
a and investments better than that count
= ed upon in the actuaries' tables.
Y Government Supervision.
i Asked as to the difference between
d government supervision in England ant
l. state supervision in New York, Mr.. Nc
l. Call said there was practically no gov
g eminent supervision in England. TIL.
e only thing of this nature was, he said
Q the filing Of statement by life lnsur
?, ance companies with the board o.
3 trade.
Mr.. Mccall then went into histor.
of life insurance in New York state
telling Of the great number OF compa
s MES started from 1875 to 1880 and O.
: the failure of most of them, thru ex
= travagance and incompetence.
} "Nylic'' and Rebates.
Mr.. Mccall said the increasing com
j. pensation to agents was temptatlo.
At for agents to rebate, but under tn
=. "Nylic' system the agents contracts
= not to do so, and forfeited the benefit
20 of that system if they violated thei
~ Mr.. Mccall said that the New Yor
It law Of 1899 did not wholly prevent n
i. batting, but it had done much goot
70 and that the New York Life had don
a. as much as possible to make the Ia
ar effective. He had discharged man
II e agents for Rotating.
h. After explaining the tontine and d,
ferred- dividend plans of insurance, NJ
Mccall said:
Every fund of the New York Lif
has class. There is no fund that ma
,. be expended for the motives of it
IN officers. There is no reserve or surplu
or that does not come under the pre-
r. visions Of the laws of New York.
" Policyholders' Rights.
y Mr.. Mccall YVES asked if he agree
- with Elias Wright, sponsor for tn
Massachusetts forfeiture law of 1856
that life insurance companies reserve
should be the absolute property OF tn
policyholders. The witness replied ths
n- he did not; he thought Mr.. Wright
y; view an extreme one. His own view