Omaha daily bee., 1905-12-13
FEDERAL INSURANCE REerLAr1oN.

President Roosevelt, in his annual
message urged that there Is need of
far stricter and more uniform regula-
ton of the vast insurance interests OF
the country, and said the United States
should in this respect follow the policy
of other nations by providing adequate
national supervision Of commercial in
terests which are clearly national in
character The president pointed out
that state supervision has proved made
quate; that the inability of a state to
regulate effectively insurance corpora
tions created under the laws of other
states and transacting the larger part
OF their business elsewhere is clear. He
repeated his previous recommendation
that the congress should consider
whether the federal government has any
power or owes any duty with respect
! to domestic transactions in insurance
of an interstate character.
Undoubtedly this question will receive
consideration during the present session
of congress. Senator Dryden of New
Jersey. who in the last congress intro
duced a bill providing for federal super
vision and regulation of insurance, will
endeavor to have this measure consid-
cred In the house a bill has been in
| troduced to give authority to the De-
partment of Commerce and Labor to
require full statements from all in
surance companies doing business in
the territories and insular possessions
of the United States; also creating the
offices of superintendent of insurance
and national actuary, who shall frame
regulations for annual reports from life
insurance companies doing business in
the territory specified. Other provisions
of n regulatory character are contained
| in the measure.
| While consideration of the subject by
congress seems assured, no confident
prediction can be made as to the result.
The chairman of the house judiciary
committee, Representative jenkins of
| Wisconsin, has declared opposition to
the view of President Roosevelt. He
is of the opinion that no kind of in
surance is form of interstate COM
merce and that congress cannot declare
| what shall be or shall not be articles
of interstate commerce. He cites de
cisions of the supreme court of the
United States to sustain this view. Mr.
Jenkins has in an interview expressed
the opinion that after the supreme court
has so frequently decided that insurance
is not interstate commerce a declara'
ton by congress subjecting insurance
to regulation under the interstate com
merce clause of the constitution would
be futile. The chairman of the house
Judiciary committee is therefore to be
counted upon to oppose any measure
for federal regulation of insurance.
Those however, who advocate fedora
regulation of insurance urge that the
decisions of the supreme court appli
cable to the question are not conclu
sive and believe it to be quite possible
that IL congress were TO enact law
for federal regulation, not depriving thu
states Of any Of the authority they now
possess regarding insurance companies
such legislation would be sustained by
the supreme court The great impor
lance of the subject is very generally
recognized and there is a nearly uni
versal desire for action by congress tina
will result in conclusively determining
whether or not insurance is commerce
and can be subjected to federal super
vision and regulation.