The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1905-12-23

orally apply. The purpose Of ITS regula
ton should be to insure fair and healthy
competition and to provide security for
the policy holders No needless burden
ought to be imposed upon companies
engaged in such business, because such
burdens win as surely be transferred TO
the policy holders. An illustration o.
this kind Of legislation to be avoided arc
the valued policy laws in force in some
Of the states, by which companies are.
In the event OF loss, estopped TO deny
the valuations stipulated IN the policies.
Statutes % this kind invite fra I'd. and
put a premium upon rascality. and add
to the burdens which must be in the
end borne by the insuring public. a
statute recently enacted In the state Of
Arkansas prohibits any FIRE Insurance
company doing business In that state
from becoming a member Of any rate
making bureau. Expert knowledge In
the making Of rates is just as essential
90 successful insurance as capital to
pay LOSSES. and companies ought not
be denied the proper use of such lnowl-
edge. 1t is entirely proper for the state
10 prvent agreements IN restraint Of
composition. and 10 punish offenders
aganist such regulations but the more
direct way TO reach that question worl3
be as pointed 0ut in a former part OF
this paper, by requiring sucf companies
TO furnish full Information OF all con-
trncts or agreements the. may hav
with other corporations engaged in COM
petitive business, ana by imposing SIM
liar regulations upon theasents Of COM
petitive companies.
In conclusion. We desire 10 refer briefly
TO the nstrumentality through which
proper regulations may De enforced II
matters itUe what laws may ba enacted
II they are TO remain as dead letters
J upon the statute books. II the insu-
rance department OF the state of New
/ YorS had ben diligent In the performance
OF the duties imposed by the laws OF
that state many of the Illegal practices
! disclosed by the recent hvesr riFatioa
would never have occurred. the tremen-
dous shrinkaga upon revaluation OF
the assets OF The company before refer.
red 20 would have ben impossible. Thes'
things might llHowise have been known
! 10 the insurance department Of any othei
/ state that had made It's own examina
tlon Of the companies before adniittnl
I them TO do business. instead OF rely
ing upon the New York department II
view of the conditions shown to exist
land the fact that they FIRST received pub
licity through the Internal dissensloni
Of one of the companies, 1t might bI
pertinent 20 Inquire whether any of thu
moneys charged for legislative and lega
expenses We're In fact used by the com
panies to prevent careful examination
from being made. The duty Of grantiRl
licenses for the business of Insurance
and of enforcing regulations relativ
thereto. involves expert knowledge o
the highes. order and the person Sc
lected TO perform this duty ought 10 b
as far removed from political coasidera
tlons as possible. The office should b
appointve. and while subject TO re-
moval for derelictlon Of duty, probabi
ought not be subject 10 frequent po
litical changes. His powers should b
broad, and his compensation liberia
based upon percentage of the fee