The French Broad hustler. [volume] (Hendersonville, N.C.) 1896-1912, 1905-08-24

Government to BE Asked to Take Over
the Supervision of All Life Insurance
Companies Now Governed by State
Laws-No Opposition to the Movement
Apparent at Present.
Oyster Bay.-President Roosevelt has
pledged the full support of the Admin
istration for the enactment of a law
providing for Federal supervision of
life insurance. The regular session of
Congress, when it meets next Decem-
Der, will be asked to pass the neces-
sary legislative measure.
: This became known at the close of a
conference at Sycamore Hill by the
President, United States Senator John
r. Dryden, from New Jersey, and
James M. Beck, formerly United States
Assistant Acknowledgement. These
men are considered as leading authori-
ties on the subject of life insurance.
Senator Dryden is president of the
Prudential Life Insurance Company,
Of New Jersey; Mr.. Beck is attorney
for the Mutual Life Insurance Com
pany, of New York:
President Roosevelt, it is known, eX-
pressed himself as heartily in favor of
the proposed change. He touched on
the subject in his last message to Con-
gresS when he said:
The business of insurance vitality
affects the great majority of the people
OF the United States, and is national
and not local in its application. It in
wolves a multitude of transactions,
among the people of the different
States and between American compa-
MES and foreign Governments. l urge
that Congress carefully consider
whether the power of the Bureau of
Corporations cannot constltutionaiiy be
extended to V interstate transac-
tons in insurance"
Senator Dryden, at the last session of
Congress, introduced a bill in which
were embodied the recommendations
made by the President in. his message.
This measure, at the request Of the
Senator himself, vas sent to the SEN
ate Committee on Judiciary, where it
remained when Congress adjourned.
According to the plan decided on at
this later conference Senator Dryden,
when Congress meets again, will intro
duce a bill framed largely on the same
A4SS GS NAC OAo nv ouI GU
ditional provisions for the remedy of
defects in existing legislation, since
brought to light, and amended in some
respect so as to meet constitutional re-
QuirementS.
Senator Dryden arrived here on the
1920 train, which brought several 9TH
er visitors 70. the President. Mr.. Beck
had planned to arrive at the same
time, but missed his train at Long ISL
and City. Fifteen minutes later, how
ever, he arrived on q special, which he
had engaged on short notice and which
made q record run to Oyster Bay. Sen
ator Dryden and Mr.. Beck took lunch
con with the President and Mrs. Roose-
welt at Sycamore Hill.
I'VE discussed the question of Fed
eral supervision of life insurance" said
Mr.. Beck. on his return. land had a
very satisfactory talk with the Presi-
dent on the subject"
Twill you say what the Presidents
attitude on the question iS?' Mr.. Beck
was asked.
1T would be presumption on my part
should 1 propose to express an opinion
on behalf of the President" Mr.. Beck
replied. "All that 1 can say was that
our interview with him was highly
satisfactory to us.
There is not the slightest doubt in
the minds of any of the men identified
with the great insurance interests that
the time has come to take supervision
of them away from the States and
lodge it with the Federal Government.
1 have heard no open dissent from that
opinion from any quarter. The chief
difficulty with which we are confronted
lies in the framing of a measure which
will meet with the constitutional re-
Quirements. There seems to be consid-
cradle difference of opinion among
leading lawyers in this country regard
ing the constitutionaIity of a Federal
life insurance law.
do you expect to be able to over
come this obstacle?:' Mr.. Beck was
asked.
"WelI, we would hardly undertake
this work unless we thought we could
frame a measure conservative enough
to commend itself to the highest court"
Mr.. Beck, when asked to outline the
proposed legislation, said that in his
opinion Senator Dryden's bill would
meet all the requirements admirably
and that all the great. insurance COM
panies favored the measure. This bill
calls for the establishment of an in
surance department in connection with
the Bureau of Corporations in the De-
partment of Commerce and Labor,
which already is authorized to collect
information regarding insurance COM
panies doing an Interstate business.