The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1905-09-08
FAYETTEVILLE ENTERPRISE.

| the Fayetteville Life Insurance Com
pany have already appeared in these
columns. Under the leadership of the
National Bank. Mr.. c. j. Cooper
number of the most successful puSl-
ness men, bankers and manufacturers
Of the Cape Fear section organized
life insurance company upon the most
approved plans. The originators asked
for subscriptions for a 100000 COM
pany and the desired capital stock was
over-subscribed. showing the faith of
men of means in the enterprise and
in the men who are to have the man.
agement of the company.
The organization of home inSur-
better era in North Carolina. Shortly
after the war. when the South had
no ready cash, number Of such COM
panies were organized. In most in
stances the subscribers did not put in
cash but their notes and the company
also made the further mistake OF put
ting at the head some brave man who
had won reputation in the Confederate
army but who knew nothing at all
about the insurance business. Bottom
C on sentiment, little available money,
at time when people were poor and
respondent, most of those companies
failed and those who had insured in
them lost money. That loss destroyed
faith in Southern insurance companies
and has made it difficult for home
companies to organize. But large sue
cess of North Carolina banks, trust
companies, a few life and fire insur-
ance companies and other corporations
established upon a sound basis and
managed upon strict business prlncl-
pies has shown our people that they
are as competent to conduct insurance
companies as to grow and spin cotton
The best thing about the North car
DINA of today is that it's people nave
faith in themselves and believe they
can do things. Ten wears ago not
few of them thought they must depend
upon Virginia or Georgia newspapers
for their news, upon Northern cities
for their banking and insurance, and
upon New England factories for man.
ufactured goods. In these years there
has been a wonderful change and to-
day North Carolina folks have conf
dence that they can do banking, man
ufacturing and conduct insurance
business as well as the people in New
York, Lowell or Hartford. With con-
tinued good management, the success
of home insurance companies Will be
as markedly beneficial to North caro-
lima as has the development of its
manufacturing interests.
One of the best ways for North Car
DINA to grow rich is to keep much of
the money at home that it has been
sending abroad to pay life and fire in
surance premiums. The dav will not
come in the life of any man now liv-
ing when home companies can do all
the insurance business but they should
every year do a constantly increasing
share. The present drain on the State
by the outgo of money paid in pre-
miums for life and fire insurance is
thus seem in the year 1904 the peo-
pie of North Carolina paid in pre-
miums for life insurance, nine-tenths
of which went to companies outside
of the State, 1856, 404.4S. The amount
paid in return in losses to policyhold-
ers was $1,104,010.17. This leaves an
excess of $2,452,394.31 of money paid
o,oin n %
miums more than was paid back.
Think of the drain of two and half
million dollars from our State in one
year. And that drain in lesser amount
has been going out of the State for
twenty years and more. If one-half
of these premiums had been kept in
North Carolina, this moner would have
turned thousands of SpindleS and set
in motion an hundred industrial enter
prises that would have enriched the
State.
In fire insurance the drain has not
been so great and a larger proportion
of fire business is done with North
Carolina companies than life bust
ness. The companies outside OF North
Carolina for the year OF 1904 received
from North Carolina folks $780,
1916 in premiums. They paid back
to North Carolina in losses 1894, 944.53,
or less than fifty per cent of the
amount collected-taking nearly one
million dollars more out of the State
than they paid back.
The moral of all this is: Put a larger
proportion of your life and fire insur-
ance in North Carolina companies and
keep a portion of the money home that
has been going to enrich New York,
Hartford and other Northern cities.