The free lance. (Fredericksburg, Va.) 1885-1926, 1905-12-14
Subscriptions Sl.Se Per Year, in Advance.
THURSDAY, DECEMBER II, 1905.
INSURANCE LEGISLATION IN
VIRGINIA.


The Legislature at its approa' IL
inc session will have fewer matters
OF greater Importance to occupy It's
time and attention than the question
of insurance. both fire and lie. 1t is
a subject of vital Importance TO
thousands and thousands OF citizens
of this State. There many tiHngs
for the Legislature to consider
among others:
LIST. The ACCESSIBILITY and necessl-
ty of creating n department oil lnsur-
ance with an Insurance Commission
or. whose business it shall be to Keep
a general supervision over the com
panies doing business IN this State.
2nd. The question OF enaeting
law to operate against the insurance
combine for rate regulation, known
as the Southeastern Tariff Associa-
ton.
Bird. The enactment Ola law winch
will promote a healthy growth OF the
fire insurance business and at the
same time give no latitude to the
companies for the oppression OF pol
icy holders.
These are the three most important
things and while there are many
Others, yet if the Legislature settles
these and settles them right it VIII
have taken a long step towards IN
surance reform in Nirginias
Without going into lengthy dis
cussion uf fire insurance methods al
present in vogue in this State, it Is
worthy Of mention that the present
situation is far from satisfactory
Following the repeal OF the "Whar-
ton law" the fire insurance COM
panies for while acted independent
" of each other to the material bene-
fit OF every merchant and property
owners. Then a year or so since
great fires in all pOrtionsof thecoun-
try, notably in Baltimore, caused
such heavy losses to the companies
that they were compelled in sell de-
tense to increase their standard OF
rates twenty-five per cent. on all
stocks OF merchandise, maautactur-
inc and otherindustrial risks.
Realizing the necessity for this the
business interests philosophically ac-
cepted the increase without protest
and without dissatisfaction. Not
satisfied with this increase, however,
the obnoxious Southeastern Tariff
Association, which, while always IL
existence, had been dormant so fal
as Virginia was concerned, again
steps into the arena and It's heavy
hand is soon felt in the general IN
crease in all manner OF risks.
Stamping offices were established all
over Virginia, and every risk today
written in Fredericksburg must run
the gauntlet of the Alexandra
stamping office before the rate Is ac-
cepted by thecompany accompanies
competition is the life OF trade, 1
as the saying goes, but there Is no
competition in Virginia in insurance
under the regime OF the Tariff Asso-
citation. Its agent comes here, looks
at a building, fixes an arbitrary rate
and that ends it. Every insurance
company doing business in this city
must, under it's agreement, write al
this rate or not at all, and the In
sured must accept this same rate or
go without insurance. We do not
advocate or believe in cut throat IN
surance. which renders precarlous
the very existence OF the companies,
but neither do we favor hide bound
tariff associations, to which the in
surfing public is delivered hand and
foot. The Legislature should frame
some just and equitable law to meet
the exigencies OF the occasion. The
Wharton law may have possessed
its defects and its repeal may have
been wise, but the Wharton law with
the defects remedied is badly needed
in Virginia at the present time. We
hope to see discussion OF this ques-
ton in the Virginia press between
now and January the tenth, believ-
ing that thorough threshing will
o.1<N1