The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-02-01
In Answer to a Call for a Nation-
al Convention.
INSURANCE CONTROL.
Through Uniform State Legis-
IatiOn Is the Object.
Drake, Commissioner of District
Of Columbia, Presides.

Chicago, Feb. More than one
hundred state officials, including gov
ernors. commissioners of insurance.
attorney generals and representatives
of insurance companies were present
at the opening session today of the
national convention called to discuss
measures of control Of insurance COM
panies in the various states.
Thomas E. Drake, insurance COM
missioner of the District of Columbia.
presided at the opening and called the
convention to order. His remarks
were in part as follows:
The exposure OF some of the meth
DDS Of some of the life insurance COM
panies by the committee of the Iegis-
lature of New York, which so clearly
demonstrated the urgent necessity for
better insurance laws throughout the
country, was the principal reason for
calling together the governors, attor-
ney generals, Insurance commissioners
and others of so many states and terri
tories The meeting, however, is the
direct result of correspondence begun
last November by Governor Johnson
of Minnesota, with the president sf the
United States. It was felt that in the
general prevailing excitement and
/ deep feeling amongst policyhclders
and the public in general there was
great danger that the various legis-
| latures about to convene might adopt
/ drastic measures which would not only
| be unreasonably burdensome and
/ harmful to insurance companies, but
also injurious to policyholders.
| After full consideration the fol-
/ lowing plan was agreed upon. and has
| the approval of the president and the
| commissioners of the District of Co
lumbia, but which the necessary
! changes in form to make it applicable
may be enacted by the states and ter
Iritories; thus making uniform reSl-
lauon OF insurance and avoiding the
vexatiOus and costly burden incident to
differing and often conflicting local
legislation.
This meeting is considered one Of
! the most important that has taken
place in the interests of insurance.
4 Let US theretore be exceedingly care
lful in the preparation of the proposed
/ uniform bill TO administer justice and
fairness to the companies and at the
same time erect enduring safeguards
for the policyholders."
The convention elected Governor John
A. johnson, of Minnesota, as chairman
| and Frederick H. Nash Of Massa-
chusetts as secretary. The report ii the
committee on permanent organization
recommended that a committee nf 15 be
appointed by the chairman of the COM
mittee to formulate a bin or bills with
| a view TO esta blishment OF a Uniform
system of statutory regulation of legal
reserve life insurance in the several
states. This committee of is is to re-
port at an adjourned meeting OF the
present convention at a time and place
to be hereafter determined. The com
mittee was instructed to give particular
attention to the following SUBJECTS
Deferred dividends, report, form Of
government in mutual companies, pub
Icity, limitation of age in life insurance,
investments, limitation of expenditures
to loading and restrictions on cost of
I new business, limitation of amount Of
business and assets method of deter
4 mining loading, nonforfeiture provisions,
! investments in individual states of a per
/ centage of the reserve on the business
! in such states, reports in annual state
ment of dividends paid, credited, OF pro-
VisiOnally credited under different forms
/ of policies, at the several ages of entry
and several years in force
A motion by Samuel B. Davis, insur-
/ ance commissioner of Nevada, that a.
/ committee on credentials be appointed
by the chair, brought out a demand
from c. W. ScOVille of Pittsburg. presi-
dent of the National Association OF
/ Life Underwriters. for a voice in the
| affairs Of the convention. Mr.. Davis
| declared that he desired to limit the
/ voting powers to the state insurance
( commissioners and attorney general
Mr.. Scoville declared that he was pres
ent by special invitation and possessed
/ rights equal to those of such state offl-
cials as might be in the convention.
Some trouble had been anticipated on
! the question of representation and a wave
of subdued excitement came over the
/ convention when it was broached-
| Chairman johnson announced the com
mittee on credentials and that body went
! into executive session at once. A re-
! cess was taken pending the report Of
( the committee.