The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-03-17

OF branch agencies, who reap such big re-
turns on the work Of the solieitOra1-
When it was announced that d. p. Kings
ley, vice-president of the New York Life
Insurance Company and son-in-law'of the
hte John A. Mccall, was to speak at to-day's
hearing it was thought that possibly Mr.,
Kingsley would reply to the statement OF
, Hamilton. But not even by inference did
he give any intimation that he had heard
the rema rkable speech OF t~hegprBvioIIs day.
Mr.. Kingsley said there were two groups
of insurance companies, me which paid
is debts each day and does not pay divi-
dends until they are earned. while the other
group defens payments of debts and pays
dividends whether or not they are earned.
1.-THE New York Life he said, belongs
to the first group. ! oppose specially sec,
ton 81 because it will demoralize the method
used by the New York Life in getting bust
ness. Section 0S will tear down the New
York Life agency force, which is one OF the
most valuable assets of the policyholders,
and at least some time should be allowed
to- reconstruct the agency force to meet the
drastic expense provisions of Section 0S."
IA. l.. Dickinson, Harvey -. Chase and
William II. Bracke, a committee of the
.. Public Accountants Association, protested
against the methods Of accounting provided
for in the bills. ~
For the first time the assessment in
surance companies were heard from D.
: H. Williams, a Buffalo attorney. who APP
peared for the Masonic Life Assurance,
and other assessment companies, protested
against the incorporation in the bills OF a
provision prohibiting the further organi-
2ation of such companies in tins state,
and the prohibition against this class OF
foreign companies doing business here.
Mr.. Williams said that such provisions
would be taken advantage OF by old line
life insurance companies to cause distrust
and fear to take possession Of timid policy
holders in assessment companies.
A Collouuy ensued between Senator
Armstrong and Mr.. Williams regarding
the safety of the assessment insurance
companies, and 1t was plain TO be seen
that Senator Armstrong would have no
faith in the companies Unless they in
creased their rates.
Assemhlyman Edwin A. Merritt Of st.
Lawrence county took occasion to address
the committee and suggest amendments
to the bills. Mr.. Merritt says If the, com
mittee does not consider them he will offer
them on the floor of the Assembly; He,
however. was speaking as a ~policyholder In
the Equitable. He objected to the provision
regarding the naturalization of that society.
Henry C.: Li,pb,ncotti representing n Ine
for the outside companies and also ior
more liberality. He declared that the
agents did not get the big salaries and the
big commissions. 1t was the managers
VINO mace inc Dig pIOIlS, IN SSit' oh' "
was mana Gerial extravaganza that threat
ened the life of the insurance companies.
The attitude of the Legislature in re-
gard to the insurance companies was
shown to-day when Senator McEwan
chairman Of the Senate Insurance Com
mitee, presented the report of his COM
mittee and it was found that among the
bills reported favorably was the celebrated
bill Of Senator Bracket. repeating Sec
tion Sc of the insurance law.
This is the section that Senator Brackett
endea vored to have repealed last year
and which the insurance companies kept
from getting out of committee. Senator
Braokett introduced the bill on the opening
day Of the session. This section prevented
a p~olicyholder from beginning an action
against an insurance company without the
consent of the Acknowledgement.
The members of the Armstrong COM
mittee were displeased because the regu-
lar Insurance Committee of the Senate
took action upon the bill repeating Section
SO In advance of the Armstrong committee
reporting finally to the Legislature upon
all life insurance legislation. They want
all of the credit for the insurance reforms.
Senator McEwan, the chairman OF the
Senate Insurance Committee, is a great
admirer Of Senator Bracket and believes
he is entitled to whatever credit there may
be in obtaining the repeal of Section So
because of the fight he made before the
Armstrong committee was eve thought OF
to force legislation repeating that section.