The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-03-01

al Salt Lake Insurance Agents Now
in Combination to Main
tain Prices.
BCiaRD STANDARD TO RULE
ONE-FIFTH OF POlICYHOLDERS
MUST STAND RAISE.

There will be no more competition in
fire insurance rates in this city, and at
least 20 per cent of the horseholders and
business men who have been carrying
policies viii have to pay q higher rate
when their present agreements with the
cclnl aLles expire.
The board of fire underwriters Of the
Pacific yesterday organized all the fire
insurance agents of this city into a local
association and hereafter prices VIII De
maintained.
Tor d number of years several local fire
insurance agents fought against entering
the Pacific board Yesterday, however,
they were compelled to give up the bat
tie, and now that they are all together
the regular tariff will be enforced The
new organization was formed in the Of
flee of the board of Pacific Fire Under
writer's in the Commercial building.
Every fire insurance agent in the city
was present or was represented. The
officers elected were: President, James
Rogers; vice president, II. B. Windsor;
treasurer, G. e. RaybOuld; secretary. I.
II. Cartwright and A L. Mcdonald. with
all the other officers except the treas
urer, to compose the executive committed
A majority Of the members of the new
organization have maintained the Pacific
boards rates, so those who obtained their
insurance through them, VIII not have
to pay higher rate when their policies
run out. Nearly all policies for fire are
issued for three years. The independent
agents who gave rates much lower than
those authorized by the board, it is be-
heved. collected about 20 per cent OF the
premiums paid on policies now held by
citizens of Salt Lake. Now all their ell
ents will have to pay the regular rates,
which are much higher.
Deny 1t Is Trust.
The officers of the new organization
deny that tbs a trust and declare that
in increasing the rates to those who have
been benefitting by the cut prices, they
are simply getting what is due them and
the companies and besides are stamping
out a policy that was detrimental TO the
business as far as profits were con-
cerned They declare it IS not trust
hut merely a combination to fix prices.
Three local agents who held out as
long as It was possible and VINO joined
the new organization only yesterday are;
II. PIERCE. Ensign, Elder & Cartwright
and A L Vincent. One of these firms
was threatened with the loss of six OF the
eight eastern insurance companies II rep
resented before it decided that It was
time TO stop fighting the Pacific coast
hoard There are about twenty insurance
companies which the board has not con-
trolled One hundred odd other companies
were in the board. One. 1t is said, has
inst $50 policies issued to householders
and business men at low rates who viii
have to pay an increased rate as soon as
they expire.
Present insurance Status.
While every denial is made that there
is any trust in the organization, it is
nevertheless true that the agents in this
city who did not care to submit to the
Jurisdiction of the Pacific board were
compelled to do so or lose their companies.
The situation now is that about 20 per
cent of the citizens of Salt Lake who have
taken out fire Insurance policies, issued
BY companies represented by the agents
who were independent until yesterday,
will have to pay an increased rate the
instant their present policies expire. The
fire rate on dwellings has been in the
neighborhood of 20 cents per 800. This,
however has been lower than the regular
rate because the Pacific board had 10
meet the rates Of the independents or non
hoard agents. Now it is said that this
will be Increased TO something over 81
per 500 for policies running three years.
Rates on business property have always
been higher than on dwellings ana these
prices will go UP in proportion
According to the agreement made by
all the members of the new association
yesterday there is TO be no cutting OF
rates in this city, but TINS does not pro-
hibit them from slashing prices outside
Salt Lake in the state. 1t is not believed
however, that any of the members VIII
attempt to do anything that would bring
the i'll will OF the organization down upon
them, as the companies are reported TO be
hostile to further cutting.
The board of fire underwriters Of the
Pacific has control Of nearly all the fire
insurance business OF the western states
as far east as Utah. 1t is said to be
reaching eastward and may soon control
other commemorative.
On behalf Of the new organization 1t is
claimed It will be better generally for the
city and its people. There will be no
discrimination, it Is said, and rates will
10 ocr,4to1,1a