The San Francisco call., 1906-05-27


against the demands for heavy dis
counts from policyholders on adjusted
claims for fire losses George D. Dor
min. Pacific Coast manager for eigh-
teen years of the National Fire Insur-
ance Company of Hartford, Conn, has
resigned.
AS the second oldest insurance man.
ager in California and one of the most
prominent men in that line in the
United States Dornin's action has CIV
en- rise to 70 end of comment and
speculation in the insurance world.
For forty years he has been active
ly identified with the fire underwrit-
ing business in this State. He has al
ways occupied a high place in the
councils of the various fire insurance
organizations. His voluntary retirement
from the Hartford company's man
agement here comes as one of the big
events in the turmoil of the fire in
lsarance situation.
Dornin's resignation has been an
open secret for a day or SO among the
insurance men. When the veteran of
three great conhagrations-Chi ago.
TO verify the street rumor today he
said:
Dissatisfaction with the policy
adopted by the National Fire Insur-
ance Company as to demands for
heavy discounts from policyholders
IL t., So
resigning the management. For eigh-
teen years / have held the business of
the company on this coast. Many of
the policyholders who are affected by
the company's stand as to dis
counts are my friends and neigh
science adhere to a policy which en-
forces such an order as that of COM
pelling a heavy discount.
1T does not conform with my the
ory of conducting business. and voice
and express that disapprovaI by with
drawing from the company. l believe
in close adjustment of these losses so
that there shall be fair basis of value
attained. 1 believe in meeting the
contracts of the company fairly and
would not spend a dollar of the money
of the company 1 represented unfair
ly.
But 1 cannot stand upon such a
proposition as a horizontal cut in an
adjusted claim and have therefore re-
tired from the National"
Dornins resignation, the theme OF
so much street gossip. has led to a
general disclosure of the insurance sit
uation with relation to the settlement
of losses. Soon after the fire H. A.
Smith, assistant secretary of the Ma
tional, appeared and assumed charge
of the adjustment and settlement OF
that company's losses, which approxi-
mated $3.50, 900. Dornin, according
TO other insurance men, was Informed
that the National would settle on a
basis of % per cent discount on the
allowed claims. His objection to this
plan was raised in vain.
He is said to have gone Farther in
protest than a mere statement of dis
satisfaction. At any rate Dornin has
withdrawn. and by so doing has fur.
nished his brethren in the insurance
world with much food for thought.
The National Fire Insurance Com
pany is well able to meet it's losses
being entirely solvent and of high rat
ing financially. 1t ranks as one of the
strongest companies in the United
States.
The retiring managers record in
the insurance world takes him back to
the early Cos. AT the time of the
Chicago fire in 1871 he was sent East
as secretary of the Fireman's Fund
Insurance Company to adjust losses in
the lake city. A year later he took
part in the settlement of the Boston
/ losses
Dornin will retain the management
of the Springfield Fire and Marine In
surance Company of Hartford. That
company, through Vice President Da-
mon, has laid down a rule of settle
ment which means dollar for dollar
on fhe adfuQfed loss tha oop,nan,, -