The Washington times., 1906-04-20

NEW YORK, April 20.-While no de-
finite Information has come TO any OF
the officers Of the large fire insurance
companies in this city which have mil
lions at stake in fire-swept San Fran
cisco. it is admitted that the losses
which the companies must pay will ex-
ceed even those of the Chicago confa-
grafton OF OF any other fire in the his
tory Of this country.
Nothing like an accurate estimate
could be made, it was pointed out, until
IL was aScertained what buildings were
destroyed by earthquake, as well as
those destroyed by the flames or dyna-
mite.
All day long the officers of several
companies tried without success to get
in telegraphic touch with their San
Francisco agents, ard in several in
stances representatives were dispatched
on fast trains TO collect the information
which every company must have before
IT will be in a position to figure out its
probable loss.
Far Ahead of Baltimore.
1t is roughly estimated that all of the
American and foreign FIRE companies
doing business in California had out
standing about $50 10000 OF fire insur-
snee In San Francisco. The loss to the
companies may run as high as $50 600, 900,
and possibly 100000 higher. An in
surance loss of this amount would mean
a total property loss cE more than $780,
900 under the conditions which have
prevailed in San Francisco The total
loss Of the insurance companies in Bal
timore was $50. 600 600. though the actual
destruction OF property involved a very
much larger sum.
Ninety-seVen companies, foreign and
American. have risks in San Francisco.
IL IS ppt believed that any one company
will have to bear a loss in excess OF
$2,500 0c0, and only one or two VIII be
as hard hit as that. The heaviest loss
will fall upon the San Francisco COM
panieS-the Eiremen 5 Fund and the
Home Fire and Marine. OF the out-State
companies those carrying the heaviest
risks in the stricken city are the Hart
ford, the Home. and the Continental. or
the foreign companies the Liverpool,
London, and Globe Will be the hardest
hit. In all OF California that company
had risks on January /, 1893, amounting
TO $25. 514. .446. Twelve London companies,
on the same date, carried total of Sis
6I2,531 in the State How much OF this is
on San Francisco property the records
OF the branch offices in this city do not
show.
Liberal Policy Will Be Adopted
Statements made by the Officers G:
several of the large companies Indicate
that liberal policy will be adopted IN
dealing with the fra-sufrerers; but IN
any event. it Is expected that a great
mass of litiga ton will grow out OF the
settlement OF the various claims
Wills .. Robb, secretary Of the New
York board OF FIRE underwriters, SAID In
regard 10 the general plan on which
losses would be paid:
If building were COMPLETELY de
moliShed by earthquake and the ruins
were subsequently, burned the owner
could recover no insurance. But If the
building withstood the earthquake shock
and was subsequently burned then the
insurance company would have to pay
the loss caused by fire. In some cases
the buildings have been weakened by
the earthquake and their value conse-
Quently lesSened before the fire DESTROY
ed them. In cases OF that kind settle
ment will probably be made by COM
promise. But where a company could
not show that a building was material
ly damaged by the earthquake previous
10 the fre il would have TO pay the fun
value of the policy.
AS to the buildings dynamite1 a spe-
cial statute of California dIspOSes of that
question II provides that whers =
building is blown up by iynamita 10
ance company has 10 stand the loss
The California law Is Suprcme on that
point"
Home Insurance Company, said:
The companies affect d Uy the Gis-
sster will adopt a uniform policy for
the payment Of losses. They will deal
with the situation in The broadest pos
Eible spirit. There win be no clubbing
unless there is genuine doubt OF the le-
Gslity of claim
City Was a Fire Trap.
San Francisco has always been a bug
ahoo to fire insuranCe mon. because OF
its peculiar Topography and She charGc-
ter of its buildings. I has been regard
ed as a gigantic firetrap.
An exoert examination of the city Was
made hy the national board Dt lire ln-
derwriters only s;x months ago The
f1nal paragraph I'm he repors of the cN-
aminers contancd this significant warn.
ing:
"In fact. San Francisco has violated
ell underwriting traditions and prece-
dent by not burn.aS up That IL laS
not done so IS largely due to tho vigil
lanca Of The li. .lan.l rim -,