The Montgomery advertiser., 1907-09-11
INSURANCE MEETING
SECRETARY JULIAN GOING TO
 RICHMOND.
Many Matters of Interest and Import. sance to Be Taken Up By COm- missioners of Various
 States,

Secretary of State Frank N. Uulian
 will attend the National Convention of
 Insurance Commissioners. which will
 be held at Richmond, Va, Monday.
 Tuesday and Wednesday of next week,
 as representative from Alabama. He will probably leave Montgomery Sat-
 urdayNmorning. The press of duties
 here will prevent Deputy Commissioner
 A. c. Sexton from attending the con-
 vention.
 Tn view of the fact that States all
 over the Union are waking up to the
 necessity for insurance control more
 than usual interest centers in the con-
 vention to be held next week. and in-
 surance companies generally will watch the proceedings with more OF
 less alarm. Some of the best-posted
 insurance commissioners in America will be present, and matters of he greatest importance in framing in. surance legislation will be discussed. [. Deputy Commissioner Sexton is es- pecially interested in legislation touch- ing high pressure" methods in in- surance, unauthorized marine insur- the program which has been arranged for the convention at Richmond. other commissioners look upon these as very important matters. At the last sessionof the Legisla- ture,". said Deputy Commissioner Sex | ton, i've endeavored to have bill passed taking under control the un- | authorized insurance, so that insur' ance companies paying their just trib- ute to the State will have protection. | What is meant by unauthorized in- | surance is that class of insurance | which assumes risks in New York | through blanket policies here.
 For instance, warehousemen take cotton on a risk that is covered by a | policy issued in New York, covering | the contents of their warehouses. This l insurance Is issued over the heads oi ] agents and companies that pay for the privilege of doing business in the State, and there Is no way for us to protect them under the present law | The bill, which was framed seeking to place the obligation upon those who l took out these blanket policies and putting them on the same footing with other agents. went in too late"
 Mir. Sexton believes that if there is an extra session of the Legislature
 this matter will be taken up
 High pressure" methods of writ 1 ing insurance are violations of the State insurance laws, and there are l instances in this state where such | practices have been resorted to. The  | practice is carried on in such man. l ner that 1t evades the law as framed | at present. For instance. an agent | can go to a prospective policy holder | and tell him that If he will take out a policy with his company, he will | give him a suit of clothes. This Is . violation of the rebate law, and yet iS is such tan intangible way of getting l at the matter that special Legislation | is necessary to prevent it.
 Fraternal insurance Is perhaps the | liyest wire that will be taken up al | the convention in Richmond. Many States are seriously considering plae- ing fraternal insurance orders on the same footing as the regular companies | as 1t is believed to be nothing but fair At present the fraternaI orders do not
 pay taxes for the purpose of operating | This, 1t isIargued. Is manifestly un- l fair to corporations, as it enables the 1 fraternaI orders to compete more sue cessfulIy, by reason of the reduced ex' l penses of operation.