The herald and news. [volume] (Newberry S.C.) 1903-1937, 1907-11-19
STATE FIRE INSURANCE co.
Comptroller General Jones at Head
of New Company It will Have a
Capital Stock of S3OO,00O,
with Headquarters in
Columbia.
News and Courier.

ton has been made 1Or chaflef Lol
the Fidelity Securities Company,
which is the first step in the 'rgan-
ization Of South Carolina fire in
surance company with a capital stock
Of 100000. with headquarters IN
Columbia. Comptroller General Jones
is the prime mover in the organlza-
ton Of this company and VIII be
lis head. He has secured the back
in" of the leading business men OF
the state: who realize that it is not
only al excellent investment from
the purely business standpoint, but
that the plan to keep the Insurance
premiums in this state and section
is deserving Of support. Mr.. Jones
has lot yet made any systematic can
vass for stock, but states tAat with
the small amount Of work which he
has been able to do on this line out
side Of office hours he has met with
encouraging success. His desire IS to
distribute the stock among a large
number of small stockholders scatter
ed in al sections of the state. The
company is to be primarily South
Carolina concern, but its business
operations will not Of course, be
confined TO this state.
The Fidelity Securities Company
is to own and hold stock in fire IN
surance and other companies, using
the proceeds Of the sale of its stock
for this purpose, and to act as gener-
al agent for fire insurance and other
companies.
It's principal object will be to Or
ganize new fire Insurance company
to be called the Gulf and Atlantic
Fire Insurance Company Of Colum-
bia. S. c.. the funds for which will
be furnished by the Fidelity Securi-
ties Company buying the capital
stock Of the fire insurance company
and holding the same in its treasury
the Securities Company becoming the
general agent and manager for the
United States for the fire insurance
company.
Of the capital stock Of the Fidelity
Securities Company 100000 is offer
ed to investors, while the balance OF
100000 Is to be distributed through
out the field to the agents appointed
and representing the fire insurance
company and other Insurance COM
panies controlled by the Securities
Company. In this way, each agent
will be directly and financially inter-
ested in the success and welfare Of
the company, and will aid the COM
pany's effort in enforcing the guar
anteed conservatism in the selection
of risks.
The oar value Of each share is ten
dollars, and it is desired that these
be as widely distributed over the
state as practicable.
In the State of South Carolina, ac-
cording to the official report Of Comp
troller General Jones, the fire insur-
ance companies doing business within
the state received in premiums from
the citizens Of the state in the years
1900 and 1905, inclusive, 1896. .S4Q.-
20. Deducting the reported losses
and. expenses, the profits derived by
these companies from the business
done in the state according to the re-
ports furnished by the said eompan-
} les amounted to $1,432, ,364.0. These
amounts do not include mutual as
sessments companies, which do. a
large and profitable business within
the state.
In 1900 the Legislature provided for
insurance Of public buildings of the
state by the state itself through the
sinking fund department. That de-
partment in its report to the last ses-
sion Of the General Assembly says:
"During the six years Of its opera
ktion (since January l. 1907 this
sinking fund insurance department
has paid out s2,l45 for losses incurred
in six fires and $l514 for the costs
of aanraising damage by fire, ap-
praising rates and value, determining
hazards. and for stationery stamps
and blanks: and on December 81,
1906. has accumulated net fund Of
s2S,G7o.43."
The enormous profits shown as
above are accentuated when it is con-
sidered that the premiums paid for
this insurance we're only two-thirds
of tne amount paid prior to the adop-