Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1907-02-04
Companies Open a Campaign in
the Hope of Securing Repeal
of the Blanchard Law
STATE OFFICIALS TO MEET q
Present Law Has Resulted in Marked
Reduction in Rates by Prohibitins
combinations-stato NormaI's Good
Showing in Finances May Lssasn
Appropriations.
special TO Times-Republican

Il SDoCldl IlHlGSenCDllUllCdH,
Des Moines, Feb. 4.-Insurance com.
panies have begun campaign for the
prohibits insurance companies com
bining to fix rates or insurance. Pam
phlets and circulars are being distrib-
uted to members of the general assem-
i bly, in the hope of inducing them tc
repeal the law. The state auditor and
other state officers Will make determ
ined fight against the repeal of the law
IL any DILL to that effect is introduced
| The Blanchard law was enacted some
years ago but has oeen in force but
a short time because of the lengthy lit
| igation thru the supreme court OF the
United States before it was held to be
constitutional. It cost the state tlaou-
sands of dollars to keep the law on the
statute books and i'll force. Since the
supreme court held 1t to be constitu-
tional rates in Des Moines and else
where turnout the state have been very
considerably lowered. Before the leg
islative commission, which investigated
the insurance laws the past summer
witnesses testified that rates had been
lowered as much as fifty per cent and
in some instances more.
| One Of the circulars being distributed
at this time criticised the Blanchard
law as an attempt on the part OF the
| legislature to trea. insurance as a
commodity and Subject to dicker'' be-
tween the property owner and the
company" Just as tho its cost was
fixed and known" The circular claims
that as result of The law large prop
erty owners get their insurance for
less, at the expense Of the small prop
erty owners, who must pay more for
insurance. The circular claims that
Competition has no place" in the in
surance system and that rates should
bo determined on the law of averages
and should be brought about by a
scientific system OF rate calculation.
The circular en- 1eavors to quote
President Roosevelt in its behalf and
offers in exchange sor the repeal Of the
Blanchard law provision giving the
property owner right of appeal to some
commission to determine whether or
not an insurance rate is equitable.
Representative Jones of Villisca is
prepared to make great deal out of
the fact that the. Normal school Is, ask
ing for but $4,000 and promises on its
millage tax to build all its buildings
and equip them and be in a position
not to need a cont mutation of the. mill
age tax at the end of the five years
period, while the Iowa Agricultural
College and the Iowa State University
are asking increases in support fund
and special building appropriations
that amount In each case to nearly
half a million Of dollars. The num-
Der OF students Is quite as much as
the normal or more than it is at either
of the other institutions Mr. Jones
was in favor of the consolidation of the
schools under one board of control and
is for it yet. The bill will be up in
the house in week or two at least and
Mr.. Jones will champion it.
The millage tax at the state normal
is tenth of mill and at the other
institutions it Is one-flfth OF q mill.
The university and agricultural college
each gets about $4,000 annually from
it's millage tax while the state normal
gets but about 365,000 The millage
tax was originally voted with the in
tention that it would provide for all
the new buildings and there would be
no more special appropriations Since
then at every session there has been
requests for special appropriations just
the same But the state normal has
built its buildings from its millage tax
which is half as large as that Of the
other institutions.
This is causing some of the members
of the legislature to think. Mr.. Jones
has made careful study of the educa-
tional institutions and is convinced
and says that the reason the normal
does so much better is because of its
business management and he argues
that the only way to get business
to consolidate them under one board
of control which will really control the
business end Of the institutions.
There Is considerable discussion
among members Of the legislature rela-
tive to the baby-far evil. The dis
cussion leads to the discovery that in
nearly every large city Of the state this
evil Is apparent and the disclosures in
this city and arrest OF Mrs. Fred West
On charge of numbering six-months'
old infant by giving it laudanum only
hsightens the discussion. The trial of
Mrs. West. II she is bound over to the
grand jury cannot be held during this
session OF the legislat ure. Polk county
has no grand fury now and no likeli
hood of getting one for some little time
and even If it did have grand jury
the case would probably be postponed
past the present session of the legisla-
ture.
This same subject was before the
legislature last winter and many of the
members had an opportunity then to
ascertain some facts relative to the
business. The question that is agitat-
ing number of the members is wheth-
er or not the business should not be
limited to state institutions or at least
to certain specified institutions which
would then be placed under state con-
troll or inspection. This naturally leads
to1the suggestion Of repeating the bills
Of last session which provided for a