Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1907-12-11
NEW YORK LIFE
WILL NOT QUIT
pEcspEs TO COMPLY WITH NEW
WISCONSIN INSURANCE
LAWS.
ATTORNEY GENERAL PASSES
FAvoRARLY ON coMPANYs
RESOLUTIONS.
REPRESENTATIVES IN MADISON
REACH UNDERSTANDING
WITH OFFICIALS.
Madison, Dec.5.


drawing from the state of Wiscon-
sin, but viii remain here and con
tinue its business, observing faithful
ly the new insurance laws enacted
by the Wisconsin legislature,
This is the effect of an official
opinion rendered last night by AT
torney General f. L. Gilbert after
careful study of resolutions submit
ted by the New York Life with ref
erence to the new laws.
The company set forth its view OF
she requirements Of the laws as re,
lating to expenses chargeable upon
the first years premium, and to re-
sources available to meet expenses
chargeable against the first years
premium. The company proposed
10 adopt these resolutions as d re-
spouse to the new Wisconsin laws.
The Wisconsin insurance commits
sioner submitted the resolutions to
the attorney general with a request
for an official opinion as to whether
this would be in fact compliance
with the laws of this state. After
a lengthy dicussion of the difficult
and technical questions involved, the
attorney general reached the follow
ing conclusion:
Bearing in mind the fundamental
rules of construction above men
toned. and comparing the provisions
of said chapters 66S, 65T and 637
you. am of the opinion that said
resolutions comply substantially with
the requirements of the Wisconsin
law on the point of expenses charge
able to the first years premiums,
bearing in mind the fact that the
sum total of such expenses cannot
exceed the maximum amount be-
coming available in such policy year.
The resolutions submitted by the
company are as follows:
Resolved that the expenses
chargeable to the first years premi-
ums received on new business con-
sist of,
4. The direct acquisition ex-
penses, which are. the commissions
paid for new business, the advances
made to agents. and the sums paid
for medical examinations and inspee-
tions in conr ection with new bust
ness; and.
q. The proportional shares of
the first years premiums in the 9TH
or expenses of the company. exclud-
sn<v 49,. <s,,,oI .a,,,Y,ie.;0,,c opd e,,ab
other expenses as are properly
chargeable to the renewal premiums
solely, and excluding such expenses
as are properly chargeable to inter
est and rent.
Resolved further that the re
sources available to meet the above
defined expenses chargeable to first
years premiums are the following;
Il. The first years savings from
mortality to the amount of the total
sums paid for medical examinations
and inspections in connection with
new business, but not beyond that
amount
20 The portion of the first years
premiums received which is availa
BILE for expenses, and which is des
ignated in the Wisconsin law as Eek
pense charge; this portion being
"(a) In the case OF ordinary life
20 payment life, and term r-emiums
the excess of the gross ?. emiums
over the corresponding net premiums
for one-year term insurance; or,
Obj In the case of policies bear.
ing higher premiums than che 20
payment life, the excess of the cor
responding 20 payment life gross
premiums over the corresponding
net premiums for one-year term in.
surance"
Representatives in Madison.
Representatives of the company
were In Madison yesterday. Edward
OBrien of Chicago. attorney for
the New York Life, was accompa
MED by James H. Mcintosh of New
York, general counsel of the com
paRy. They had a visit with the
governor and informally discussed
the new laws with him. although not
in an official way for the governor
does not assume to deal with the
technicalities of the intricate bust
ness of life insurance, having those
things properly for the departments
of insurance and law
The representatives. however, as
sured him that they hoped that the
company would be able to adjust 1T
self to. the, unexpected and some
what hard regulations made by the
last legislature and continue to trans
act business in Wisconsin.
An official conference was held al
the department OF insurance. in
charge OF Deputy NJ. w. Waite, in
the absence of Commissioner Beedle
who is on his way to New York.
No Extra Session.
Governor Davidson has not fouad
It necessary even to give a serious
thougsat to the suggestion that a
special session of the legislature he
called to remedy life insurance
laws He said yesterday that he
had received only one letter frou
. r'slscyholder in regard to the in
suraRee situation. He said also
saar he did not think the people o.
this state would be pnabIe to gel