The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-10-16
HAVE TO WAIT.
Outside Mutual Fire Insurance
Companies Not Admitted.
Commissioner Barnes Awaits
Attorney Generals Opinion.
WOULD LET THEM in.
Might Afford Relief From the
Trust Domination.
Advent in Other States Has
Caused Cut in Rates.

Preliminary arrangements for the
admission of fifteen or twenty mutual
fire insurance companies of other
states to do business in Kansas re-
ceived a severe shock yesterday when
the application of the Merchants
Mutual Fire company of Redheld,
S. D., was held up pending an opln-
ion from the attorney general on the
right of such foreign companies to Sc
cure admission to the state under ex-
listing laws. 1t appears that the laws
do not provide that mutual fire COM
panies can be admitted to the state
under any conditions. In the past, II
is understood, the insurance depart
ment of the state has simply re1ecleu
the applications OF mutual h5e So ,Ii-
panies from other states to do busl-
ness in Kansas. Commissioner Chas-
Barnes, however, is in favor OF ADMIT
ting these companies, II the way can
be opened, and he is conIefrlns Win
the attorney generals department TO
find the way.
At the present time, the ADMISSION
of foreign mutuals to do business IN
Kansas is of great importance 10 tne
merchants of the state. A mutual
fire company for merchants has been
organized in Topeka, and 1t is pro-
nosed to organize similar companies
at four or five other points III ~
state. They will all be unoer one
limit their liability on any one pullu-
ing to $4,000, and on any one DIock
70 s1O 600. With such limited hapll-
itv it will be necessary TO naEe
large number OF companies can
do business, so that merchahIs co co
carry a line of insurance up 10 ~
900 or $4,000 without golhg ou. -, u
Of the mutual companies FOR INA
reason, the plan mas pee1 ~ Ieree
the admission to Kansas for a laIse
number of mutual fire co1npaieee =
which have been doing a successiui
business in North and SCUM Daho'e-'
Minnesota and other states. of
Fl P Packard, the representative u
+ba Padheld company whose app!lca-
lion for admission will be lhaoe a
stest case to determine the rate OF tne
other nautuals, was in Topekd yeo t'71
day. and filed his appllcallon' -,
80 in consultation with T. "A: 1ylel,
- aanaraI manager of the Kansas
n,,,tnaI insurance movement. W.
TvIer is the representative OF tiie a.
tional Retail Grocers assocldlloii -.
| cornnanies for retail merchanes-
SOnaEine Of the situation today MT
| Tyler said: ,a-+s can
| ba made to secure the aonlssIoii ~
tbe mutual fire companies under tne
49, s,e nrovisions which regulate the
| adroission of foreign hre coHpal1Ts
oryanized on a stockholdtng paslS;
| viii be willing to comply Win an , ~
w. tions for the admission or sucn
| companies, and to pay the usual 80 -
The only question raised by the ~
| s,,rance commissioner is whetnet ms
denartment has the right to ao1nlt US
at ali. OF course if the attorney zen
eral holds that we cant pc .i1 -. -
we Will have to simply wait Until tIie
next session of the Legislature anu
cot the law amended. Meantime we
viii nroceed to organize more HlutuaI
&c comDanies here in kansas
Iii in addition to the one at Iopeka,
organize similar companies at Kansas
C,ify wichita, and other towns me
Toneka company is progressing sPleLi-
5idIv We are getting business at the
rata Of about $4,000 day, ana tne
1sw REQUIRES that we shall nave S1oo'
400 in business before we are LceLiseo
70 do business. We expect 10 nav
5000 900 instead of 100000 when we
st.rt communications are coming III
$50 oil over the state expressing II
4aoos+ in the new movement, ana ASK
no FOR policies. We Will nave no
t t,.e in writing a good line OF nusl-
ness in Kansas. ,a.rias
The new mutual fire compahle.s
.,rita business on nothing put pusI.
VS. houses and merchants stocks: II
~ o1aimed that in states where tney
are in operation, the old line Ilre coio
nanies have been obliged 70 MAJ ~
large reductions in rates 10 meet ING
compatition Of the mutuais.