The Waxahachie daily light. [volume] (Waxahachie, Tex.) 1894-current, 1908-03-03
FIGHTING FOR EXISTENCE.
Believed Insurance Commissioners
Are WaCing War on Fratcr-
nal Societies

BundiO, n. T., Mar That
state commissioners throughout the
country have joined with the "old
line companies in Waging a con-
certed warfare on the fraternal
insurance bodies and that the frater-
nal system Of insurance is doomed
to speedy extinction if adverse bills
prepared by commissioners are pass
ed by the state legislatures, is the
statement of Walter A. Rice, SUI
preme secretary of the Order of the
Iroquois, which began its national
convention today.
over the heads of the officials of
fraternal beneficiary societies of the
United States forever hangs, like the
sword of Damocles, the threat of adj
verse legislation, said Mr.. Rice.
And the hand from which depends
this deadly sword is that OF the
state insurance commissioner.
Back of the mighty, imposing
figure of the state insurance COM
mmissioner, and partially concealed
by his shadow, are the old line life
companies, urging him to cut the
slender thread and kill the fraternal
system.
I'm the early days of these soci-
cites, there were no state laws, nor
insurance missioners, and yet
the pioneer societies conducted their
business as honorably, and paid
their claims as promptly, as at the
present time when under close state
supervision.
About 1880, when fraternal in
surance began to show unmistakable
signs of becoming one of our great
institutions, state laws gradually
were enacted largely at the dicta-
tation of the old line life compan-
les under the pretense of protecting
the people.
Strangely enough the state in
surance commissioner always en-
dorsed any legislation proposed by
the companies, and exerted his Off
cial influence to secure its passage.
From the time when the state in
surance commissioner was first call
ed upon to supervise the fraternals,
there is continuous trail of abuse,
Misrepresentation and adverse leg
islation.
Ever since the birth of the fra
ternal system in 1868, there has been
no evidence of fraud, corruption or
mismanagement to warrant the state
commissioners in their concerted
warfare upon it. On the other hand
the fraternals by their magnificent
development have deserved and
should have received the support and
cooperation of insurance commits
sioners, and not their opposition.
If they are really bound by their
deep sense of duty as insurance
commissioners to protect the people
against insurance frauds, they had
abundant opportunity to do SO by in
vestigating the old liners them
selves.
Eternal viligance is the price of
the continued existence of the fra
ternal system. The commissioners
are now more antagontstic than ever
before.
"A prominent actuary predicts
that within two years all states will
require a minimum table of rates to
be either the National Fraternal
Congress table or the American ex-
perience table The commissioners
are agreed upon the latter, which
would place fraternals upon the
basis of old line life insurance: then
would easily follow valuation, legal
reserve and such other measures as
would throttle fraternal insurance.
For whose benefit? The old lin
erS, OF course
Shall great institution like the
fraternal system with nearly 200 So
,ieties, 100000 members and 49,
600, 900 people protected by it, con-
tinue to submit to the despotism,
the hostility, the injustice of the in
surance commissioners? Shall we
permit them longer to dangle over
our heads the sword of Damocles?
Let us create new Office in each
state, the Office of 'fraternal insur-
ance commissioner, to be elected by
he people. In that way divorce the
I'D line from the fraternal system
Let there be one commissioner who
shall supervise the old-line compan-
es, and the fraternal commission
srs who shall supervise the frater-
lalS