Coeur d'Alene evening press. (Coeur d'Alene, Idaho) 1907-1929, 1908-03-03
FRATERNAL BODIES FIGHT
State Commissioner Favor Old Line
Insurance Companies.


state commissioners throughout the
country have Joined with the "old
line" companies in waging a concert
ed warfare on the fraternal insur-
ance bodies and that the fraternal
system of Insurance is doomed to
speedy extinction If adverse bills
prepared by commissioners are
passed 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
the fraternal beneficiary societies OF
the United States forever hangs,
like the sword of Damocels, the
threat Of adverse legislation" said
Mr.. Rice. And the hand from which
depends this deadly sword is that of
the state ingurance commissioner.
Back OF the mighty, imposing fig
uTe of the state insurance commits
sioner, and partially concealed by his
shadow, are the old line life com
panies, urging him to cut the slen-
der thread and kill the fraternal sys-
tenn.
I'm the early days Of these socie-
ties there were no state laws, nor
insurance commissioners, 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 super
vision.
"About 1880. when fraternal in
surance began to show unmistakable
signs of becoming one of our great
institutions, state laws gradually
we're enacted largely at the dictation
of the old line life companies under
the pretense of protecting the people.
strangely enough the state in
surance commissioner always in
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
called upon to supervise the frater-
mails there is a continuous trail of
abuse, Misrepresentation and ad-
verse legislation.
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
bioners, and not their opposition.
IF they are really bound by their
deep sense of duty as insurance c.Im-
missioners to protect the people
against insurance frauds, they had
abundant opportunity To do SO by
investigating the oil liners fhem-
selves.
Eternal vigilance is the prize of
the continued existence of the fra
terpal system. The commissioners
are now more antag 1nistie than ever
before,
"A prominent actuary predicts
that within two years all states will
require 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
liners, of course.
Shall a great institution like the
fraternal system, with nearly 200 So
cieties, 10000 members and as
100000 people protected by it, con-
tinue to submit to the despotism, the
hostility, the injustice of the insur-
ance commissioners? Shall we per-
init 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
the people. In that way divorce the
old line from the fraternal system.
Let there be one commissioner who
shall supervise the old-line COM
panies, and the fraternal commission
ers who shall supervise the frater-
nails"
BRITT-NELSoN RATTLE