The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1908-09-18
llOYDS CANDLES
IN INSURANCE
Taking Some Queer Chances
for Two Centuries, and Has
Never Defaulted.
RA1N THAT DOES NOT FALL
A Big Source of lncome-Singers and
Musicians Protect Their Earning
Powers With Strange
Policies.

insurance. AGAINST trldth ii1tIll Dl4tItSti
and losses resulting from the possible cleo
tion of William Jennings Bryan are not
the only queer policies written by i.loyds,
the English association OF Underwriters
which will insure against almost anything,
providing AN adequate premium is paid,
Lloyds has been in The fnsuring business
ever since 1862. and there is no record of
it ever having defaulted ON 4 just claim.
LloNd's was n famous coffee house IN
London f%requented by business men OF
substance, who. like many of their kind
today, We're willing to take j gamblers
chance to make good profits on their
money. n group of patrons of the place.
including many owners OF ships, decided
TO form Il sort Of mutual protective society
and insure vessels and their cargoes
against loss by any OF the numerous
causes which afflicted travel by sea in
those days. Each one i'll the group made
himself responsible for Il certain amount
of the possible loss and received a pro-
portionate share of the premium.
The first policy written was on the ship
Maria on her voyage from stockholm TO
London. The amount Involved was Goo
sterling. or about $500. This policy was
dated June %, 1852. Having no thought of
the long and honorable career ahead for
their society. its founders made no at
tempt TO perpetuate their own names i'll
connection with it, but more as a joke
than anything else decided to designate it
by simply using the name of the popu-
lar proprietor of the coffee house which
served them such good cheer.
That was the beginning of Iloyds. De-
signed originally as II society for marine
in~sulance-and that is still its principal
business-it has issued policies against all
conceivable kinds of risks. AS in the
beginning of Its career. Lloyds is still
backed by a group of men, much more
numerous than the first group. and each
one stands 10 lose more than did the
whole Of the original group. Each menu
Der OF the society must subscribe So. o0 on
his election. This fund makes up the re-
serve against the legitimate business of
L"loSds-namely, marine insurance.
All the freak insurance, such as the poll
cies against Black Hand outrages and
Bryan losses, Is written by different
groups of men who are members of the
Iloyds. If a man thinks the Black Hand
is going to blow up his store and cause
him a loss of $1,000, he goes to the Lloyds
agency, which communicates with the
home office, and a group of, say, ten mem-
bers will bind themselves to pay $1,000
each in event of loss, and the policy is
written.
Nearly every stallion of Importance on
the kentucky breeding farms is insured.
some Of them for as much as 100000.
Many race horses in training We're insured
until a few years ago, when a succession
OF losses caused an advance of premiums
to practically a prohibitive figure. The
crowning blow came when James X.
keene's Ilighball broke his leg in the last
furlong of a race and had to be destroyed.
IliSlbali was insured for a very large
amount.
Race horses and valuable polo ponies
are still insured, but the policies usually
only cover possible losses while the ami
mails are in transit. The hangers of the
race track and the polo field were found
to ne too many for the insurers.
Lloyds makes a lot of money out of the
vagaries of the weather. 1t bets huge
sums right along that IL is not going 20
rain en- a certain day. Every once in a
while it does rain and it pays out a pref
ty sum. ProprietorS of race tracks fire.
| quently insure against a raiistorm on big
stake days. Rainy weather will cut the
attendance in half, but the money offered
for the big stake must be paid whether
lo,tN or 10000 persons witness the race.
Recently a suburban real estate concern,
which spent SIS, 0o9 advertising an auction
sale of lots, took out 4 policy against a
rain storm on the day fixed for the sale.
paderewski, IN his concert tours, takes
out half a dozen different kinds of in
u s1di ~ Nv tiii'A w. 'hANA T. -
nrate policy on his aluable fingers.
kubelik. the violinist. also keeps his
fingers insured on his tours. Caruso and
several other grand opera stars, carry in
sufamce against colds and other maladies
which affect only the vocal organs.
Practically all the wealthy owners OF
automobiles not only insure their ma,
chimes against damage by fire. theft. col
lision or other accident, but also carry
liability policies. If the chauffeur runs
down and kills or injuries anybody the
damages which the victim gets must be
paid by the liability company.
Many business men in Britain carry in.
surance all the year ound Oh the life OF
King Edward as they did for years prior
to the death of Victoria.
Some Wal street stock spectators
make it a practice to carry insurance or
the life of President Roosevelt. because
CT the market upheaval which would fol,
low the sudden death of the head of the
nation. Lloyds will not issue its gamb.
ling policies to everybody. 1t must know
the man and know that his regular bust.
ness will not suffer a loss in event of the
happenings against which he insu.es.