Bluefield evening leader. [volume] (Bluefield, W. Va.) 1906-1911, 1908-03-03
.FRATERNAL BODIES
FIGHTING FOR EXISTENCE

Buffalo, n. Y. March 3.-That
state commissioners throughout the
country have Joined with the "old
line companies in waging a concert
ed warfare on the fraternal insnr-
ance bodies and that the fraternal
system OF insurance is doomed To
speedy extinction II 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
lroquois, which began it's 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
MIR. 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
missioner, and partially concealed
by his shadow, are the old line life
companies, urging him to cut the
slender thread and kill the fraternal
| system.
In the early days of these socie
ties, there were no state laws. nor
insurance commissioners, and yea
the pioneer societies conducted their
business as honorably, and paid
their claims as promptly. as at the
present time when under close state
I supervision.
About 1900, when fraternaI in
surance began to show unmistakabIc
| signs of becoming one of our great
institutions, state laws gradually
were enacted largely at the dicta-
ton of the old line life companies
under the pretense of protecting the
people.
Strange enough the state insur-
ance commissioner always endorsed
any legislation proposed by the
! companies, and exerted his official
influence to secure its passage.
From the time when the state
insurance commissioner was first
called upon to supervise the fra
ternals, there is a continuous trail
OF abuse, Misrepresentation, and adj
verse legislation.
Ever since the birth of the fra
ternal system in 1868, there has
been no evidence of fraud, corrup-
iron or mismanagement to want the
state commissioners in their cph-
certed warfare upon 1t. On the other
hand, the fraternals by their magni-
hcent development have deserved
and should have received the sun
port and cooperation of insurance
commissioners, and not their oppo-
sition.
III 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
investigating the old liners them
selves.
Eternal vigilance is the price OF
the continued existence of the fra
ternal system. The commissioners
are now more antagonistic 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-
Derience table. The commissioners
are agreed upon the latter. which,
would place fratennals 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 a great institution like the
fraternal system with nearly 200 So
cieties, 100000 members and 25.-
100000 people protected by II. con-
tinue TO submit to the despotism.
the hostility, the injustice of the
Insurance commissioners? Shall we
permit them longer to dangle over
our heads the sword Of Damocles?
Let us create a new office in
each state, the office of 'fraternal
Insurance commissioner to be elect
ed by the people. In that way di-
yorce the old line from the frater-
nal system. Let there be one com
missioner who shall supervise the
old-line companies. and the fra
ternal commissioners who shall SUI
pervise the fraternals."