New-York tribune., 1909-06-28
INSURANCE RECOVERY
SUPERTNiTENDENTS VIEW
SAYS Disclosures, Not Legislation,
q Gaze Business Setback.

Albany .Iune Z-wuliarn H Hotchkiss Super
s-tendent Of Insurance. has transmitted to Cover
nor Hughes q report prepared by the department ,
auditor. J H Woodward. as 10 the effect or the
business OF life insIreroe of the so-caIled Arm
strong amendments 70 the New York insurance
law This report shows that while there was a
notable falling OF during the last three wears in
the business OF New York companies such falling
of was due primarily the disclosures of the
investigation and not TO the amendments them
selves and such companies are now rapidly re-
covering.
The Investigation resulting in the report was
suggested by resolution adopted by the New
State Assembly at its recent session calling
on the Insurance Department for concise state
rraent Of gains Losses in the total amount Of
insurance in force IN the years 1906. 1907 and 1908
tn ten OF the insurance companies doing business
fn New York seven Of them being companies Of
other states The resolution never reached the
department Officially. therefore the information
called tor by not given at the time The
department is able 10 furnish such infor1r1a-
ton not only as TO these ter companies. but as
10 al the thirty-four life companies doing business
,n the state, based figures resulting from
its audit OF their annual statements Of December
81. E0s. Annexed TO the report are tables haseo
on these statements giving the official hsures O.
increase or decrease well as total insurance N
force new business written in ralS and contingency
reserves or so-called safety fFnds- OF al OF Ihe
companies doing business in New York
The report calls attention 10 the fact that ron
figures furnished from unofficial sources Get 11--
conclusions have been drawn which indicate q con
sidera bic risapprehension as 70 the proper ehoos
Of interfering life insurance Statistics n genera
and as 10 the standards which the results OF the
amended insurance law Of New Nork shouIo Dc
treasured L then proceeds to discuss ar1oas
other things The question OF new business "flIe-i'
- bearing on the total amount OF insurance u
force. and the effect of the amendments on eN-
1oenses. assets and dividends
Concesrs rhat-as has been frequently stated N
TIE press-there has been a notable ta-Ang OF
during the last three years IN the business in force
Of New York companies, as compared WIN a-
Increase IN the business Of non-state companies
the report directs attention TO several 'i-al'eiS
which have heretofore been ignored
POLICIES OF s14oon6Io CANCELLED
ief of these IS the large total Of terT1ai-ations
nv New York cornranies ron lapse. surrender ana
,te like e other than from maturity or NOR
-sl7-z Thus in 1aes the largest New York company
cancelled rolicies for causes other than death or
,,atp-irv argreearIng upward Of 100000. or
arnrovf-natelv The total OF business written
~ - o., the other hand statistics already pun
,fsbed b,- the departrnent show that the largest
170n-stste cor7pany cancelled for similar causes
less than 81 eao DO while It wrote upward OF
slf2 eon eco of new business.
In connection with this the figures drawn rom
the depaI:ents bulletin Of life Insurance stasncs
sss,,es eariv n April indicate thet while the tota
Of the business OF New York companies II torCe
q. re beginning Of the year is little greater 1han
-be total Of the other State companies doing Dusl-
ness in New York vet ternlina lions OF me Ne"
York conapanies from causes like lapse ana SUI
render are very much greater. The hgures Ioiio"