Omaha daily bee., 1910-01-20
State Control Will in No Way Inter
fere with Their Interests.
DAY OF CORRUPTION PAST
People Can Better Be Trusted Than
Legislators Who Can Be Rribed.
FEDERAL CONTROL NOT LIKELY
Executive Says that Supervision by
United states IL Impossible
Under Recent De-
ciaiOns.

WASHINGTON. Jan. BAT the third
annual meeting of the association Of life
insurance presidents today. Governor
Charles E. Hughes of New York, ad-
dressed the executive officers of life in
surance compnies. representing 2O.O00-OOO
policy holders and nearly $4,000 900, 900 of
assets declaring his faith in life insurance
as an American institution. He insisted
that no life insurance organization which
is honest and economical in its arrange
ment need fear state control nor expect TO
suffer from legislation.
On the subject Of legislative sorruption
he said.
Il hope the time has gone by when it will
be necessary to protect the Eiterests of
life insurance policyholders by efforts to
corrupt legislators. Publicity. discussion.
fair understanding of what you have in
view and what is essential to the proper
conduct of this business those are your
guarantees and those are the securities Of
the policyholders you represent.
Trust the People.
you are not handling our moneys but
the savings of the people. You are not
responsible for legislation and you have
no duty in any way, by any method. which
will not stand full and public discussion
to thwart any attack upon interests COM
mitted In your care. You can much better
trust people, II the understand the situ-
alton, than you can trust those who are
purchasabe and run the risk in the future
Of reaping the harvest which is inevitable
II there be sown in our legislative halls
the seeds of bribery and corruption.
I'VE must have insurance supervision
supported in public opinion. have been
strongly in favor OF control by the state
of various activities, but as one has re-
allied more than l how important 1t is
that control should be fair and impartial
The governor declared he believed that
extension of national activities would be
needed soon to meet the increasing popu-
lation, but. referring to the expressed de-
sire Of some of the insurance officials tC
bring the companies under control OF ths
( federal government, said he believed thai
would not be possible in the face of decis
hons of the supreme court Of the United
States.
Big Toll to Diverse Laws.
From s15,OOOOOO to $1,000 900 a year is tn,
toll paid by life insurance policyholders O
. this country as a result of the lack Of uni
formity in state insurance laws and prac
tices, according TO L. G. Fouse. This is a
least per cent of the yearly payments t,
: policyholders and beneficiaries, he figures
Mr.. Fouse. who is president of the Fidel
ity Mutual Life Insurance company O
Philadelphia, made these figures known to
: day in an address before the meeting of tn
association. He is a member OF the execu
tive committee of the association.
over one-third of the population" sat
Mr.. Fouse, has direct interest in llf
Insurance and more than one-half of tn
remaining two-thtrds an indirect interest
1t is exceedingly important that waste an
unnecessary taxation be stopped while ex
tending ample security and protection t
the interests involved.
''SOme would seek to accomplish the de
sired end through national laws and super
i vision; others through the harmonizing @
state laws and practices. For the presen
we are particularly interested in the latter
1t is fact that cannot be controvertet
tlWt the lack of harmony in laws and praC
tices has been a detrlment to the business
re In recent years, however. we have bee
g, drifting towards uniformity and harmon,
Df and there are many who believe that III
ol laws OF the various states can be made cor
Id sistent and homogeneous, and that it woul
ot be better for all concerned that the bus
ness be conducted under such improve
IN laws rather than under a centralized az
d. hoped for can be accomplished there wi
ee be no need OF national laws and supervi
ion."