The Greenville morning herald. [volume] (Greenville, Tex.) 1890-1956, 1910-07-20
QUORUM READY Ar AUSTIN
CONTINUED From First paeel


their more fortunate nelghbors With
large holdings.
Under conditions then existing the
Are insurance premium rates were un
lair. inequitable and affected adverse
ly a majority of the individuals com
posing the insring public. The as
surance Of benefits to accrue to the
people under the law as proposed aud
enacted. won Tor 1t in advance, almost
universal approval Il had for TIA oh
icct the regulation and control of nrr
insurance premJum rates, the proven
ton of so much fire waste and NOT
only a reduction of fire Insurance
premium charges, but more euuita
BILE adjustment Of fire insurance rate,
applying on property covered by la
surance in Texas.
"rho unusual fire waste In the
state, together with the ineuuitablc
and unequal premium rates charged
by the fire insurance companies Great
I'D the demand for legislative action.
and while the action taken is bcliey.
ed ct be a move In the right direction
and while regulation of fire msuranc,
companies and OF fire insurance rates
1t believed to be sound In principle.
still the law as framed aud MS at
tempted to be applied under tcchnl
cal construction, has been a disap.
pointment to its friends and to the
ihsuring public. That it Is defective
and insufficient to meet and correct
the acknowledged evils, all win now
admit
That a law under which existing
conditions are possible should noi
stand, but should be repealed, is Il
proposition that cannot be success
.ulIy combatted
Some of the defects in the act
were apparent at the time of It's ap.
proyal by the executive, but mas.
much as 1t carried with il dlscrs.
uon to he exercised in it's enforce
mant by the officers charged with the
luty and indulgug the hope and be
! lief that such discretion would he
mployed in the interest of the PEG
pie and with fairness to the compan
les and having every confidence that
such discretion would always be eX
ercised in an effort to the nantes,
intention of the legislature, and be
lieying that fair test of the prin
cple involved could be and would b,
made, | approved it. and undertook
to provide relief to the people unde
its provisions
1t was believed that the prncipl,
OF state regulation and control OF fir,
insurance premium rates was pruc
ticable, under just regulation laws
ana that the state should not hesitat
to assume and discharge that duty |
was also believed that the law a
passed, although defective in man
important essentials, would by pra,
: ttcal administration, vindicate the wiz
dom of entering this new field of con
poration regulation
The people were and are. entitle,
TO fair test OF the principle unde
an effectual and comprehensive law
II was conceivable at the time OF tn,
enactment OF the law that the legsla
tive intention would he so warped b.
tortured and technical construction
as to furnish the Insurance companie,
nm opportunity to levy additional tri
butte and Cypress the people,
The fact remains, however that
the insurance companies are attempt
Ing to avail Themselves Of their sur
prIsing opportunity, and are proceed
ing along lines which viii necessarily
result in loss to the insuring public
OF hundreds of thousands of dollars
per annum.
The law which was intended to Sc
cure reasonable and fair premium
rates under regulations fair and just
to all has been given an interprcta
ZION by the insurance companies
which was never intended Corpor
| ate greed again asserts itself and Z
| combination of circumstances witt
which the public Is familiar, have
brought about the mtoleruble situa
lion, which demands legislative At
don.
Conditions have arisen which dc
monstrate the inadequucy OF the Law
rs framed. and rs an effort TO amen,
the law might result in further com
plIcatiOns aud difficulties, the follow
ing procedure Is respectfully recon
mended.
u The passage OF a bill repealiu
the law referred to outright.
- The enactment of an adequal
law to prevent combination by the II
surance companies to destroy cOmpC
lition in fire insurance rates IN Texas
providing appropriate penalties ther'
ior and providing means Tor the 81
iorcement Of same
50 The enactment OF a law regula
ing and controlling fire insurance cor
panieg doing business in this staJ
and the regulation and control OF fit
, insurance premium rates. to establis
and fix rate and To effectively pr
.ent the use OF what is known as III
key rate recently promulgated by III
, ire insurance companies.
, Such law an may be enacted shouI
= provide proper penalties for all VOL
ions Of the law and embrace amp
/ provisions for the enforcement ther
! or a.,
q The enactment Of law prescri
: ng the conditions under which fl
4 Insurance companies chartered und
he laws Of other states may secu
J. permits to do business In Texas al
a providing that such companies sha
r ahow by appropriate proof aud
g manner and form to De prescribed
o aw, that the company has never