New-York tribune., 1910-08-16
LLOYDS UNDER NEW LAW
Twenty Insurance Organizations
Apply for Certificates.
fBy Telegraph to The Tribune.

Albany. Aug. 15.-Pursuant to the new
law vesting the State Insurance Depart
ment with power over Lloyds insurance
associa tions. twenty organizations of this
character-which are practically partner
ships made up Of q large number of indi-
viduals and operating through an atfor-
ney-in-fact, who mutually agree to become
responsible for the loss due TO fire or other
caUses-have made applications for certifi-
cafes OF authority permitting them to do
business in this state after January l, 1911.
| Three other associations of a similar kind.
but which are known as interinsurers. have
also applied for like authority. The Insur-
ance Department to-day issued this state
ment:
The following associations. which have
been doing business in this state, have not
made application. and, after TINS year, will
moi be authoriZed to do business in New
York: The International Fire Office Of New
ork City. the Fidelity Insurance Associs-
! tion and the Union Underwriters Two
other Lloyds associations. viz. the Garfield
Assurance Fire Lloyds and the New York
and New England Underwriters at Lloyds.
are now being liquida ted by the insurance
Department.
The new law not only requires Lloyds and
interinsurers thus to make application for
certificates OF authority, but con1pels them
70 file with such applications their financial
statements az of June 80 lasr and agree
ncnte executed bl- their underwriters or
duly authorized attorneys IN fact. specify
ing one or more residents of New York on
| whom proofs of loss and legal process can
be served The Law Iurther requires the
Insurance Department TO examine each of
| the associations which applleS Tor a Ger
| tihcate. and such examtna tons have now
begun II further places certain restrictions
| on this class Of business, ano is expected to
put an end TO numerous losses due to If
| responsible underwriters and Illegal organi-
cations of this character
The department will thus be able shortly
after January next to furnish the inSur-
| ing public with accurate information as TO
the solvency and methods of business of all
Lloyds and tntertnsurers issuing policies in
New York. and also to lay information be
fore the criminal authorities against under
writer's and attorneys-in-fact which have
nor been authorized TO do business IN ac-
| cordance with the new law.
The IIoyds thus to be authorized Should
not be confounded with alien Lloyds. such
as that which does business under the name
of Iloyds London Citizens of New York
who accept the policies OF any of the syndi-
Gates of underwriters operating under this
name do at their peril IN case of loss.
such syndicates having no authority 10 do
business in this state and there being no
persons resident in New York on whom
proofs of loss or process can be served 70
the end that suits 10 collect may be brought
in American courts. After January next
all agents or other persons representing
I.loyds. London. or any unauthorlzed Loyds
In this state will pursuant 10 the new
IIoyds article of the insurance law, be la
BILE to criminal prosecution.
The Legality OF organization ana the
financial condition OF each of the domestic
LIoyds and interinsurers will be the con-
trolling factors in determining whether.
after examination by the department the
certittrate of authority required by the
new law and authorizing them to do bust
ness after January next viii he granted.
save srvrrsi which are practically dormant
is operating under the law. as it stood
prior to the amendment. the latter, so far
as the conduct Of business Is concerned.
not going into effect until the beginning of
neat year.