The Detroit times., 1911-08-18
MORE MICHIGAN
COMPANIES ARE
PRAISED
United States Accident and Fidelity
Accident, Both Of Saginaw, Deserve
Confidence Of Insuring Public,
Say Investigators.
Bulletin Gives Phoenix Preferred
Terrific Scoring Says Manage
ment Is Seriously Discredited.

Two more Michigan concerns, the
United States Health & Accident
Co. and the Fidelity Accident Insur-
ance Co.. both OF Saginaw, are given
favorable mention by the committee
on Industrial health and accident set
Elements, OF the National Convention
OF Insurance Commissioners, In bull
letins released for publication, FRI
day. Neither escaped wholly unscath-
ed from the committees grill, but the
criticisms made are very mild In com
parison to those launched at some CT
the other companies examined here.
Botf concerns are declared to be en-
titled to the confidence of the insuring
public.
The United States Health & Acci-
dent Co., II appears from the bulletin,
ranks third In the volume of indus
trial and accident business, its prem
ium income for 1910, inclusive OF the
railroad department, having been up
wards OF 100000. The report con-
times:
"A notable fact as to this company
Is Its high loss ratio, the same having
averaged for the past eight years APP
proximatcly AZ per cent. This ratio
Is the highest developed on the pres
ent investigation, and indicates that
this company returns the largest pro-
portion OF its premiums to its policy
holders In the payment of claims.
AS In other companies, however,
certain tendencies which call for
some criticism were developed. Thus,
this company, In a number of cases
cited, seems to have taken advant-
age OF changes In occupation which
were technical rather than actual.
and further. in certain cases, to have
been careless as 10 the rights of Its
policy holders to accumulation bene-
Ats.
This company, until recently,
seems also to have felt IL proper 10
make unauthorized changes In the
signed application OF the policy hold
er, thus, in effect itself and without
his consent, changing the representa-
tions on which the contract was
based. This practice. which has
been found to exist In some of the
other companies, had, however, been
abandoned before this investigation
| began.
"The evils developed elsewhere and
due to advantage being taken of a
delay In serving notice of claim, or
through hurried settlements In ad-
vance OF the fling OF proofs or other
dilatory tactics, are not noticeable
In this company.
This company very seldom litig-
ates with its policy holders; its set
tlement OF illness claims is uniformly
fair and liberal, in fact, save az
above indicated. its practice on set
Elements with policy holders has been
Buch to entitle IL to the approval OF
the public.
THE Fidelity Accident Insurance
Co., of Saginaw, Is relatively small
and, as a stock company, has been
In business but two years. II does
an Industrial business exclusively,
and strongly advocates the profit
sharing plan, It's Representatives
claiming that thereby it has secured
a better class of business and a bet.
ter class of agents. Its loss ratio for
1910 was 36.9 per cent. which is about
the average. The settlement prac-
tice of this company was found to be
good. In common with other com
panies, however, IL exhibited a for
getfulness as TO accumulation bene-
Ats, and admitted that IL at times
made changes In the applications
made by It's policy holders. II as
sured the committee, however, that
there would be no further cause for
Continued ON Page Nine.)