The weekly chieftain. [volume] (Vinita, Craig County, Okla.) 1905-1913, 1911-11-17
FIRE LOSS SHOWN
BY STATE REPORT
Annual Report Of State Commissioner
Of insurance And His Recommend
alton For Future Legislation.

Oklahoma City. Nov. There are
seyenty-eight foreign and six domestic
fire insurance companies authorized to
do business in Oklahoma, according
to the annual report Of State Insurance
Commissioner Perry A. Ballard, which
has just been issued. During the year
1910, the period covered by the report.
the foreign companies collected pre-
miums amounting TO 1926 ,307.46 and
paid losses aggregating s1,979.815.55,
making the average loss ratio for the
year 60.81 per cent
The loss ratio for domestic com
panies was much lower, six Oklahoma
concerns collecting $256.61186 in pre-
miums and paying total losses Of $1O5,-
86l73 an average loss ratio of Alps
per cent
The total premiums collected by all
companies amounted to s3,511,919.32.
while the total losses paid by foreign
and domestic companies were $685.
6772S, leaving collections of s1,426,-
242.04 in excess of fire losses.
There are three foreign and three
domestic hail companies. and the re-
port covers but these two classes of
companies, a second volume to be is
sued later dealing with life insurance
business.
Eight companies were authorized to
do business in the state during the
year, while nine companies went out
of the field during the same period and
there were eight cancellations affecting
seventeen companies
The report gives a complete recapi-
tulation Of the business done during
the year by each Of the companies, as
we'll as directory Of all the offices
and list of their representatives.
Commissioner Ballard recommends
that the department be given the same
lpower over insurance matters that the
corporation commission has over rates
but concerning the question of insur-
ance rates being made by the state
he says:
Some states have undertaken to
make rates for fire insurance com
panies and their efforts have not met
with very great success. A general re-
duction in the charge of fire insurance
Is certainly desirable, but conservative
state officials as we'll as experienced
underwriters are generally agreed that
such a reduction must come from an
improvement in the fire hazard or no
substantial relief can be hoped for. /
seriously doubt whether the rate max
ing authority should be taken from the
insurance companies and lodged in the I
state and the experiments along this |
line have not so far been successful
las to warrant further adoption of the !
plan Of state regulation of fire insur.
ance rates
The state supervision should be en-
larged so that there would be lodged
in the insurance department power to
hear and determine questions of dis.
elimination, to require that rates be
fairly and equitably applied to ndvid-
ual risks or classes of risks, and to I
give to the insurance commissioner the |
same control over this branch of fire
insurance as the corporation commits
giap hag fgl,
rates | think this is about as far as
state control or regulation of fire in
surance rates should extend at this
time. No doubt the local agents are
partly to blame for the high loss ratio
that exists in this state at the present
time on account of their negligence in |,
writing excessive insurance on risks
where the physical and moral hazard
is great | believe the insurance com
panies could. by using more diligence
in the selection of their agents. mater
tally reduce the fire loss and thus as
sist in bringing about a reduction in
rates.
regard to licensing agents which we
hope will assist in increasing the eff
cheney of insurance representatives.
Applicants for license are now requir.
ed to answer series of questions in h
regard to their qualifications to act as .
insurance agents. before license is is. I
sued All agents should take suffici- /
ent interest in their business and S
should have the welfare of the com
panies they represent and their clients |
at heart, and procure all possible in {
formation concerning the risks they in. I
sure and be able to point out to the in S
sured how her could make his property /
4 better risk from an insurance stand I
point. In this way much of the enor- I
nous fire waste would be prevented /
md rates would be correspondingly v
owered IA