The Bridgeport evening farmer. [volume] (Bridgeport, Conn.) 1866-1917, 1911-01-02
K OF P. SAFE
FROM ACTION
Commissioner M'DOnaId Says
They May Continue Insurance
Business in Connecticut
LEGISLATION IS NEEDED
Nothing Illegal Has Been Found il
Orders Methods, Following New
York Complaint.

Local and state policyholders in the
fourth class insurance Section of the
supreme lodge, Knights Of Pythias.
many Of whom feared that the state
insurance department might proceed
against the lodge for the purpose Of
cancellirg it's license to continue bust
ness in this state, need have no more
anxiety. No such action is contem-
plated, neither will there be an in
vestigation Of the affairs Of this fra
ternal insurance organization by State
Insurance Commissioner Theodore H.
Macdonald, Of this city.
THE lodge has done nothing lille
gal in increasing it's fourth class in
surance assessment said Commits
sioner Macdonald yesterday morning
IN discussing the announcement yes
terday of State superintendent of In
surance Hotchkiss of New York, who
has denied an application for the can
collation. Of the license of the supreme
lodge, Knights Of Pythias to do bus
mess in the latter state. Superinten-
dent Hotci1kiss rules that the increase
In assessment was necessary and de-
clares further that "the question is
whether the action of the supreme
lodge in greatly increasing the rates
OF it's members in the fourth class of
its insurance department makes it I'M
safe, or inexpedient for it longer to
transact the business Of insurance in
this state. It is an all Sufficient ans
wer to the applicants contention to
say that in the opinion Of this depart
ment it might have deemed it unsafe
and inexped:ent for this fraternal ben
e6ciary society to have longer contin-
ued to do business in New York had
not such society taken the action con-
corning which complaint is made. The
truth is that, while many advocates
of fraternal insurance have long shut
their eyes to it. the representative
men of all these societies, as we'll as
the heads OF insurance departments in
the various states. are now of one
accord in the belief that unless prompt
and wise action be taken by the states
in the enactment of reasonable but at
the same time mandatory laws, and
by the societies themselves in the re-
adjustment of their rates as well as in
other directions, fraternal insurance
Will within. the next decade OR two
end in receiverships with heavy losses
to it's millions of members and their
Dependents
Superintendent Hotchkiss empha-
sizes the Importance of passing in leg
islatures all over the country of a uni
form bill regulating fraternal insur-
ance, intending to bring the societies
up to proper standards and to require
of them adequate rates. as we'll as to
vest the insurance department with
sufficient authority to compel compli-
ance with the law and with good i'm
surance principles.
In June, 1910, there were 81 ,941 pol
icies in force in the fourth and fifth
class insurance sections, with, an agt
gregate of insurance Of $881s3,95s. Be-
tween 1885 and 1910, there were paid
in death benefits $30,SS2,124. Between
those years, the average rate Of NOR
tality was 14.1S. The average age Of
those who died was 53.4