The Fairmont West Virginian. (Fairmont, W. Va.) 1904-1914, 1911-07-10
PIi[SBgRB IS
AFTER THE FIRE.
INSURANCE Trust.
COUNCIL 10 JOIN BOARD OF
TRADE IN FIGHT FOR LOWER
RATE.
DISCRIMINATION ALLEGED
SITUATION IS VERY MUCH SIM.
LIAR TO THAT COMPLAINED OF
IN WEST VIRGINIA - SAME
METHOD EMPLOYED.

LIAR TO THAT COMPLAINED OF
IN WEST VIRGINIA - SAME
METHOD EMPLOYED.
PITTsBURG, Pa, July 1O-That
the Allegheny County Board Of
Fire Insurance Underwriters is an IL
legal trust, unansYerable to anyone,
and that it destroys competition here,
and that the rates charged are two
and one-half times more than those
levied in Philadelphia and New York,
where the fire LOSERS are greater
than in this city, are allegations
made by Controller E. S. Morrow, who
on Tuesday will ask to have a resolu.
tion adopted by the City Council in
structing the City Solicitor, on behalf
of the CITY, to join in a State crusade
against the alleged monopoly.
The Controller holds that the al
legged discrimination against Pitts
burgers in the matter of fire insurance
adds materially to the admitted high
cost OF living here; that 1t discourag-
cs workmen from coming Just as it
hinders the locating here Of small in
dustries, which the city is inviting,
Morrow Aroused.
Ordinarily the very exempliticatlon
of conservatism, cool and collected,
the Controller waxed eloquent in dis
cussing the matter. yesterday after
noon. He said.
''I have been requested to prepare
for the Council a resolution directing
the City Solicitor to Join with the
PittsbTg Board OF Trade in asking
leaye to use the name of the Common
wealth iiftaRl lattionf to compel the 'lot,
Ial board ~ Underwriters to do bust
Iiness8inta a legal manner. This resolu.
tion %iliabat presented to the Council
On Tuesday. Is
Alllooal and foreign insurance COM
panies OF any considerable strength
here have combined under a strict
i.agreeneft IS tie card suf under
writers. This board Is not incorpoF'
ated and is not responsible to anyone
on the face OF the earth, yet 1t is del
egated thes power By this agreement
to fix tlie, rate of.ansptance and tpre-
scribe tAe sfbrmi III Which 1t shall be
wilt .JUu '4G sls
"Tho object of this board, just like
other ltrustsis to prevent competition
and create. q monopoly; in short, 10
secure and maintain the highest rate
insurance possible. Any local COM
pany or agent may become a member
of this combine-ln fact, all compehoh
has been driven out.
Rates Much Higher Here.
"The means used am unable pre-
cisely to state. presume, however,
lit would be the usual one OF coaxing
in some cases and threatening ana
freezing out in others.
"The rates in Pittsburg are two anu
one-half times higher than they are IN
Philadelphia and New York Tor Inc
same classes of property. In, fact q
man pays % cents per $1,000 here ana
in philadelphia and New York nc
navs 10 cents per $1,000, although the
fire protection here is the equal, u
NOT superior, Of that enjoyed by eithe'
cf the other cities, the loss mere, ~
cor,ling TO the NATIONAL Board OF Flrt
Underwriters, being 1.S5, which is
exceedingly low.
"The insurance companies wnlGT NE,
arc members of this local hoard WI
not take any business from anyone
NOT a member OF the board. So, tht
j Pittsburg Board OF Trade in JANUARY
1isJ n netition. asking the ATTORNEY
\ General Of Pennsylvania to allow tn'
uso of the name Of the Common
wealth In proceedings to en1om mes 1
! companies from using Illegal practIces
High Living Cost Here
"I DO not believe in using harsl
measures, such as revoking their II
conses or their charters, in the cas'
of home companies; do not want u
see them driven out Of business, but
desire to see them compelled to com
NV with the law and for that reasol
| think 1t is well for the city to loil
in the petition, as the larger numDe
OF its citizens are interested In IN
matter. Any prudent man who
the owner of a house, or even OF furn
5 Iture alone, would desire to have hi
e property insured, yet under this al
5 rangement he has to pay what appear
: to he an excribitant rate.
$ I'VE are inviting small industrie
tn locate here, and the matter OF II
: surance is an item oreXpense that eT
tiers into computation, Talk OF tn
nIhigh cost of living in PIttsburg wha
o line London Board Of Trade rates tn
l.Icost Of living higher here than In an
Q eIother city in the country. 1t Is no
,.Inn inviting outlook 10 anyone desirin
10 locate here, and this is one OF n
items Of expense that may possibl
be remedled. New Jersey has el
,lolned the insurance companies
! that State from pursuing a simila
!. policy"
Some days ago the West Virginia
called attention to the operation
the Insurance Trust in this State an