Bisbee daily review., 1912-05-02
PAY To MUCH
FOR INSURANCE
Bisbee Now Demanding De-
crease in Rates---State
Rating Board Is
Being Asked
LETTER BY SEC. GRAY

That the people Of Bisbee, wear
led with long waiting, losing pa
thence after being put of again and
asain by the Board OF Fire Under
writer's OF the Pacific Coast. upon
sheir requests for fair insurance
rates. may be expected to seek re-
dress by state legislation, unless
early action is taken by the powers
that be of the western fire insurance
world. is the letter which the com
mittee on insurance of the Warren
District Commercial club has caused
TO be sent to the offices of the under
writer's board at San Francisco, and
that committee so reported to a meet
ing Of the directors OF the club held
last night
One of the crying needs of the
property holders OF the district has
long been an alienation OF the bur
den Of excessive charges for pre-
miumS of insurance. Demands for
lower rates were met by demands
for betterments in fire protection. AS
each demand OF the board Of under
writer's was met by the taxpayers
OF the city, they in turn were met
by other demands, and the desired
reductions failed in the granting. The
conditions which made possible the
serious CONGREGATIONS of the past
were aileviated or entirely removed.
Still the rates remained where they
We're. This was the condition which
the Commercial club recognized i'm
mediately upon its organization, and
tor which it sought a remedy through
the appointment OF an Insurance com
mittee. That committee, since its
appointment, has been studying the
situation from all viewpoints, with
the result that il finally concluded
that if the board of underwriters
would not voluntarily act, and if the
city of Bisbee had no remedy which
it could offer. there yet remained a
remedy with the people, with the
state, in the power to appoint board
which should determine the fairness
Of rates, not in Bisbee alone, but in
all portions OF Arizona, II is not a
palatable stimulant for the inSur-
ance companies. and the letter which
The secretary of the club was in.
structed by the insurance commit
tee to direct to the board at San
Francisco calls attention TO the eX-
istence OF the remedy, and TO the
fact that the people. determined to
effect a cure, will administer the
remedy if necessary. II is true that
the time is short for the passage of
such a bill by the present legisla-
ture, though such passage is possible,
but there will be another legislative
session held next January, when the
passage of a bill for the appointment
Of state rate board may be pushed
TO enactment. The insurance com
panies have been busy seeking 10
avert legislation which they deem
detrimental to their interests. and
will not welcome the introduction Of
a measure such as the letter from
the Commercial club states the peO-
pie of this district are contemplate
in.
Although the following letter was
sent on Monday by the secretary of
the club, following instructions OF
the committee. it was not made pub.
lie until after the report had been
made TO the board OF directors at
its meeting last night. The text OF
the letter follows:
Bisbee. Ariz.. April ~. 1912
Board Of Fire Underwriters Of the
Pacific. 914 Merchants Exchange
Building San FraBciscO, Cal.
Gentlemen:
The insurance committee OF this
organization has requested that let
ter be directed TO you relative to the
matter OF a reduction OF the fire
insurance rates in this district.
The exceedingly high rates which
are nov and have been operative in
the district for many years, are caus
ing a great deal Of criticism OF your
organization, and there is very
strona desire on the part Of many
property owners TO petition our leg
islature. now in session, to pass a
act providing for a state ratin;
board. This action is strongly op
posed by some Of the resident agents