The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1913-01-21
Mutual Companies
Hold Convention
Eighteenth Annual Meeting of Mutual
Insurance Companies Held
Jan. Is
ALL COMPANIES FLOURISHING
A. ID. Stewart, Secretary of State AS
ISOLATION, Reports on The
Convention
Ill COMPANIES FLOURISHING

The eighteenth annual meeting of
the Farmers Mutual Insurance Com
panies of Minnesota met at st. Paul,
Jan. Is. The meeting was held In the
House Chamber of the old State Capt.
tol, and was composed of one hundred
and fifty delegates from all parts of
the state.
A. D. Stewart, secretary of the state
association, in an interview with The
Gazette, made the following report of
the session.
President Mitchell in an admirable
address reviewed the history of Nut
ual Insurance from the law of 1876
which gave it chartered rights to the
present time when it represents a
membership of $50 organizations with
an aggregate insurance of 100000
10000.
The State Association went on re-
!. cord as being opposed to the Standard
Policy form, and objected to the state
interfering with the different compan-
les working out their own problems.
With this end in view Legislative
committee was appointed which will
recommend to the legislature certain
amendments to the law under which
township Mutual companies are or
ganized, giving them wider latitude in
Z policy contract.
All companies reported we'll salts
fed membership; litigation was I'M
known among them yet there was
great dissimilarity in the methods of
management. A few companies be-
n lieyed in maintaining a large cash re-
serve. Others believed the best place
for reserve is in the pockets of the
members.
Twenty companies insured automo-
biles under the regular policy form
and rates, while others regarded them
as extra hazardous and protected
them at double rates. Most of the
companies insure threshing machines
in the shed but not in operation.
Public and vacant buildings were re-
garded by some as dangerous risks
and required higher rate of assess
ment. One delegate insisted that only
churches with steeples should be in
cluded in this class. A show of hands
committed the association as favoring
one rate. 1t was quite noticeable that
each company was governed by its
own experience, and fixed it's bylaws
accordingly, thus every delegate pre-
sent believed that he represented the
best Company in the state peculiarly
fitted to meet the conditions in his Sec
ton. The Insurance Commissioner in
his address endorsed Mutual Insur-
ance, showed it was a success because
it was not based on the idea of profit
to the officers, but protection to the
members.
The average cost of Mutual insur-
ance is II cents per $4,000. 1t mono
polizes the field because it is the
cheapest and is honestly administered.
The fire marshal stated that the two
great causes of fires are lightning and
defective chimneys. He advised rod
ding buildings and building chimneys
from the ground up. All chimneys
should be lined with fire clay no wood
should enter into their construction,
chinky chimneys are dangerous and
steel smoke stacks through the roof
should not be tolerated. Carelessness
in handling matches should be avoided,
many disastrous fires having their orr
gin with small boy and his match.
Modern lighting plants are safe if
handled carefully. Tanks and pipes
corrode and rust in time and should be
kept in good repair. One company
had had disastrous experience with
acetylene plants. The Fire Marshal
also advised the companies to look out
for gasoline, seeing that it be stored
away from buildings. 1t is worse
than gun powder because more decep-
tive. One delegate told us of men,
Der of his company who attempted to
warm the carburetor of his car with
fire which caused an explosion, des-
troyed the car and killed the operator.
This last meeting of the association
was the largest and most interesting
ever held in the state. 1t represents
eminently successful organizations
and illustrates what can be achieved
by intelligent associated effort.