The Dickinson press. (Dickinson, Stark County, D.T. [i.e. N.D.]) 1883-1927, 1914-08-08
TAYLOR
WARNS PEOPLE AGAINST
FAKE INSURANCE COS,

FMt MSQkANUt UUS,
Bismarck, Aug. 5th.-That the
people Of North Dakota every year
pay, in the aggregate, large sums of
money for insurance that does not
insure" was the opinion expressed by
Insurance Commissioner w. C. Tay-
lor. Attention was called to efforts
which the Department is constantly
making to protect the residents of
this state from imposters who seek to
exploit fake insurance schemes here
in. .,--,-.s ...... 49, ,
According to Commissioner Taylor,
q glaring example of this sort of
skulduggery is afforded by the activi-
ties Of the American Registry Co. of
Erie, Pa. This concern is running an
advertisement in quite a number of
newspapers in North Dakota under
the caption, $4,000 Death Benefits"
and the number of inquiries coming
to the Department prove that "it pays
(the company to advertise" For
the modest sum Of six dollars per
year the American Registry Co.
promises death benefit Of $4,000; a
benefit Of $1,000 for loss Of limb or
eyesight; SIS weekly benefit in case
Of accident or sickness, etc. The con-
Germ advertises itself as a "reliable
insurance company, with 100000
state deposits for the protection of
Ipolicy holders and to guarantee the
payment of Claims"
I Now, what are the facts? Com
missioner Taylor states that the
American Registry Co. is not author
lied in North Dakota, and that it is
not even listed in any of the various
insurance publications coming to his
office. A letter Of inquiry addressed
to the Insurance Commissioner Of
Pennsylvania brought the following
reply:
Harrisburg, Pa, July 18, 1914.
Hon. W. c. Taylor,
Commissioner Of Insurance,
Bismarck, N. D.
| Dear Sir: am in receipt of yours
of the 18th inst. in reference to the
American Registry Co. Of Erie, and
in reply beg to say that this is not
an insurance company at all, but pur-
ports to be an agency run by a man
by the name of Werner. y
Neither Werner nor the American
Registry Co. are authorized to trans
act business in Pennsylvania, and do
not, SO far as we have been able to
find out, issue any policies in this
state. But he does transact business
throug hout the country, principally
through the mails. .
81 Very truly yours,
(Signed) CHARLES JOHNSON,
Insurance Commissioner.
Commissioner Taylor ventures the
opinion that "it is a hundred -to-one
shot that any man who sends six dol
lars to the American Registry Co.
will get neatly printed policy that
isn't worth six cents. In this con-
nection, however, it is gratifying to
record the fact that no less than a
score Of publishers submitted the ad-
vertising proposition to the Depart
ment, and upon the strength of our
advices turned it down cold. Many
other publishers doubtless sensed the
dubious character Of the proposition
and consigned it to the waste paper
basket. =
"Another concern that should be
given wide berth is the St. Paul
Mutual Hail and Cyclone Insurance
Company Of St. Paul, MINI. The
company is not licensed in North Da-
kota, and this fact alone is evidence
that it is not to be trusted. Advices
just received from Bowman are to the
effect that the company refuses to
make any kind of settlement on a
number Of hail losses sustained by
policy holders in that county. These
unfortunate people have practically
no resource, because even assuming
that the company is responsible, suits
North Dakota for the reason that the
company is not authorized to transact
business herein.
"It is fundamental that legitimate
insurance companies do not deliber-
ately violate the laws and require
ments Of state in which they desire
to do business. On the contrary, they
apply for admittance, submit a state
ment Of their financial conditions, ap-
point the commissioner of insurance
their attorney for service of process,
pay taxes, and in all matters abide by
the laws that have been enacted for
the regulation and control of insrr-
ance companies and: the business
transacted by them. Much trouble,
annoyance and disappo ointment might
be saved il purchasers Of insurance
would send a note Of inquiry to this
Department in advance. If the solicit
ing agent is unknown to the appli-
cant, he should be required to show
his license. Soliciting insurance
without license is a misdemeanor,
punishable by a fine Of not less than
| $50 nor more than $500 for each
Iofense. Mail-order insurance should
be looked upon with suspicion. and
| lgubjected to the closest investiga-
ton s4s &. 81 ssij,5s q II 4 ,l
az MRS. C.. O. Rnwors IF this cifv.