The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1914-09-05
built, is Il proper warehouse.

pullt, Is Il proper ware mousse.
'Since writing the above | have
completed "A carefri investigation OF
the insurance situation. Cotton
stored in the seed, provided it is at
least 100 feet from a cotton gin OF
saw mill or other special hazard,
carries an insurance rate of approx
imately $3.50 per hundred per year.
For one month the rate would be 20
per cent of this, for two months 30
per cent, for three months 40 per
cent, for four months SO per cent,
Tor five months 60 per cent. and so on.
"Baled cotton piled in the open field
or in the streets or on open platforms
or stored in barns on the farm would
carry the same rate. Full insurance,
however, must be carried, and re-
Gently the companies have given no
tice Of a replacing clause, which is
to the effect that in the event Of loss
under the policy the company has the
right to replace that cotton with cot
ton of like kind and quality. when
it has been damaged or destroyed by
fire.
The warehouse you propose / am
informed would carry about the same
rate as cotton stored in the country,
or in towns clear from passing loco
motives, or covered with tarpaulins
with day and night watchmen,
equipped with time clock and with
water protection. This rate would he
approximately So per hundred. .
AT present l understand that the
average in standard warehouses for
cotton equipped with full sprinkler
system is only about 10 cents per
hundred. However, you can find the
full requirements for standard ware
houses, and in fact for all insurance
on cotton stored under all conditions.
by consulting your local fire insurance
agents, and asking them to give You
access to the volume standards for
Construction and Equipment, Rates.
Rules and Forms, January /, 1905"
pages 1875 to 204. From the brief
and hasty summary l have given You.
you will see that the temporary ware
house may simply be a shed on a farm
or removed from special hazards. and
that it will carry no higher rate than
your galvanized iron shed, at no high
er rate than were the cotton piled in
the country with no covering, but un-
der the care Of a watchman with a
clock and water protection. 1t would
SEEM from what / have been able to
gather today that a series of wooden
sheds, 100 feet apart, we'll isolated
and protected by a day and aight
~atchman with clock and water, or
without water, would give you just
bout as good a rate Of insurance as
were you to purchase the galvanized
iron, and such wooden sheds would
be very much the cheaper proposition.
"Of course, you are more or less ia
miliar with the eXacting requirements
as to standard warehouses, which
must carry in the first place q 13-inch
brick wall for one-story buildings with
slate, metal or standard composition
roof, and be subdivided into compart-
ments, the division walls being at least
II inches thick and rising two feet
above the roof, and also extending at
least three feet beyond the apron of
the roof. The other various require
ments as to doors, floors, water plugs,
ETC., have no doubt you have a gem
eral knowledge Of
$50 far as 1 can see. wooden shed
warehouses OF more or less a tempo
rary nature, but thoroughly protecting
the cotton, we'll guarded by watch
men, and if possible protected with
water supply could be made to meet
this present emergency about as we'll
as anything else, and if these sheds
were built, held and operated by re-
sponsible local companies there is no
reason, as far as l can see, why their
warehouse certificates should not.
through the banks, be made accept
able to the secretary of the treasury.
whether the federal warehouse act
passes or not.
1t will be Of special interest to YOU
to know that only today l have been
Informed by the insurance companies
that they have placed until further
notice u limit on the insurance that
will be written on cotton of not ex-
ceding cents per pound middling
This is about the nearest thing we
have had in some days as to the fixing
of a security price on cotton stored i'm
Wo ra oncao