The interior journal. [volume] (Stanford, Ky.) 1912-1984, 1914-06-12
GLENN INSURANCE LAW
WILL NOT Be ENFORCED


FIRE insurance companies which sus-
pended insurance companies which
pended business in Kentucky will re-
sumo operations, the Glenn Greene
amendments to the Lorn law will be al
loved to remain imperative, other con.
cessions on each side will be made and
a commission of three. two members
OF which in all probability will be Geo.
L. Payne, OF Frankfort. and +. l.. Bar
rett, of Henderson, will make investi-
cations upon which to report to the next
Legislature. according To an agreement.
reached Wednesday at the conference
between State officials, fire insurance
company officers and business men at
Louisville. Kentucky operations of the
companies which had suspended risk
writing probably will begin again not
later than June IT,
Only ratification of the agreement by
the companies at a meeting to be held
Monday or Tuesday in New York and
the signature Of Gov McCreary to the
document, both of which acts are con-
sidered certain, remain to restore nor
NAL fire insurance conditions in the
state Gov McCreary returned to
Frankfort and was not present when
the agreement was signed by other
State officials. A telegram was sent to
him requesting him to go 20 Louisville
to conclude the agreement, but found
train service tied up IN account OF
wrecks east and west of Frankfort. The
| document will be sent to him at Frank
/ fort.
| Officially. no statement was issued
concerning the terms of the agreement.
\ but information as to the concessions
on either side gradually became pub
! lie following the deliberations of the
conference committees. However, an
announcement was made that the con-
troversy had been settled.
1t was declared in one quarter that
the State authorities had agreed not
to interfere with the Kentucky Actuar-
al Bureau. the rate-making organiza-
tons of the companies. and would re-
main more or less inactive respecting
fire insurance until the report of the
proposed commission is filed with the
next Legislature. This would place the
situation much the same as before the
enactment of the Glenn Greene law.
| fire insurance agents declar, making
conditions even more favorable for the
companies than during that period.
According to the information the
companies agreed at the final confer
ence to the principle of fire insurar'-
/ regulation by the State, the State au-
thorities agreed to the suspension of
/ the Glenn-Greene amendment and both
to test OF the constitutionality of the
amendments, which will be inaugural
cd IL such manner and ut such time as
not t. interfere with the work OF the
proposed commission.
The proposed commission will consist
of one member named by the business
organizations of the State. one by the
State Insurance Rating Board and one
| by the companies. The Conference
Committee of the companies offered
George l.. Payne. of Frankfort, local
agent, the ommissionership for the
companies and the business mems Con-
ference Committee is understood to
have offered place to Thomas l.. Bar
rett, of Henderson. The State authori-
ties have not indicated their choice.
| Further provisions of the agreement
are reliably declared to be a conces-
sion by the companies to follow orders
issued by the Rating Board providing
cities and towns and on loose leaf to-
a reduction in rates on dwellings IN
bacco warehouses. Another concession
is that of the State officials to allow
an increase on business property To-
Gated where there is no fire protection,
the rates to be reduced, however, when
protection is afforded.
The test of constitutionality of the
Glenn Greene act, it is understood, will
be made on the point of the alleged de-
feet in the title of the bill as passed
the state Legislature.
The Conference Committee for the
companies. though authorized to carry
on negotiations for settlement of the
situation, will carry its report back to
New York, where early next week, a
meeting will be held for ratification of
the agreement. However, the members
of this committee, are officers OF COM
panies which handle over 50 per cent
cf the business done in Kentucky.