The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1915-04-17
Some Comparative Figures

lnertlOlS, according TO THIS data
which Is compiled by expert engineers
il is the loss in Birmingham proper
that gives to the city as a whole its
abnormal fire loss record and its high
rate of insurance. The loss is trifle
high in the East Lake, Avondale and
Woodlawn sections, but probably not
enough so to influence the rate of in
surance, while the loss in other out
lying sections of the city is very low
The average for the suburban districts
is low enough, however, that insurance
men state they do not believe any in
crease IN rates would have been made
if it had not been for the big losses
in the city proper, which have pulled
the average very high.
AS examples, in 1910 the per capita
loss for the greater city was 1915
bat for Birmingham proper alone it
VAS $500.
In 1911 Greater Birmingha per
capita loss was $5.2S; Birmingham
proper was 1891.
In 1912 the entire city's loss per
capita was $5.63 Birmingham proper
was $1,000.
In 1919 the entire city's loss was
$3.O3; Birmingham proper was s3.96.
In 1914 the entire city's loss per capita
was $3.50; Birmingham proper was s13. Il.
(The figures for 1914 are estimated on
months of the year,.
This shows the much larger loss in
Greater Birmingham than in the suburbs,
which is without doubt due to the big
fires such as mercantile and business
houses.
Increase Every Year
1t is interesting to note how the fig
ures quoted show the gradual increase in
the per capita fire loss of both the city
as a whole and Birmingham proper, until
1913, when big drop was taken. but
which was quickly lost in 1914, when it
went higher than ever.
This appalling increase from the low
figure of 1918 to the high figure of 1914
is what is responsible for the 10 per cent
increase in insurance rates made last fall
by the underwriters association and ex-
planned in yesterday mornings Age
Herald.
Therefore, the case appears to be this
Birmingham's fire insurance rates in
three years have increased from so to
20 per cent.
They have increased because Birmng-
ham s fire loss is abnormally high.
Birmingham's fire loss is abnormally
high on account of the losses in Birming-
ham proper and the congested business
district of the city.
The insurance men state that they still
insurance company must be able to keep
40 per cent of its premium money col
lected from its policy holders in order
to pay it's operating expenses and there
fore can pay out GO per cent of its pre-
miums in fire losses to its policy holders
1nd break even. As much less than 60
Per cent as it has to pay out for losses
that much is it's annual profits.
The fire insurance agents of Birming-
ham state that the majority of them are
paying out 70 per cent of their premiums
for fire losses.
Now, the question can be asked what
should be done and what is being done?
What Should Be Done
What is being done will be set out in
tomorrow mornings Age-Herald. What
should be done is set out in a list of
compiled by Secretary
Joseph S. Raine of the Southeastern I'M
derwriters' association and sent to Sec
rotary W. c. Radcliffe of the Chamber of
Commerce at the latter's request after
the board of expert engineers of the I'M
derwriters' association had completed its
survey of the Birmingham fire hazard
situation last October. 1t follows:
Mr.. w. C. Radcliffe. Secretary Board of
Trade, Birmingham. Ala:
Dear Sir: In accordance with the c,m-
mittee's advices to your board during a
recent visit to the city of birmingham,
beg to enumerate below improvements
that will be necessary for the city of Bir-
cent advance in rates may be re-
lieved, I. e.:
"a The services of an expert on fire de-
partment matters should be secured and
reorganization and rearrangement Of the