The Wisconsin tobacco reporter. (Edgerton, Wis.) 1877-1950, 1916-04-28
NOTE BOOK SKETCHES

1Aehh iAA00l dJNO Oh SAOUAtAS ~ ~ -
generally considered a risky PROPOSE
tion. Last season for the first time in
many years the Hartford Fire Insur-
sance company entered the tobacco
growing sections of this state and
wrote insurance on the growing crop.
They picked season of most unusual
hail storms with the result that would
almost dishearten any corporation for
continuing in the business. Risks were
taken on about 5000 acres and the
company paid in losses around $4,000
in excess of the premiums received for
the insurance. The policies were writ
ten at the rate of $3.50 per acre. The
company is so strong financially that it
took it's medicine gracefully, making
liberal settlements on all losses. The
writer was almost tempted to believe
that hail insurance had proven so dis
astrous that the company would retire
from the field. We are informed, how
ever, that our fears were groundless.
Notwithstanding their experiment of
year ago was unsatisfactory, the "Old
Hartford" came back with a message
to the tobacco growers that it intends
to write insurance against hail on
growing tobacco again this year and
will accept $500 an acre on practically
the same plan this season. Last year
it settled 345 losses but is confident
that in more favorable season the
percentage will be less. The company
intends to get their applications in the
hands of every grower of Wisconsin to-
bacco, either through solicitation or by
mail, so that every farmer mas secure
the protection if he desires. The Wis
consin hail department will be handled
through Henry Johnson's agency at
Edgerton this season. i
Xxx
The advanced rate of $3.50 per acre
charged this year ought not to deter
any grower who really desires the pro-
lection offered. The experience of
those 800 odd farmers whe were paid
losses last season bears out this con-
tention for the amount paid them in
settlement added to the fihal receipt OF
the. crop when sold, made far better
showing in net results than those who
neglected to provide this indemnity.
Hence these growers very largely would
like to see hail insurance permanent
thing in this state. The Hartford Co.
evidently will carry their experiment
over a series of years and at the end of
the term this line of risks can be placed
on safe and remunerative basis is
likely to continue. It may be neces-
sary therefore TO further revise the
rates before this end is reached. The
company has found it advisable to do
so in other states where hail insurance
is written. 1t must be admitted that
hail is one of the greatest risks OF to-
bacco growing but if protection can
be obtained at reasonable cost, the
business is placed on more permanent
basis = something that every grower
desires.
In recent interview with a New
York trade paper, Mr.. VIM. S. Brill
very aptly describes the condition OF
the leaf market when he said there is a
good demand for tobacco now but it is
mostly for merchandise that doesn't
exist or at price that isn't possible.
Fifteen or twenty million dollars
more revenue from increased and new
taxes on tobacco products is among the
possibilities in the consideration of
revenue legislation by the Ways and
Means Committee of the House of
Representatives. tits understood that
Chairman Kitchin of the Ways and
Means Committee is opposed to in
creasing the taxes or the tobacco in
dustry But other members are not so
inclined. They talk emphatically about
a. graduated tax on cigars, beginning
with the present minimum rate OF S3
per 1000, and not So, as the bill of
Representative Porter Of Pennsylvania
provides for stogies, and running up
wards. Representative Garner has for
some time been strong believer in the
idea of graduated tax. Coupled with
that, the would-be higher tobacco tax
ers are demanding large increases in
the tax on cigarettes. This is the hob
by of Representative Rainey of Illinois.
He appears to have pooled issues with
Mr.. Garner, and another member or
two of the Committee are understood
to have joined him. The plan favored
by this group also includes, it is under
stood, an increase in the tax on tobac-
co all along the line. The opposition to
this plan argues that it is unfair to the
tobacco growers, among others; that
the tobacco industry, especially the
growing end, has suffered hardship as
a result of the war interfering with ex-
ports, and that manufacturers and
dealers have had to pay new special
taxes provided for under the war rev.