The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1916-08-10

from Washington and conferred with
these gentlemen in reference to the
situation. I found these gentlemen
very frank and courteous in discuss
ing this matter. / found that they
felt that as business proposition
they could not continue to do busl-
ness in South Carolina under the
present law. There seemed to be no
disposition on their part to punish
the people of our State, and they
we're very frank to say that, while
their business had not been profit
able, yet from the standpoint of SEN
timent they disliked to break their
agency connections, practically all of
which had been personally pleasant.
AS an evidence of the fact that they
did not wish to punish our people,
they stated that they would not exer-
else their right to cancel the policies
that we're written and in force be-
fore their withdrawal.
Has Plan i'm Mind.
MY position has been that, mas
much as there is so much complaint
as to rate making, it would be but
a proper step for the State to main
tain a fire insurance rate making bu-
reau. l have carefully worked out
plan along this line. AS a matter
of fact, the insurance laws of South
Carolina should be completely re-
vised and brought up to the require
ments of modern business life. In
recent years other States have given
great thought and study to these
questions, and have revised their in
surance laws in such manner thai
the companies and the assured are
given full protection under the law,
and all parties look upon the matter
as strictly a business proposition.
This is as it should be. Fire insur-
ance is a business matter. A COM
pany sells indemnity against loss, and
should charge therefore such price or
rate as is equitable and just. l am
unalterably opposed to any eombina-
tion in restraint of trade or compact
to control the price of any commod1.-
ty upon which the public is depend
emf Fire insurance rates should be
in accordance with the losses and ex-
penses incurred, together with rea-
sonable profit on the investment by
the stockholders, at the same time
laying aside a reasonable amount
to privide for confagrations.
We have learned that drastic leg
islation will not accomplish good re-
suits unless such legislation takes in
to consideration sound business prin-
ciples upon which a business should
be conducted. favor laws that will
prevent combinations or compacts.
A State rating bureau properly con
Quoted by competent business men
will solve this problem. The insur-
ance companies will in my judgment
be glad to return to the State under
such a bureau. When the insurance
laws Of South Carolina are revised,
I suggest that the recently revised
laws of New York, Pennsylvania and
Kentucky might be used as models
on which our laws could be based.
The so-called valued palicy law now
on statute books of South Carolina is
in my judgment an incentive to in
cendiarism and a protection to the
dishonest man. This law should be
repealed promptly and shall so rec
ommend
Reduce Fire Loss.
One of the greatest problems be-
fore the people of South Carolina to-
day is not so much the securing OF
insurance as in the reduction of the
fire losses in the State. Fire waste
in South Carolina has been greatly
increased year by year. This can be
remedied, by the exercise on the part
of our citizens. of more care; and
more rigid inspection by the fire.
men. The exercise of ordinary care
will prevent serious fire losses. It
is so much easier to prevent fire
than to extinguish one after it is be-
gun: Property that is burned is for
ever gone, and the insurance collect
ed does not replace the property, but
is merely the contributions from
others who have not sustained
losses.
I expect to hold another confer
ence with the insurance officials the
latter part of September, and after
this conference I hope to have def