Bryan daily eagle and pilot. [volume] (Bryan, Tex.) 1909-1918, 1916-06-30
$4,000 ACCIDENT
{ CLAIMS SETTLED
/ WITHOUT LAWSUIT.
GENERAL MANAGER OF TEXAS
EMPLOYERS INSURANCE AS
ISOLATION GIVES FIGURES.
Basis for Workmen's Compensation
Law Discussed.

FORT WORTH, Texas.-The> Texas
Economic League has given out for
publication the following article ny
Homer Y. Mitchell, general manager
Of the Texas employers Insurance
Association, concerning workmen's
compensation laws:
1.-THE economic basis for work
mems compensation insurance laws
Is much more easily established than
the legal basis. II does not need tho
support OF the facts and figures de,
veloped by investigation into the sub
tect Practically all men. are ready to
agree that the economic insecurity OF
workingmen and their dependents
,ustifies the fundamental principle in.
yolved in such laws. namely, that In
dustry should be taxed to provide def.
mite, fixed and certain benefits for
injured workingmen and their de-
pendents, rather than that the re-
covery, II any, of an injured workings
man should be determined by juries
on mixed questions OF law and act
as to who may have been at fault
for the injury and economic loss re-
sulting from II. The legal basis for
such laws Is OF interest, principally
to the legal profession.
1.-THE paramount questions with en-
ployers subject to the law now Is:
How has It's administration turned OUT
in Texas? The answer is that moro
than fifty thousand accidents have
been reported. and that the numbe'
of law suits resulting has been abso'
lutely negligible. More than one hun
bred thousand working men are pro-
tected by insurance. providing stat
utory benefits. More than five thou
sand employers have become subscrib
ers. notwithstanding the very ma
terial increase In premiums for com
pensation insurance over the cost OF
old.fashioned employers liability in.
surance. Employers to whom the
act Is not applicable have individually
and through their organizations. en-
pressed a desire to be included. rath'
er than excluded as soon as the Law
can be so amended.
| Whatever dissatisfaction NAV b,
found among employers Is due to tho
fact that the cost to the employer u
out OF all proportion to the benefits
TO the employe. The companies re-
porting to the Insurance Department
OF Texas under oath disclose the col
lection OF more than two million dol
lars in premiums. and the payment Of
only about one.third that amount In
losses. II Is essential to the success,
OF the plan that the funds be accum-
uiated and disbursed through an
surance organization. but II Is not
necessary that II cost $500. or even
si.00 to provide. adjust and pay si.Oa
TO an injured employe. Economic
waste was the outstanding objection
to the operation OF the old law. Eco
.nomic waste must be eliminated from
the law before II can receive thu
approval OF all those who are sub
joct TO II.
III the insurance companies 90
plotting the field OF workmcn's coTt
pcnsation insurance were for mo
ment regarded by the public rs the
public now regards public service cor
porations. an investigation into ,hal,
books would hardly be necessary
preliminary 10 vigorous rcstrll,iyi
statutes. limiting their operating go
pcnscs and profits to such n igw.
that they would not be permitted "a
collect ss.OO from employers In ordC,
that si.O0 might be paid to employees
The Texas Employers Insurance
Association. created by the Act rs az
agency Of tho State to enable ON
ploycrs to discharge their obligation,
toward injured employees at The least
possible cost. has. after reducing
stock company rates approximately
ono.third. and writing only a porto,
NJ the entire business OF the State n
less than two years time aocumu
lated undivided profits Of $4,000
The total business OF the State woult
have enabled them TO accumulate
over half a million dollars. Had the,
collected the premiums which many
OF the commercial companies have
charged their policy holders. It's prof
its would have considerably exceeded
one million dollars.
81, IA time tina, those affected "a
versoly By these uncoonomie meth
DDS should be looking into avsilsbl,
statistics and cooperating With those