The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1917-11-22
Is Unsafe Grant License to
Enemy-Ally Fire Insurance Co. S

was that, II licensed, Chey WOulo nave
access to the work of the engineers
and inspectors of the National or
State Board of Underwriters and also
could send their wn inspectors
through properties, including NUM-
houses of all kinds, docks, wire fac
tor!ss and many other industrial es
adjustments.
Little, If any, argument was need
ed, he said, to demonstrate that it
would be "unpatriotic" to permit such
enemy and enemy-ally companies to
do business in the United States. and
he cited the fact that Great Britain
and France had ousted such COM
panies at the very beginning of the
war.
In explanation of his assertion that
it would be "unsound' Mr.. Hurd said
there were four direct-writing Ger
man insurance companies now operat-
ing in the United States and seven
reinsurance companies, of which four
are German, two Bulgarian and one
Austrian. Their assets in the Unit
ed States on December 81, 1916. he
gave as S27,720,0O0, and their risks
as $685. 100000, or less than one
cent for each dollar of risk.
was OllcIcu lIOIIl
surance experts by Mr.. Hurd to show
that the German and enemy-ally
companies are not necessary to prop
er and effective conduct of American
insurance business.
president Wilson prohibited Ger
man marine insurance companies
from writing risks in the United
States" said Mr.. Hurd, lowing to the
fact that these companies obtained
information regarding cargoes of
ships and dates for sailing which
facilitated the work of the German
submarines in destroying American
ships.
ct is still more important that
German fire insurance companies
should be prohibited from the United
States because whether doing a direct
or reinsurance business such COM
panles are members of National or
State Boards of Underwriters, have
access to the work of their engineers
and inspectors and can send their
own inspectors to make thorough in
spections of any property on which
they carry risks, Including munition
works, flour mills, storage ware
houses of all kinds, docks, wire fac
tories and in fact every factory or
storehouse at which to start fires or
place bombs or turn off the sprinkler
system.
"The frequency Of fires and ex-
plosions in these factories and the
efficiency with which they are carried
out evidences the accurate inside in
formation which these enemy aliens
possess.
at needs no argument to demon
strate that while we are engaged in
a life and death struggle with Ger
many it is an unpatriotic act for any
American citizen to accept fire insur-
ance in an enemy company or have
relations with them.
THE danger to American citizens
holding German policies is that in
case of big fire, these German
companies would be bankrupted and
the policies would not be paid. No
money can come from Germany to
the United States to support these
German companies and judging from
the experience of the San Francisco
conflagration, no money would come
from Germany to enable the German
companies to pay their legitimate
American losses even if Germany
was able to send the money. In the
San Francisco conflagration the Ger
man companies distinguished them
selves as welchers.'