Atlanta semi-weekly journal. (Atlanta, Ga.) 1898-1920, 1917-01-05
INSURANCE COMPANIES
FAIL TO RETURN TO S. C.
New York Conference Between
Officials and Gov. Manning
Without Results

NEW YORK. Jan S.-The recent con-
ference here between Governor Man
ming. OF South Carolina, and leading fire
insurance officials with the view to the
return OF the insurance companies again
to South Carolina to do business m thai
state resulted in no definite agreement
1t will be remembered that last March
practically all of the stock FIRE insur-
ance companies withdrew from South
Carolina because of the enactment of a
law which the underwriters claim made
il impossible for them to continue bust
mess in the state The companies hope
that they have convinced Governor Man
ming of the impossible features of the
law from their standpoint and that he
will in his annual message to the legis-
Iature advocate a complete wlping out
Of the objectionable statute and the adcp-
ton OF legislation that will invite rather
than obstruct insurance capiaL
than obstruct insurance capital
The gist Of the Objectionable statute.
according 10 the underwriters, placed
the final control over the rates charged
for fire insurance in the hands of the
insurance departmet. with unusual pow
er vested in the person OF the insurance
commissioner himself. He was TO de-
eide all differences arising as to alleged
discrimination or unjust rates" and
rulings. while of course subject TO court
review. were looked upon even before
invoked as too doubtful to offer any
hope OF profit or for peaceful eontin-
.uance in a proposition the companies
believed was a losing game Heavy pen
alties involving fines and Imprisonment
were provided for and when the governor
signed the bill the companies withdrew
from the state This was last March
Since then. according TO the underwrit-
ers a few small underwriting concerns
have been prohting highly by writing,
only the better class of risks. but they
say many lines OF industrials, farm prop
erty. and country stores. have been una
BILE to get either adequate or satisfac-
tory indemnity.
This caused a clamor from all sides
and resulted in a meeting OF business
men and local agents. who requested the
governor to appoint a commission to look
into the matter. This commission re-
Gently met 10 prepare and submit new
code which would pave the way for the
return of the fire companies
OBJECTIONAL FEATURES.
The underwriters here say that while
the report of this commission has not
Yet Oeen puDlSne0s enough mas oeeh
given out TO justify the belief that the
proposed new law will not prove in
any way satisfactory to the insurance
people. or be the means Of causing the
companies TO again apply for a license
The objectional features Of the pro-
posed new Law, which were pointed out
to Governor Manning on his visit here.
are said TO be tie insistence that the
rate making power be continued in the
hands OF the state and also clause
exempting a favored class Of insurers
designated as state chartered compa-
MES. mutuals, reciprocals and Interim
surers.
The companies say that the key TO the
situation is now in the hands of Gov
ernor Manning. They told the governor
that in their opinion South Carolina is
fsolating itself and bringing the state
into unpleasant discredit with banking
and financial institutions here and else
where They said to the governor that
IL such a state Of affairs kept up every
important interest was bound TO be more
or less involved and that all the people
OF the state would suffer.