Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1917-03-07
INSURANCE
Health Insurance and Investigation of
the Subject Fully Discussed

ocLdtOI T1Oll VI SuIuDeTldnU present.
ed the claims of the health insurance
act and the companion bill providing
for an investigation of the subject of
health insurance Tuesday afternoon
before the committee on mercantile af-
fairs and insurance. The provisions of
the health insurance act were strongly
opposed by r. p. Hazard. Gardiner
shoe manufacturer. and Thomas Z.
Mcdonald, a life insurance agent of
Portland.
Senator Holt explained that the bill
was advocated by the National Asso-
citation for Labor Legislation and was
a standard bill which it sought to have
established in % states. The bill pro-
vided compulsory insurance for all
workmen earning less than 500
month. OF the total cost two fifths is
to be paid by the employer two fifths
by the employee and one fifth by the
State. 1t creates a state commission
with a system of carrier III local COM
munities.
Senator Holt said that nine coun-
tries abroad had adopted this system
He explained that he had secured the
tabling of an act also introduced by
him providing for the investigation OF
the subject of health insurance in order
that the two acts might be considered
together He believed that the main
bill had much merit in it and that 1t
should be thoroughly investigated.
r. p. Hazard of Gardiner said that
he was not in sympathy with the act
1t had not been successful abroad and
whatever provision was made In an
act of this sort the purchaser event
Il lao n (.pI'nanN
developed a cheap grade physician who
was tal1ingsh great deal of money mat
should go to the employee. Mr.. Haz-
gard favored national laws, if any were
to be adopted and said that under
state laws of this sort the state that
was most progressive placed the great
est handicap upon its manufacturers.
How many people will be affected
hv the provisions of the bill?" asked
senator Grant of the committee of
senator Holt and the latter replied that
State, Labor Commissioner Eddy had
Did him that it would be in the neigh
orhood of 100000 in round numbers.
Senator Grant also asked Senator
Iolt how much he supposed that the
ill would cost and Senator Holt re-
,lied that he had no figures for this
nat there were 100000 affected and
hat the act would entail cost of
$1,000, 900, of which rising S4,0oo,ooO
Guild be borne by the State.
Senator Holt declared that the employer
would be greatly benefited by the in
creased efficiency of the workmen under
his employ. while the employe would oe
having no more for insurance than for
merly.
In reply to a question by KEEP wilson
of Portland Of the committee, Sen. Holt
said that the association behind the Dill
was the same as that behind the WORK
mems compensation act. sort OF an aux
iliarv bill" commented Rep. Wilson, ana
Sen. Holt went on to say that Surgeon
Ceneral Blue of the federal government
eparded it as the next step in social leg
islation.
Rem Wilson asked Sen. Holt II his In
yestigation bill called for an appropria-
ton, and Sen. Holt explained that 1t pro-
vided for a commission of five members 10 I
include an employer, an employe ana
doctor and two others, and that the only
cornpensation was for such incidental eX-
nenses as were approved by the Governor
and Council.
At the point In the hearing Mr.. Haz-
zard denied the statement Of Sem Holt
that efficiency of workmen had peen at
all increased under this act in Germany
hu+ eaid that Instead 1t had been dimin-
ished.
Thomas r. Mcdonald of Portland said
that few people had any idea OF the cost
Of a health insurance act IN the MS.
Mace" said he, ait makes the employer
give up 4 per cent. OF his payroii III"
then Il nuts its hands in the workman
nav envelope and takes an equai a''iou'i''
and after that the state takes per cen.
mora IT takes 10 per cent. OF the entire
pay roll Of the state.
"rhen." said Mr.. Mcdonald Impressive
T.. ..th,s hin will cost the State of Maine
more than is now paid for taNa.ioh ,oi a..
nurposes in this state" he aiso a"uue
70 the high salaries provided III ''ie g.
for the members of the commlss.on-s'o
,or chairman. $500 for the other TWO
roembers of the commission ana sio"' LUZ
a secretary.
1,a,a w II. Newell of Lewiston APP
peared for the act to- ineo ZIP Tns IN
= .,,,.,on burial insurance Co. Inc m
cnrnora tors named In the act are - =
Hr.rcot+a r Narcotic, Louis POISSON
all ~ 1ewiston. and T. J. Gosseiin OF Au-
burn. The act provides for capitaiiza-
ton Of $4,000 with proper sureties niea
with the insurance commissioner ana the
corporation placed under their eoho
BY payment Of a small sum eaen year