The Ward County independent. [volume] (Minot, Ward County, N.D.) 1902-1965, 1918-04-18

laws prescribe the requirements I'M
der which a foreign stock insurance
company can be admitted, and when
such company files with the insurance
department a certificate of compli-
ance, issued by the state where it is
organized, the commissioner can no
more bar that concern from the state
than can states attorney keep out
a peddler, who pays his license, or
one might as well try to keep an ar
dent lover from marrying, when he
has a regular, lawful license in his
pocket.
Permit me to quote from state
ment by Attorney General LANCER, in
answer to inquiring policy holders on
this very question:
"This situation furnishes most
striking example Of the defects in our
present insurance laws. Under sec
tions 4913 and 1853, 1913 Compiled
Laws, no discretion is given the North
Dakota Insurance Commissioner as to
admitting foreign stock insurance
company to do business in this state,
providing it files the proper papers
and has paid-up and unimpaired
capital of at least 100000 in the
state where it is chartered. The re-
suit is that insurance companies with
only 100000 assets can come into our
state and all those who do business
with them must run the risk that I'M
expected losses will wipe out such
companies and prevent the payment
of losses"
Now, someone will say: Every
we'll! But is it not true that the
Bankers Insurance Company never
had the 100000 required by law"
and also that an examination should
have been made to ascertain that
fact? Here is the rub. Maybe we
should, and maybe not. Together with
other data and certificates pertaining
to the affairs of this company at the
time they applied for admission last
spring, Commissioner Heating of
Montana, (now deceased) submitted
sworn statement, that the Bankers
Insurance Co. had been duly examin-
ed on March 18th, 1917, and exhibited
to him, that they had in cash assets
over 100000, in compliance with law.
On the strength of the proper docu-
ments from the home department, we
w
custom of my predecessor in this state
and, which is also customary III
other states, believe. Furthermore,
we have no appropriation to take care
of the extra expense of an examiner
or actuary, which such examinations
would necessitate. AS to the charge
made, that, but for the incompetency
Of the Farmer Commissioner, this
would never have happened, have no
comment to make, except that ! have
had some personal experience with de-
faulting insurance companies myself,
and know of several such failures I'M
der former administrations, and they
were not farmers administrations,
either! Such assertions are of course
made by enemies of the League, with
the hopes of discrediting same.
With reference to the National I'm
Tor Insurance Co., will say in all fair
ness, that, while they may have been
deserving of much criticism for the
manner in which they conducted their
adjustment of losses, and for refus-
ing to pay claims in full, there are,
admittedly, many instances, where
their position was justified. |
Whatever else may be said, the fact
remains, that our farmers will have
received, perhaps, several hundred
thousand dollars, by reason of this in
surance, which otherwise would not
have accrued. Pardon the introduc-
ton of statement taken from let
ter written by the Manager Of this
company, in response to my inquiry
as to the prospects. This was during
the first half of August. The excerpt
refers to the clause in their crop pol
icy which stipulates a fixed price to
govern in settling losses, and is as
follows:
present conditions are, Mr.. OILS
ness, that the National Union is going |
to sustain a very serious loss. At