The New York herald., 1921-09-19
crime RISK BOOST
BLAMED ON POLICE
Burglar Insurance Firms Here
Call Authorities Lax and
Indifferent.
PROFITEERING Is DENIED
n Per Cent. Of $13,OOO,OOO
Premiums Paid Out i'm Claims
i'm Last Year.
PROFITEERING IS DENIED

As result of the revived contro-
'ersy between the police and the bur.
.lary insurance companies as to where
he responsibility for the high and con.
family mounting burglary insuranc,
ates must be placed. upon police lax
ty or insurance proflteering. THE New
FORK HERALD made an Investigation o.
he situation. The following facts wer.
'evealed:
!. Every indemnity concern is
suing policies upon bur
2lary risks has lost money iii that
field of business for three years,
and none OF these concerns has the
least expectation of profit for at
least year to come.
2. The total burglary insurance
written in the United States
in the last year amounted to about
sf3,oo0,000 in premiums. OF this in
come II per cent. was paid out in
satisfaction of claims arising from
a startling increase in housebreak-
ing and thcfts. The margin OF 90
per cent. was inadequate TO pay
expenses. much icss to supply a
profit.
8. Since 1919. or a little more
than a year. the percentage
OF premium receipts paid out to
compensate policy holders for losses
has risen from 90 per cent. to II
per cent. IS per cent. increase.
This extraordinary increase piles OH
top OF similar increases that have
been noted year by year for half a
dozen years.
Some Rates Doubled.
q. Hopeless o. fully meeting
their losses even. the vari-
Gus companies. the thirty-three con-
Germs registered il the Burglary In
surance Underwriters Association.
have been forced 10 stiffen rates
since as far back as 1913 In an effort
TO stem this disastrous tide OF
losses. In the past few years espe-
cially the cost OF burglary insur-
ance has gone skyward. In seven
years the increase has amounted to
100 per cent. In 1914 it was pos
sible to get burglary insurance on
apartments for $3.50. The cost is
now just double, SIS. In 1918 bur-
glary insurance as applied TO apart
ments cost $3.50. The percentage
gone up more than IS per cent. in
two years.
6 The feeling between the police
and the burglary insurance
concerns has grown so acute that it
is virtually impossible to obtain de-
pendable statistics for either. Tho
police heads resent any comment or
criticism from the burglary insur-
ance companies. and the represent
atives OF the latter have adopted a
policy OF keeping secret the statis-
tics covering losses. Tho Police
Commissioner refuses TO permit any
subordinate 70 make public crime
statistics short of a court order or
his own written permission.
10000 Cases Yearly.
6. While the housebreaking evil
Is not so bad In New York
as 1t is in other cities. notably tho
cities in the vicinity or the Great
Lakes and ST. Louis, nevertheless
there occur annually IN this city
20 900 such instances OF crime, OF
burSlarics alone. The indemnity
companies hoar only Of instances
where their risk II involved. on
tho other hand. innumcrable cases
occur that escape record BY the po-
lice. The estimate OF 10000 u
deemed conservative by expert OBJ
servers In the indemnity business.
II was in an eTort 10 obtain precise
nd comprehensive statistics OF the
nrglary insurance business Of this met
opolitan district, and OF the whols
ountry az we'll. that reporter for
HE Ngw YoRK HERALD sought out Iiar-
ia &. ciun. secretary Of tho Burglary
Underwriters Association. IN
he Park Row Building. together with
he heads of half dozen or the best
nowa burglary insurance companies.
but firmly all requests for
ennte facts and figures were refused.
he facts and figures printed herein
,erc obtained from a prominent member
{ the association--the head. indeed. oi
ne OF the biggest conCcrrs-ard upor
he express condition that neither his
anne nor tho name OF his company be
sed.
Not one OF these insurance men would
onsent to speak for publication Al
greed that there hs,i been a plcdgs
aiken not 60 reveal - substantial fact;