Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-12-20
i. fire AND THEFT
INSURANCE IS HUGE
Billion 1926 Bill for ProteC-
ton From LosSes-InveSt-
ment Is Good.
BY j. c. ROYLE.
9nerIal Dispatch TO The Star.

Special Dispatch to The star.
NEW YORK, December 20.-Fully
81 000, 000, 600 has been spent this year
for prevention against loss. Business
men are rcviving the old slogan
millions for defense but not one cent
for tribute" The losses due to fire
and crime are estimated for this year
at approximately s. 500 900 900. These
facts explain the intensive growth OF
casualty insurance which has made
itself apparent in the last IL months
The billion-dollar outlay represents
only the sums spent by American cor
porationS to prevent losses and as
sure safety and health of employees
National, State and local authorities
also have expended large sums fOl
this purpose. The returns from the
expenditures are invisible items" but
are none the less real. Insurance
men estimate the saving probably is
at least tenfold the investment, OF
$4,000, 900. 900.
Losses Are Large.
1t is not possible to approximate
the losses due to sickness and acci.
dent, but the annual proportion OF
crime losses is about .005 of the grOs;
fire are about .001 of the combustible
wealth of the country. Although or
gained prevention unquestionably is
growing more effective all the time,
losses are higher this year than ever
before, since the national wealth is
greater than ever before.
The huge losses of this year en-
phasiZe the necessity for general
adoption of preventive methods. The
advancement of prevention primarily
is an insurance problem, and the com
panies are fully alive to its impor-
lance. Formerly, before the actuary's
science had been brought to its pres
ent state of efficiency, casualty insur
ance was a good deal of a sporting
proposition. The insurer for a pre-
MUM and usually a good stiff one
bet the insured against hazard of loss
to the latter, and then left it to chance
as TO whether he would be called OF
to pay the debt. So often were the
insurers called on to pay that they
ceased to regard it as a betting propO
sition and turned to organized proven
ton to reduce their losses. The in
Sured were encouraged to eliminate
their own loss hazards by reducing
their rates when they had done so.
An indication that the betting stage
has passed was the recent announce
ment that for the time LloydS haC
ceased to write jewelers. block insur
ance on unset precious stones, be.
cause so many statesmen had been
robbed.
Watching Check Forgers.
Bank depositors and business
houses are using special vigilance
against fraudulent checks at present
since forgerS always are specially ac
tive during the Christmas rush period
1.-THE main endeavor of the crook,
said James E. Ryan of the Metropoli
tan Casualty Insurance Co. today, sis
10 obtain q genuine check, no matter
how small the amount. This he car
turn to his profit by altering it or
forging an Endorsement to it. If the
check is carelessly drawn on inferior
paper he can easily change seria
number, date and payee's name and
raise the amount. He leaves the sig
nature alone. 1t is genuine and ne
asks nothing better"
A favorite way of obtaining gen
uine checks is to rifle mail boxes IN
Railways. The way checks for small
amounts may be obtained from bust
ness houses are legion, but favorite
trick is to pay for goods in advance
for future delivery and then canoe
the order and ask that the store give
a. check for the amount refunded.
Business men are being warned
that when they are finished with can
called checks they should burn them.
Cancelled checks have many times
been bought from junk men and the
marks of cancellation filled up with
naper pulp or otherwise obliterated.