The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1926-02-27
SAFETY EDUCATION
FAILS ITO KEEP up
WITH ACCIDENTS
Hazards Grow Faster Than
Devices and Programs to
Check Them

The moral risk, always an un-
known and unfathomable quantity.
is q vital factor in the business Of
automobile insurance, which, while
it may appear to some as drab
profession, has it's angles of human
interest, an occasional clash OF wits
and often the chance elements, lead
ing automobile risk underwriters in
Minneapolis said last night.
The growing use of the automo-
bile has increased the hazard of
motorists and pedestrians, but
safety devices and safety education
has not kept pace with the hazards,
insurance men said, at least in
Minneapolis.
"A Popular Misapprehension"
There seems to be popular
misrepresentation as to just what
automobile liability insurance is,"
one underwater said. 1T doesn't
prevent accidents. 1t is not written
for the benefit of the injured per-
son. It is written for the automo-
bile owner to indemnify him against
liability for which he is legally ac-
countable, because of carelessness,
negligence, or just plain chance.
The cause of the accident may be
the owners fault or the other fell
lows possibly neither's-but lia-
bility insurance simply takes care
of the loss which the car owner
might sustain under the law upon
the complaint of another person.
1t does not pay the policyholder
for an injury to himself or his car.
"Some people seem to think that
rates for this type of insurance are
too high. Perhaps they are. We
wish they could be lower. They are
not fixed arbitrarily, however.
There is no guesswork. Rates are
based on tables of actual experience
and are fixed by national rate
making body.
"Time Payments Aid Insurance
Growth Of the business in Mime
apolis has kept pace with the sales
Of automobiles, It was said, and one
reason for this is that perhaps 80
per cent of automobiles now are
sold on time. The financing COM
pany insists as q. part of it's con-
tract, that it be protected by liabil-
ity insurance written for the car
buyer.
Rates recently were increased in
the Twin Cities, because of the
growing hazard. The percentage OF
accidents per. 100 cars in Mime
apolis is above the national average,
it was said. while the cost of settle
ment for. automobile damage suits
in Minneapolis is Is per cent over
the national average. A personal
element was charged with at least
part of responsibility for these con.
ditions. Minnesota juries seem gen.
orally sympathetic toward an in
jured person, insurance men said
and the AMOUNT Of damages a1lowet
in court cases is higher in Mime.
sofa than IN most other states
Another reason is that many rail.
road damage cases are imported
to Minnesota, and these have haC
tendency to increase the number
of automobile damage cases.
Rates Vary in State
Due to intelligent handling, thu
business in Minneapolis is in 8
healthy condition, and insurance
men are optimistic over prospects
for 1926, due not only to the pros
poets for car sales, but to the grow
in1 realization on the part Of thu
public that liability insurance is 8
desirable thing.
Rates vary in different section.
of the state. Even the moral risl
in various sections is considered
In northern Minnesota, where Their,
is a large foreign population, ex
pcrience has shown so great per
centage of accidents that the rates
had to be increased. In sparsel!
settled regions, or in places wher,
automobile traffic is comparative
~ light, the rates are lower than il
populous cities where streets Otter
are congested.
Education Needed
Education is the chief need il
the automobile insurance field to
day, underwriters said. They urge
more education for both drivers an.
pedestrians, Improvement in safet,
devices, better training for driver
and constant appeals to the publ
in several to drive carefully, wal
carefully, and never take chance
on q street or highway. Nor
carefulness and skill, NOR
headwork and less daredevil
try, they said, would result in lowe
liability rates and extend this typ
of insurance to o greater humble
of persons.
While urging the advantages o
liability insurance, experts in thi
line strongly opposed making lis
; bility insurance compulsory, on tn
ground that legislation to thi
effect would encourage carelessnes
and put bounty on negligence.
Fire and Theft Coverage
Fire and theft insurance also ha
a steady growth during the II.
year, it was reported. Few cal
now are uninsured against thes
risks. Theft rates in Minneapol
recently were revised, going Sigh
~ higher on the smaller cars an
dropping somewhat on the large
and more expensive makes, II