Evening star., 1927-10-09
FIRE LOSS COST
IS BORNE BY ALL
Sustained Prevention Effort
Could Safeguard Lives and
Save Much Money.
BY w. f. MALLALIEU.


Fire Underwriters)
BY the Associated Press.
NEW YORK, October SIN the
past few weeks l have received liter
ally a flood of communications from
officials in every conceivable type OF
industry, numerous large railroads and
power companies, manufacturers. f1re
departments, chambers of commerce.
municipal offices, educational lnstltu-
tions, business concerns in general
and social and patriotic organizations
Of every description located in all Sec
tions of the country, who are all CO.
operating in the service OF promoting
fire prevention work throughout the
Nation at this time. These communl-
cations contain assurances OF co-opera-
ton which show the true spirit OF
America when it is aroused to a real
iZation of a great truth.
If this great fire prevention work
could be sustained throughout this
year and the greater part of next, so
that public interest and continued
public care would not easily wane, l
would warrant that the appalling cost
of $3.50, ,548,000 in property losses, to-
gether with the toll of 10000 lives lost
in tires-86 per cent of which are pre-
ventahle-Would diminish so per cent
or more.
Would Enhance Credit.
Not only would this sustained effort
be q means OF safeguarding lives 1Or
years to come and of preserving their
potential value as well as of protecting
property, but it would also enhance
national business credit to the extent
that greater prosperity would be eX-
perienced and shared by every indl-
vidual in the Nation. If we could oc-
casionally stop to analyZe the circum-
stance of this unfortunate situation or
losses occurring each year and ask
who really pays with the price OF life
and money for them, who really car
ries their unnecessary burden, we
woul <nefer to statistics and find that
womc.-, children, the aged, infirm and
those confined to public institutions
make up substantial number In the
life sacrifice.
In considering the vast financial
losses due to fire, | would point out
the fallacy Of public opinion that in
surance corporations bear these losses.
The insurance company is but an
agency for distributing the premiums
which the public pays to cover losses
that occur. 1t is the public itself
that regulates the amount it pays in.
Surance companies, according to the
manner in which the people increase
OF decrease the fire hazards.
Relieve Fire Distress.
Insurance companies are to fire and
conhagration what the Red Cross is
10 other disasters. They relieve the
distress and depend upon collections
from the public in general to equalize
| their finances. Industries and mer-
chants who pay large amounts Of in.
surance premiums must make up this
premium loss by taxing it as part of
| the sale price Of their commodities,
| so that it is the ultimate consumer of
| the goods passed on to him through
| various channels of trade who ulti.
mately pays the cost of insurance in
part of his purchase price.
! To me the most tragic part of this
| is that the large insurance expenses
thus handed down through trade to
| both rich and poor alike is mostly the
result of unnecessary public careless.
ness responsible for large hazards and
the consequent proportionately high
! rates which business must pay for
financial protection.