Evening star., 1934-05-10
TAXI INSURANCE
BILL APPROVED BY
HOUSE COMMITTEE
Patman Serves Warning
He May Seek to Block
Measure on Floor.
VOTE ON PROPOSED
LAW Is UNANIMOUS
Warm Debate Precedes Action in
Special Meeting Of D. c.
Group.
The House District Committee in a

The House District Committee in a
special meeting today, by unanimous
vote, favorably reported the taxicab
liability insurance bill. Representa-
tive Patman. Democrat, Texas, who
originally enthusiastically urged this
legislation and has recently argued
against it, in the committee today
vigorously opposed the bill When he
had failed to get two restrictive pro-
visions accepted, he left the COM
mittee before the vote on the bill was
taken. saying, DO not be surprised If
! make a point of order against this
bill on the floor"
Representatives Carpenter, Demo-
crat. of Kansas; Randolph, Democrat,
of West Virginia; Withrow. Republic
can, of Wisconsin; Weidman, Demo-
crat. of Michigan, and Jenckes,
Democrat, of Indiana, all argued in
favor Of compulsory insurance.
Sees Three Groups Aided.
Patman said that only three groups
would be aided by this legislation;
first, it would lead to a taxicab
monopoly; second, insurance COM
panies would reap a harvest, and
third. ambulance chasing lawyers
would get the biggest grab of ALL"
The House Committee reported the
bill which has already been reported
to the Senate. with three amend
ments. One of these would reduce
the requirement of $4,000 surplus
instead OF $4,000 for mutual insur-
ance companies doing business only
in the District. The second amend
ment gives the Commissioners au-
thority to revoke license on 20 days
notice and the third would postpone
the date on which the legislation
would become effective to october /
instead of July /.
Limitation Is Beaten.
Representative Patman sought to
have an amendment which would
limit the operation of this act. If
passed, to only one year as a tryout.
but was voted down. He failed to
get second for his other amendment
which would require operators to take
out insurance only when they had
been guilty of negligent act.
Patman argued that taxicab users
under this legislation would be forced
to pay 500 for every dollar received
as the result of injuries. He also in
sisted that II this bill is passed, it
would result in increasing taxicab
rates and insurance rates. He
charged that four insurance companies
had gotten together already and
agreed upon the rates to be charged
for insurance, with the four companies
dividing the business
Patman also told his fellow COM
mittee members that this legislation
would throw a large number of taxi
drivers out of jobs or would force
them to join some feet and that soon
there would be only two or three fleets
operating and monopoly would result.
Carpenter Raps Argument.
Carpenter dismissed Patman's S
lengthy arguments by saying they
were usual stock talk against insur-
ance" and that there was no evidence
to show that taxicabs have paid all
of the claims for injuries, as many of
them were small and did not justify
litigation. He said that the lai gest
class Of patrons of the cabs who would
be injured are the constituents of
members of Congress visiting the city
He insisted that no taxicab driver
should be allowed to operate unless he
was able to meet the liability for in
juries for which he was responsible
and insisted that there must be either
insurance or responsibility He
charged that taxicabs are involved in
Is per cent of traffic accident fatal
tiles.
When Patman pointed out that
patrons of cabs can tell whether they
are insured or not before entering
the vehicles, Representative Harlan
Democrat, of Ohio, said: The mar
on the street cannot pick out which
cab is going to hit him"
Court Opinion Cited.
Carpenter also read into the record
an opinion from the Court of Ap.
peals passing upon traffic casualty
cases, deploring the conditions ane
advising there should be some i'm.
provement either through legislation
or municipal regulation. and suggest.
ing compulsory insurance.
Randolph said that all the I'M.
portant District officials and civic or.
ganiZations were supporting thi!
measure.
Withrow said: THE one essentia
thing in transportation is to have il
safe If men are put out of worl
in order to make the operation. o.
taxicabs safer, that is unfortunate
but must not prevent us from putting
through proper legislation"