The Waterbury Democrat., 1935-04-11

VI NAiAAioheiS may 6cS AOh $31.00.
 Average Rate
 we understand that the basis of these rates is on the loss cost per car and we are informed that the average loss cost under- lying the present private pas senger car rates in Waterbury is $38.36. To this is added $21.64 which covers the overhead of the insurance companies taxes, property, various officres' sal- aries, etc. There is no doubt in my mind but that the loss cost per car in the Waterbury district is higher than in certain other sections of the state, but 1t seems to us entirely unfair that the remainder of the costs, namely the $21.36 should be charged on the present basis.
 We are told further, that the loss cost per car is 61 per cent of the total cost of insurance and the overhead is 30 per cent of the total insurance. Thus, in a district where the insurance rates are $31.00, the loss cost per car is approximately $19.00 and the overhead is only $12.00. This overhead charge. to our mind, should be made uniform throughout the state for we can see no reason why the people of Waterbury should be compelled to pay more of the officers sal- aries and taxes of the insurance companies, together with their profits than the people of some other section. In other words. why should people of certain districts in the state pay $12.00 of the company's overhead while people in other sections of the state are paying $21.00 of the company's overhead. There is certainly no additional charge against the companies for this additional fee in certain districts because the claim offices and any other office having to do with the settlement of cases are charged against the loss cost per car ard are not chargeable to this overhead item.
 Investigate Loss Cost. Insofar as the loss cost per car in Waterbury is concerned, we further believe that this also would bear investigation for we have examined the accidents re- ports in the motor vehicle de- partment for the year of 1884 and we find the following figures to be true:
 "In Bridgeport, the popula- ton is about 146,000 persons. There are 23,000 cars register ed. There were 1928 accidents in which 36 persons were killed and 1.178 persons were injured.
 Similarly in Hartford, with a population of abo1t 164,000 per- sons there are about 30,000 cars registered and there were 1885 accidents in which 31 persons were killed and 1,315 persons were injured.
 "In New Haven, with popu- lation of about 163,O00 persons, there are 2S,000 cars registered. Similarly in New Haven there were 1.542 accidents in which 22 persons were killed and 1,374 persons injured.
 Waterbury. with popula- lation of approximately 100,- 900 persons has 15,726 cars reg istered. The total number of ac- cidents in Waterbury was GAO, in which IF persons were killed and 509 persons injured.
 Thus 1t will be. seen that the number of accidents in Water- bury, together also with the number of persons killed and in- jured is considerably lower pro- portioned according to popula- tion and according to registra- tion than 1t is in any other of the tEree larger cities in the state.
 Fair Rates Demanded
 Tt may, of course, be pos- sible that the various rates charged by the insurance com panies throughout the state of Connecticut arc entirely correct and do not need any change. We do not ask in our bill for a change in these rates. We do. however, ask that an investiga- tion be made of these rates to see whether or not they are fair and to see whether or not some legislation could be set up where by an aggrieved persoh could have right of appeal against these rates. Perhaps if the in- surance commissioner were given the right to review the rates and to investigate the rate mak- ing structure of the insurance companies the investigating commission would not be 'need- ed. However, we do firmly be- lieve that where a virtual mon- opoly is created, either by the state or by actions of creatures of the state, then the state not only has the right but should exercise that right to ascertain that the rates are for the benefit of the people of the state.
 Numerous Taxes
 "If the commission should find that rates. should be higher. that would be to the advantage of insurance companies. If, on the other hand, they should find that the rates should be lower. that would react to the advan- tage of the people in this state who are car owners and who are burdeped not only with registra. ton fees. operators fees. per- sonal property tax, gasoline tax and excessive insurance rates so that 1t has become fact that probably not more than one- third of the cars on the road at the present time are covered by insup e, simply because the insy ce rates have become ex- cef ], due to this virtual mon- oY1H which we are asking to