The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1935-03-02
0LSNESS SUPPORTS
INSURANCE plan
SUCCESSOR IN JOB
Former Commissioner Voices
Argument for Compulsory
Hail Protection

= s&ml.compulSory hail insurance
bill and for the insurance depart
ments plan Of distributing Il ,oo0.-
900 Of the hail insurance fund 70
North Dakota schools was voiced
Saturday by 8. A. Olsness, former
state insurance commissioner.
In his opinion. Olsness said, hail
insurance Is as necessary to the
North Dakota farmer Is any other
kind Of insurance because this state
lies In q belt where destructive hail
storms are frequent. In an ordinary
year. he said, hail losses run from
three to seven million dollars. Should
the state have q good crop and such
losses occur. he pointed out, it would
mean ruination to many farmers
who are desperately in need Of pro-
lection.
In 1921, he said. approximately "a
per cent Of the states crops were
insured and losses paid totalled
A.7t0,000. In years when only
about 80 per cent Of tn, crop area
was insured, payments ran from 41,-
100000 to $2.750,0 900.
Calls II Sound Business
In view Of the fact that these
losses are tremendous in proportion
to the normal farm income, Olsness
contended that sound business judg-
ment dictates protection. It Is par
ticularly true now, he said, when the
farmer who Is wiped out by hail
may be ruined beyond hope Of re-
cuperatiou.
Pointing out that the farmers in
terest In q growing crop Is as real
as that in his other property, Olsness
said the former are In need Of the
same kind Of protection and that
most farmers maintain insurance on
their farm buildings and other as
sets. On the other hand, he said
only one in four or five has been
taking out hail insurance to protect
his crops, which are his main source
Of livelihood.
One Of the objects in making hail
assurance compulsory, Olsness point
ed out. Is to make the hail tax levy
colAectible Is other taxes are COL
lected. This has been impossible
since . supreme court ruling . num-
Der Of years ago which denied that
right because the old law had Z
withdrawal option.
As Z result Of this decision, and ia
prevent losses from the hail insur-
ar,ce fund, It was necessary to re-
quire that farmers be paid up within
one year before they could take out
ms urance. Most farmers have been
unable to do this and hence are In
eligible for insurance in the state
cooperative enterprise.
Others Demand Cash
They cannot get 1t elsewhere, he
said. since private companies demand
cash before they will issue q policy.
The object Of the proposed law with
its reduced coverage. he said, Is to
furnish emergency insurance at .
time when It u most needed.
Emphasizing the difference be-
tween the insurance department bill
to transfer money from the hail
insurance fund and the Traynor-
Odegard-EIill measure. olsness point
ed out that the department bill
would endow the schools to the ex-
tent Of 100000 whereas the rival
measure would be an advance Of @l.-
O0OO00 to be credited against school
takes. In cases where these taxes
are delinquent the schools would get
the money at once but where the
taxes already were paid the money
would constitute . credit for the land
owner against future taxes. For this
reason, he said. the Department.
bill would Be Of more help to the
schools and would remove the injus-
tice Of refinding taxes on land which
no longer Is In the possession Of the
persons who paid the money into the
fund.