338 BOARD OF AGRICULTURE. 



I shall not discuss the question anj^ further now, but when the various 

 papers are read I shall probably discuss them to some extent. 



Under the subject of "A Model Insurance Company," H. D. Tufts 

 spoke on "The Application," as follows: 



Mr. Chninuaii and Gentlemen — To get an application that will be 

 equitable and just, both to the company and to the insured, lias been a 

 matter of study with me. When a person pays his money he wants to 

 feel he is insured to the amount he pays for. With my experience in the 

 old line companies I found that as long as we paid our premiums and did 

 not have any losses all went smoothly and well. But when we met with 

 losses we found it was very difficult to get them adjusted equitably. 



I think the application of our own company is equitable and just, and 

 shall take that as an illustration. If tlie application is for insurance on a 

 dwelling house, that fact is stated, and is followed by a aescription of the 

 house. The size and heiglit of the building are given. The next questions 

 would be in regard to the age of the building, the material used in its 

 construction and the kind of shingles used on the roof. Thei'e are some 

 other questions that are sometimes asked. At the end I put the amount 

 we Avill take on the risk. After covering the building I take the personal 

 property, itemizing it carefully. I include in the items of personal prop- 

 erty the produce on the farm. I think that is essential in any application. 

 While it might not be in the building mentioned in the application, it is 

 on the farm and should be included. We want it insured if it is on the 

 farm. Then comes the farming implements, and then a blank is left for 

 other things that may not be specified in the printed foi-m. The live 

 stock is itemized separately. 



It is specified in the application that not more than two-thirds the 

 cash value of the buildings shall be insured. There is a place allowed to 

 describe the condition of the buildings, whether they are in gooa or bad 

 repair, the height of the chimneys and whether tliey are built from the 

 ground uj). Then the title is described, and it is shown whether there 

 is a mortgage on the building or not. We consider that an essential thing 

 to be included in the application. Then the applicant must certify that 

 the answers to the above (juestions are correct. This is signed by the 

 applicant. 



The constitution and by-laws of the company should be made a part 

 of each application, and the application should be signed by the applicant 

 himself. If we adopt this rule we have a fair understarfding between 

 the applicant and the company. I would have nothing in the shape of an 

 agreement in the policy that is not in the application. The old line com- 

 panies have such agreements in the policies. 



1 do not claim that this application is perfect, but 1 do claim it is 

 more perfect than anything we have been able to get since we have been 

 doing business as a mutual company. 



