INFORMATION RELATING TO INSURANCE AND THRIFT 57 



repaid — the amount of losses, as established by the accounts depart- 

 ment, must not be covered fully but onlj^ to the extent of a percentage 

 to be determined b}^ the ratio existing between resources and obligations. 

 If on the other hand the insurance fund reach dimensions which more 

 than allow all obligations to be discharged, the premivmi-quota may be 

 reduced, or obligations may be increased so as to protect the tobacco 

 plantations against damage by wind. 



An eventual distribution of the tobacco growing communes into zones 

 of more or less risk is contemplated, so that the highest premiums will be 

 paid in the districts most exposed to damage by hail and the lowest in the 

 most favoured and sheltered districts. 



The technical and administrative documents attaching to this system 

 of insurance are the responsibility of the agencies and offices of the State, 

 and the insurance fund may incur no charge in connection with them. 



Notice of damage by hail to tobacco plantations must be given within 

 fort^'-eight hours of its occurrence to the competent department ; which 

 must investigate the loss and communicate the results so obtained to the 

 competent official of the regie. Tobacco leaves and fragments of them 

 which have been injured b}' hail must — when they have been collected, 

 treated and dried according to the instructions of the offices of the tabacco 

 regie — be carefully separated from the intact portion of the harvest, and 

 thus delivered, at the same time as the rest of the harvest, to the com- 

 mission of purchase. 



The damage caused by hail is held to be equivalent to the difference 

 between the actual sum paid for tobacco which has suffered from hail, and 

 the value of the normal intact crop, determined by its estimated qualit}^ 

 and quantity, that is the value of the crop if no hail had fallen on it. 



The quality and quantity of the crop are estimated by technical officials 

 of the commission of purchase in co-o])eration with a person of trust. 



If the planter dispute their estimate another is made, a new person 

 of trusc, who is chosen by the president of the commission, taking part in 

 it. In case of a necessity for a third estimate he is chosen by the manage- 

 ment of the tobacco regie. 



As early as 1910 it was found that the premium-quota of i per cent, 

 was far from adequate to the payment of the estimated losses, and the pro- 

 vincial treasury had to advance a round sum of 100,000 crowns (i) as a 

 loan without interest repa5'able in three annual instalments, to the insurance 

 fund. Consequently in the following year (1911) the premium-quota was 

 raised to 3 per cent, at which level it has remained. 



The population are beginning to appreciate the advantages of this sys- 

 tem of insurance more and more. It should be regarded as a first attempt 

 to protect the tobacco planter against the elements. Experience will 

 lead to an adaptation of insurance to real needs and to an improvement 



4 

 (i) Austrian crown of gold =10 — d at par. 



25 



