STANDING TIMBKR INSURANCE 343 



(5) Fire protection might well be made obligatory by law upon all 

 timberland owners within a State, under some State co-operative plan, 

 as the small owner is equally a risk to his large neighbor, but does not 

 commonly contribute. Fire protection should not be done by insurance 

 companies on account of their possible legal liability in case of loss for 

 want of furnishing sufficient protection. Insurance companies should 

 withdraw their insurance if their preventive and protective require- 

 ments are not lived up to. 



(6) The cost of fire protection should be borne by the public as well 

 as the owner, as the causes are often natural, like lightning, and the 

 loss in conflagration afifects not only the owner and the industry, but 

 all other industries in the State and serves to depreciate the wealth of 

 the State in general. 



(7) Hurricane, insect or fungus devastation should not be included 

 in a policy until statistics sufficient to cover the risk have been 

 gathered. 



(8) Comparison of statistics concerning timber loss from fire should 

 be commenced at once by an actuarial board, with members from 

 various sections of the country, to correlate experience gathered, such 

 board to meet either at Washington or at a place designated by the in- 

 terested fire insurance companies. 



Timberland insurance appeals to owners of timberlands one-half to 

 two-thirds grown, who have escaped fire on their timber up to a point 

 where it is near fruition, and who feel they can afiford to pay for a few 

 years' insurance even at a relatively high rate until such time as the 

 timber becomes fully developed. They consider they have ca.shed in a 

 long-awaited investment when they sign an insurance policy, as the 

 danger of complete loss of their investment in unsalvagable immature 

 timber has been removed, and if it matures they will reap its value 

 anyway, and can afford the few years' })rcmium costs. It is doubtful if 

 complete insurance can be carried on plantations, unless the timber 

 values are very great, as the insurance rate eats up a considerable per- 

 centage of the growth. Where plantations are necessary for water- 

 works, windbreaks, etc., it may be wise to keej) them protected by 

 insurance. 



Timberland insurance appeals to farmers who wish to borrow money 

 on timber lots, [jankers universally granting loans more readily if an 

 insurance policy is deposited with them. In this way a large amount of 

 capital can be li(|uidated and j)ut to work tn earn more than the one 



