Page 4 



The niiitoU AgricultiinJ AModation Record 



AugMt IS, 192S 



STATE PRESIDENT OF 

 IFARMMUTUALS TELLS 

 OF REINSURANCE NEEDS 



. A. Asplund of Henry County 

 Tell* of Trials of Farm Mu- 

 t a a I Inaurance CompaaiM 



(°. A. AsplsKd 



'I am intensely interested in this 

 uroject. " writes C. A. Asplund, pres- 

 ident of the Illi- 

 _^^f^m^ nois Association 



^^B>^^ of Mutual Insur- 



^^K ^ ance Confpanies, 

 ^^^■^ \ a letter coa- 



^^H^P Ji cernins the prog- 

 ^^^^^ ' ress of the newly 

 ^^^1^ formed Farmers' 



^^^^ Mutual Reinsur- 



^^■^^^^ ance Company, 

 '^^PPF^^^^^ which has been 

 ^^^^^^>^^^^H organized by 

 ^^^H^^^^^H farm mutuals 

 ^^^^^^^^^H the 

 ^^^^^^^^^^^^ which is now In 

 a campaign to get 

 sufficient direct 

 insurance on Are and lightning 

 risks to permit a charter from the 

 state. 



"I am anxious to do what I can 

 for the immediate fulfillment of the 

 requirements of the insurance laws 

 to get this reinsurance company in 

 operation and on a sound footing," 

 his letter continues. Mr. Asplund 

 is secretary of The Svea Mutual 

 Protective Insurance Company of 

 Kncfx, Henry and Mercer counties, 

 which, he states, has over $27,000,- 



000 insurance in force. He is also 

 president of the reinsurance com- 

 pany. 



Pnnds Now Available 



"The necessity for an organiza- 

 tion that will safeguard mutual in- 

 surance presents itself more and 

 more forcibly as time goes on, and 

 it seems that the mutual insurance 

 fraternity has been lax in negleet- 

 . ing this important matter all these 

 years. The reason, however, is lack 

 of funds for its promotion. It Is a 

 well known fact that there Is no 

 business approaching in magnitude 

 and importance that of mutual in- 

 surance work that offers as small re- 

 muneration for the time and efforts 

 engaged in it. It should not be ex- 

 pected that they should also con- 

 tribute cash funds in promoting its 

 welfare but now that this obstacle 

 has been overcome by the generous 

 offer of the Illinois Agricultural As- 

 sociation to advance the $10,000 

 guarantee fund and all of the or- 

 ganization expenses, it has" left the 

 comparatively small matter of ob- 

 taining the $500,000 of direct in- 

 surance to those interested in the 

 success of this project and to com- 

 plete the requirements and launch 

 a state-wide mutual reinsurance 

 company In the Seld. This latter 

 detail can be accomplished In a very 

 short time if each mutual officer 

 would take it upon himself to pro- 

 cure a few applications each. In- 

 cidentally, on last Saturday I made 

 it a point to call on some of my 

 neighbors that I knew should have 

 more insurance than they were car- 

 rying, and in less than three hours 



1 wrote eight applications for $22,- 

 650, and could have written consid- 

 ecably more had I not run out of 

 application blanks, for not a single 

 person approached neglected to 

 take a policy after the object and 

 purpose of this new company was 

 explained, and I feel that this con- 

 rtlHnn obtains everywhere. 



BIk Problem 



.ness in mutual in- 

 surance 18 liut tendency to overload, 

 or carry larger risks than is com- 

 mensurate with assessment re- 

 sources. This is especially so with 

 the smaller companies: out of the 

 235 inutuals In the state, there are 

 86 with less than one million dol- 

 lars of Insurance in force each. It 

 is very apparent that such com- 

 panies are not in a position to give 

 their members adequate protection 

 and remain within reasonable 

 bounds of safety without reinsur- 

 ance facilities. 



"It is a regrettable fact that two 

 mutual companies during the past 

 three years that have done splendid 

 work and given their members pro- 

 tection at a very low cost for many 

 years past, and operating in the 

 same territory that our local com- 

 pany is operating, owing to carry- 

 ing loads too heavy to be consistent 

 with safety, have experienced a run 

 of losses for the past two or three 

 years which caused their loss ratio 

 to increase above their ordinary ex- 

 perience, causing dissatisfaction to 

 their members, which resulted in a 

 decision to liquidate and go out of 





Conference Meetings 



Scheduled for Five 



m.slricls Within Month 



Kiv<' congressional district con- 

 ferences of the Illinois Agricultural 

 Association, that will include 25 

 county Farm Bureaus, are sched- 

 uled to be held during the next 30 

 days. 



Those listed according to date 

 and place are: 



August 20: Third conference 

 meeting of the 2l8t district at Tay- 

 lorvilie. Counties of Sangamon, 

 Christian, .Macoupin and Mont- 

 gomery. Chester C. Davis, grain 

 marketing director, to talk. 



August 25: Third conference 

 nioeting of the 24th district at 

 KIcra. Counties of Clay, Wayne, 

 Kd wards, Hamilton, White, Saline, 

 Gallatin, Pope, Hardin, Johnson 

 jnd .Vlassac. S. H. Thompson, pres- 

 iutnt of the I. A. A.; F. A. Gougler, 

 dirotor of the poultry and egg de- 

 partment; and Harry C. Butcher, 

 director of the information depart- 

 ment, to address meeting. 



September 1: Third conference 

 meeting of the 11th district at Lib- 

 ertyville. Counties of McHenry, 

 Kane, DuPage and Will. Illinois 

 Agricultural Association to be rep- 

 resented by J. C. Watson, taxation 

 specialist, and Donald Kirkpatrick, 

 legal counsel. 



September 2: Second conference 

 meeting of the 18 th district at Mar- 

 shall. Counties of Kankakee, Iro- 

 quois, VeVmilion, Edgar, Clark and 

 Cumberland. R. A. Cowles, I. A. A. 

 treasurer, and A. D. Lynch, director 

 of dairy department, to talk. 



September 16: Second confer- 

 ence meeting of the 19th district a^ 

 Sullivan. Counties of Champaign,' 

 Piatt. DeWItt, Macon, Moultrlev 

 Douglas, Coles and Shelby. Presi- 

 dent Thompson; J. R. Bent, Phos- 

 phate-Limestone department; and 

 F. D. Barton, of the finance com- 

 mittee, to address meeting. 



Red Top Growers Win 

 Decision Against One 



Member Who Sold Outside 



Contracts of the Egyptian Seed 

 Growers' Exchange with the mem- 

 bers, are not cancellable upon the 

 win of the member utitll after July 

 1. 1927, when members can with- 

 draw from the co-operative if they 

 state their desire in writing, ac- 

 cording to a decision of the Appel- 

 late Court of Illinois in the fourth 

 district, which reversed a decision 

 of the Circuit Court of Clay county. 



The question had gone to court 

 when D. J. HoUinger, a member of 

 the co-operative, sold red top seed 

 outside the pool, thus making him 

 liable for damages to the co-op to 

 the extent of five cents a pound. 

 The resulting litigation was princi- 

 pally over the literal meaning of 

 clause 10 of the uniform growers' 

 contract, which was construed by 

 Mr. Hollinger's attorney as permit- 

 ting withdrawal any year after July 

 1, providing written notice' had 

 been given the co-operative between 

 May 15 and 30. The Appellate 

 Court held that Mr. Hollinger's at- 

 torney's interpretation could only 

 be made by completely ignoring a 

 clause in this section as follows: 

 "that the contract shall continue to 

 be In full force until the first day 

 of July, 1927." This, the written 

 decision of Judge P. J. Higbee 

 stated, could by no means be ig- 

 nored. 



This is the only case of this kind. 

 Manager Curt Anderson states, that 

 has come up in the three years of 

 successful operation of the pool. 



business. Had the newly organized 

 reinsurance company been in opera- 

 tion a few years before this, and 

 these companies taken advantage 

 of its protection, they would be in 

 existence today. 



Relnannuice Is A Stabilizer 



"Reinsurance is ti stabilizer of all 

 insurance. While it does not pre- 

 vent losses it distributes them 

 among the many to pay in smaller 

 or more moderate amounts. It is 

 our experience that it is infinitely 

 more satisfactory for all concerned 

 to pay a moderate assessment each 

 year than to pay a large one one 

 year and none at all the next. The 

 average policyholder forgets the 

 year when an assessment is not col- 

 lected, but always remembers the 

 heavy ones which are the ones that 

 cause dissatisfaction." 



Deadline On Horseshoe 

 I Entries Set for 9 A. M. 

 of Day of State Picnic 



Entries in the state cham- 

 pionship horseshoe tournament 

 may be made until 9 o'clock the 

 morning of the picnic day — 

 Thnrsday, August 27, accord- 

 Jlng to Clair Hay, farm adviser 

 ,of the Christian County Parm 

 jKureau. 



Each entry should be made 

 ^by letter to the Horseshoe com- 

 mittee. Christian County Farm 

 Bureau, Tayiorvllle, thus estab- 

 lishing the Identity of the bona 

 ,flde representative of partici|)at- 

 ling farm bureaus. The earlier 

 jtlie entries, the better. 



L A. C. A. NOW SERVES 



t 



IC. 

 iJ A 



17 



173 ORGANIZATIONS 



73 



Contracts for membership in the 

 C. A., the auditing and busi- 

 ness advisory service co-op- 

 eratives, now number 173. 

 The three latest co-opera- 

 ttves organizations to join the Illi- 

 nois Agricultural Co-operatives' As- 

 sociation are the Stockland Live- 

 stock Shipping Association, Iroquois 

 cbunty; the Claytonville Co-opera- 

 tive Oil Company, of the same 

 county; and the Havana Co-opera- 

 tive Grain Company, Mason county. 

 1 The I. A. C. A. now lists organiza- 

 tions of practically every type of 

 business co-operative operating in 

 the state. The membership list in- 

 cludes 82 co-operative grain com- 

 panies, 7 milk and dairy associa- 

 tions, 45 Farm Bureaus, 25 co-op- 

 erative shipping associations, 4 

 mutual Are insurance companies, 1 

 automobile insurance association, 5 

 co-operative supply companies, 2 

 seed growers' exchanges, 1 fruit ex- 

 change, and 1 limestone association. 

 Other co-operative organizations 

 in the stat^ have received blank 

 membership forms and are consid- 

 ering joining the association, for 

 better auditing and business serv- 

 ice, according to George R. Wicker, 

 director of the auditing department. 



Here's Spicy Program 

 for Annual I. A. A. Gala 

 Day at Taylorville, 27th 



FollonlBa t« dar*« proaram of aplcy 

 eventn i 



9i00 A. M. Horseshoe toarnaineat 

 arts under way. 



lOtOO A. M. Beslnnlnr of 'Women'* 

 proaram. with Mrs. Spencer Kwina, 

 preaident of Illinois Home Bureau 

 Federation, presldlna. Assembly of 

 ehlldrm. arrompanled by Hnnter*s 

 Christian County band. .Sinalna of 

 **Amerlrn** by audience. DIsrusslon 

 of athletic badKc test for hoys and 

 alrls with demonstrations of stunts 

 actually performed by boys sad alrls, 

 eoadncted by Mrs. Homer Johnson, 

 former iirealdent of McLean County 

 Home Bureau. 



lOiSO A. M. Baseball same for 

 champlonahip of state. Folk alnalna 

 by boys and alrls with Vlctrola ac- 

 compaalment In charae of Miss Bnch- 

 aaan or Mrs. t-^^fvlna. Three folk 

 aames by Champalan County Club 

 alrls. Stunts and souks by Shelby 

 County Club Klrls« 



llitm A. M. Address, '•Tornado Re- 

 lief In Southern Illinois," by Mrs. J. 

 L. Mitchell of the Red Cross. 



Ili30 .1. M. Address, "The Home 

 Bureau and its Work." by Mrs. Spen- 

 cer Ewtna. 



IZtOO-li.'iO Band conrert and time 

 off tor dinner. (Brlna picnic lunches 

 but dinner for ."{.(MIO can be sec ur e d 

 at arounds or In business section, Ave 

 blocks from arounds.) 



11.10 P. M. I*eople called toaether 

 In auditorium by bualer. Community 

 slnalna led by J. H. Cbeckley, farm 

 adviser of the Loaan County Farm 

 Bureau. Slualna and selections by 

 hand, l 



li4S P. M. William primes, presi- 

 dent of Christina County Farm Bu- 

 reau, presldlna, ^^111 Introduce Harry 

 Hershey, mayor of Tayiorvllle, for a 

 /ihort address of welcome. Mr. Grimes 

 will then Introduce Snm H. Thomp- 

 son, president nt the 1. A. A., who vrlll 

 preside for the sfternoon. Messaae 

 from Dean H. \V. Mumford of L'nl- 

 rerslty of Illinois. 



2tlS P. M. Main address of the af- 

 ternoon by Secretary of Aarlculture, 

 W. M. Jardlne. 



3tl5 P. M. ^wardlna of horseshoe 

 and baseball championship cup by 

 President Thompson. Chicken callina 

 and boa calllna contest. 



Future talks by I. A. A. directors 

 every Friday noon over WI^ broad- 

 castins station include the following 

 speakers and dates: August 21. A. B. 

 Leeper. director of the fruit and 

 vegetable marketing department and 

 manager of the Illinois Fruit Grow- 

 ers Exchansre: August 28. Wm. E. 

 Hedgcock. livestock marketing direc- 

 tor, on "The Wool Marketing Sttua- 

 tloti;" September 4. Chester C. Davis, 

 grain marketing director; September 

 11. A. D. Lynch, director of dairy 

 marketing: and September 18, Frank 

 A. Gougler. head of the poultry and 

 egg marketing department. 



Gougler Finds Active 

 Interest in Marketing 

 Poultry All Over State 



Active interest in the possibilities 

 of a state-wide program of market- 

 ing poultry and eggs co-operatively 

 is seen by Frank A. Gougler, di- 

 rector of the I. A. A. poultry and 

 egg marketing department. 



This is indicated; he finds. In the 

 series of meetings now being held 

 over the state at which farm ad- 

 visers gather from a half dozen or 

 so counties, along with farm bu- 

 reau leaders keenly interested in 

 the subject. 



The first meeting of the series 

 occurred at Hannibal, Mo., where a 

 delegation visited the Mark Twain 

 Poultry Producers' Association, an 

 organization that has been function- 

 ing for several months, and with 

 good results. ^ ' ^ 



Other meetings have been held 

 at Dixon on August 4 and Cham- 

 paign on August 6. A meeting at 

 Springfield is set for August 17, and 

 one at Peoria on August 19. One 

 will be held at Galesburg the first 

 week of September, and Effingham 

 and Ottawa have been picked as 

 meeting places, but no dates ar- 

 ranged. 



Mr. Gougler is getting up a group 

 to visit the successful co-operatives 

 in Minnesota. The first active start 

 toward forming a poultry and egg 

 marketing association in Illinois is 

 in Ford county. Farm Adviser 

 Swalm of that county recently vis- 

 ited in Minnesota while on his va- 

 cation. 



Farm Bureau Baseball 

 Championship of State 

 A Feature at Taylorville 



The semi-final games of the Illi- 

 nois Farm Bureau Baseball league 

 are now well along their way toward 

 the state championship game which 

 will be played at the 1. A. A. an- 

 nual picnic, Taylorville, on August 

 27, according to G, E. Metzger, sec- 

 retary-treasurer of the league. 



The championship game is to be 

 one of the big features of the picnic 

 and much anticipation has been 

 aroused in many of the counties re- 

 garding who will win the state hon- 

 ors this year. 



When the league was formed 

 early this spring it Included 17 

 teams representing the county Farm 

 Bureaus in Marshall-Putnam, Car- 

 roll, Knox, Mercer, Henderson, War- 

 ren, Adams, Brown, Cass, Morgan, 

 Sangamon, Mason, Menard, Logan, 

 Peoria, Tazewell and Woodford. 

 These teams were arranged into 

 seven districts and the districts into 

 four groups. In the preliminary 

 games, the teams matched up to 

 determine the district champions. 

 The district champions competed 

 for group championship and now 

 the semi-final gam^s between the 

 group champions are being played 

 to determine wlio^ shall play at 

 Taylorville. 



PRODUCER AGENCIES 

 INCREASE BUSINESS 



The 1924 earniags of the Na- 

 tional Live Stock Producers' Asso- 

 ciation amounted to $424,985.92, 

 as compared with $407,916.98 for 

 1923, the association's annual re- 

 port states. The organization sold 

 during the year 90,910 cars of live 

 stock, valued at $199,970,674.58. 



During 1924 producer terminals 

 handled live stock consigned from 

 twenty-eight states. Illinois con- 

 tributed the most cars, with In- 

 diana, Iowa and Ohio following in 

 order. 



The association is now repre- 

 sented on thirteen markets, includ- 

 ing Chicago, Cincinnati, Cleveland, 

 Evansville, Indianapolis, Kansas 

 City, East St. Louis, Oklahoma 

 City and Peoria. 



During 1924 the Chicago termi- 

 nal did more business than any 

 others, selling $27,995,127.79 worth 

 of live stock. The East St. Louis 

 terminal was second with total sales 

 of $19,496,863.91. 



The Producers' Association re- 

 ceipts amounted to 10.46 per cent 

 of the total receipts in the markets 

 in which it operated, as compared 

 with 9.18 per cent for 1923. 



Farmers' co-operative associations 

 in Illinois in 1924 handled 18.28 

 per cent of all the livestock shipped 

 to market from this state. This 

 amounted to approximately 35,000 

 cars and had a total value of $48,- 

 450.000, according to Wm. E. 

 Hedgcock, director of the livestock 

 marketing department of the Illi- 

 nois Agricultural Association. 



FARMERS MAY KILL 

 WILD ANIMALS THAT 

 INJURE PROPERTY 



Closed Season Does Not Apply 

 to Destructive Game, Says 

 State Conservation Authority 



"Farmers may lawfully destroy 

 In any manner, except with poison 

 or poisonous substances, any wild 

 game, except migratory birds, found 

 destroying their property or their 

 land only," according to a com- 

 munication from S. B. Roach, chief 

 assistant, department of Conserva- 

 tion in the State Department of 

 Agriculture. 



The question of the legality of 

 killing wild animals out of season 

 that are destroying chickens and 

 other property has faced many Illi- 

 nois farmers. Inquiries have come 

 to the office of the Illinois Agricul- 

 tural Association and the depart- 

 ment of information referred the 

 question to the state department 

 for Interpretation of the game law. 



"No license is required to kill 

 such animals found destroying 

 pwperty on the lands of the owner 

 oi^tenant. This, however, does not 

 glue the owner or tenant the right 

 to hunt fur bearing animals on 

 their own premises during closed 

 season, except when these animals 

 are found to be actually destroying 

 property," according to the state 

 conservation department. 



Section 28 of the Game Code of 

 Illinois, which covers this point, 

 reads: 



"Sec. 28. When license not required. 

 The owners and tenants of farm lands 

 and their children actually residing 

 on such lands, shall have the right 

 to hunt, take and kill, wild animals, 

 wild fowls and birds of the kind per- 

 mitted to be hunted, taken or killed 

 by" the provisions hereof, upon such 

 landk or waters thereon, of whlcli 

 theyj or their parents, are bona flde 

 owners or tenants, during the seasons 

 when it is lawful to do so. without 

 procuring hunting licenses. 



"The owners and tenants of lands 

 may destroy any wild animal or wild 

 bird, other than game bird, when such 

 wild animal or wild bird is destroy- 

 ing property upon his or her land, 

 but no poison or poisonous substance 

 shall be used as a means of destroy- 

 ing such wild animal or bird." 



New Reinsurance Body 

 Meeting Good Support 

 Among Farmer Mutuals 



"The Farmers' Mutual Reinsur- 

 ance Company now has thirty-two 

 applications for fire and lightning 

 insurance," states Vernon Vaniman, 

 field representative of the new com- 

 pany. "This is a start on the $500,- 

 000 which iff needed to secure the 

 charter for the company." 



"The mutual insurance companies 

 of Peoria county met In Peoria on 

 July 31 and $22,000 worth of ap- 

 plications for insurance were sub- 

 scribed for at the meeting. The 

 mutual insurance companies of 

 Madison county met in Edwards- 

 ville last Saturday. They unani- 

 mously endorsed the plan of the 

 Reinsurance Company and the men 

 present subscribed for $20,000 of 

 insurance. 



"When will the Reinsurance 

 Company get the $500,000 of ap- 

 plications so it can secure its chart- 

 er and start operations? I believe 

 the company will have $500,000 in 

 applications by September 16, at 

 the latest. 



"If you desire to see the local 

 mutuals put in a position so they 

 can handle all the fire and light- 

 ning, as well as the hailstorm and 

 Windstorm, insurance needs of the 

 farmer, then you should be a 

 charter member of the Reinsurance 

 Company by making out an applica- 

 tion for insurance. 



"Write the Farmers' Mutual Re- 

 insurance Company, care of the I. 

 A. A., and become a charter mem- 

 ber." 



OFFICE VISITORS 



Gray Silver. Washiiieton. D. C; Mr. 

 Winebrig-h*; Mr. Wescott, Decatur; 

 Geo. McCormlck; Stewart Hyde; Paul 

 Schmidt. Earlvllle; J. E. Harris; L. A. 

 Finsen, Superintendent. Concordia 

 Creamery. Concordia; Mr. Taylor. 

 Cass county; J. M. Mehl; Mr. John- 

 •tone; R. H. Taylor, Executive Secre- 

 tary. Agrricultural Legislative Com- 

 mittee. Sacramento, Calif.; Chas T. 

 Peavey, Grain Auditor, Chicago; L. E. 

 Martin, Chicago; Jas. M. . Hamilton. 

 Economist, Montana State College, 

 Bozeman. Mont.: W. Lawrence Far- 

 low. Secretary, Farmers Grain Deal- 

 ers Association. Bloomington; Rudolf 

 A. Clemen. Editor. Illinois Merchants 

 Review. Chicago; H. J. Albaugh. Net- 

 par System of Financing Co-operative 

 Concerns; Colonel Barnes. Chicago; 

 Paul Theilen. Manager. Farmers Ele- 

 vator Supply Co.. J. G. Mecherle. 

 President, State Farm Mutual Auto 

 Insurance Co.. E. J. Carmondy, Vice- 

 President. Farmers MutuaJ Fire In- 

 surance Co., Bloomington. III. 



Volume 



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