284 



obviously on an unsound basis and providing for a care- 

 ful oflBcial audit of their accounts, would have a most bene- 

 ficial effect. There should also be Registrars appointed for 

 various places in the mofussil, in order that persons may not 

 be compelled to proceed to Madras for the registration of such 

 societies. Whenever there was a necessity for extraordinary 

 expenditure on account of marriages or deaths in a family, it 

 was formerly the custom for kinsmen and clansmen to sub- 

 scribe towards the expenses, each according to his means, 

 the understanding being that persons who had I'eceived this 

 benefit were, in their turn, expected to assist when similar 

 occurrences took place among the other members of the com- 

 munity. This custom still lingers in the rural parts, but 

 owing to the dispersion of the members of communities conse- 

 quent on facilities for free locomotion, the custom is rapidly 

 disappearing, and the necessity for making provision for 

 contingencies of the kind by means of benefit societies and 

 such like institutions is being increasingly felt. The country 

 has not yet arrived at a stage at which it would be possible 

 to work general schemes of insurance successfully, but the 

 scheme introduced by the Government of India in the case of 

 post oflace servants is a step in the right direction, and it is 

 desirable that it should be extended to other departments of 

 the Government service. Though confined to the official 

 classes, the educative effect of such measures on the general 

 population will be considerable. ^^^ 



100. In former days, as we have seen, the farming out of 

 Further remarks on taxcs, the waut of checks ou the rapa- 

 the advantages of bank- city of officials, and the moDopoly privi- 

 xng taci ities. leges possessed by bankers and special 



classes of traders, though detrimental to general welfare, 

 were favorable to the concentration of a large amount of 



"' The violent fluctuations in condition due to the uncertainty of seasons and 

 other causes is a great hindrance to the formation of habits of provident foresight, and 

 the only remedy is to minimize the iujurions effects of such irregularities by schemes 

 of insurance whereby " aggregate regularity " is availed of to counteract the effects of 

 " individual irregularity " or " accidents." rrom a report on " Rice cultivation in 

 Italy " published as a " bulletin " by the Madras Agricultural department, it appears 

 that there are societies in Italy, which insure cultivators against losses by hail. The 

 report states, " Hail is one of the inflictions most feared by rice cultivators. If it falls 

 after the ear is formed and is long continued, it may destroy the whole crop over 

 a large area. Insurance against hail is universal. The following figures show the 

 amount of this business done by the Mutual Assurance Society in Milan in the six years 

 1881-1886. Value insured, 81'74 million francs ; premiums received, 551 million 

 francs ; damages paid, 401 million francs. The premiums paid vary from 6 to 9 per cent, 

 on the gross value of the crops, or about 14 to 21 francs per acre. The three principal 

 societies, which have nearly all the business of the country in their hands, insure 

 annually against hail to the value of about 50 millions of francs." It luight be worth 

 while to enquire how the damages are assessed and fraudulent claims prevented. It may 

 not be possible to introduce similar institutions at present, but I allude to the matter to 

 show in what direction improvements in the future may proceed. 



