360 APPENDIX. [No. XXXIL 



SIR, I trust I may be excused the liberty of asking for a small 

 portion of valuable space to write a few words upon marine insurance. 

 Unfortunately I was a clerk in a winding-up marine insurance office, and 

 thus had ample opportunities of observing how the black-legs who effected 

 the assurances proceeded in their nefarious practices. Before they brought 

 any business to the office I always observed that those who intended to rob 

 the company were very minute in their inquiries as to the aaiount of un- 

 called capital. "When quite satisfied upon that point, they began to honour 

 the company with their confidence. At first they brought two or three 

 unexceptionable risks, amongst which they introduced one a little doubtful, 

 so that all might be taken together. Then by degrees they gradually 

 slipped into the office their peculiar assurances of ships to go to the 

 bottom cargo, sailors, and all. When this business was at the height, it 

 was curious to observe how broker Mr. A. was jealous of broker Mr. B., 

 and would go away if he spied him in the office doing his little bits of 

 iniquity. Each man greatly preferred to see the underwriter alone and be 

 closeted with him unseen ; and as soon as he had done his business, there 

 was always a desire to slide away from the office as quick as possible. I knew 

 them all, and hated the sight of them ; and only wondered how the under- 

 writer could be talked over by these villains. The directors caine every 

 day to sign the policies to which their underwriter had committed them, 

 and vainly imagined that they were only transacting first-class business. 

 They had no more control over the risks which were taken than I had as a 

 junior clerk. After a little time claims began to come in. The same 

 men used to come and say, " I have got a little claim, which I should take 

 as a personal favour if you would settle at once. I will leave you the pro- 

 test, and will call again to-morrow, when I have several good risks for you." 

 I read many of these protests in sheer amazement. The captain used to 

 say that in latitude so and so, longitude so and so, a wind sprung up, 

 which gradually increased. He then ordered the pumps to be sounded, 

 and found there was some water. After a few hours' pumping he tried 

 again, and found more water. He then saw it was no use pumping any 

 more, so he told the men to get the boat ready, which they lowered. Then 

 the wind began to blow a good deal harder, and he told the men that 

 to save their lives they must get into the boat. They rowed about three 

 or four hours to know what became of the ship, when at some precise minute 

 to some hour the ship went down head foremost in very deep water. He 

 saw it was no use remaining, so he told the men to row ashore, as the wind 

 was blowing a hurricane. And the protest finished by protesting against 

 the winds and waves, and he ever would protest against the winds and 

 waves ; and the whole of this precious document is verified by the British 

 consul at the port where the crew landed. 



Lots of ships are never heard of when over-insured; and bullion, 

 which nobody ever saw before it was put on board, always went down in 

 such very deep water that the directors had no chance of getting it up 

 again. After a few of these eligible risks the customers began again to 

 inquire into the stability of the office, and make their own personal inquiries 

 whether each shareholder could pay his subscribed quota. As soon as they 

 put on the company as many risks as they thought it could bear, they 

 began to withdraw, and speak in very virtuous indignation because the 

 company was not at once wound up, and at last they were most particular 



