314 



The Review of Reviews. 

 INSURANCE NOTES. 



Sepltmber 1, 190$ 



A Fire Insuranoe Bill was introduced into the House 

 of Representatives on July 27th by Mr. Frazer (W.A.), 

 and its second reading was set down for August 9th. 

 Its purpose is to ensure that, in erent of total loss, 

 the companies shall pay the whole sum on which the 

 premiums have been received, and, in the event of 

 partial loss, unless some agreement is arrived at, shall 

 pay this amount, less the proceeds of a salvage sale. 

 The companies will be protected against frau3, mis- 

 representation, or neglect on the part of the clie'it 

 to comply with any r^aso.iable conditions. The bill 

 also provides that, after the expiration of 30 days 

 from a fire, or similar event, the company may be 

 sue. I without the reference to arbitration at present 

 provided in the conditions of insurance companies. 



The Naval Court at Valparaiso has conjuded an 

 inquiry into the burning at sea of the barque ''Pit- 

 cairn Island." from New Zealand to London, the cap- 

 tain an J crew of which landed on the coast of Chili. 

 The Court is stiougly of opi lion that the fire origin- 

 ated by spontaneous combustion amongst the New 

 Zealand flax shipped from Dunedin. 



The Prime Minister recently stated in the House of 

 Representatives, that the Ministry proposed to legis- 

 late at aiy early date with respect to those foreign 

 insurance co^npauies which had recently ceased to 

 take new business in Australia. 



The San Francisco disaster has been productive of 

 a great lesson to the insuring public. Ii the past 

 critics have from time to time condemned the ac- 

 cumulation by the companies of huge funds, being 

 the surplus in their trading from year to year. The 

 fact that large suns were able to be put away was 

 used in many quarters as a:i argument for the re- 

 duction of pre;nium rates. How inimical to the public 

 interest the latter course would have been is shown 

 by the calls on the companies over the San Francisco 

 disa.^ter. Had the companies reduced rates, and so 

 have little to put into reserves, the position of the 

 insured iu San Francisco would have been a serious 

 one. The British companies, by theiT wise foresight, 

 are able to meet all their losses, although ou an 

 enormous scale, and still have ample protection left 

 for their other policyholders. 



A question was asked at the begi-miug of the month 

 in the House of Representatives as to whether in- 

 surance of public servants lives under the Public Ser- 

 vice Act was permitted in American Life Assurance 

 Companies. Mr. Groom, ou behalf of the Federal 

 Governme.it, answered in the aflirmative. A proposal 

 was made in 1901 by the then Prime Minister that 

 such should be permitted only in mutual societies hav- 

 ing their head ofiSce in. the Commo.iwealth, but this, 

 Mr. Groom seated, did not become law, and the Act 

 appears to enable insurances to be made with any 

 company provided it is registered, and ca.iTies on 

 business in the Commonwealth. 



A meeting of Australian policyholders in American 

 life insurance societies was held last month at Broken 

 Hill Chambers, Queen-street, Melbourne, to consider 

 what steps should be taken to ascertain their position 



SOLE 



AGENT3, 



THE EQUITY TRUSTEES, EXECUTORS, AND 

 AGENCY COMPANY LIMITED. 



RESERVE LIABILITY. £100.000 ; GIARANTEE FIND, £10.000. 



BOARD OF DIRECTORS-Edwarci Fanning Esq , Chairman ; W. 

 Campbell Guest, Esq.; H B. Higgins, Esq.. KC. M.P.; Donald 

 Mackinnon. Esq.. M.LA ; B. O. M Cutcheon, Esq M L. A 



REGISTERED OFFICE. No. 85 QUEEN ST.. MELBOURNE. 



This Company is empowered bysp**'ftl Act of P.irlinnieiit to per- 

 form all cla-ses of trustee businesii .TOEL FdX. AInnaeer. 



SAFES. 



HOBBS, HART & CO., LIMITED. 



By Special Appointment from Her Late Majesty Qi'een Victoria. 

 By Warrant from His Majesty King Edward VII. 



SAFEMAKERS TO THE BANK OF ENGLAND. 



Stroxg KiioMs. DiKiRS .\XD Locks, Etc. 



F. J. LAWN & CO., 



51 YORK STREET, SYDNEY. 



and conserve their rights. Orer 100 persons were pre- 

 sent, and Mr. Knox, M.H.R., was voted to the chair. 

 The cliaiimai emphasised the fact that the meeting 

 had not been convened in the interests of any cora- 

 pany. It was not suggested that the companies were 

 unable to meet their liabilities, but they were justified 

 in meeting to co isider matters. In Australia there 

 were 29,967 policyholders in American companies, the 

 total of theii- policies exclusive of profits being 

 £11,494.328, and the premiiun £460,713. It was 

 thought that of the large amount of money that was 

 going out of the country in the shape of pre.niums, 

 there should be retained and invested in Australia, 

 a proportion which could be equal to the present 

 value of the living policies. A resolution was then 

 passed that a committee be appointed to co.nniunicate 

 with the representatives of the several American in- 

 siuance compa.iies in Australia to consider and ad- 

 vise as to the best methods of conserving the rights 

 and interests of policyholders. 



The Citizens' Life Insurance Co. has granted an ad- 

 ditional advantage to its i>olicyholders. Hitherto the 

 bonuse.s declared by it, iu common witJi other life 

 companies, did not become payable in the event of 

 the death, unless such event took place after a certain 

 period had elapsed from the taking out of the policy. 

 The company has now decided that bonuses will be- 

 come jMiyable from the moment it is declared aloig 

 with the sum assured in event of the death of the 

 policyholder. 



The business of the National Union Society Ltd. 

 (File and Accident) has been purchased by the London 

 Lancashire Insurance Co. 



The conduct of fire insurance business has been dis- 

 tinctly improved by the adoption throughout Australia 

 ot uniform fire policy conditionSj which came into 



