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FILE NAME Insurance Industry INS DATE 1936 May 16 DOC INS039 DOCUMENT DESCRIPTION Article from The Weekly Underwriter Occupational Disease Rulings Ly - Ae Coze iu s Subscription Dollars per annum in advance Single copies 25 cents Canadian subscription 58 per in annum Indexed The Industrial Arts Index The Weekly Underwriter ESTABLISHED 1859 80 Maiden Lane New York City Published every Saturday by The Underwriter Ptg and Pub Co. 80 Maiden Lane New York Entered as Second Matter 28 1880 at the Post Office at New York N. Y. under the act of March 3 1879 L. ALEXANDER MACK President CHARLES B. PETRIE Ja Pres PERCY W. BASINGER Secretory RoRovv A. HUNHUNT T PVr ice e s Western Dept. 1022 Insurance Exchange Chicago Ill Vol 13+ CHARLES F. HOWELL President and E. T. CUNNINGHAM Managing Editor CHESTER C. NASH EditorEditor Lije Dept. NATHAN H. WEED Editor Fire Dept. FRED S. KNIGHT Editor Legal Dept. Editor SATURDAY MAY 16 1936 S. M. SEIPP Assistant Editor Editor RUSSELL REODES Assistant Editor JOHN D. HOGSHEAD Asst Secretary FRANK B. SIMPSON Statistician JOHN P. JEFFREY Cashier No. 20 Stricter Rate Regulation Considerable dynamite was packed into the address delivered on Monday by Insurance Commissioner Francis J. DeCelles of Massachusetts before the Insurance Conference of the American Management Association at Atlantic City He came out vigorously in favor of further rate regulation on the ground that cost of insurance may be safely reduced that way In defining costs he ap- plied what he styled the simple algebraic formula of losses plus expenses plus profit equals cost Mr. DeCelles is convinced that expenses are accountable for the greatest increase in insurance costs and of such expenses the three major items are taxes acquisition and home office charges He blames competition for increasing acquisition costs beyond reason He believes that one or two per cent more could be cut out of home office expenses He sees possibilities of discrimination in unregulated rating bureaus emergency credit measure similar to the R.F.C. Even if this liberal viewpoint is taken it remains as a threat to the farm mortgage investment field both from the stand- point of reduced interest rates per cent being an impossible rate to meet in competition from the standpoint of revaluation required The growing support of the measure is not gratifying One of the other import- ant developments of the week is the reduction of personal loan interest rates by the National City Bank of New York from 6 to 4 per cent While this is the act of only one local bank it happens to be a vital one and therefore a serious contender as a forerunner of trends With the farm rate even being debated at 1per cent and city rates turning to 4 per cent it looks very much as though the trend for the immediate future at least is going to be for a lower rate of return on invested funds and he would like to see these latter under state super- A Marine Problem vision Investment Trends . The past week has been a busy one from the viewpoint of developments which concern the future of insurance in- vestments Some of these developments are more discon- certing to a conservative approach to the investment problems of the day than had been generally anticipated Inflation and lowered interest rates both have achieved AFTER YOU Newspaper reports state that the shippers of cargo on the steamer California have been notified that there will be a general average and money collected as freight will not be refunded because the voyage was completed according to the terms of the bill of lading This vessel re- turned to New York with a burned out generator after proceeding about 60 miles it is understood that it will take a very considerable time to effect repairs and the cargo is being transferred to the greater importance in the dis- cussion stage Possibly of if prime importance is the forced . calling from Committee by the cre. House of Representatives in . FARMITER Washington of the Frazier- Lemke 3,000,000,000 farm aa mortgage relief measure It a had been thought that this r lene: measure would not develop Seam, enough of a following to secure serious consideration at ee this session of Congress Al- ke r though defeated in the House it was the subject of sharp de- Tgp bate with a heavy show of in- flationary votes The bill would have added billions to the farm credit picture would have reduced interest on these SIR ! steamer American Traveler and the steamer Virginia There are many who are quite at a loss to understand how the vessel owners can bring this boat back to a port of sailing abandon the voyage and yet make no refund whatsoever of the freight The fact is that frequently bills of lading con- tain provisions under the terms of which the freight is consid- ered earned under such cir- cumstances and some go so far as to provide that even if freight is collectable at destination the shipowners can de- mand payment of the original freight as well as the additional freight for forwarding the funds to 1 per cent and made mandatory revaluation of mortgages in emergency situations Some point out that it is not truly inflationary but an SMART PEDESTRIAN MANNERS cargo Probably the steamship companies justify this arrangement on the theory that when freight is made collectable at destination this is entirely for the convenience of their cus- = = aed es NRT > pet a > SPRE ee May 16 1936 1033 GEORGE D. WEBB DIES INVESTIGATOR ARRESTED AFTER ACTIVE CAREER Member of Noted Chicago Firm of Conkling Price & Webb in Casualty Affairs CHICAGO May The death of George D. Webb one of the most widely known casualty and surety men occurred at his home in Oak Park Chicago late Monday afternoon About three weeks ago Mr. Webb was stricken with a heart attack and weakened gradually until his death He was 70 years of age One of the founders of the unusually_suc- unusually_suc- cessful agency firm of Conkling Price & Webb general agents for the London Guarantee & Accident and the Fidelity & Deposit Mr. Webb was a pioneer in the casualty and surety field and at that time had the reputation of being one of the few agents who had a thorough knowledge of casualty and surety lines He played a prominent role in all activities affecting casualty and surety lines and had a great influence on the administration of the business through its various organizations A native of Iowa having been born at Anamosa Ia on May 9 1866 he lived practically all his life in Oak Park where he was active in civic affairs In 1893 when the American Casualty Insurance & Security Co. of Baltimore failed Mr. Webb with Benjamin H. Conkling and Frederick A. Price found themselves out of work as the office of James W. Nye general agent in Chicago represented the defunct company Ambulance Chasing Charged Raymond Ariola 27 a lawyer who has been employebdy the Dewey Investigating Committee which is charged with the duty of ending racketeering in New York City was arrested charged with ambulance chas- ing in connection with his negligence law practice His brother Dr. Leo A. Ariola and Saul A. Schwartz another attorney were also taken into custody on the same charge Each of the informations against the three men contains three counts in- volving misdemeanors Raymond Ariola resigned from Mr. Dewey's staff several weeks ago while his brother resigned from the staff of Columbus Hospital in East Ninetieth Street about the same time The two lawyers shared offices at 191 Joralemon Street Brooklyn Support Mr. Fort Franklin W. Fort will get considerable support from insurance men who reside in New Jersey in the primaries of the Republican party in Jersey next Tuesday at which delegates to the national convention will be named The fact that Mr. Fort is opposing Gov. H. G. Hoffman is beside the point Mr. Fort is an insurance man and in politics has al- ways been strongly supported by his many friends in the fraternity who are Republicans and who Fort like the policies advocated by Mr. . Occupational Disease Rulings LIKE THE ONE HOSS SHAY George W. Oyler for 39 years a trusted employee of the Wrought Iron Range Co. of St. Louis pleaded guilty to embezzling 8,074 from his employer starting in 1934 which was the seventh year of his employ- ment with that company Plan Accident Meeting CHICAGO May Big plans are under way for National Accident and Health Association annual meeting jointly with Health and Accident Underwriters Conference at Edgewater Beach Hotel June 2-3 W. Dwight Mead Pacific Mutual Seattle presi- dent of national association will direct an- nual election nominations following usual practice E. H. Ferguson Great Northern Life Chicago executive secretary will an- nounce detailed program next week the asso- ciation officers state Lloyds Appoints New Agency CHICAGO May London Lloyds expanded in Chicago with appointment of General Insurance Agency as licensee bringing total above fifty firms serving the British orCog.anization through Strickland Luck & Predicts Rate Cut This young and aggressive trio immediately CHICAGO May Considerable wonder- CHICAGO May Prediction by Gus formed the firm of Conkling Price & Webb ment prevails regarding the effect of latest Bartels chief investigator of the automobile having secured the general agency of the adverse ruling by Illinois Supreme Court on detail state's attorney office at Cook County London Guarantee & Accident which had only recently entered the United States The territory of the new agency firm was Illinois Indiana and Missouri two suits for occupational disease compensa tion appealed respectively from Cook and Lake counties Lower court decisions deny- ing claims against Owens Glass Field Club meeting was that another automobile theft rate reduction by companies operating here would come by June 30 From the start Mr. Conkling and Mr. Price were great producers while Mr. Webb supervised the conduct of the Chicago office directed the underwriting and gave what time he could to production A short time afterwards Mr. Webb was successful in securing Company and Manville were affirmed _ Takes New Offices ee. American Casualty Chicago branch is now in in Insurance Center Building in Chicago E. B. Finnegan Dies CHICAGO May Edward B. Finnegan Glens Falls special formerly Slipner & Finnegan managers Metropolitan Casualty is dead the first general agency contract ever made by the United States Fidelity & Guaranty . which gave their office casualty and surety facilities of an unusual type at that time The firm of Conkling Price & Webb INSURANCE EXECUTIVES proved to be far more successful than even the most enthusiastic friends of the young partners predicted and it was not long be- In filling vacancies or making additions to your staff fore this firm commenced to wield a large influence in casualty and surety affairs We Recommend for Your Consideration- In 1909 when the United States Fidelity & Guaranty commenced going largely on a branch office basis Conkling Price & Webb resigned as its representatives in Chicago and took the general agency of the Fidelity & Deposit Later Mr. Webb's ability received recognition from the Fidelity & Deposit when he was elected to its board of director Mr. Webb was one of the strongest supporters of the Insurance Federation of America and was a leader in the organization of the National Association of Casualty & Surety Agents which he served in vari- ous capacities Mr. Conkling retired from active business several years ago and Mr. Price was killed in an automobile accident last October leaving Lew H. Webb as the only active member of the original founders The firm continues to be just as great a factor as four partners have been taken in in recent years Our staff of attorneys underwriters claim adjusters investigators accountants bookkeepers stenographers clerks and other skilled casualty and surety workers Curtailment of Liquidation Bureau New York State Insurance Department makes available services of many experienced employees MAX A. JAMESON CHIEF OF BUREAU 111 JOHN STREET NEW YORK CITY BEEKMAN 3-5110 LOUIS H. PINK Superintendent of Insurance