CORRESPONDENCE.
Insurance Companies and tho Firo
Brigade
(To the Editor).
Sm, —1 would ask your permission to say a few words in reply to your leader of last ovoniug. In your elaboration of tho Insurance Companies' theory that a rate must bo charged commensurate with tho risk run, you suggest that were the Fire Brigade disbanded altogether the effect would bo disastrous to the Companies. To this it may bu replied that before the water waa brought from the Western Springs, and when we hud only amateur captains of Firo Brigades, tho Companies made greater prolits than they do now, and in a lire which swept one sido ot Queen-street for one-half of its length, tho Company doing tho largest business here lost only some 12,500. I thoroughly agree with you that the Companies rely upon the city continuing to maintain a brigade for the prevention of a general catastrophe, nor am 1 aware that tho Companies have over professed anything to the contrary ; but the ratepayers have got a very profitable return for their expenditure in tlic reduction of rates of insurance in tho city to their present standard. Kates of premium are some twenty per cent, lower in the city than out of it. This shows a recognition on tho part of the Companies of the usefulness of the water supply and Firo Brigudo to the extent of a good many thousands of pounds a-year. This, I think it will be aonceded, is a pretty liberal contribution, and to it may bo added that thoy maintain at a cost of not less than £500 a year a Salvage Corps, whoso instructions are to save property insured nnd uninsured alike. As to the vexed question of attending fires outside tho city boundary, no doubt if the proper parties, tho highway boards, wore applied to, they would gladly pay tho small amounts actually expended, and I t'link tliobenelit of and fresh experience gained by a brigade practice would amply repay any wear and tear to plant, Tho whole queslisn is very well summed up in your lender: " Insurance companies do not profess to prevent fires, but to pay people's losses when they occur. Without iires, or with a perfect system of repression, thete would be very little insurance." Thus to ask insurance companies to contribute towards the cost of maintenance of fire brigades is to ask them to assist iv that which tends to thoir annihila ; tion. It is scarcely possible to get a perfectly oquitablo mode of contribution I to cost of brigades ; but by far tho most equitable courso available is for city councils and highway boards to support them out of their ordinary revenue; then insured and uninsured contribute alike, and they will reap a full reward in the comparative lownesa of insurance rates.—l am, &c.,
Fire Ukderwmteb
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Bibliographic details
Auckland Star, Volume XXIII, Issue 4297, 28 February 1884, Page 2
Word Count
471CORRESPONDENCE. Auckland Star, Volume XXIII, Issue 4297, 28 February 1884, Page 2
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