INSURANCE PRACTICE.

Auckland Star, Volume XLV, Issue 162, 9 July 1914, Page 8

INSURANCE PRACTICE.

FROM TOLICY. ilii TelPCTaph.—PnrllanjentarT Reporter.) WELLINGTON". Wednesday. According to the mesnbor tor Te.muka. it i- well klinnli th.it. s-caif eompanics; doinjr basins-ia in New Zealand compete unfairly by accepting rifks in exces- of a--iiial incurable value?, relyinjr on diiclaim;, ani jTP.Lting a cettiement <ju a reduction o: t.he claim under the palii-y for whivh full premium* may have been'paid 'for ;en or twenty yeax>. and. further, where a redut-tioii of the claim has bo.mi asTofM upon, no return ot prenihun is ra-ade. His fuggeetion that this pr.n-ti.-p be met by a SMtntory provision entitling an as.s:ired person to the full amount, of the poii.-v in case of total !o«s doe- not appeal To -.he Hon. Mr. Ft>ber '.Mini-ter in Ohar?p of the State Fir.- Int.uram.-P OlHvpi. -wlio state? that 'pjri»la.;iou in the direction su«ge*ted would be in direct antayonwrn to the univpr.s.illy rpcojmi>ed and niiuUune.nial principlPs of fire itisuram-e. If ea<-h insiiranfp company were to be called upon

to make frr.|iien; inspection* and valuations of individual rir-k* it could only l>e .lone by m.itvri.iliv lite rate .->f premium* on ues-ount of the \prv expense involved, and. even ihen. i: would l>e .|iiite impossi-hle lo keep .-ontrAl of value, the eonppqUP.mv> of dirp'-l in.-enii\e 10 imfndiarfini would be offered.