THE INSURANCES

Press, Volume LXII, Issue 12484, 21 April 1906, Page 10

THE INSURANCES

BRITISH COMPANIES INVOLVED.

TOT-VL AMOUNT OF PREMIUMS

The question as to what attitude wdl be adopted by tne insurance companies affected is one ot coiusiderabl-. import - anee. A cablegram received on Inursday stated tlul the companies had resolved not to diicriminate between tire and earthquake lc____, and a "Press" repcitei- caihd on .Mr A. L. Parsa.it*. manager of the New Zealand Insurance Co., Chn_tc:iurch, yesterday, to ascertain h.> opinion on the mat.U'i'. Mr Pai-ous pointed out that under the p-licies, in»uranee companies were not liable ill cas-.'S of damage olone by hivs c.:ii*-eqiitiu upon earthquakes. When a bir.miiig ha a been demolisneel by an earthquake, it ceased to be oi any intrinsic value, and eo'iceqiieiitiy there could legally i>e no claim ill the event, ol fire ba-aKiing out auwngt-t- the mnis. xie was ol opinion that some m;.*takc iiad been made in tho cable stating tliat the companies had resolved not to (t..sci-iiuiiiate between tiio and earthquake ksoes. Apart irom the reasons given, tlie companies would not hare Had time to agio© on a course of actum, as the vauous he-auquarte-is •would have to be communicated with, and t'n.ero were 105 cu_psui-_ doing Lu.-ine«is in San Francisco. What he thought was meant was, that the com•iaai,._ were experiencing difficulty in tvisor.iiiiiia.ting be-Lweeu tne damag-done by cannqiiaiie and that done by fire. A ca.-o occurreU in Wanganui a good many yea re ago, he said; where a building 'was descivyod by fire alter two severe earthquake shocks, and so tat" a.s he l-eniL-nibered tho insurance company holding the risk—which was not Jus own, company—repudiated liability and was ujAieid in court. He was not absolutely sure of the point, but that was his impression, speaking from memory. Mr Pai-ons stated that the total amount paid in premiums to tho American companies in 'Frisco was 1,045,710 dollars (tougluy £329,142) for the year ended December 31st, 1905; tilie total premiums for tho foreign companies doing biisa.iu.---s in tho city was 1,340,830 doilais (£208,100) for i_o same period. Amongst the foreign companies the British otaees would predominate, but it was hardly likely, as the figures would show, tiira.t tne loft.tor would be harder hit than the American companies. Tho biggest British offices doing business in 'Frisco, said Mr Parsons, aro the Royal, the Royal Exchange, the London and Lancashire, the Liverpool, Loudon and Globe, the .Yii.ance, the Commercial Union, the Atlas, tne North British and Mercantile, tho Northern, tho Norwich Union, tne Phoenix, and the Sun. In reply to a question as to whether the operations ot tho British companies concerned were likely to bo affected as tho result of their leases, Mr Parsons was laughingly reassuring: " Oh no, it will not affect th© big English companies to any great extent,' he declared.