QUEEN STREET RIOT.

Press, Volume LXVIII, Issue 20523, 16 April 1932, Page 16

QUEEN STREET RIOT.

THE ACTUAL LOSS. PLATE GLASS £5500; GOODS £SOOO. INVESTIGATION MADE FOR LLOYD'S. The damage from rioting and looting in Queen street, Auckland, on Thursday night has proved, on expert examination, to be very much less than the amount estimated, £IOO,OOO. Mr Alan Gray, manager of Bonnie S. Cohen and Son (N.Z.), Ltd., Lloyd's Insurance brokers, in a telephone conversation from Wellington last evening, gavo to a representative .of The Press some facts about the loss. "I have had our Auckland branch manager and a qualified loss assessor working on this business all day," said Mr Gray. "I have just received a telegram from our Auckland manager, in which he says: 'Plate-glass windows 287, value £5500. Stocks of goods damaged or lost will not oxceed £5000." "This makes the total damage about £10,500. This figure is not an estimate; it has been arrived at by two qualified men, who have made a thorough investigation on the spot." Mr Gray added that the information would, he thought, be important to business men, who were contemplating tho insurance of premises and stocks against loss from riots. Ho said that ho had been answering telephone enquiries on the subject all day. These men would no doubt be relieved to know that the rioters did not in fact do £IOO,OOO worth of damage in two hours. Such a report on the London insurance market would have greatly prejudiced New Zealand business men who might require insuranco cover against loss from riots.

NO INSURANCE.

LOSS DURING RIOTS.

ENQUIRY FOR SPECIAL POLICIES

It appears certain that the shopkeepers whose premises in Queen street were attacked will themselves have to bear the loss caused by the windowsmashing and looting. The ordinary jjlate-glass insurance policy does not cover breakage by rioters, while a burglary policy definitely excludes l"«s through riot and civil commotion. The plate-glass policy issued by most companion carries the following condition: "The following risks are not covered: breakage arising directly or indirectly from, or in consequence of fire, gas heat, explosion, earthquake, hailstorm, hurricane, or other act of God, war, military, or usurped power or other acta of _ the King's enemies, or caused by strikers, lockpd-OUt workmen, or persons taking part in labour disturbances, or riots, or civil commotions, or during removal «r alteration of, premises." • Extra Premiums Arranged. Breakage during strikes, riots, or civil commotions can bo covered in most offices by the payment of 50 per cent, extra premium, while insurance against burglary under the same circumstances may also be secured on the payment -if higher premium®* . Fearing a similar disturbance in Chrlatchuroh, a number of business firms yesterday made enquiries' of the insurance offices as to how tliev might secure adequate eover. Several of the offices were instructed from Wellington to accept extra premiums against the hsjc of fire, burglary, and damage to plateglass. Position i» England. It in interesting to note that in England the liability for damage during strikes or riots is placed on the muniev palltiea. , It is *eld, apparently, that they should not allow such a f affairs to esiat which might lead to noting. By the Biot damages) Act, 1886, which is still in force, the liability formerly imposed on the inhabitants of the hundred or other area in which property is damaged to pay compensation for such damftgo "was taken away, and the following provision respecting the compensation payable and the mode of recovering it were substituted, ''Any person who has sustained W loss by reason of a house, shop, building, in any police district being injured or destroyed or the property being injured, stolen, and destroyed by any persons riotously and tumultously assembled together is entitled to reeeiyo compensation for his loss to be paid out of the police rate of the district. Supplies of Plate-glass. "While no orders have yet been received in Christehurch for plate-glass to replace the damaged windows in Quoen street, dealers are expecting to be asked to sencl consignments to the north. One Christehurch firm has a branch in Auckland, and it is considered that its stocks will soon need replenishing. It is probable that a number of firms in the big centres will be called upon for supplies. PLATE GLASS AND FIRE RISK. PREMIUMS HEAVILY INCREASED. [THE PRESS Special Service.] AUCKLAND, April 15. The insurance rates covering damage to property arising out of strikes, riots, or civil commotion were raised in Auckland to-day following the street rioting of the previous evening. The premiums covering damage to plate glass windows were double, and the premiums covoring damage from fire arising out of similar causes were increased 1000 per cent. This particular class of fire risk was thus rendered practically prohibitive, and it was gathered as a result of enquiry in the city that' no owner of property was prepared to take out a policy on the terms offered. Rush to Cover. All tho insurance companies were besieged thiß morning with enquiries re-

[ garding the terms of cover with respect to riot, and scores of plate glass policies were written on tho higher scale. The ordinary rate for plate glass risk is £2 10s per £IOO, but this does not cover damage arising out of riots, strikes, or civil commotion. To insure for this extra cover it was'customary for policyholders to pay 50 per cent, additional to the ordinary rate. However, a meeting of local underwriters decided to recommend the Council of the New Zealand body to double the premium, and pending a decision applicable throughout the Dominion the local insurance companies tentativelj' accepted policies on the lines of the recommendation. An example quoted was that of a shopkeeper whose windows were insured against ordinary damage for £3 a year. This morning he altered the terms of his policy to obtain cover for the additional risk and was required to pay £9 a year. It is understood that not a single in Queen street was covered for damage by fire arising out of strikes, riots, and civil commotion. The position now i 9 that instead, for example, of an owner paying a premium of £IOO a year to effect a cover on his property, he is now asked to pay £IOOO. A Manager's Views. "People cannot expect insurance companies to offer adequate cover for their property after last night's experience," said the manager of one company. "Scarcely a window was left intact in Queen street, and the risk of lire breaking out at various stages of the rioting was by no means an improbability. Current policies are not subject to revision, but we are in what might be termed a state of war, and new policies cannot reasonably be issued on the old basis. The 100 per cent, increase for plato glass cover is extremely reasonable. It should be very much higher, but the insurance companies feel that they owe a duty to the public and have temporarily decided to accept risks that are really not justified." MAINTENANCE OF ORDER. ACTION BY GOVERNMENT. RECRUITMENT OF SPECIAL FORCE. [Froji Our Parliamentary. Hei-outer ] WELLINGTON, April 15._ The Government is actively organising throughout the country to raise bands of civilians to co-operate with the police in preventing a recurrence of rioting in Auckland and forestalling possible outbreaks elsewhere. The organisation is reported to be well in hand. The Et. Hon. J. G. Coatcs has taken charge of this service, and was kept busy on it to-day. In a statement this evening Mr Coates said arrangements were well in hand for the prevention of similar outbreaks in other parts of New Zealand. He . had been in communication with the Mayor of Auckland (Mr G. W. Hutchison), who had informed him that not one food shop had been looted during the riot. The shops robbed were those of drapers, tobacconists, clothiers, jewellers, and confectioners. There was no suggestion of a food riot. According to his information the criminal element in Auckland had got to work while the police w;ere endeavouring to restore order at the upper end of Queen street. A "New Guard."

It is understood that something in the nature of a "New Guard" will be organised throughout New, Zealand, and returned soldiers arc stated to be playing a prominent part in the precautionary arrangements. It is believed that the Legion of Frontiersmen has offered its services unreservedly to the Government, and details of its strength in various centres have already boon furnished. Civilians also are offering their services, and it is understood that in "Wellington alone a large number has been recruited for service at any time. Ban oo Massed Meetings. Some apprehension has been expressed at the possible result attendant upon various meetings arranged throughout the country by the Labour Party during the next fortnight. There is a distinct possibility that steps may be taken either prevent or considerably curtail any mass meetings in the immediate future. An indication of tfcis policy has been given in Auckland, ■where the Mayor has issued an edict against the holding of,mass meetings or unemployed processions. Prime Minister's Comment. Commenting this evening on the Auckland riots, the Et. Hon. G. W. Forbes said he was assured that the authorities in Auckland had the position well in hand, and the police had been sufficiently Teinforced to, handle any situation that might ariso. discussing the possibility of further trouble, he said, the Government was fully prepared to meet any happenings, and it would not allow the forces of disorder to gam the upper hand. Large nunibers of civilians had offered their services throughout the country, and they would bo available to supplement the police if the occasion arose, although it would be the fervent hope of the country generally that no such need would occur. PUBLICITY ABROAD. STORY FEATURED IN LONDON. (CHITEB PRESS ASSOCIATION —BI ILXCTBM TILSQBAPH —COPTBI3BT.) (Received April loth, 10.45 p.m.) LONDON, April 15. The news of the Auckland rioting was displayed with big headlines in oucb of the monunjr newspapers. It came as a great surprise, and even a siiock, to the .British public, which was unprepared by earlier cables, and dici not suspect the imminence of troubleINTEREST IN SYDNEY. (UNITED I'HESS ASSOCIATION—BY ELKCTBIC TBLlQlura COPYRIGHT.): (Received April loth, 10 p.in.) SYDNEY, Aprii 15. The Auckland disorders were lectured in the newspapers, and also freely discussed.