INSURANCE PAYMENTS

Dominion, Volume 31, Issue 110, 3 February 1938, Page 17

INSURANCE PAYMENTS

Farmers’ Union Asks For Full Amount Of Policy Dominion Special Service. Palmerston North, February 2. Arising from a resolution paused by the New Zealand Farmers’ Union asking that representations be made to the proper quarter to have the onus placed on fire insurance companies to see that the insurable value of houses and other buildings were correct, and that claims were met to the full value of the sum insured, a copy of a letter was received at to-day's meeting of the Manawatu provincial executive of the union from the Minister in Charge of the State Fire Insurance Department, Hon. W. Nash. In his reply, Mr, Nash said the question of imposing liability on insurance companies to pay in full when a total loss occurred, irrespective of the actual value of the property at the time of the loss, had been a subject of discussion for a number of years, but legislation to bring this about had not been considered desirable by previous Governments. The suggestion that insurance companies should be compelled to see that insurance on buildings was not above their value would necessitate the establishment of a standard valuation, agreeable to both the insuring office and the insured person, were it to become effective. The executive decided to seek information from its country branches as to any cases in which the full amount had not been paid, and this information is to be forwarded to the Dominion secretary, Mr. A. P. O’Shea, in order that the Minister may have definite cases with which to deal.