ACCIDENT INSURANCE.

Wanganui Herald, Volume L, Issue 14697, 31 August 1915, Page 8

ACCIDENT INSURANCE.

DISCUSSED IN THE HOUSE. VIEWS OF MEMBER FOR WANGANUI

Speaking, in the Home hist week ,or the position of accident Insurance,Mi- IV. A. Veftch, M.P., said: f

Sir,—We • are beginning to recognise that New Zealand which once boasted of leading the world in progressive legisla- : lion lias ;of late years behind. We arc suffering- from a, wave of Conservatism' which; if not combatted, will tiring about -a very unsatisfactory state of affairs. While wo are told there must be no party fight in New Zealand just now—and all agree there should be no party capital made-still I think il is the privilege ! of every member to express bis opifiions on every ■ topic that comes forward, and there" is ;m> reason: during the war we should refuse to abolish ■ or mitigate any of the disabilities under which our people suffer. There are ample men in this- Chamber to do all the work in connection with the war and to attend to the internal affairs of the Dominion as well. I believe the time lia.s arrived when the payments under, the Compensation to, Workers Act should he very materially improved and the wl\ple system strengthened and extended. I can see no other, way to do it thair by creating a State monopoly of the business. The .figures quoted by the hon. member for- Hutt are taken from records and are true. They show clearly that the system under which this beneficent Act is operating is very unsatisfactory indeed.-not only from the" point of view of the, enormous amount of money that is wasted in administration, owing to the fact that no less than 22 companies are carrying out the work,-.but also in the methbd of paying out money, to workers who come under the provisions of t]io Act by .reason of having met with 1 an accident. I believe it-is the most un-

satisfactory business done in New Zealand. It amounts to a- grave public scandal, and that is not describing it at all too strongly. Tire relationship that, is established her tweens the insurance- companies and the injured workmen is most .-unsatisfactory from every point of view except .that of the company. There is a great deni of bargaining .going on, and there is always a very-• indefinite position created as to how much tho worker is actually entitled to. Generally, after a great deal of fighting. very often in tho courts, the worker is induced to accept a. sum of money to clear the company of all liability. Thfe' company having expert business men and lawvers to defend their interests, and having to deal with air inexperienced worker- frequently comes out of the bargain having got the better of the otherfellow. • ■

I think the position requires to-he moro clearly and definitely defined: as between the. injured worker and the office to which responsibility has accrued;* We .must -recognise that the half-pay is not anything like sufficient to carry a worker through the time of trouble that this Act is intended to carry him through; In most cases a, worker gets a bare Jiving wage. In a-great many cases he does -not even get that, and when he comes down to the half-wage, coupled with the fact that he has to' meet additional- ceSts and requires additional comfort in his illness, ho is placed in a. very cruel position indeed. Then, instead of being able, to go to a Government Department to state hia caseto an officer w]m would understand the law and who would deal with the matter in a fair way as between the worker and the office, he has in many cases to go in a period of illness—-sometimes physical and mental illness—and light a difficult: lawsuit, the worry of which does his health a great deal of harm in itself. Some very pathetic cases have come under my own notice in connection with this, very difficulty. Half-pay is quite insufficient, and we argue that fnll-pa-y ■■should be granted. Tlie answer given to that is that if yon grant full-pay you cannot deal with the malingerer. I think there are very few workmen—in fact I cannot imagine that, any workman wrintd injure himself for the purpose of getting sneh - compensation. It is nit absurd thing to think of. The only case of malingering that might exist would he the case of a workman pretending to be ill when he was not. and that could be mot by periodical medical . inspection. Let tile doctor determine whether the man, is capable of going back to work. Surely wo can go, as far as Russia does and give two-thirds. That is a reasonable proposition, and I should be pleased to sec the New Zealand- Parliament for a start-bring the pay up to two-thirds, although I am strongly in favour of. frill pay.

Under existing- conditions the Workmen’s Compensation for Accidents Act is costing the employers a great deal of money. Most of the employers are willing to pay this money, in order to keep their employees reasonably safeguarded against loss. It. is certainly, not fair to the employers who pay that money- to but them in a position wherein the company is going to spend 10s in the if ,in administration. It is like killing an elbphantto- get a pound of .steak. It would be far better to organise the whole thing under the Government Insurance Department and ensure to the workmen the benefit of the money paid by the employers for their protection: , 1 hope the Government .will take this matter seriously into their"con'derjation. They have promised that they will attempt to reduce the cost of living. Here is one way .in which they can do so. Here is a way in which (without doing injury to anybody except the companies carrying on this business) they can benefit.the poorest of the people, and benefiting them materially at a time when they need the benefit most. Here is an opportunity for them to show they really sympathise with the workers of the country I venture to hope that,: notwithstanding the fact that' the country is in a state of war, the ’Government will see their way to go into this matter seriously and aggressively, because it cannot be disposed of in any oilier way. This war is-teach-ing, us many it lesson, and is opening Up many now, chapters in political matters generally. Things are being done during this war that were never thought of-be-fore. Let us take advantage of this opportunity, when people are thinking oh now lincsj to set their thoughts going on subjifets beneficial to the. people' and the h-amino- of conditions that shall be more favourable to tlip workers. I think if the Government broh'ght forward a proposalof this kind the majority of members ,of this House would be very glad indeed to support* it.