The New York Herald Newspaper, December 2, 1872, Page 8

8 FIRE INSURANCE, Twelve Great Fires Including the Fire Cyclone at Boston. Insurance Legislation in the State of New York. RECEIVERSHIPS. Prudent Distribution of Risks-- Advance in Rates. Actual Condition of Fire Insurance Companies and Agencies in the City of New York, Tables Giving Their Names, Dates of Incorpora- tion, Paid-Up Capital, Net Assots, Risks in Force and Liabilities to Policy-Hold- ers January 1, 1872, Together with Their Recent Losses at Boston. FIRE INSURANCE IN NEW YORK. Although each isolated case of loss by fire affects more or less grievously its immediate victims, it may claim but a brief mention in the newspaper and win but a passing glance from the general reader. Such cases, however, are so numerous as t© swell the losses occasioned by them to an Bnormous aggregate and to intensify and extend the anxiety of the public to seek for the indemnity proffered by fire insurance companies. The rapidly increasing number of large and costly buildings in this metropolis which are occupied by these com- panies, and which, if standing all together, would almost forma city within a city, may be thus ac- counted for. But the public awakens to a full pense of the ever possible danger of fire and of the value of fire insurance only when startled from its usual apathy by such terrific conflagrations as the recent FIRE CYCLONE AT BOSTON, which laid waste sixty-four acres in the heart of the Tri-Mountain City, destroying nearly one thou- sand buildings, estimated at $20,000,000, together ‘with $60,000,000 of other property; the Chicago fire, in 1871, which swept over 2,124 acres, destroy- ing 1,800 buildings, estimated at $53,000,000, be- sides other property to the amount of $143,000,000, killing 100 people and leaving 80,000 without shelter ; the December fire of 1835, which burned 648 of the best warehouses in New York and bankrupted nearly all its companies; the Charleston fire of 1838, in which 1,158 buildings were consumed; the fire of 1842, which destroyed one-third of the well- built city of Hamburg, in the Ola World; the Pitts- burg fire, in 1845, which burned 1,000 buildings; the fire in 1845, when 302 of the best stores and dwell- ings in New York were burned and at least halt of its companies became insolvent, while others lost @ large portion of their capital; the Albany fire, in 1848, which destroyed 200 buildings; the St. Louis fire, in 1849, which destroyed 350 buildings; the Philadelphia fire, in 1850, which destroyed 400 buildings; the two fires of 1851, which destroyed nearly three thousand buildings in San Francisco, ‘and the Portland fire of 1866, with its $10,000,000 Joss, HUNDREDS OF MILLIONS OF DOLLARS might probably have been saved at Chicago and Boston had the New York Legislature set the Legislatures of Illinois and Massachusetts and other States an example, which doubtless would have been followed, by adopting and engrafting on our building laws the wise and timely suggestions made in 1870 by the New York Board of Under- writers relative to Mansard roofs, Notwith- standing the fatal neglect in this particular, INSURANCE UMGISTATION “I THE STATE OF NEW has been, in the main, highly creditable to the People’s representatives at Albany. It has grown tobe a goodly flower, even if it sprang froma weed and if its origin is due to mixed motives, fike that ofs0 many other improvements recorded 4n legislative history. Without attempting a digest of our insurance code, let us refer to a few points in it which are now especially important in view of the awakened popular interest in the subject, THE INSURANCE DEPARTMENT. By an act of the Legislature, passed in 1859, there ‘was established a eeparate and distinct department, “which shall be charged with the execution of the laws heretofore | passed or that may hereafter be passed in | Felation to insurance.” The chief oficer of the said department “shall be denominated the Super- intendent of the Insurance Department.” The Present Superintendent is Mr. Orlow W. Chapman, of Binghamton, who was appointed and confirmed ‘November 22, AMOUNT OF CAPITAL REQUIRED, It is provided that no joint stock compsny shall ‘be incorporated in the city and county of New York or in the county of Kings, nor snall any com- pany incorporated in this State ~establish any agency for the transaction of business in either of the said counties with a smaller capital $200,000, nor in any other county in the State with @ smaller capital than $50,000, THE ONLY INVESTMENTS PERMITTED. It shall be law/ul for any fire insurance company organized under the insurance act or incorporated | ‘under any law of the State to invest its capital | and its surplus funds, or any part thereof, in bonds and mortgages on real estate situated within this | State and in United States, State, city or | county stocks, and to invest or to loan ‘ny surplus money over and above its capital | stock in or upon United States and State stocks, than | NEW YORK HERALD, MONDAY, DECEMBER 2, 1872—TRIPLE SHEET. pointed by.%im, of the officers and agents of any fire insurapyce company incorporated in this State, or doing "usiness by its agents in this State, and it prescribes his duties whenever it shall appear to him,from such examination that the assets of any such company are insuficient to justify its con- timuance In business, RECELVERSHIPS, “The matter of receiverships is exciting especial attention at the present moment, The New York Board of Fire Underwriters has adopted resolu- tions to the effect that, in its judgment, the laws Of this State, requiring oMicial examination by the Superintendent of the Insurance Department, pro- vides the proper mode of ascertaining the actual condition ofghe companies, and that the exercise of the powers thus granted affords ample protection to the rights of policy-holders, and at the same time secures in the best: possible manner the rights of claimants and the interests of the stockholders; ‘that while this Board recognizes it as proper that the judicial authorities should, on the complaint of a cjalmant for loss, or of individual stockholders, take action enjoining an insurance company from continuing its business and appointing a re- ceiver of its effects in cases where the embarrass- ment of the company arises from fraud or incom- petency, its members hereby declare that when a company becomes embarrassed in consequence of extensive conflagrations, as at Boston and in other cities, any such action becomes an act of injustice and is contrary, as experience nas proved, to the best interests of clainiants and stockholders, which, with respect to economy and expedition in closing up its affairs, have heretofore been best promoted by judicial action, taken at the instance of the Board of Directors of the company, and by the ap- pointment of a receiver nominated by such Board; and that any judicial action taken with regard toan insurance company upon the ex-parte statement of any claimant, stockholder or officer, when the com- pany either actually becomes or is supposed to be embarrassed, while honorably pursuing its business, by the occurrence of such fires as have taken place within the past fifteen months, would inflict a wrong upon the company and upon its honest claimants and stockholders, and is liable to involve substantial companies in serious loss, and in some cases even to produce disaster and bank- ruptcy. In commenting on these resolutions, the Chronicle, @ leading and lively insurance paper, says that “this action of the New York Board ought to put an end to the disgraceful proceedings which have characterized the winding up of many insurance companies. Receiverships have come, in New York at least, to be the spoil of unscrupu- lous lawyers and hungry politicians. More frauds and outrages have been committed in settling the affairs of insolvent companies, fairly and honestly bankrupted by the accidents of an honorable busl- ness, than all the wildcats have been guilty of since insurance began, The decelts and cheats practised under the existing plan of appointing receivers are endless and infamous. For an insurance company to be placed in a recetver’s hands, a3 matters now go, is tobury the rights and hopes of creditors, where even the general resurreciion must have an alterbirth to bring them to light.” The editor of the Chronicle seems to have as little confidence in the average Insurance Department, and he con- cludes that the United States Court, and proceed- ings in bankruptcy there, appear to be the simplest, safest and most henorable resort for honest bank- rupts and their creditors, In this connection it may be added that on Saturday last the Boston Board of Trade appointed a committee to procure, if possible, this modification of the present practice 1a respect to receivers—namely, that two receivers be appointed, one of them to be the President of the company and the other a nominee of the creditors, This is agood ‘Boston notion,” for it would secure one receiver familiar with the assets o1 the com- pany and knowing how to collect them, and un- other bound to sustain the intcrests of rightful claimants, One of the lessons taught by the great fires at Chi- cago and Boston 1s the necessity o} A PRUDENT DISTRIBUTION OF RISKS. It is the old warning of the homely proverb against “putting all the eggs in one basket.” In Boston, as in Chicago, the heaviest losses fell upon local companies, and for the same obvious reason, The editors of the Spectator, ano‘her leading in- surance journal, say :—‘We believe that more than half of the whole amount is distributed among Bos- ton offices, many of which confined their business exclusively to Boston, and in consequence of this foolish and mistaken policy are now the chief suf- ferers, There isnot much ground for hope that a single Boston fire insurance company, except the few which wrote only dwelling risks, has escaped Josing more ig its entire assets. A féw of these, whose prestig® is of the greatest value, will un- doubtedly call in fresh capital and reorganize un- der their old names,” Some of the placards in the windows of New York companies blazoning forth such announcements as “No agency in Boston’? and the like, are manifestly baits for the gullible. A large fire In New York or in hei would bankrupt most of our local companies that do, or rofess to be iB an exclusively local business, ‘ne best Hartford companies and the best New York companies, like the best British companies, aim to have agencies everywhere, judiciousiy dis- tributing their risks all over the world, and it would be well if their example were more generally followed, ADVANCE IN RATES, The National Board of Fire Underwriters—Mr. Henry A. Oakley, President—recommended at_one of their sessions last week an increase of rates from the standard of 1866 and 1867 and the revision of tariffs as follows:—Small places, not exceeding fifty thousand in population, to add at least thirty per cent to present rates, and all places having a pepsin of over filty thousand to add at least ity per cent, it being understood that the Execu- tive Committee of the National Board be empow- ered to make exceptions and revisions in places where adequate tariffs are now in force, The im- perative necessity of an advance in the rates is now manifest to all, It has always been recog- nized by those who know auything of the scientific and common sense basis on which fire insurance should rest. They long ago learned that “cheap | iitsurance” is delusion anda snare. A policy | bought too cheaply—that 1s, “At less than paying rates— is too dearly bought. A fire insurance com- | pany can offer’ no genuine security either to its policy-holders or its stockholders, when it | is compelled to deplete itself of its assets in sustaining its ordinary dividends, and to pay its Josses trom capital and not from earnings. This is just what many @ company has hitherto been com- pelled to do, in consequence of the short-sighted selfishness of the public in eagerly demanding “low rates,” so called. At the sixth annual meet- ing of the National Board of Fire Underwriters, last | April, its President asserted that, with few ex- | ceptions, the public are not willing to pay a fair and living rate for insurance, as they ought to be if they would enjoy its benefits, ‘They rather en- | courage,” said Mr, Oakley, ‘the efforts made Rs both unscrupulous men and companies to brea down rates; but we know that to secure solvency we must place rates so that they will yleld a profit or the stocks, bonds or other evidences of in- Gebtedness of any solvent dividend-paying insti- tution incorporated under the laws of this State or of the United States, except their own stock, | provided always that the current market value of such stocks, bonds and other evidences of in- | Gebtedness shall be at all times during the con- | tinuance of such loans at least ten per cent more | than the sum loaned thereon. It may here be Semarked that the limitation of the mortgage in- Sestments of New York companies to real estate tm this State operates to their prejudice in many | ways. It restricts their income trom interest and injures them in competing abroad with companies | from other States who can humor locat prejudices by investing a portion of their money where it is obtained. Attempts have been made at Albany to | ‘Secure the repeal of this limitation, but Wall street, eager to keep New York phiethorle with investivle (unds, hae always succeeded in defeating them, IMPORTANT RESTRICTION ON RISKS. No fire insurance company organized under the general incorporation laws or transacting bual- hess in this State shall expose itsell to any loss on Buy ove fire oriniand navigation risk or Lazard to sn amount exceeding tem per cent of its paid up eapital. ANOTHER RESTRICTION ON DIVIDEKDS, No money is earned by a fire insurance company ont the risk on which it was taken has expired, Afire insurance company is prohibited from pay- ing dividends out of unearned premiums. It is easicr to suspect than to prové, except by such in- | ‘vestigation. as the Superintendent is empowered @& make, that this, like many another restriction of | ‘the insurance law, is too often disregarded, FOREIGN COMPANIES, ‘Mat is, companies incorporated or organized under @he laws Of any other State and of any foreign coun- | try, and duly authorized to transact business in the State of New York, are brought under the same @ipervision as the New York companies, and are sequired moreover, in certain cases, to make pre- Miuinary deposits. POWERS AND DUTIES OF THE SUPERINTENDENT, and induce capitalists to hold it asa permanent in- vestment and not us a mere venture.” Rates had been dimirished toa very meagre standard when the Chicago fire suddenly demanded $98,000,000 at the doors of 201 insurance offices, The Boston fire has now made a requisition for $48,000,000 more, in addition to all the other millions asked for by the thousands of fires which have so continuously oceurred during this year. These vast sums are forcible arguments—to many companies they have proved “knock down” arguments—in favor of an indispensable advance of rates, A healthy competition will prevent these rates from becoming exorbitant. But it is mani- fest the underwriters “are now doing,” a8 the Evening Mail says, “just what men in every busi- ness do whenever they discover that they have been selling valuable goods at less than cost,” and the public, for its own interest, must concede the necessity of honest, paying rates, The people are even more interested in the sol- vency of the insurance companies than the stock- | holders and directors. The companies stand inthe same relation to the financial and commercial world as a balance wheel does to machinery. They do not create value or prevent loss; they merely distribute losses and shécks and keep the econom: of the ah in wholeseme, steady motion. If buys @ barrel of four worth $10 from B for $5, A gets the four and B takee the chances of his own solvency. If A buys of B for $5 insurance worth $100, A gets nothing until he has a loss, and he takes ail the risk of B's solvency. The public take all the chances,of the solvency of the compa- nies; and, tnerefore, the public are the more inter- ented In having enough power conserved in the balance wheel—enough surplus accumulated by the companies to withstand violeut shocks and keep the machinery jn proper motion, In the confusion that has followed the shock of the Boston “whirlwind of fire” it would be diuicult, if not impossible, for most of the dre insurance companies and ageucies doing business in New York to make a full and accurate exhibit of their ACTUAL CONDITION, Such an exhibit is prepared only once a year, and usually requires andnereased clerical force for days and weeks to getit ready, even by the Ist of March, A fortnight henee the companies will sce more clearly than they can now where they stand—tuat ts, if it be their fate to stand and not to fall. Itis consoling to the underwriters that, whilethe sajvage at Chi- cago was from 1234 to 15,the salvage at Boston Vd to be from 20 to 25 per cent. The advance of rates will prove, it 1s to be hoped, a “new departure” for the fire insurance companies on their way to a safer and more prosperous future, Meanwhile the latest reliable figures from which their present condition may be approximatively inferred are jo be found The Insurance act provides for the examination, mnider oath. by the Suverintendent or by persons in the offtial report of ‘the late SuperMtendent of Insurance. This annual report, it should be re- Membered, although oMicially dated on the Ist of January, can never by completed until long aiter. wards, and it therefore contains fresher material ‘of their inco! tion, their up capl- than might be supposed. The accompanying tables net assets, their fire risks force and have been chiefly compiled with care from the sta- | their Mabilities to policy-holders at the same date, tistics scattered throughout tre a of ex-Super- intendent Miller, They exhibit names of the eighty-five joint stock fire insurance companies of the State of New York, the fifty-six fire and fire and marine companies of other States and the six foreign fire insurance companies which were trans- activg business in this city at the opening of 1872, toge*her with the recent losses of those companies wich suffered by the Boston fire. which he.ve been forced to suspend are indicated by the letter S; those whose we ‘was reported as im- aired, January 1, 1872, by the letter L An addi- Tonal table includes companies, new, reorganized or admitted since that date, JOINT STOCK FIRE INSURANCE COMPANIES OF THE STATE OF NEW YORK. Names. Date of Paid. Up | Assets Jan. | 7? rope? bi; Policy at ” Incorporation, Capital, 1, 1872, | yan, 1, 1872,| Holders, tna. ‘Reorg’d Dec. 1, 1871.| $200,000, $202,418, 02 $691,277 $1,714 20} $40,000 Adriatic’ Nov. Sr 200, 216,250 80} _ 10,800,900} 62,395 68) 7,600 Agricuitural*. 623,054 96 81,209,890 251,961 63) - 285,250 08] 8,320,577 92,872 = 974,647 94| 88,372, 113,201 11] 80,000 225,491 03 9, 56,070 7: 10,000 339,610 92 11,220,245, 62,033 49) 100,000 7,057 90 81864) 934 50,000 i 16,106, 528| 887 58 - 15,508,968) 87,208 77 - 15,102,647 15,287 4 - 1,259,887 19,172 01 - 53,288,805] 185,884 87| 250,000 14,406, 600| 85,070 41] 90,000 17,481,878) 68,911 21 50,000 19,873,848, 654 39| 76,000 21,907,352| 160,077 66) 40,000 7,750,282 39,007 77| 62,000 19,678,587 89,235 00) 80,000 175,643,160] 1,466,181 36] 472,400 9,808, 281 92,770 02} 140,000 25,807,218) 65,835 04 one 12,014,162} 44,438 27| 10,000 11,287,489) 62,200 64 15,000 israraas] aio $3] 8,0 en’s Trust* 5 5 Fuemena. ert] LAAs Bi] mh ov0 Firemen’s Fund (1). pes i", 8, 597 20,093 74 22,500 Hey oa'ae' sas 448,876 14] 275,000 65,445,434, 309,034 80 50,000 15,167,450} 54,104 79} 15,000 81,649,173) 108,403 66 20,000 8,841,584) 66,889 87 60,000 8,084,953) 72,807,519} 10,304,458) 28,244, 941. 294,852,308 200,700 $2] "7,717,497 582,596 33} 25,024,573 Humboldt (3) | Ay 804,090 43 22,665,611 5 250,000 Tanure esa Trad'ta'#| Merch $1, 1859. 200,000 205,850 65 10,080,272 87,234 81 30,000 International (8)....|Jan. 5, 1864... . 500,000: 873,655 08 67,435, 169) 551,012 08 705,600 Jefferson*... Reorg'd Nov. 1, 1865 200,010 415,919 63 18,502,371 56,274 07 10,000, Kings County*. Oct, 21, 1868. +} 150,000] 249,758 91! 12,19, T7128 43 6,000 Knickerbocker*. Je teeeee 280,000: 403,019 43) 16,572,302 88,340 42) — 180,000} 211,789 58| 10,783,464 09,495 58 5,000 NOX... ++ 150,000} 227,867 00 7,818,755. 36,070 96 18,000 Long Island. oe 200,000, 411,694 80 18,179,466 41,377 40 pas Manof’rs & Builders’) Ne 200,000, 249,336 58} 10,402,720) 25,752 33: _ Mechanics’.........../M: rid sets i iene Biers | Bobs chanics & Trad’rs’ b ps 2 2 i 5 | sercantiie..- 200,000 240 tbo 02] 11,214,061) 67,033 60/ 50,000 Merchants’. 200,000 475,088 15 82,594,: 111,123 26 100,000, Metropolitan”. 300,000} 356,969 30} 16,361,588 60,916 10 — Montauk* 160,000] 297,497 18] 12,781,330] 842 20) 5,000 Nassau* 200, 427,245 15,838,741 46,979 27 — National. ee 200,000 296,101 14 22,131,657 60,079 83} 140,000 New York Bowery*.. 300,000 606,314 71 29,943,357 422 89) _- New York Central*. «| 100,000} 199,862 6; 25,651,062| 119,653 05 — New York Equitable. | Reorg” |. Oct, 80, 1865) 210,000) 462,888 6) 19,191,629 49,986 15 20,000 New York*. Reorg’d. July 1, 1865.| _ 200,000) _ 379,500 68) — 15,900,176 52,969 90] — Niagara ({). July 31, 1850. +| 1,000,000) 1,190,958: 83 ‘71,734,852 862,148 58) North River*. February 6, 1822. 350, 466,229 18] 10,414,505) 27,073 87 Pacitic 3 200,000) 468,324 00) 24,577,908 87,435 39 Park*. 200,000} 336,228 85| —14.423,100 41,499 62: People 150,000} 252,863. 49| 8,365,021 39,897 90 Peter Co 150,000]. 319,055.95) 13,307,707 24,471 09 Pharnix. 1,000,000] 1,699,960 72} 77,979,283] 690,784 65. Relief. 200,000} 279,463 06} 17,719,170} 87,039 36 Republ 300,000} 465,535 55) 39,218,842) 235,479 71 Resolute’. 200,000 241,205 07 8,822,978 73,933 80 Rutgers* 200,000] 877,883 16] 14,422, 744) 44,174 87 .|daly 31, 1852, 160,000 220,844 36 14,178,850 64,531 80. +|March 26, 1859. 200,000} 442,874 88] 21,362,128) 91,780 13 .|December 2, 1864....} 200,000) 360,261 41) 21,848,280] 110,418 51 . January 18, 1864.....] 200,000] 248,188 20 8,340,612 40,478 16 Stuyvesant* January 28, 1851......| 200,000) 827,322 29) 10,485,438 42,054 64 Tradeamen’s.. x «| 160,000} 414,257 45) 25,340,311) 112,811 03 United States*....../March 31, 1824........] 250,000) 448,915 98] 11,025,006 28,241 50) Washington (S)......|December 26, 1871...] 200,000] 203,061 81 438,081 8,061 $1 Watertown. +{ 200,000] 838,603 13/ 21,656,100, 74,227 64 Westchester. | ~ January, 1870 200,000, 524,472 28 40,269,095, 205,204 18 Williamsburg City... |March 22, 1853. 250,000) 615,057 22) 80,454,881 155,080 09) Aggregate $22,907,020 208 09| $11,961,652 08 JOINT STOCK FIRE INSURANCE COMPANIES OF OTHER STATES ADMITTED TO TRANSACT BUSINESS IN THE STATE OF NEW YORK. Fire Risks th | Ltabitities to; Incorpo- | Paid Up| Assets, Jan, Losses.at Names, ‘ Force Jan, | Policy Hotd- rated, Capital. 1, 1872, 1, 1872. | |ers, Jan. 1,72| Bosion, Atna, Conn, (I.). 1819] $300,000] $4,596,546 70| $280,523,670| $8,870,505 30) $1,300,000 Alemanunia, Ohio (I. 1870) 250,000: 804,027 63 7,877,912) 151,830 5,000 Alps, Pa. x 832,973 14 7,633,703} 89,407 08] 85,000 Amazon, 500,000 14,860 37) 10,459,172] 207,908 14 = American, F, an 800,000 806,931 51 5,776,083} 225,809 69 = ‘American Pl, Glass and F 250,000] 201,988 48 8,171,941 51,429 72) = American, Ii 150,000] 889,357 80) 48,580,190] 211,663 28 - American, Pa. 400,000} 868,753 26] 24,273,106] 372,105 55} 360,000 American Cen: 275,000} _ 365,161 75| 10,968,349] 146,921 53) 15,000 Andes, Ohio (I.).. 1,000,000] 1,595,205 11/ 80,602,684) 867,955 91 — Bay State, Mass. 200,000} "329,201 67| 12,393,603} 97,077 74 1S Boston, Mass... 800,000 657,430 80 11,176,195) 199,065 46 — Citizens’, N. J 200,000] 222,050 55| 8,204, 60" 22,086 27/ 17,600 Detroit, F. and 3 150,000 208,992 91} 10,184,356] 193,489 21 — Eastern, Maine 225,000 350,347 70 7,129,640| 163,312 94/ 180,000 Eliot, Mass 900,000] 717,615 77| 14,882,260} 106,971 47 pes Equitable, F. 200,000} 311,627 90 8,924,208 72,073 10) 314,800 Exchange, Mass.. 200,000) 263,776 58 7,502,149} 55,580 80 250,000 Fairfleld County, Conn. 200,000} 236,986 88 5,342, 720) 41,800 63) — Firemen’s Fund, Cal. (I. , 567,846 62) 22,613,724| 446,708 74/ 70,000 Firemen’s, N. J... 200,000} 535,226 74| 21,420,358] 117,602 22 a First National, Mass. 100,000) 157,824 43 6,512,858) 61,037 63) 60,000 Franklin, Mi 300,000} _ 607,079 07) _19,265,24° 8,026 500,000 Franklin, Pa. 400,000] 1,501,740 35| 149,457,954) 2,467,575 14| * 498,000 German, Pa. 200,000 1,386 00 3,820,114) 33,052 29] 20,000 Girard, F. and 300,000} _ 549,711 39| ~ 23,068,885] 182,041 59| _ 60,000 Hartford, Conn. 1,000,000} 1,913,316 21| 150,000,000] 1,929,869 97) 25,000 Hibernia, Ohio (I. 209,000 627 62 2,974,160 64,978 36 — Home, Ohio... 500,000, 693,078 44 336, 860,775 37 35,000 Howard, Mass. 200,000} 376,875 26 9,624,843 73,567 19] 950,000 Insurance Co., State of Pa. 200,000) 477,934 44 11,135,608 194,750 03, 125,000 Insurance Co, of N, A., Pa. ° 600,000} 2,642,118 43) 128,838,876) 1,721,580 34) 950,000 Lancaster, Pa nee 200,000 254,041 70 7,124,807 111,283 25 — Lawrence, Mass. aoe 250,000) 200,323 91 5,591,237 | 32,511 48} 500,000 Manufacturers’, Mass. F 400,000 204 14 26,059, 473) 476,074 40) 1,700,000 Merchants’, Mass. 500,000} 942,400 23} 13,975,743] 174,157 84] 2,000,000 Merchants’, R. I 200,000} 861,462 13! 13,615,196} 110,211 59) ‘210,000 Merchants’, N. J 200,000 413,228 79) 15,961,692 97,127 12) — Mutual Benefit, Mass. 200,000} 281,514 61 8,149,240 62,977 48] 1,000,000 Narragansett F. & M., 500,000} . 684,470 63) 21,244,509] 281,318 85| "230,000 National, Me, (I)... 209.000] 865,633 85] 12,505,485) 264,690 90] 160,000 National, Mass. (I).. 800,000} 682,157 69] -26,800,767| 646,129 80] 975,000 Newport, F. & M., R. I. 200,000) 224,715 22) 930, 540 — North American, 200,000) 610,381 61 13,125,798, 107,315 48) 1,200,000 Pennsylvania, Pa. 400,000] 878,260 43} 23,025,188} 499,116 61| "600,000 Peoptes’, Mass. (I)... 400,000} 241,625 68} 54,017,211] _ 988,418 82| 700,800 Phenix, Conn..... ‘ 600,000] 1,873,594 04] 123,670,169) 1,276,792 71! — 442,800. Prescott F. & M., Mass. , 6,892 60} 9,694,242 83,699 26! 1,000,000 Reliance, Pa........... 300,000, 403,897 60) 10,231,817 112,233 82 —_ Shoe and Leather D., Mass...... 200, 582,824 01 15,854,529 121,936 38) 2,600,000 Springsield, Mass. Re 500,000}, 902,210 10] 65,885,756 407,416 99 '250,000 Sun, Ohio... ‘ 200,000} 281,551 93) "12,988,447 87,838 15} 60,000 ‘Triumph, Onio ‘ 500,000| 727,593 11] 11,885,061! 216,326 94/ 100,000 Union, Cal. (1) . 760,000! 857,371 98 24,787,607 356,217 86) 20,000 Union, Me.... 3 200,000] 481,717 69} 15,785,163! 266,196 88) 160,000 Washington, Mass. . 300,000 906,166 98 7,755,153) 294,999 06) 1,000,000 AGETOSALC.....ceeseeeeeevese! $20,860,000’ $38,485,051 33! $1,701,588,842! $21,610,778 74! 22,078,900 MUTUAL FIRE INSURANCE, OF PENNSYLVANIA, Lycoming. «-/March 20, 1840] —|_ $6,744,106 75) $51,822,231 $568,991 14) $10,000 FIRE INSURANCE COMPANIES OF FOREIGN COUNTRIES AUTHORIZED TO TRANSACT BUSINESS IN THE STATE OF NEW YORK. Began | Total Gross | Total Laabili-| Total Net Business | Assets in the, ties in the | Assets in the! Losses in James, in New | Capital. United United United Boston, | York, States, | States, States, Commercial Union..... £250,000) $346,037 32} $127,830.55) $218,197 85| $350,000 Imperial...... ae 1803 700,000| 1,059,147 3: 15,107 53| 624,039 74) — 686,000 Liverpool and London and Globe] 1836 801,752) 8,624,966 62] 2,273,055 40) 1,251,011 22| 1,400,000 North British and Mercantile 1809 1,250, 1,550,921 95, 902,989 86 647, 100, ween. 1858 179,800| 722,413 11) 870,073 65} 352,830 46| 610,000 Royal 1845 289,005) 1,802,706 16) 716,457 59) 680,338 67| 1,250,000 ——- —. — Aggregate. £3,060,647| $8,506,282 56| $4,926,423 63, $3,579,858 93) $4,796,000 COMPANIES, NEW, REORGANIZED OR ADMITTED SINCE JANUARY 1, 1872, | Assets, Jan. 1, 1872, | $201,408) | ‘200,000 1,000,000 | 387,680) Names. | ica Brewers’, W! Farragut, N. German Amer! 000 | 200,000! 200,000 200,000 200,000) Pennsylvania, 1,257,554 __t The “Market” has reinsured in the “Exehan| | Assets, Names, | Jan, 1, ‘Boston, 1872, ; 200,000] 15,000 vt Losses tn 282/441] 10,000 605,724] 20,000 600,000! 60,000 | 125,000 104,900 | $1,764,400 IN BEHALF OF TRUTH. To THE EDITOR OF THE HERALD:— One “must speak by the card.” I see an articlo, signed “Viator,” in last Sunday’s Herat, but which “Musicus’’? publicly declares that he wrote (really matters are becoming very complicated) and takes me to task for speaking ofa final “C” in the Jewel Song of ‘Faust.’ I stand corrected. My Memory fatled me and my janguage was far from technical, The final “OC” is not-C atall, I ought to have said that in the -Jewel Song Madame Lucca cut out the high 3B, upon which it depends for its final effect. The cor- rection, however, only makes the matter worse for Madame Lucca, as B is one note below C and ought to be within the register of a soprano. Let me add that Mies Kellogg neither sings en dessous hor flat, and for ‘Viator,” I mean “Musicua,’’ to Speak of her in conteynptuous tonas is to indulge in abuse rather than criticism. To say that Miss Kellogg never drew here is to state wh true. ‘That sie should not attract this easily explained, People dislike the Ope have no money to spare, and will only spend it for Hoveity, Lucca is the novelty. If Lucca had been Singing here ten years how much moncy would ghe he worth to the management 7 FAIR PLAY. THE PHILADELPHIA POST OFFICE, PHILADELPHIA, Dec. 1, 1872, General Bingham relinquishes his position as Postmaster last night at midnight to his successor George W. Fairman and euters uy Clerk of the Quarter Sessi (ot WALLACE'S 8) aT ARION.—A curions revelation has been made in connection with the alley Wallace sword in Dumbarton Castle.‘ It has been discovered that the sword belongs to the period of Edward the Fifth, and that tt was prop- erly used by that monarch when he ente: the city of Chester in state in 1475; The result is that Mr. Cardwell has Usha directions that the sword at Dumbarton Castle should no longer be exhibited that of Sir William Wallace, According to a St. Petersburg letter in the Nord there is reason to believe that Sebastopol is des- tined to become a commerctal port of consider- able importance. At the instance of the Emperor aCommission was sent fo the Crimea in the Sum- mer for the purpose of ascertaining what course it would be best to pursue with regard to the hai bow. The inhabitants were consulted first, and they pronounced in favor of the establishment of a commercial port, or, in any case, of giving up tie southern La to merchant shipping. It is more- over stated H the Golos that the Commission itself hag expressed the opinion that Bataclava would be & better poaition for a naval port than Sebastopol, .dends to capital, dividends THE CURRENCY. Report of the Comptroller cf the Currency—The Facts and Figures of the Na- tional Bank System. ‘The following abstract from the report of the Comptroller of the Currency, John Jay Knox, is in addition to the synopsis telegraphed a few days since from Washington, giving details of some of the matters therein alluded to:— The national banks the following taxes to the Treasurer of the States:—One per cent annually on circulation outstanding, one-half of one per cent annually upon deposits, and one-hall of one per cent annually on capital not invested tn United States bonds, ese taxes are paid semi- annually, The amount of taxes collected by the Treasurer irom Jani 1, 1864, to 1872 TRCaRaree Sr0es SERBRTY t, 1864, to January 1, 1872, On circulation... On deposits. On capital. Total... “ $40,242,705 The nation: lor to 1, 1871, algo pai to the Commissioner’ ‘on Internal Revenue a license or special tax of $20n each ¢1,000 of capital, and an income tax on net earnings to December 1, 1871. ‘The special or license tax from May 1, 1864, to May mounted to $5,322,688; the income tax, Jrom March 1, 1869, to September 1, 1871, amounted to $5,539, 289, ‘The act of March 8, 1869, required specific returns to be made of the dividends and net earnings of the national banks after the declaration of each dividend, From these returns the following table has been ‘prepared, exhibiting the ratio of divi- to capital and surplus and earnings to capital and surpius for each half ear, commencing March 1, 1869, and ended Sep- mber 1, 1872:— Ratios. Period of Siz Months ond Dividends Earnings bi ne Peay srl fo Cupital|to Capital "| &Surplus| §Surplus Per Ceut,| Per Cent.|Per Cent, 5.42 4.50) 6.04 : 42} 4 16} 4.27) 5.17 4.96 4.03] 5.19 5.18) 4.24) B.2t 4.96) 4.07) 5.2 5.07 4.16) 5. 5.12 4.17) 5. It is generally supposed that the circulation is- sued to the national banks is a source of great profit; but if the petal upon bonds is considered as ah ultimate loss, the profit upon .circulation does not exceed three per cent per annum. The chief source of profit in banking, under this as under all other systems, is from deposits, and upen this branch of business an annual tax 18 already fixed by law. If the system has the advan- tage of circulation it is also subject to many re- strictions which are considered burdensome, but which give steadiness and strength to the money transactions of the country. While the banks should contribute their proportion to the revenues of the country, they should not, under an imputa- tion of extravagant profits, or an unfounded preju- dice, be taxed to a greater degree than other cor- porations which are even less important to its prosperity, A good deal of discussion has arisen during the recent stringency in the money market in the city of New York 1n reference to the provisions of the National Currency act, requiring a reserve upon the liabilities of national banks. The reserves of the nineteen hund ‘ed national banks located else- where than in the city of New York are held to a great extent in that city, For most of the time during the past year an amount equal to more than one-fiith of the capital of all these national banks has been held on cava by the national banks of the city of New York to the credit of their correspondents. In many cases these credits amount. to twice the capital of the bank with which they are deposited; in other cases the amount of deposits is three, four, and even five times the capital, which amount has been attracted thither largely by the payment of interest on de- pone The failure of one of these New York city anks in a time of monetary stringency would em- barrass, if not ruin, many banks in the redemption cities, and, in turn, the country correspondents of these banks would sutfer trom the imprudence of the New York bank, which would be responsible for wide-spread disaster. It is clear that a bank hay- ing such excessive liabilities has no right, even if there were no law, to increase its loans to such an unreasonable extent as to lead to embarrassmeit uf unexpectedly called upon for the reserves of its correspondents. A provision of law prohibiting banks from extending their loans beyond threc times their capital would seem to be not unreason- able, but such a provision would be much more re- strictive than the present requirements of the law in reference to reserve. An examination of the weekly returns made to the Clearing House in New York city will saow that the State banks of established reputation in times of monetary stringency hold a sufiicient reserve without such a provision of law; while the larger proportion of banks not included in the national system are continually below a judictous limit. The truth is that the strong and well-managed banks lo not need any law in reference to reserve, and do not therefore ask for a change of legislation in this respect. The weak banks and those al- ready too largely extended wish to be free from all restrictions. It isthe constant tendency of such banks to increase their liabilities, In times of excessive stringency loans are not made by such associations to business men upon commercial paper, but to dealers in speculative securities upon short time at high rates of interest, and an in- crease of call loans beyond the proper limit is more likely to afford facilities for unwarrantable stock speculations than relief to legitimate business transactions. The variations in the Ilabilities re- quiring reserve in the banks of the city of New York are very great. The banks outside of New York during the dull season send their surplus means to that city for deposit upon interest to await the revival of business, The banks in the city of New York, at such periods of the year, have no legitimate outlet for these tunds, and are, there- fore, threatened with loss. The Stock Boara takes advantage of this condition of affairs, specu- lation is stimulated by the cheapness of money and a market is found for the idle iunds upon doubtful (0 ni | collaterals, and the result 1s seen in the increased | transactious at the clearing house, which, during the past year, exceeded thirty-two thousand inil- lions of dollars, or an average of’more than one hundred millions of dollars daily, not one-half of which was the result of legitimate business, the total amount of transactions being greater than that of the bankers’ clearing house of the city of London. ‘The evil arises largely from the payment by the banks of interest on deposits, an oid-estab- Mshed custom which cannot easily be changed by legisiation. A considerable portion of these de- posits would remain at home if they could be used ava low rate of interest and made available at aby time upon the return of the season of active business. No sure investment of this kind is, how- ever, open to the country banks; and the universal custom is to :end forward the useless dollars {rom vaults comparatively insecure to their correspond-* osed to be ents i the city, where they are supposed ot Widends for safer, and at the same time earning shareholders. rate of interest to be counted as a certain propor- tion of the reserve, and an increase of the amount which the country banks are required to Keep on hand, is the proper remedy jor such a state of things. Such an issue need not result in mflation, for the currency invested would be in the possession of the government. If the currency 1s held, the objection is the loss of interest to the government; but this loss would be no more than a just rebate upon the $6,000,000 of taxation annually paid by the bunks to the govern- ment, at a time when aimost every kind of internal taxation has been discontinued. Such a reduction of taxation should not be grudgingly made if the result shall be to give elasticity to the currency, to strengthen and steady tue money market, to give additional security to $700,000,000 belonging to d peor by retain! ng in the vaults of the bank jarge amount of funds for legitimate business pur- poses, which would otherwise be thrown upon the stock board to unsettle values throughout the country, and alternately increase and depress the price of every commodity. Charges have been made against several national uring the past year for receiving usurious ban raves of interest, made, not only against banks in the South and West, where high rates of interest prevail, but aiso against banks organized in other States, where the usurious rate charged was but slightly in ex- cess of the rate of six per cent, allowed by law. Section 30 of the ast provides that when the amount of interest charged is greater than the rate authorized by the State law, twice the interest paid may be recovered by the rson pay- ing the same; while section provides that the franchises of an association may be forfeited if the directors of a bank pall 2 violate the provisions of the act. The original National Currency act of February 11, ane ecies s as a penalty for usury the forfeiture of the debt, and section 50 of the same act also subjected the rights, privileges and franchises of an association to forfeiture for willul violations of the act. It may be doubted, therefore, whether Congress intended to impose a specific penalty in- volving the loss of the whole debt, and then, in addition, subject the same bank to a forfeiture of charter in a subsequent section, which is applica- ble to other violations of law. | am informed by gentlemen who ey in the framing of the present National Currency act that the forfeiture of twice the amount of interest was regarded as a sutlictent penalty for such violations of law and, the same time, a suflicient protection to bor- wers, ese statements are confirmed by the act of Apri! 22, 1870, “An uct to amend the Usury Laws of tue District of Columbia,” which provides “that if any person or corporation in this District shali contract to receive @ greater 1ate of interest than ten per cent upon any contract in writing, or six per cent upon any verbal contract, such person or corporation shall forfeit the whole of said interest #0 contracted to be received, and shall be entitled only to recover the principal sum due to such per- son or corporation.” It will be observed that the forfeiture of interest is the only | bce prescribed iy Congress nearly years alter the passage of the National Currency act for corporations and in- dividuals in the Distriet of Columbia. The rates of inte fixed by State laws are not Moverned by af sound economical or business principles, In three of the New Kogiand States A government issue bearing & low | These complaints have been | ‘usury laws are anolished, the rate has remained form standard, which while in the remainder ~ half @ century at a uni- of the Bank of England. In Min ne nia the rate is limited to twelve perce 3 im linois, Wisconsin and Missouri, to tou per cent; ip Alabama and Ohio, to ei rer Pennsylvania, Maryland and Kentucky, the rate is fixed at six percent. In New York, of an excess beyond the limit of seven per cent for- feits the whole debt and sabjects the creditor to fine and imprisonment. It would be dimeult to give any good reason why the rate of interest. Should be limited to ten per pote the: in city of Washi mm, to six the neighbos ities of Philade! Wilmington an gay and to wrelve pee cen’ lexandria and in the of the States have usury. laws, while - other tal of Virginia. Ma os cally repealed their pelgnboring States retain upon their statute books. laws which are so continually evaded thahteey have become obsolete. Savings banks cl by Cot savings banks, trust com! and safe deposit companies authorized by the latures of almost Ce jer of the ‘Union, as welh Mepairase bankers, for interest on deposits: rates nearly equal, and sometimes Szcoeaing the rul rates allowed by law; and under cir- cumstances it 18 diMicuit to control by legislation tne rates of the national banks. There are no usury laws in Great Britain or in. the other commercial European States; and the: commonwealth of Massachusetts, one of the most. eonpercns and enlightened States of the Union, recently abolished such laws; and it will be found, by reference to the table, that the earnings. of the banks in that State for the four years since t been even than in. in his first report as expreased the opinion that Congress possessed ie opinien Congress power to enact such a law under the constitutional Provision of regulati Several States. por coin Te Pe regulate the value thereof, and, if it alone authority to issue and authenticate the paper currency of the country, there would seem to be no reason why it should not also provide tor its free circulation, which is now im- led by the ever-changing statutes of forty dif- erent legislatures. ‘The penalty for panty should at least be de: and until this ts done the Comptroller will not fee himself called upon to institute proceedings for forfelture of the charter of a bank for usurious transactions, when itis evident that the business of the association is conducted legitimately and safely in other respects. The official reports of the savings banks in New England show the deposits at the close of the year: 1871 to have been $312,333,479, or more than throe; times the amount of the aggregate deposits in the national banks. The deposits in the savings banks: of the State of New York at the same date were- $267,905,866, & sum also considerably in excess of the deposits of the national banks in that State. A large portion of these are not properly savings: deposits. Savings banks in some portions of New England, New York and Pennsylvania, as well as: other States, have recently competitors of the national banks oy, offering much larger rates of interest for deposits than is: usual in Well-managed banks. : On the 5th of Aprillast the Comptroller was ad- vised that a bank in the city of New York, with a capital of $1,000,000, and whose ave! exchanges. at the clearing house did not exceed $300,000, was: that morning creditor at the clearmg house for’ $4,770,000, As it was evident that this large credis. ‘was not the result of legitimate business the ex-- aminer was directed to make an examination of the bank, which was immediately done, in connec- tion with a member of the clearing house commit- tee, From the examination, which was thoroughly. and carefully conducted, it appeared that seponts had been made in that bank by one indivi ine upon the morning of April 5, to the amoun Of $4,100,000, the whole of which was drawn out upon the same day, upon the checks of the depos- itor, in legal tender notes, Tne President of the bank denied that the oank had any interest ins these transactions, and there was no evidence of. any loan or of advances in any shape upon these: deposita, These transactions were the subject, jul eeaUuat of an investigation by the Bank Committee of the House of Representatives, and, aon it was clear that the spirit of the law had been violated, no evidence could be obtained to- warrant the commencement of a suit for the re- covery of the penalty prescribed in the act referred. to, The investigation undoubtedly had the effect. to prevent the repetition of similar transaction: no offences of this kind, on the part of any nation: bank, having since been brought to the attention. of the Comptroller. - INTERNATIONALS IN COUNCIL. Democratic Associations of Australia. Affillating with the International So.. clety—The Lands of Virginia To Be Divided Up=—Their Opinions on the: Article Signed “Chemist” in the Herald. of the 29th ult. and the Editorial. Headed “Communists and Chemical Fire Balls.” The Federal Council of Internationals held their regular weekly meeting yesterday at 120 Spring street, Citizen Frey presiding. Sixteen delegates were present. As it may be of interest for the- public to know the trades or callings of such a. body of men as compose the above Council, the following is given as reliable:—Two carpenters, three painters, three storekeepers, one doctor, one- Jeweller, one artist, two carriage makers, one: cigar and tobacco dealer and two speculators. Fourteen communications from different parts ob the Union were read, going to prove that the asso- ciation is reviving and increasing beyond the ex- pectations of its most ardent supporters, A letter: from Citizen Williams, who is travelling through: the Southern States for the purpose of organizing sections, states that within the last thirty fe he organized seven sections. His account of the- present state of Virginia, especially the Shenan- doah Valley, is pitiable. He states that there are ten, twenty and thirty young men leaving daily for the West. This is caused by large land owners, who could afford to give away half of their unculti- vated acres and be the richer for their enerosity. These large plantations are the- Bane of the South, and the Internationals. ot the South will use their endeavors to divide them up. A communication was received from. Switzerland stating that the Internationals of the Continent have sufficient proofs to base their opinions that Karl Marx is in le; with Bis- marck, and that the services of the former has been: well paid by the latter on many occasions, The proofs of the foregoing will soon be received by the- Council. At this stage of the proceedings Citizen. | Harcourt, of Australia, entered the room and handed the Secretary a letter he -had receivedon Saturday from the Democratic Association in Mel- bourne, Australia. Itstates that the association has: empowered Citizen Iiarcourt to tak such steps as may be necessary to complete thi ation of the associution with the International. Conside! discussion, rather of a social nature, then took place about the leader in the HERALD of the 20th ult. on a remark of Kev. Henry Ward Beecher in his: last Thanksgiving sermon, in which he said that the great blunder of the internationals was that they wanted all men be with unequal means. It was decided to send a. communication to the- reverend gentleman informing him about the so- clety, a8 at present he is at sea on that question; | at least so thinks the Council. Citizen West then. read the following preamble and resolutions, which. were unanimously adopted :— Considering that a communication, | ist,” headed, in flaming capitals, “The Fire Wor- shippers—Labor’s New Method ' of Righting Its Wrongs,” appeared the New Yore Henaup of the 2th ult, in which the author pretends to. | reveal the existence of @ vast secret asscciation,, whose purposes and objects are alleged to be the emanci- pation of labor through the destruction by fire ot the surplus wealth possessed by capitalists, and whose mem- bers are in possession of a secret which will enable them to sp jarge surfaces immense contlagrations Dili Possit of de- tection; and that ‘the —_publi-~- cation of the above mentioned communication was ac- companied by an editorial article, in whieh the purposes and objects of Communists (0 called) o ag ay Pg hose of the incendiary met Yo “by tonemist” an association —_ referred that the substance — of communication figned “Chem- the “Chemist” and the editorial article reterred to sppest in two French lowe papers published in this city on the from a Paris paper, the under the ‘Red Spectre,” showing conclusively that the articles had a French origin; theretore be it resolved, First—that this Council, while doubting the existence of said association, expressly disavows and repudiates: all the agreement in or sympathizing with the objects. and purposes attributed to its members. Second—That this Council denies tor and on behalf of the persons who in modern times are kn Co and some of whom are Internatio} Communists of the late German. ‘0 civil’ war), any sympathy with or agreement in the aims and measures of said members of said secret association of ineendiari # Third—That this Council affirms that so far as appears from authentic history ot the effort to gatablish the gov- ernment of the Paris Commut ie Communists were guilty. of no such acts as those templated by the Incen- aries of “Chemist's” imagination bat, contrary, the work actually accompiished by the Commune during the brief period of its administration was just the reverse namely—it condemned the wanton destruction. f any private property, and promptly inflicted due pun- fiumment upon al it Haris and’ thieves (whether official or otherwise) ; ly the ried of the Assert and tab lish the wai erated as eed rhe Verte Se lely to the shot Jes usurpat aud to the intrigues of the German invaders, bs a ‘The meeting shortly after adjourned, SINKING OF THE STEAMER LITTLE ROOK, MEmpuis, Tenn., Dec, 1, 1872, The steamer Little Rock, from Little Rock for Memphis, with 380 lo of cotton on board, sunk near Kingsborough's Landing, about sixt; 13 be- low Pine Bits, on Friday afternoon, she ea with her bow in six feet of water and her stern eighteen feet and it is thought she cannot be raised. She be- jonged to the Memphis and Arkansas River Packet Company. She was valued at sured in St. Louis offices for St0ed. ip ecttoa te insured here and jn New Orlcans aud will be saved, ecome formidable * ty —s ee