INSURANCE LAWS.
The Speaker now returned to the special order, viz: the consideration of the committee bill [H. R. 350] to organize insurance companies, regulating the business of insurance, etc.
Mr. Wilson, of Ripley, proposed to amend the bill by striking out the words "insurance commissioner" wherever they occur in the bill, and insert "Auditor of State" in lieu; striking out section 7; in section 22, strike out "member" and insert "stockholders" in lieu; in section 30, insert "expenses and dividends." in section 45, strike out "annually" and insert "semi-annually" in lieu; strike out sections 47, 48, 50, 52, 55, 56; amend section 45, inserting "and shall pay the same into the State Treasury."
Mr. Kimball indicated a motion to lay all these amendments on the table except the first, and subsequently the first amendment was adopted by unanimous consent.
Mr. Wilson's second amendment striking out section 7 was adopted - yeas 60, nays 26.Mr. Wilson's third amendment striking out and inserting "members and stockholder" was adopted by consent.
Mr. Wilson's fourth amendment: in section thirty, after the word "losses," insert "expenses and dividends," was next considered. He said this bill proposes to tax three per cent of the gross receipts, exempting losses. I propose to add "expenses and dividends." It was rejected - yeas 40, nays 50.
Mr. Wilson's fifth amendment, to strike out "annually" and insert "semi-annually," in lieu was next considered. Mr. W. thought that under this bill, the Auditor would have very little to do in issuing these certificates, even if they were made semi-annually.
Mr. Brett and Mr. Millett considered the Auditor's compensation should hardly come in here - they were willing that he should have a just compensation for his services.
Mr. Kimball. The bill proposes $1,000 to the Auditor, and $2,000 for his deputy.
Mr. Cauthorn moved ineffectually to lay the amendment on the table - yeas 36, nays 49.
Mr. Johnson. How much will the Auditor receive for these certificates under this bill? He was informed that the Auditor received $2 for each license.
Mr. Wilson. If it drive out foreign companion, as I believe it will, his compensation will be very small.
Mr. Shirley. If the Auditor has been receiving $15,000 a year for this business, this bill can't do more than cut down his receipts one-half, and that would be too much. It is time to put a stop to these fortunes in public offices.
After further remarks in this direction by Messrs. Wilson of Ripley, Branham, Lenfesty, Cauthorn and others,
Mr. Brett referred again to a statement which he made yesterday, which he supposed to be true because it remained uncontradicted, that the Auditor of State receives now over $14,000 a year on account of this insurance business, for issuing licenses twice a year to insurance agents, as the law now stands. If, then, the insurance business shall continue as it is, and this amendment is adopted, the Auditor will receive for this service over $15,000. He thought the decrease which was predicted by the operations of this bill would hardly be realized, for he understood that such was not the result of this kind of legislation in other States. But if it diminishes the insurance business one-half, the Auditor will still receive $7,000 from this source.
Mr. Lenfesty. Where did the gentleman from Daviess get that paper which he read yesterday.
Mr. Baker (on his seat). I copied it from the auditor's books.
Mr. Wilson, of Ripley. There is another amendment that is to strike out the auditor's deputy hire,
Mr. Gregory. It was a startling revelation to him that the auditor of State has been drawing $14,500 from the insurance department; and now by this amendment he is to make by the issuing of certificates twice as much.
Mr. Kimball. By this bill the auditor of State is to have a deputy paid by the State, while before he had no deputy except as he paid him out of his own pocket.
After further debate by Messrs. Mellett, Givan and others, the amendment was rejected - yeas 38, nays 49.
The next amendment, proposed by Mr. Wilson, to strike out section 49, creating the office of Commisioner of Insurance, was laid on the table - yeas 45, nays 43.
page: 209[View Page 209]Mr. Kimball proposed to amend the section 49 so as to make it constitute the Auditor of State ex officio Commissioner of Insurance; which was adopted on a division - affirmative 45, negative 43.
Mr. Wilson's next amendment was to strike out section 53, which provides, amongst other things, that foreign insurance companies shall loan sixty per cent of their reserves within the State of Indiana; whereupon Mr. W. said: The State of New York requires all her companies to loan all their reserves in the State of New York. There are a great many citizens of Indiana who hold policies of insurance in these New York companies, and if we pass this section we compel these New York companies to retire from doing business in this State; because of another section of this law we make it a misdemeanor for them to continue, and they can't send an agent here to collect a premium. The effect will be then to compel all those citizens of Indiana who have policies in these companies to forfeit them. And so far as that goes, these companies will be gainers. I ask that this section be stricken out on the part of those men who are insured in these New York companies.
After further debate by Messrs. Gregory, Richardson, Baker, Cauthorn, Walker, Kimball, and others, the proposed amendment by striking out was laid on the table - yeas, 46; nays, 37.
Mr. Johnson read a dispatch from Mr. Spellman (confined at his room with diptheria,) asking leave of absence, which was accorded by consent.
Mr. Gregory obtained a suspension of the order of business to enable him to introduce a preamble and resolution for night sessions commencing at half past seven P. M., which lies over till to-morrow. Adjourned.
