| Show BOGUS INSURANCE COMPANIES the insurance trust of the country is a growing evil large and reliable insurance companies have pooled their interests and the public are thereby made to pay exorbitant rates nor is this the worst evil the discontent among merchants give rise to wildcat insurance companies who reap largo profits from gullible peo plo the companies stand on no firm foundations and yet many of them circulate a grand array of assets in figures and have succeeded in gaining favorable reports from mercantile agencies by this means it is estimated that in omaha alone they reap a profit of annually these boers companies have two modes of operating 1 they send out circulars through so called brokers located in large cities and offer insurance in first class corn banies not mentioning the name at greatly reduced rates 2 traveling inspectors ins in other cases are sent out under the pretense of inspecting buildings but really to act as solicitors they visit places where they know insurances are high and by greatly reduced rates they succeeded in raking in a amount of cash in for finely printed policies thai are really worth nothing in some case the cheapness is explained by the fact that the insurance is on the mutual plan A merchant buys a policy more as capital stock of the company than anything else and and then his as aro explained to be only to defray expenses of the fires among members of the company in proportion to the piol ices each holds business men in the east are finding to their sorrow that these cheap insurance companies are frauds while they know that the in enhance trusts make them pay rates that are diable laws should be enacted and they are demanded by business men to break up the trusts and protect the public against bogus companies but in the mean time this evil could be greatly reduced if parties who insure are careful as to the parties with whom they do business |
