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Show M II WILL il DISTURB INSURANCE State Commissioner Gives Assurance in Case of State of War. PROTECTION IS GIVEN Neither Policy Holders Nor Agents Will Suffer; Government Gov-ernment Controls. That neither policy holders nor agents in the United States of German insurance in-surance companies need have the slightest slight-est fear of any disturbance in their protection or business in the event of a mors serious break than even the present strained relations between the two countries, is the statement ofJohn James, insurance commissioner. So many inquiries have been made to local lo-cal insurance men and to the press that on request Mr. James last night prepared pre-pared the following statement: Neither policy holders nor agents have the slightest ground for fear because of the strained relations now existing between Germany and the United States or, for that matter, mat-ter, any other country which may have insurance companies operating operat-ing in America. It is to be understood, of course, that very few, if any, of the foreign for-eign companies writing insurance in our country are operated from their home oftiees. This condition is true of the German companies, as well as "of the British, French, Russian and others. Amenable Locally. I have always maintained that the foreign companies are more so in name than in fact. Whenever a foreign company is 'admitted to do business in America it becomes amenable, so to speak, to the laws of the state it enters. The laws of the states require large deposits of money and those special funds are placed in the hands of American trustees. The effect ef-fect of this is the same as the capital cap-ital and surplus of American com-panics. com-panics. As regards security, my judgment judg-ment is that a German companv operating in America is just as safe as any other company. This is so because the deposits of capital of all foreign countries are kept in safe, and are not available for any purpose whatsoever, save the protection pro-tection of all policy holders. The German companies are extremely ex-tremely well managed on this side by men who thoroughly understand the insurance business. Even should there be a war between be-tween Germany and this country that should result in the seizure o American funds of German com-' com-' panics, agents, companies and policy pol-icy holders would suffer no losses of any kind. Our government, of course, would protect its interests and would either continue operations opera-tions of these departments or companies, com-panies, or would reinsure the business busi-ness on the books in American companies. com-panies. All Are Protected. Even in the case of the existence "of a state of war under the 1709 treatv between Prussia and the United States the private property and civil interests of citizens have a long interval of protection after actual war begins, within which time busines dispositions may be made without prejudice. There has been little if any communication com-munication between American branches of German companies and their home companies for two years. The breaking out of the war in 1914 put all foreign companies under the strictest supervision of their branches in this country, pending demonstration of the possible pos-sible effect of hostilities on the parent companies. The American branches of all were at once put upon the segregated segre-gated and independent basis of American companies. JNo funds have been allowed to go out of this country to home offices abroad without permision of the insurance commissioners of New York and one or two other states where American Amer-ican branches are domiciled. The result is that all American branches have been strengthened rather than weakened by war conditions. |