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Show Prepare for Unexpected Events Ih HiiIihihi's jit I i to liHsmr-i Mfii. . iiabion Park, Man July 2-1, 1925.' When Mr. Roer W. Babson was to- j day Interviewed (or bis reguiar weekly week-ly release, It was found that his mind "was focused on the Earthquake at , Santa Barbara, California, the building build-ing collapses in Kansas City and Boston, together with other nationally national-ly known disasters which have recently re-cently happened. Commenting on ilheiie .Mr. liabson spoke as follows: "The Santa Barbara earthquake, 'the building collapses at Kansas City I and Boston, together with other unfortunate un-fortunate events should not be passed by withoaiit some 'recognition. There are, of course, lessons to be drawn from such affairs which would apply to the various groups affected. These 'lessons suggest improvements in fire laws, building construction, insurance insur-ance regulations, etc. New legislation legis-lation of some kinci aiways follows teuch event j and all such disasters have resulted in improved conditions in many line. As illustrations, it is much safer to travel on a railroad or steamship line after a wreck; insurance in-surance agents do a wonderful business busi-ness after a conflagration; people always al-ways take a greater care of their health after they have been sick, flusiness men, however, have failed " lo profit by the fundamental moral Jesson which these disasters present. I refer to the need of always being prepared for unexpected events. "The business man and investor should not Took upon disasters as Fomething out of the ordinary, but should consider them as nominal events. This not only means that we should insure against all misfortune misfor-tune possible, but it means that we should always sleep with one eye open, so to speak, and expect trouble. Business lien Should Carry All Insurance Possible "For this reason I strongly recommend re-commend that business men carry in- ' snrance of every nature possible, especially es-pecially business .men who are borrowing bor-rowing large sums of money. Certain Cer-tain public utilities have taken out earthquake insurance during the past ' eek and such a step is entirely logical, logi-cal, especially as the cost does not come out of the stockholders. The various State Commissions allow insurance in-surance of all hinds to be charged to the cost of service, and -are willing to allow rates to be fixed to cover ; l h insurance as well as other expenses. ex-penses. Therefore, thct directors can pass the cost of such insurance directly on to the consumer. This means that, the earnings of the company com-pany wili continue as large as ever, v hile at the same time, if a diaster should happen, there would be no lo:s to the stockholders. More Cosn-ago Needed Today In Business "A few days ago a great event was celebrated at Cambridge, Massachu- setts, the taking command of the Continental Army,-one hundred and' fifty years ago by George Washing-! it en. President Coolidge honored j the celebration by his presence. While talking today with a group of business men about the conditions! surrounding the business man today! compared with the business man of RevoTutionary Times it was brought out with what greater security a man can conduct a business today than formerly. One hundred and fifty ' .y.Mrs ago business was made up al- I n.oit wholly of risks. First, there was a great political .risk of a pos-j s'hle failure to whip England in which case England would practically , confiscate all business iu this country. Then there was a constant fear of being wiped out by the Indians who uere incessantly raiding the outskirts out-skirts of our cities and towns. Shipping, Ship-ping, also, was almost wholly a matter mat-ter of risks; not only were there no navj-ation charts. lighthouses, etc.. but the s?a was full of piriates. Kence the business man of that day y.as constantly beset with risks thst lyve do not have to consider. One hundred and fifty year? s 0 there' was no way to injur? aeair-.t r'sks. 1 There v.a; no sucV r'Sir.'g us marine-insurance, marine-insurance, and fire insurance was just djeing started. I.Jiave in m off.ia .'an iron sign that the first American fire insurance comapnies put out on i "1 -,J - he -buildings they insured, such houses being treated as great exceptions excep-tions as compared with all others. "The constant foar of trouble during dur-ing the early days of our national existance developed the typical Yan-I Yan-I kee v.-hose character w-as largely tha ; fcundation of American bnsine33 thrift, courage, and initiative.. Although Al-though I believe in the elimination o: risk by legislation end other means, and the insurance against risks when they cannot be ilimlnatsd, yet, I feel there is a ceratin Icis in character development by having aii risk eliminated. Too much success makes business men careless, indifferent, in-different, and soft; whereas risk develops keenness, courage, and watchfulness. Present day condi-tioas condi-tioas probably develop timidity ac-,::aipanied ac-,::aipanied by an un7.-iilin,Sness to icr-at-ch and fight. 95 per cent of J the business men of today would be practically lost if obliged to do business busi-ness under.the conditions prevailing I in Revolutionary Times; while today one of those eld Saiem privateer' '. -.d:-, were to come Into our community com-munity or industry he would clean out all the competitors! |