FIRE INSURANCE.

Dominion, Volume 7, Issue 2197, 9 July 1914, Page 4

FIRE INSURANCE.

[RISKS IN EXCfISS OF VALUES ONIS ON Ti'E ASSURED An i <i ipstion iclatiio i) file i.itMi.uiit' bii'i'njs wa<- ;uit to t!io !■'<» I "'I H I'l-ivr in tin- I'oiiso .it I!■ <prt-u.tallies jutirdav tn Mi. 'I' Jluvton I J! i H-'iton ask->d tho Minuter I'lWiulKr in- i II consi<J<r the i<l\ i-,-lobiiiti oi brjngmj; 111 lobulation .« ooinpel ii •.ur.itico companies business i'i jNiim Zealand ti p. > <mt tlm full fact' lU.luo-if ai,\ jxli \ ,(>siioii, tho\ liaimg a'ri|itvil pa. men* of pioimuui for the I amount >.ci iort!i <•( inch nolicj. slioald tli' pioperty vi co-,erod hi aiij insurant o ..on p-iiij 'jo totallv destroyed In iiro .nd tlio injured not dcsno the propel ty to bo icstoiod or replace I, but 1 in Ii > paid in essli as purchased b- prei iniinn paid-" "It is ttpJi kiunii," ho ' Mid, ' tli.il homo companies doing Im-i----i noss in Now Zealand cor.ipeio 'mfairlj t hj accepting risks m excess cf actual niMii lblo saluos roiling or d"sp Imp; i tliinib and gi Uing a settlement on a I reduction of the clai'ii index tlio pohc\, for which full premiums mij ha\o Leon | paid for ton or twonti jears, and, fiirtlior, where a rediif tiou of tlio claim lias been r.gi.ed upon no rotvrn of prc'nmiii is ui"de."

I Mr Fisher (Minister in Charge of the l State Tire Insuianep Office) repliodi 'Tiogislrunn in the direction suggested I would bo in d'leet antagonism to tlio j miner-iill; '.cognised aid fundamental principles of hm insurance A fi r o pollij is a'l ludcriiuti agupst loss on the I r ,ir of tlio assured, end no one is enj titled to obtain a slip greater thcr I tlio actual /aluo of property destrojed \b\ fire Tile owner of proyrtj is in the first instance rcspoi.-iblc f or th" <>\oossuo insurance, as it i= he 'alio asks for tlio amou it a.i'i places tlio 1.11110 01. the properb- If alter the polici- is tako.i cut the vaho of tho propart} doorcase:., thru it is again the 1 dutv of tlio paiicy-l.olc'cr to notifv the ] insurance, co.npinv and haio a rerircnon made r.u tl.o amount oi -coier and 1 th" rniornt of prem.ium paid If each j insurance oonw.n) woie 10 ho called I ii|K)ii to make freque.it 'iisp'otions and nlintion 1- of uidmdiH rrks, '.t could on.v he done In materially increasing ihe rate of premiums charged 01 account of rhe very largo exnenso inlohcd, and oven then it would be quite impossible to keep control of ' aluoi, tl.o (consequence of \ inch woald bo that in j nnns cases a dire.t incentive to inceni diarism ..ould he oFered "