LAPSING POLICIES

Hokitika Guardian, 30 July 1931, Page 7

LAPSING POLICIES

PLAN TO KEEP FARMERS’ INSURANCES ALIVE. UNION GUARANTEES. AUCKLAND, July 25. A scheme is being evolved by the Auckland executive of the Farmers’ Union to aid. those farmers who fear that owing to the lack of money they may he forced to allow their insurance policies to lapse. Air S. J. E. Closey, of the Farmers’ Union, said that many farmers had no ready cash and in order to keep their policies alive it was proposed that branches of the union should guar, antee premiums on satisfactory bonds being entered into by the farmers concerned. The system would enable branch members to co-operate with one another by means of mutual bonds and to continue the currency of insurance policies. The Auckland, executive had formulated the scheme, said Mr Closey, and various branches were now investigating the degree of need for it, and the number of farmers likely to require aid. Within a week they hoped to. have some definite idea of the likely demand for the scheme. Already several branches had reported the need for it. Mr Closey said that it was suggested that farmers requiring assistance should, pass their insurance policies into their respective branches which would make themselves, responsible for the payments of premiums until such time as the men concerned got on their feet. Mutual insurance was commonly practised by sawmillers, be said, where there were joint stocks of timber. It was just possible that under the scheme insurance companies might be willing to give the farmers lower premium rates, particularly if some concrete proposals were placed before them.