PROPERTY VALUE INSURANCE.

Taranaki Daily News, Volume XXXXV, Issue 1, 2 January 1903, Page 2

PROPERTY VALUE INSURANCE.

A BRILLIANT PHOJEOT. Osa of the prominent features of the present age is the remarkable atd comprehensive way in which tbe demand for insurance has be*n met. Ic has, however, been reserved for Messrs (Jallaghan and Co,, the well-known land agents, to conceive and evolva a scheme whereby purchasers of land aod all those having dealings with land securities, such aa mortgagees, bankers, etc., can be assured against any depreciation in values, thus enhancing the marketable nature of this important diss of property. It is a scheme that will be far reaching in its effect, and Me-srs Oallagban and Oa. deserve the greatest credit for the brilliant idea, and for tbe careful and found bisis on which tha scheme has been built up Take, Lr instance, the much-vexed question of the real mirket value of land - a matter on which si-called expert evidence is mostly at considerable variarc®, being frequently so unreliable that ordinary investors may well be afraid to ppaculate on what appears to b) an unascerfcainable asse*. By the system cf insurance now under review a'l doubtful elements in land values are eliminated. In tbe first place, b-fore any insurance is effected tho property in qu- siion is valued by a practical exp*rt, having an actual knowledge not only of every parcel of land in the town and district, but v acqu«inted alsj with those collatetal circumstances wh eh have to be considered in moat c?s s. Whether or tot the insurance is (ffected, the person obtaining this valuation is asiurtd as far as is humanly possible as to the worth ot the land so valued, and on the price namsd in the report he can for a nominal turn insure that he will get that price if he wishes to realise, and should he be unable to sell at the figure 'named the company will take ovtr the land at i'% face value, or make good any deficiency. Two objects are thus attained, namely, the minimum value of the property is fixed so that the owner may ki.ow what he is worth, and his possession becomes a marketable asset for an amount as to which the holder is in no doubt. Taat such a rchame meets a great want of the day must be apparent, and its effects should be immediately felt. One of its advantages is that it puts an end to fictitious values and boom?, while it promotes that st'ady fliw of investments in lacdsd property which assists the development and en - hances the prospari y of a district like that in and around New Plymouth. As Messrs Oallagban and CVop*r?y nr<9 not dealers in land but merely agents,, they have no in'erests to serve exosp those of their clients, so that the insurance scheme is entirely for the beoefiof their principals—those buying and selling land—and as they have an unique reputation for acting solely in their clients' interest, so* far as profits are coccarned, being content with legitime e agency commission for themselves, th«y may will bs trusted to carry outtbis excellent scheme with the best results for these actually deal ing in real property. No matter through, whom l»nd is acquired the purchaser can have a valuation and f ffiicfc an insurance. Thnt the scheme is a sound one may be guaged from the fac 1 - that it has the beirty approval of promineat men, and Messrs. Oal'aghin and Company will be in a position to take rifks up to £IOO,OOO. From the ouiine of the scheme which we have seen it is an exceptionally well thought out one on new and sound lin s and premises to be of incilau'abla value to the public. Land insurance shoul) now b-come more universal than fire insuranca, especially as the premiums *ro so fmall, the valuation fees b'inp fixod on such a mode-ate ecale thi' tvrry property owcer would be wise to avail himself of this medium for knowing his true financial poei ion.