GOVERNMENTAL REG! LATIONS. The discussion of the advisability of Government ownership and management of the insurance business belongs in the general article on INSURANCE. So far as lire insurance is concerned, there have been lint few experiments in that direction. Such Govern ment tire-insurance offices as have been estab lished, chiefly in Prussia and Switzerland, have operated over so small a territory that their experience is of little value. They have lacked one of the chief supports of an insurance office— the increased regularity in the proportion of losses to risks which results from bringing many risks together in one company. In all parts of the civilized world governmental super vision and regulation of private companies is the general rule in the insurance business. In the United States each individual State exercises supreme authority over the business within its own territory, as the National Government has as yet made no attempt to regulate it. The re sult is a great deal of diversity in the laws to whieh companies operating in a large number of States are subjected. Nearly all these laws have been passed in the real or supposed interests of the insured. A few relating to taxation have -been passed for the purpose of raising revenue. Reference has already been made to certain spe cial laws in force in a comparatively small num ber of States; viz. anti-compact laws, valued policy laws, and anti-coinsu•ance laws. It re mains to notice a few of the more common pro visions of the different States. In nearly all
States it is necessary for a company desiring to do business within its borders to secure a license from the proper State official. In some States it is necessary for a company from without the State to make a deposit for the security of policy holders within the State. It is sometimes neces sary for agents to secure licenses to solicit busi ness within the State. In nearly all States com panies are required to make annual reports, and to submit to examination by the proper State official whenever he deems it necessary. In most States they are required to maintain a reserve sufficient to reinsure all outstanding risks. All States tax fire-insurance companies (certain mutual companies are exempted in some States), and sometimes is discrimination in taxation is made in favor of domestic companies against those from outside the State. In many States a 'reciprocal' law is in force with regard to taxa tion and the conditions of entering the State that is. the law of the State pros-ides that a com pany from any other State. desiring to enter its borders, must meet the same requirements as the State in which the company is chartered im poses upon other State companies. The great diversity of the regulations adopted by the differ ent States points conclusively to the desirability of national control of the insurance business through Congressional legislation.