European Stars And Stripes (Newspaper) - April 10, 1953, Darmstadt, Hesse                                Page 4 the stars and stripes Friday. April 10, 1953. V a i army explains role in setting of Auto insurance rates Usa eur states Competition is i. ,. _. A. A n k f u r t is us Reub insurance rates on privately owned automobiles Are set and governed by individual companies try thou control by Usa eur other than a determination that the rate schedule is consistent with the loss experience Usa eur announced a Headquarters spokesman As. Sorted that no attempt has been made either to influence or affect. I selective risk underwriting and emphasized that Usa eur has encouraged Competition in the.  zone s car insurance Field. It was pointed out that Selec Tive risk underwriting not at All uncommon May take numer Ous forms soon of which Are based on occupation age group or annual mileage this followed in the Wake of comment in Kew York City by representatives of three firms dome business in the zone that they have revised their rate Struc Ture Here to meet Competition on a fair basis. Deny discrimination representatives of the indemnity insurance co. Of North America the american foreign insurance Assn. And the Ameri can International underwriters denied their actions were discrimination against enlisted men or civilians. Although it has encouraged other . And foreign insurance firms to enter the Field Here the Only companies to meet established criteria Are the above three firms the Zurich general Accident and liability insurance co. And the United services Auto Mobile Assn. Usa according to the Usa eur spokesman. The usaa a Mutual Organiza Tion which for Many years has insured Only officers warrant officers and foreign service offi cers entered the local Field in -. July 1952 with a lower rate sched ule than the other four firms. Change in rates � on april i the three . Firms Selling to All classifications of personnel lowered their Vales for officers and increased them for enlisted men and civilians. The Zurich firm followed this pattern although it held the old rate for civilians. " the insurance companies spokesmen in new York defended the new rate Structure pointing out they have been losing Many policies to a new insurance com Pany in the Field apparently alluding to the usaa. They would have preferred a single rate Structure they Eon carried butt is sound business to establish a lower rate for a preferred risk once another company establishes the principle of occupational classes t la e spokesmen said. " views expressed in new York Chicago butchers defend sawdust Chicago up the local health department re treated tinder the protests o f butchers and said time honoured sawdust could stay on meat shop floors. Butchers raised a howl of pro test several weeks ago when the department moved to ban saw dust As unsanitary the butchers said sawdust on their floors was a Fine tradition As old As the meat Selling bust Ness. It keeps butchers from sep gig while carrying heavy chunks of  said. The City decided the sawdust could stay As Long As it s kept clean.",by Leon a Richardson of Aiu were echoed Here by local Aiu officials Henry Beekman and John Mclaughlin. Who said when they first went into opera Tion Are Why thought there would be one rate for every  officials said they protested the licensing of a company which would limit its policies to a Small group and told army officials they would have to meet the Competition by a Differentia Tion in their own rates. Survey on losses army authorities said it would be perfectly All right for us to set tip a differential in. Rates provided statistics sup ported the belief that a differential was in order the Aiu officials stated. Results of a Survey made by Aiu for the period of april 1. 195ju to april 2, 1952, according to the Survey turned into us a eur he with respect to third party liability was As Fol lows classification a neome i torn i asses. Premiums office Sand s4i3.6m m9.8w in Floo s125.0w the result amazed us Rich Ardson said. Our loss ratio for officers was 4s.8 per cent while our loss ratio for enlisted men and civilians was 119 per  in Frankfurt Mclaughlin said however that a breakdown for enlisted men and civilians was not available at the moment officials of the indemnity insurance co. And Afi in Frank Furt said statements made inner York by representatives of their respective firms summed up the  2 others concur Otto Schoeppler of the indemnity insurance co and a. M. Rothe of the Afi said their statistical figures regarding loss ratios and trends closely paralleled those of the Aiu. F. M. Tenbusch of the Zurich firm which is not changing the rates for civilians said our figures Are established by our Home office and naturally Are based on our own statistical find . E. Logan of the usaa said the usaa is dedicated to insuring its members at Cost which Cost is usually from 39 to 45 per cent below that of com Mercial insurance companies. Most of this saving is effected in Selling and administrative costs which average about 45 per cent of each Premium Dollar from commercial companies and Only about 12.61 per cent for usaa. No Selling cosh Selling costs a Titch absorb up to 40 per cent of the Premium in come of commercial insurance. Companies Are entirely eliminated. Such costs Are unnecessary for usaa because of its Loyal and cooperative membership and further because the carrying of liability insurance is compulsory in most areas served by the association. The lower Accident ratio of its officer membership contributes Only incidentally to the reduced Cost of the usaa  while they preferred not to set up a rate differential the insurance men in new York pointed to the precedent established in the states where rates for Drivers under 25 generally Are much higher than for More mature Drivers. Years lire years ago today peace was restored in Bogota As Colombia s conservative party president Mariano Opma Perez announced formation of a new coalition Cabinet composed of six conservatives and six liberals. Ten tears ago today soviet planes bombed Koenigs Berg capital of East Prussia. Costs Back Home compared to zone fees meanwhile. Usa eur released figures concerning registration of privately owned cars Aso february 1953. The total was 46,727 of which 22226 were owned Fay enlisted men is�45 by officers and 5,996 by civilians. In the period Between septem Ber 952 and february 1953 there were 1,968 accidents reported As serious incidents according to Usa eur. A breakdown on the accidents was As follows acrid ats per. To a officers s3 j.6 Kirifi is 9& 1c.1mea 1.g3s t3.7 Mamchi a Usa eur pointed out that registration of privately owned vehicles by military and civilian personnel is a privilege and that the Basic insurance requirement is similar to that required by most states at Home. This Basic requirement of bodily injury and property  commonly is known As  $5,000. Licensing terms Headquarters spokesman pointed out that Only responsible firms those Alyle to meet certain criteria Are licensed in order to insure that , personnel receive the service which they Purchase. Licensing agreements Between Usa eur and .-operated insurance companies Banks and commercial firms do not permit Usa eur to establish prices or rates for their products. Pur pose of licensing these firms is to protect us. Personnel in the zone against irresponsible firms a Usa eur spokesman said companies licensed by usar eur must comply with commonly accepted criteria such As proof of adequate financial assets proper Type policies find insuring agreements and a satisfactory. Claims organization established throughout Western Europe to guarantee efficient and prompt handling of claims a service the insured has every reason to expect. The ability to pay claims in dollars is also an important provision in regard to american personnel european firms apply during the past year usar eur licensing has been available to a firms regardless of nationality Able to Seet these require ments the Usa eur spokesman said. Subsequent to an article pub. Listed in the stars and stripes in february 1952 indicating that German companies were interest ed1 in entering the Field one dutch and two German firms made inquiry on this matter. 2 Mitchells Man manpower posts the is Washington bureaus Ashington the Man Power situation at the Pentagon is certain to become increasingly confusing As a result of a recent presidential appoint ment president Eisenhower named James p. Mitchell new York City department store executive to be assistant Secretary of the army in charge of manpower. Earlier. Defense Secretary Charles. E. Wilson announced the appointment of James m. Mitchell former civil service commissioner to be ii Ilian Dep Uty to John a. Hanaah assistant Secretary of defense for Man Power and personnel memoranda on manpower to and from Mitchell James a and Mit Chell James a Are certain to be mixed up. One German company made for Mal application and was approved. But its representatives declined without stating any reasons to sign the License and Start writing policies in the zone. German rates German Law established uni form rates and requires a Basic policy of 100,000 Marks to cover personal injury and 10,000 Marks on property \ liability according to horsepower. Coverage on. Some types of cars arc As follows bprent3tttv horsepower rate inv Klele filters Cadilac Over 150 167.14ikadse t8jiff Law 93.24 Csc Evelet to fold 60-m s,95 Nash 69-120 s.9j Morris Oxford 4is  20-39 s8j9 following Are prices quoted in parts of the ., according to two classes on s5,000/$lo,ggo/s5, 000 insurance. Class 1 rates Are applicable where an insured vehicle is not used in business and is Noi operated by a Driver under 25. Class 2 rates Are applicable where an insured vehicle is operated by a Driver under 25. In Manhattan class ,1$126 class 2$207. In Staten Island class is59 class 2s101. In Albany class 1sss class 2$151. In Newark . Class 1$75 class 2s123. In Hartford Conn class 1 ss4 class 2-$138. In Small Connecticut towns class 1$48 class 2$79. Usa eur termed in significant that one company formerly licensed by Usa eur voluntarily withdrew from the Field in March is52. A company representative stated that toe action was taken As a result of unfavourable loss experience and a statistical analysis that indicated the High loss rate steadily was rising. Started in 1946 when in 1944 it was decided to allow occupation personnel to operate privately owned vehicles in Germany the military authorities decided this could Only be done if All vehicles were adequately insured. Therefore the army first tried to interest Brit ish and other companies to provide this coverage. However the British refused and then the invitation was extended to the indemnity insurance co. Of North America and the american inter National underwriters corp. The first two insurance firms to operate in the . Zone of Ger Many were the indemnity insurance co. Of North America and the american International underwriters corp., which opened offices to the summer of 1046. They were followed by the Zurich firm in 3947. In late 1948 the firms cite ratio of losses in categories american foreign insurance Assn. Began business Here followed by the employers liability. Assur Ance ltd., a British firm in Early 1s60. The two original companies brat charged $70 for the Basic policy plus $10 for fire but reduced this almost immediately to $30 and paid a retroactive refund of $29 to All policyholders who had fold 180. The Zurich firm entered at Rales identical to the two other com panics. When the Brit in firm opened up on May 2, 1350, it charged 138 and this became i prevailing rate for the other jut companies. $30 hike in 1952 in july 1951 All five raised their rates to $30. In february 1952 the rates were raised to $80, and the British firm dropped out of the local insurance picture and sub sequently a company representative stated that it was convinced that even a rate of $86 was in. Adequate. In july 1932 the usaa opened up for officers Only charging 7j for the Basic policy. This firm recently announced 32 per cent1 dividend which when made wih in effect make the rate foe to fort past year about $48.50. The other three .-operated firms announced they would re Duce rates for officers and warrant officers to $63, but would Rais the rates to $90 for enlisted men. And civilians. The Zurich firm hat followed this pattern but a maintained the so rate Tor civil ians. As of april 1953, the usaa announced it was charging 63 Ike ears of ?1 horsepower or Moore and $50 for cars of under 61 horsepower. Astronomer sees two suns Johannesburg a a j uni binary two suns revolving round one another has bees Dis covered by or. W. S Firisen at Distant Union astronomer working at the Observatory Here. Finsen has been searching for two years and has examined stars twice Over. The binary was found in the Man s land of space which. Omers find difficult to search a life telescopes or Spectroscope a the new discovery will be used a measuring stick. The binary revolves in shortest known period of i years. Stars and stripes vol. Ii no. 3ss Friday april my managing editor sports editor. Stutt general manager Mai Warren  of distribution taxis h. Business afe Tager. Frank s. Of new Baron sad  of been also Klut or coition Lulam a Eucl 4fia. Acgsbklhrclrcusbioiv73l be Bajja news Bureau Nathan j. Margolin. 16-101003 Eire Raymond a. Patten Bifid 763&1. Plea Armav . Espe scan 53. Bonn Mew Bureau. Omer Anderson Lane 33603. Hejde Bung circulation John 6& Satz Cao Ort Lauon. Rat adore a  Bureau. Ernie been. 332s6. Clr Calason he Duchatelet 16&s. Tkjes1borculatloii. Phil pm. A z Joo a Raama Jinni Tauoa nor Ert pen. K-s3o44. Wiesbaden of saw 21149  . Stuart u Smitn 5651. To a Oropeza edition 1 Publ toed Azaliy at Many to the l & armed foes o 1a e r tote auspice of Fortai  and a Catlon div Lioti. Usa Reua x&30. The stars and stripes. Apo 115. . Amy. Btu � Tork office Ouid be Aat to a was Agton str to  publication of us us. Armed Force in fio Rooe. So obd Jass Natter sept 22. 197 at the Post office at Coder Tea act of March 3�