No Covenants for Assured to contribute towards Losses or to pay Calls. Capital Stock unquestionable security.

In case of dispute the Assureds have a more ready and effectual method of recovery than can be had against any Societies who do not act under a common seal.

Paragraph as to Engines, etc., as in London Corporation, 1734.

Corporation allow all reasonable charges attending removal of goods, and pay sufferer's loss whether goods destroyed, lost or damaged by such removal.

Larger sums and some of goods excepted in preamble may be assured by special agreement.

Notice respecting Life Insurances as in previous proposals.

Attendance daily at Office on Royal Exchange, and at their Office in Conduit Street near Hanover Square, Westminster, Saturdays in afternoon excepted. 17 January, 1776.

In 1808 the West End Office was at No. 37, Pall Mall, and in 1815 at 29, Pall Mall.

In 1793 the Corporations obtained an Act 33 Geo. III., cap. 14 to enable them and their successors to grant, purchase, and sell Annuities upon or for Lives, and to assume the name of the Royal Exchange Assurance Annuity Company.

In 1796 an Act was passed, 36 Geo. III., cap. 26, to enlarge the powers of the Royal Exchange Assurance Corporation, doubts having been expressed as to their power to insure elsewhere than the places stated in their Charter, and it enacted that they might insure anywhere within His Majesty's Dominions or elsewhere.

In 1801 they got a private Act, 41 Geo. III., cap. 57, to enable them to insure Vessels, Barges, etc., and Cargoes on Canals, Rivers, Lakes and Inland Navigation.

In 1811 there were printed

Reasons for Repealing the Exclusive Privilege granted to the Royal Exchange Assurance Co. and the London Assurance Co. of Underwriting Policies of Insurance against Sea and Enemies Risks.1

The Merchants feel that trade requires further facilities.

Royal Exchange insured in 1809.

Total Insurances effected in Great Britain.

Stamps in England and Scotland on Marine policies

of which Royal Exchange paid

3,905,755%.

2,250,000/ 162,538,900/.

348.592/. Is. 10td., 8,2097. Is. 3d.

4.729/. 15s.

17,1367. 8s. 9d.

No one can underwrite there who does not attend the Coffee House, and Merchants cannot.

Lloyd's had 1,500 members, but a great number had withdrawn.

The Friendly Assurance for Marine in 1809 were the proprietors of 83 Transports.

London Union Society for Marine in 1809 owned 100 vessels. The Loss Charges to members of these two Societies were much less than if they had insured their vessels at Lloyds.

In 1854 the Royal Exchange obtained parliamentary powers to consolidate the Capital Stocks under their several Charters. 17 and 18 Vict., cap. xi.

Mr. Edward Bird was for thirty-five years Manager of the Fire Department, and retired in 1865 after a service of sixty-three years. He died in 1871 in his 85th year.

When the Equitable Life Office was applying for a Charter in 1761, it was stated that in the forty years since the Royal Exchange obtained its Charter it had only received 10.9157. 2s. 2d. in Premiums for Life Insurance, and had paid 8,2637. 175. 8d. for Losses.

Their Life Assurance account is now very different. Premiums for 1891, 143,974; and the Life Assurance Fund, 1,875,854/

Whatever difficulties the Royal Exchange experienced in their early career (and considering the crash after the failure of the South Sea Company, they were many) were, before many years passed, overcome, and the Corporation has for a long time been in a most flourishing condition.

At the beginning of the present century the Corporation was able to

1 Brit. Mus., 717 m.

commence a system of adding to its capital out of the profits of the business, which resulted in additions, from 1807 to 1811 both inclusive, amounting in all to 587. 8s. per 100%. Stock, and they have since given to the Proprietors an extra dividend in cash of 100 per cent. on the 1587. 8s. Capital standing to the Proprietor's credit, and also distributed amongst them (by transfer into their several names in the books of the Bank of England) 3 per cent. Consols at the rate of 100 per cent. on the Capital Stock of the Corporation amounting to 2027. 12s. 7d.

So long ago as the year 1791 the Royal Exchange Assurance Corporation published a list of unclaimed dividends. One would think that there must have been a large number for the Corporation to have adopted such a course.

Such publication probably led to claims by the heirs of some of the deceased Proprietors, but certainly it did not relieve the Corporation of the whole of the Fund, for we find that the following claims were made in recent years. The Corporation very properly required the parties to prove their rights in a Court of Law, and thus obtained a legal discharge.

1883. 100/. Stock, value with unclaimed Dividends, 3 to 4,000, no claim for Dividends since 1725.

1883. 2007. Stock, value with unclaimed Dividends, 6,600/.

This Stock originally belonged to John Mitford who, with his partner Michael Merttins or Mertins, was concerned for and with several of the Bubble schemes of 1720.

It is stated that he was born at Bourne in Lincolnshire in 1693, came to town and was apprenticed to Sir George Mertins of Cornhill, Clockmaker, whose daughter he married. If such date be correct, he entered on his speculations at an early age. He evidently started in business as Banker with a Brother-in-Law. They were Bankrupts in Oct. 1720. He was in 1722 described as a Broker, we believe in Exchange Alley. In 1727 he was in Threadneedle Street, 1728 in Cateaton Street, and he died in 1744. He was a holder of 200. Stock in the Societies of Mines Royal, Mineral, and Battery Works, and thereby became entitled to 200/. Stock in the Royal Exchange.

Both John Mitford and Michael Mertins were for a short time in 1720 Acting Members of the Sun Fire Office.

1886. 20. Stock, value with unclaimed Dividends, 600/

Dividends

claimed from 1741. Original proprietor died 1744. 1886. 79. Stock, value with unclaimed Dividends, 1,400. Claim from

1723.

Probably there is some error in the figures reported in these last two

cases.

LONDON ASSURANCE CORPORATION.

In 1719 Lord Chetwynd (a member of an old Shropshire family) set on foot a project for carrying on the business of Insurance of Ships and Bottomry.

It was known as Chetwynd's Insurance

or

Chetwynd's Bubble,

but also said to have been known as Ram's. Insurance.

Application was made to Parliament for powers, and refused.

Several merchants who did not succeed in their endeavours to join one or other of the two Lists of Subscribers out of which the Royal Exchange was formed, resolved to petition the Crown for a Charter for Marine Insurance (Ship Charter, as it was frequently called,) for themselves, which led to the establishment of the London.

Lord Chetwynd having failed to obtain a Charter for his own Company, became the champion of the London in their application, nominally in opposition to Lord Onslow; but it has been stated that the two worked together sub rosa.

The petition for the Charter was, it was said, signed by a large number of French Refugees.

The Company obtained its Charter in 1720 under authority of the Act 6 Geo. I., cap. 18, and then Chetwynd's Insurance was transferred to the London.

Lord Chetwynd was one of the Lords of His Majesty's Household, and is supposed to have been nominated in the Charter as Governor of the London Assurance for the same reason as Lord Onslow was for the Royal Exchange.

The authorized amount of capital was 2,000,cool. divided into 80,000 shares of 25 each, of which at the present time 35,862 have been issued, and 127. 10s. paid up thereon.

It is said that in 1720 such shares with 127. 10s. paid rose to 160l., and then fell to 60%., then to 127., and at the end of 1720 were unsaleable.

Such was one of the results of the South Sea Bubble era; but in the course of forty years they had reserved 150,000l. from profits, and since that time the funds have by further accumulations of profits been considerably augmented.

The terms upon which the Charter was obtained, the amount promised to be advanced to Government, the reasons why only half the sum was paid, and the Acts 7 and 8 Geo. I. releasing the Corporation from further payments and from penalties, are the same as

are recapitulated under "Royal Exchange," and therefore are not repeated here.

In Daily Courant, 4 July, 1720, an announcement appeared that a Court had been held on 28 June at Salters Hall, and that the Company would attend at the Rising Sun, Broad Street, for business.

1719. Ram and Colebrooke each had a separate scheme for Insurance of Ships and Merchandize, which they seem to have united with a Capital of Two Million Pounds.

Ram had also apparently another scheme of his own with a Capital of 1,200,000/.

Whether Ram's Insurance for Ships (one or both) were taken over by Chetwynd's Insurance or by the London is uncertain. One statement says that Lord Chetwynd's Insurance was sometimes known as Ram's, another that the London was known by that name.

We have shown (p. 136) that the London had no connection with Sadlers Hall Insurance.

In August 1720 (see p. 156) the London were cautioned to keep expressly to the limitations of their Charter.

The Corporation seem to have experienced the same difficulties as did the Royal Exchange in meeting the liabilities they had undertaken for the purpose of obtaining a Charter. At their meeting in Nov., 1720, they stated that they did not make a call, but got relief from the Treasury. In consideration of the present pressure of money they obtained an acceptance of 11,000. cash, and future payments to be made in March, May and July.

One payment was due on the Plate Act.

The Fire Charter would have passed but they desired to have Ireland added.

The London in 1721 (29 April) obtained another Charter to enable them to carry on Fire and Life Business.

The Post Boy, 4-6 May, 1721, contained a similar announcement to that of the Royal Exchange in the same paper. Indeed the London advertisement was next following that of the Royal Exchange.

For the words "Royal Exchange Assurance" was substituted "London Assurance," and for the close the London stated: "The Court of Directors give notice that very speedily they will give out printed proposals for assuring according to the powers granted to them by their Charter.

It is clear from the difference in the wording of the two advertisements that the London Assurance did not (as Walford intimates) get the start of the Royal Exchange (see p. 157).

London Gazette, 9-13 May, 1721

The Court of Directors of the Corporation of the London Assurance give notice