CHAPTER II. COMPANY OF LONDON INSURERS commonly called the SUN FIRE OFFICE Company by Deed of Co-partnership dated 7 April, 1710. IMMEDIATELY on the transfer of the Exchange House Fire Office by Povey to the Company of London Insurers they started the British Mercury, in lieu of Povey's General Remark, and in the number for 27 March, 1710, there was inserted (according to Timperley1) an advertisement as follows: In a few days the Company's policies will be ready and delivered gratis to all persons who had subscribed to the Exchange House Fire Office, and continue to insure their houses or goods from loss by fire with The Company of London Insurers, they only paying their quarteridge as usual. It must not be presumed from this that the Exchange House Office insured Houses. We imagine that the insertion of the word "Houses in the advertisement was merely deemed to be the easiest mode of informing the public that the Company was prepared to insure Buildings as well as Goods. On 7 April, 1710, the Deed of Co-partnership of the Company was executed. The preamble stated that the Company of London Insurers had set up an Office of Insurance, named the Sun Fire Office, within the Cities of London and Westminster, and the Liberties thereof, and proposals have accordingly been published (we have no knowledge of such), also that there was a further design to extend the Insurance into all parts of Great Britain and Ireland. Now for the better maintaining and carrying on and establishing the said Sun Fire Office upon a lasting and sure foundation, in consideration 1 Dictionary of Printers and Printing (Typography), p. 595. of 20%. paid by each Member, in part whereof the receipts formerly given by Charles Povey to any Member for 20%., more or less, for setting up of Offices for Insurance in 100 Cities and Towns are admitted as good payment, it was covenanted I. Those who seal and deliver these presents shall form the Company, and shall never exceed 24 distinct persons. If any right or interest of any Member shall devolve upon a female or infant, she or it shall depute some one to act instead, so long as she or it is owner of such share. This only happened in one case, and as soon as the Lady (widow of a former member) sold her Share, her son, who had acted for her, retired. 2. All losses to be equally borne by Members, share and share alike. Necessary charges and expenses to be similarly borne. Calls to be made when required. 3. Profits to be equally divided amongst the Members. 4. Regulations as to Meetings, making of Bye-Laws, infliction of Fines, etc. Regulations respecting Committees - appointment of Treasurer, and of one of the Members as Secretary to the Board.1 5. No right of survivorship. Power to transfer shares. There was evidently some delay on the part of a few Members in signing the Deed, for on 17 May, 1710, it is recorded All persons who designed to be concerned as a Member of the Company to declare their positive intention, and actually sign the Writings and pay their money or transfer by this day 3 weeks, or else they be absolutely excluded from all benefitt whatsoever and notice hereof be given them by the Clerk. Immediately after the signing of the Deed of Co-partnership, the Company set forth its proposals for Insuring property within the Bills of Mortality of London. They were dated 10 April, 1710, but underwent sundry revisions between that date and the 16 August following, and it is only a copy of such last corrected edition that we are able to furnish (see Chapter IV., Proposals). We think it most probable that they were based upon the proposals of the Exchange House Fire Office, if not actual copies thereof. The Secretary to the Board here mentioned attended all Meetings of the Members or Managers, and the carrying out his Instructions was entrusted to the Head Clerk. The Sun appointed an Office Secretary in later years, and the Secretary to the Board was generally called Managing Director. The Executive Officer being designated Clerk still continues with the City Companies, Christ's Hospital, St. Bartholomew's Hospital. The District comprised within the Bills of Mortality was as follows: "The housing which stand Upon the 97 parishes within the Walls of London. And the 6 parishes of Westminster. 14 out-parishes in Middlesex and Surry contiguous to the former. All which 133 parishes are comprehended within the weekly Bills of Mortality." In the January following the Company extended their range of operations to all places within 5 miles of London and Westminster. Under date 30 August, 1710, proposals for the Country were set forth, to be used by the Agents (see Chapter IV.). They most probably were the outcome of the meetings in December, 1709, and like those for London, based upon Povey's proposals. Each of the sets of proposals (Town and Country) had appended to it the Form of Policy which the Company intended to adopt in connection therewith, and there is no other record existing of such Forms (see Chapter VI., Policies). This first contract with the Insured was to pay their Losses 500/. conditionally, i.e. up to If there be a sufficient Sum of money in Bank to satisfie all the Claims that shall happen that quarter or a proportionate share according to the exact tenor of their printed proposals dated the 10 April, 1710. By those proposals Is. shall be reserved out of every Quarteridge which shall be received both in London and in any part of Great Britain, which in the whole will amount to a very considerable Sum, much more than sufficient, according to an accurate computation, to make good each Sufferer's whole Loss and Damage. Article 8 of the proposals says— The money reserved shall be equally divided among the Sufferers in proportion according to their respective Losses not exceeding 500l. each Policy. In case of an insufficiency of funds to meet claims, Article 2 was very explicit as regards the other Insured. No person insured shall ever be liable to make any farther payment or allowance towards repairing the Loss and Damage of any Sufferer. And there was nothing in the policy pledging the 24 Members to make good the deficiency. So far as we have been able to discover, the question never arose. In 1730 the Members declared that the security of this Office was at first so well concerted as to enable ever since the most punctual discharge of all demands on the same. Where no Loss happens then the whole Sum to be lodged in the Bank of England till the next Fire, and that every Sufferer may be sure to have the whole Sum reserv'd in Bank he or she may peruse the Policy Book kept at the Office, where the Number of Policies delivered out will appear, and consequently the Sum reserved in Bank for payment of Claims. The only information respecting the action of Povey with respect to the reservation of Money out of Quarteridges for payment of losses is that at p. 273, where it is stated that Povey delivered up 157. reserved for the claims. We therefore presume that the Company of London Insurers followed the practice of Povey in this matter. How long the arrangement respecting the partial payment of Losses, if the Reserve Fund was not sufficient, continued, we have no evidence. We are disposed to think that the change was made in 1715, in consequence of the proceedings stated below, though it might have been only in 1716, arising out of the observations of the Union in their Broadside of that year (see p. 101). The next form of Policy within our knowledge is one preserved in the Office, which was in use in September, 1716, wherein it is stated that the Company bound themselves to pay and satisfy the Insured's Loss not exceeding the sum of Five hundred pounds, without any reservation such as in the Policy of 1710. Walford is in error in supposing that the first Form of Policy continued in use until 1726. In the proposals of March, 175, Article 8 was altered by the substitution of the words, "shall be paid the sufferers," for "shall be equally divided among the sufferers." The Reserves from the Quarteridges proved in a few years' time to be insufficient to pay the Claims, and the Acting Members advanced any sums required, and were recouped when money came in. The Business being at the Care, and Expense, and Charge of the 24 Members, and the Balance of Quarteridges not always proving sufficient to pay Expenses, the Members had to pay the deficiency, and we find that by 1715, in consequence of dreadful fires, they had each paid several hundred pounds out of pocket, and having resolved to raise a sufficient fund to answer all claims for loss, they made arrangements for the payment of further sums by themselves or by others on their behalf, for supporting the Office and securing the Insured. In that agreement the Members expressed a desire to preserve the reputation, character, and credit of the Company in opposition to any new pretended Office or Offices for insuring Goods or otherways, already or intended to be erected and sett up. No doubt this referred to the establishment of the Union in 1714, and possibly there might have been rumours of the proposed establishment of the Westminster. The Amount of Reserve or Fire Money was increased in 1720 from Is. to a moiety of the Quarteridges. The following advertisement is illustrative of the manner in which the business was conducted : - British Mercury, 244, 15 Oct., 1711. From Sun Fire Office next Amsterdam Coffee House, behind the The Company of London Insurers give out Policies for the Insurance of Houses and Moveable Goods from all Loss and damage by Fire according to their printed proposals, which they have ordered to be distributed gratis at the aforesaid Office, where any persons desiring to be insured may leave or send in writing their names and places of abode, and the Company's Servants shall apply to them, and bring Policies to be filled up in their presence, and the mark put upon their houses. Quarterly Court last Tuesday. As no demand for Losses the money still reserved. As early as 7 June, 1710, a Josiah Freeman, Coffee Seller or Coffeeman, at Stratford-on-Avon, was appointed Agent--the first appointment made-and he was to try for business in This arrangement was "dissented from" by Mr. Freeman the next day, and therefore we presume he did not act as Agent. The introduction to him had evidently been his proposal for Insurance on his Goods, which was, we believe, the first Country Insurance. effected. In July, 1710, there were negotiations for the appointment of an Agent at Bristol, but they proved abortive. In October it was ordered that Agents were to be appointed, but apparently the Resolution was a dead letter. Very few Insurances for parties in the Country were effected during the earliest period of the Company's existence. In 17 two Insurances on property in the Country, the policies referring to the Town proposals, were allowed to be continued until pro |