AMERICAN INDEMNITY COMPANY GALVESTON, TEXAS Examined to ascertain condition on admission. Examiners: C. A. Wheeler, John E. Watson. History This company was incorporated under the laws of the State of Texas in April, 1913, and began business May 15, 1913. The organization was completed without promotion expense. The present capital consists of 6,000 shares of the par value of $100.00 each. The number of shares owned by directors June 30, 1919, amounted to 3,796. The original issue of stock and the issues of 1914 and 1916 were sold at $133.33 per share, and the issue of 1919 at $186.6% per share. The entire capital is invested in the class of securities required by section 16 of the New York Insurance Law covering minimum capital investments. Charter and Amendments Under its original charter the company was authorized to transact the following lines of business: Accident and health, employers' and public liability, workmen's compensation, burglary and theft, plate glass, steam boiler, sprinkler, automobile damage, credit, title and mortgage guarantee, fidelity and surety. In January, 1917, the charter was amended, enlarging the authorized purposes to cover automobile, fire and theft insurance. In June, 1918, the charter was further amended to permit the writing of marine and war risk insurance. The company proposes to amend its charter to become operative as of September 15, 1919, confining its rights to the lines of business provided for in subdivisions 3, 4, 5 and 9 of section 70 of the New York Insurance Law. Agency Organization The company operates under a combined general agency and branch office system, and is now maintaining branch offices in the following cities: City Baltimore, Md. Detroit, Mich.. Houston, Tex. Jersey City, N. J. Manager S. L. Bachrach M. P. Ivey Geo. A. DeVoe. E. R. Randall The standard agent's contract used by the company provides for all allowances and specifies the maximum commissions allowed on the various lines of business. While a contingent commission based upon profits is allowed in some instances, no such commi3sion has ever been earned or paid. Classes of business written The company is now writing automobile liability, property damage and collision, teams property damage, public liability, burglary and theft, fidelity and surety business. Marine, plate glass and automobile fire and theft insurance is also written, but will be discontinued on entrance into New York State. Territory The company is licensed to transact business in thirty-two States. Ledger Assets Mortgage loans on real estate.. Loans secured by pledge of bonds, stocks or other collateral.. Book value of bonds... Book value of stocks.. Cash in company's office... Deposits in trust companies and banks: On interest Not on interest Cash in branch offices.. Premiums in course of collection: $522, 288 43 71,800 00 $961, 538 96 8,779 99 970, 318 95 $3,748 12 77,673 70 62, 977 38 144, 399 20 1, 500 00 Special reserve for unpaid liability and workmen's compensation losses Unearned premiums Commissions on policies effective on and after April 1, 1919.. Salaries, expenses, bills and accounts due or accrued.... Estimated amount hereafter payable for federal, state and other taxes, based upon the business of the year of this statement Interest paid in advance on collateral loan. $166, 961 54 259, 614 02 488, 378 55 71,590 74 6,282 56 11,872 15 822 22 Upon the original issue of its capital stock and upon the subsequent increases thereof, there has been $319,999.98 directly paid into surplus by the stockholders, and a further contribution to surplus has at one time been made by a reduction of $200,000 |