31 MAY 1935, Page 2

The Uninsured Insured There are many questions relating to insurance

com- panies which require investigation ; but there is a special need for legislation in regard to companies which insure against motor accidents, since motorists are required by law to take out third-party liability policies. An example of the lamentable results of the failure of the London General Insurance Company came before the Courts last Monday, when it was shown that a young clerk, though insured, was unable to secure payment of £1,000 awarded to a lady whose husband had been killed in consequence of his negligent driving. The widow lost most of her money, and the defendant found himself obliged to surrender weekly one-third of his wages. There is an urgent need for regulation and control of insurance com- panies dealing with risks of this kind. To questions put in the House of Commons last Monday Dr. Burgin said that legislation was being actively considered. It would not be unreasonable to require insurance companies to give special, and periodical, proof of financial stability.