THE GOVERNMENT'S INSURANCE SCHEME.
[To TILE EDITOR or THE "SFECT1TOR.1 Sin,—Possibly before these lines are in print matters may regulate themselves, but in the meantime to say that the Government's present war risk scheme is working well would be incorrect. Many valuable days have been lost. Foodstuffs are not coming forward. Owners are unable yet to move their steamers, but even when their war risk arrangements are made, owners of goods abroad cannot ship their supplies until the question of premium to cover their war risk is settled. The ship and the cargo are one so far as the nation are concerned, and from this point of view should the Government consider the matter. One or more steamers at Cape Town with cargoes of tinned meats and other foodstuffs from Australia are still waiting for an adjust- ment of premium. Many must be ready in the River Plate, Australia, India, Canada, United States, Denmark, Holland, and Norway. And these are the important days in regard to consumable goods. Why the Government did not immediately maxima the full war risk on ship and cargo is still to be explained. Had they done so, practically all British boats not required by the Government would now be in commission, for it did not require a single clerk or an extra sheet of paper to carry on the maritime trade of the country so far as the war is concerned. A simple announcement that the Govern- ment would assume, without premium, eighty per cent. of the British hull war risk, and the full war risk on cargoes in British bottoms, would have been sufficient. With eighty per cent. of the hull war risk no shipowner is likely to find fault, for the reason that underwriters usually insist on a slightly higher valuation of the hull for general average reasons than what, say, the owner would be prepared to accept were he selling the vessel. The position of the neutrals is more difficult. To enable them to move it would require a guarantee from their Governments to our Government, and for our Government then to assume the war risk. A considerable amount of our Continental trade is carried on by vessels flying the Swedish, Norwegian, Danish, and Dutch flags; therefore if we want their foodstuffs we should take the risk. The nation should pay, not the individual. It is for the good of all in this country that the seas should be kept open, and only by keeping the seas open can supplies come and normal prices be secured. Is it too late to adopt the editor of the Spectator's recommendation to
the 1907 Commission am, Sir, /sc., New Brighton. LIVINGSTONE HOLMES.
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