236
MINUTES
OF THE
1966 SPRING
MEETlNG
May 22-25, 1966
CAVALIER
HOTEL,
VIRGINIA
BEACH,
VIRGINIA
Prior to the formal convening of the business session on the morning
of May 23, there was a social hour at 6:00 p.m. on May 22, followed by
a buffet supper for early arrivals. Thcsu activities wcrc in turn followed by
a meeting of the Council convening at X:00 p.m.
MONDAY,
MAY
13. 1966
President Harold E. Curry called the meeting to order at 9:40 a.m.
The President introduced Mr. Thomas B. Rcdd, Rate Analyst, of the
Virginia Insurance Department. Mr. Redd brought greetings from Insurance Commissioner T. Nelson Parker and stated that the Commissioner
would be with us later to personally extend a welcome to the Commonwealth of Virginia.
Vice President Harold W. Schloss then took charge of the meeting.
He announced that any member could comment on the papers to bc
presented and was privileged to submit a written rcvicw thereof to be
printed in the Proceedings, contingent upon the approval of such review
by the Committee on Review of Papers.
The following new papers and reviews, and rcvicws of previous papers
were presented during the meeting although some were prcscntecl at a session other than the May 23rd morning session:
New Pcrpers nrd Reviews
( 1) Rnfal J. Balcarek:
Year Results.”
(2)
“Effect of Loss Rescrvc Margins in Calendar
Robert B. Foster: “Budgeting - A System for Planning and Controlling Expenses.” Reviewed by Paul M. Otteson.
Mr. Foster indicated he might want to comment on Mr. Otteson’s
review at the November 1966 meeting.
( 3) Frank Harwayne: “Insurance Cost of Automobile Basic Protection Plan in Relation to Automobile Bodily Injury Liability Costs.”
Reviewed separately by Ernest T. Berkeley. Donald
and Richard J. Wolfrum.
E. Trudeau
MAY
1966
237
MINUTES
(4)
Charles C. Hewitt, Jr.: “Distribution
Reviewed by James R. Berquist.
by Size of Risk - A Model.”
(5)
Jeffrey T. Lange: “General Liability
Insurance Ratemaking.”
(6) George D. Morison:
“1965 Study of Expenses by Size of Risk.”
Mr. Harwayne indicated he might want to comment on this paper
at the November 1966 meeting.
Reviews of Previous Papers
( 1) Walter J. Fitzgibbon, Jr.: “Reserving for Retrospective Returns.”
November 1965 meeting.
Reviewed separately by Francis J. Hope and Dunbar R. Uhthoff,
the latter review being read by James R. Berquist in Mr. Uhthoff’s
absence.
(2)
Philipp K. Stern: “Ratemaking Procedures for Automobile
ability insurance .” November 1965 meeting.
Li-
Reviewed separately by Stanley A. Dorf and James F. Gill.
(3)
Paul M. Otteson:
Casualty Insurance
1965 meeting.
“Some Observations Concerning Fire and
Company Financial Statements.” November
Reviewed separately by John W. Carleton (read by James P.
Jensen), Robert G. Espie (read by James H. Crowley), and
Joseph Linder.
Mr. Otteson commented briefly on these reviews and indicated he
would have further comments at the November 1966 meeting.
There then followed
Actuary” with panelists:
a panel discussion of “Management
And The
Stanley M. Hughey, Executive Vice President, Lumbermens Mutual
Casualty Company.
Seymour E. Smith, Senior Vice President, The Travelers Insurance
Companies.
David A. Tapley, Senior Vice President, Wolverine Insurance Company.
Herbert E. Wittick, President-General Manager, Pilot Insurance Company.
Upon conclusion of the panel discussion the meeting recessed for lunch.
In the evening there was held a social hour.
23X
hlAY
I966 hllNLll I \
TUESDAY, MAY 74, 1966
This session convened at 9: IS am. with Vice President Harold W.
Schloss conducting the meeting.
The entire session was devoted to the topic “Automobile
Plans” with the following participants:
( 1) “Historical
Review”-Paul
W. Simoneau.
Aetna Casualty and Surety Company.
Compensation
Assistant
(2)
“The Saskatchewan System”-Alan
C. Curry,
Farm Mutual Automobile Insurance Company.
(3)
“The Family Compensation Plan”-Robert
Nationwide Mutual Insurance Company.
(4)
“The Basic Plan”-Professor
Harvard Law School.
Actuary.
Actuary,
W. Griffith,
State
Actuary,
Robert E. Kc&on, Professor of Law,
Following the presentations by the panelists there was a brief opportunity for comments and questions from the floor.
The session recessed for lunch at the conclusion of the discussion and
in the evening there was a social hour and banquet.
At the banquet Commissioner T. N&on Parker of Virginia
duced to the gathering. In turn, Commissioner Parker introduced
orable Jess Dillon. Chairman of the Virginia State Corporation
sion, who gave an enlightening talk on the duties and unique
the Corporation Commission.
was introthe HonCommispowers of
WEDNESDAY. MAP 25, 1966
The session convened at 9: IS a.m. with Prcsidcnt Curry presiding.
After presentation by Mr. Hewitt of his paper “Distribution by Size of
Risk” and rcvicw thereof by Mr. Berquist, both referred to earlier in these
minutes, them was a continuation of the topic “Automobile Compensation
Plans.” This part of the session consisted of the presentation by Mr. HarWayne of his paper “Insurance Cost of Automobile Basic Protection Plan
in Relation to Automobile Bodily Injury Liability Costs.”
Following
this thcrc were two concurrent topics on the program:
(a) A panel and audicncc discussion on “Automobile Compensation
Plans and Costs” led by:
Ernest T. Berkeley, Actuary. Employers’ Group of Insurance
Companies
MAY
1966
M1NUTt.S
239
Donald E. Trudeau, Assistant Actuary, Travelers Insurance
Company
Richard J. Wolfrum, Actuary, Liberty Mutual Insurance Company.
(b) A panel “Handling the Substandard Property Risk”:
Frederic J. Hunt, Jr. (Moderator), Assistant Secretary, Insurance
Company of North America
Bernard H. Battaglin, Superintendent of Engineering, Western
Actuarial Bureau
Darrell W. Ehlert, Actuary, Allstate Insurance Company
Herbert J. Phillips, Jr., Associate Actuary Employers’ Group of
Insurance Companies.
At the conclusion of these topics the 1966 Spring Meeting was adjourned at 12 : 15 p.m.
For the purpose of the record it is noted that, at the meeting, the following 84 Fellows, 41 Associates, and 22 Guests had signed registration
cards to indicate their attendance:
FELLOWS
Aldrich, W. C.
Alexander, L. M.
Allen, E. S.
Bailey, R. A.
Balcarek, R. J.
Barker, G. M.
Bennett, N. J.
Berkeley, E. T.
Berquist, J. R.
Bornhuetter, R. L.
Cahill, J. M.
Crowley, J. H.
Curry, A. C.
Curry, H. E.
DeMelio, J. J.
Dickerson, 0. D.
Dorf, S. A.
Dropkin, L. B.
Ehlert, D. W.
Elliott, G. B.
Finnegan, J. H.
Foster, R. B.
Gillam, W. S.
Graham, C. M.
Graves, C. H.
Harwayne, F.
Hazam, W. J.
Hewitt, C. C., Jr.
Hobbs, E. J.
Hope, F. J.
Hughey, M. S.
Hunt, F. J., Jr.
Hurley, R. L.
Johe, R. L.
Johnson, R. A.
Kallop, R. H.
Kates, P. B.
Klaasscn, E. J.
Lange, J. T.
Leslie, W., Jr.
Linder, J.
Lino, R.
Liscord, P. S.
Longlcy-Cook, L. H.
MacGinnitie, W. J.
MacKeen, H. E.
Masterson. N. E.
McClure, R. D.
McGuinness, J. S.
McNamara, D. J.
Menzel, H. W.
Miller, N. F.
Morison, G. D.
Moseley, J.
Murrin, T. E.
Niles, C. L., Jr.
Oien, R. G.
Otteson, P. M.
Pefz,. E. F.
PhIllIps, H. J., Jr.
Richards, H. R.
Roberts, L. H.
Rodermund, M.
Rosenberg, N.
Rowell, J. H.
Salzmann, R. E.
Schloss, H. W.
Simon, L. J.
Simoneiiu, P. W.
Skelding, A. Z.
Smith, E. M.
Smith. S. E.
240
M1Y
1966
hllE;U'II4
FELLOWS
Tapley, D. A.
Trist, J. A. W.
Trudeau, D. E.
Valcrius, N. M.
Verhage, P. A.
Walsh, A. J.
Webb, B. L.
Wiedcr. J. W., Jr.
Wilcken, C. L.
Williams, P. A.
Wittick. H. E.
Wolfrum. R. J.
ASSOCIATES
Bell, A. A.
Brown, W. W.
Coates, W. D.
Cook, C. F.
Crandall, W. H.
Durkin, J. H.
Franklin, N. M.
Gibson, J. A. III
Gill, J. F.
Gould, D. E.
Greene, T. A.
Hammer, S. M.
Hanson, H. D.
Harack, J.
Hillhouse, J. A.
Jensen, J. P.
Margolis, D. R.
Markcll, A. S.
McDonald. M. G.
McIntosh, K. L.
Muniz, R. M.
Peel, 1. P.
Perreault. S. L.
Raid, G. A.
Ratnaswamy, R.
Ripandclli, J. S.
Roth, R. J.
Royer, A. F.
Ryan, K. M.
Scammon, L. W.
Scheel, P. J.
Scheibl, J. A.
Scheid, J. E.
Schuler, R. J.
Scott, B. E.
Singer, P. E.
Smith, E. R.
Steinhaus, H. W.
Stevens, W. A.
Strug, E. J.
Zory, P. B.
GUESTS
Battaglin, B. H.
Bechtolt, P. R.
Bickerstaff, D. R.
Black, K., Jr.
Bondurant, T. L.
Dillon, J.
Fox, A. E.
Grillith, R. W.
Hazelwood, D.
Keeton, R. E.
McSherry, H.
Murphy, S. W.
Nagcl, J. R.
O’Shea, H. J.
Parker. T. N.
Rcdd, T. B.
Reid, J. N.
Reiner, J. G.
Rothbart, H.
Sturgeon. P. K.
Trees, J.
Zubay, E. A.
Respectfully
ALBERT
submitted,
Z. SKELDING,
Scc,rrtcrr?l-Treu.rllr~~r