v^ Registry No. 1730—04 NATIONAL RECOVERY ADMINISTRATION PROPOSED CODE OF FAIR COMPETITION FOR THE MUTUAL FIRE INSURANCE AUTOMOTIVE MUTUAL INSURANCE AND MUTUAL CASUALTY INSURANCE INDUSTRY AND AFFILIATED ORGANIZATIONS AS SUBMITTED ON AUGUST 31, 1933 UNiV. OPT! U.S. DtLVU-^'-^'T^- The Code for the Mutual Fire Insurance Automotive Mutual Insurance, and Mutual Casualty Insurance Industry in its present form merely reflects the proposal of the above-mentioned industry, and none of the provisions contained therein are to be regarded as having received the approval of the National Recovery Administration as applying to this industry UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1933 For sale by the Superintendent of Documents, Washington, D.C. Price 5 cents Submitted by FEDERATION OF MUTUAL FIRE INSURANCE COMPANIES NATIONAL ASSOCIATION OF AUTOMOTIVE MUTUAL INSURANCE COMPANIES NATIONAL ASSOCIATION OF MUTUAL CASUALTY COMPANIES (11) CODE OF THE FEDERATION OF MUTUAL FIRE INSURANCE COMPANIES, NATIONAL ASSOCIATION OF AUTOMOTIVE MUTUAL INSURANCE COMPANIES, NATIONAL ASSOCIA- TION OF MUTUAL CASUALTY COMPANIES, AND THEIR AFFILIATED ORGANIZATIONS The jjrovisions of this Code shall apply to all the member com- panies of the Federation of Mutual Fire Insurance Companies, the National Association of Automotive Mutual Insurance Companies, the National Association of Mutual Casualty Companies, and their affiliated organizations. All these organizations and their constitu- ent companies, being in sympathy Avith the spirit and purpose of the National Industrial Recovery Act, present this Code to the Presi- dent to forward the program leading toward the economic and busi- ness recovery of the United States, the necessity for which is stated in Title I, Section 1, of the Act. Article I The Federation of Mutual Fire Insurance Companies, the Na- tional Association of Automotive Insurance Companies and the Na- tional Association of Mutual Casualty Companies affirm that they impose no inequitable restrictions on their members and participa- tion in their activities and that they are truly representative national associations of fire and casualty insurance companies operating on the mutual plan. The membership of the various organizations above named, in whole or in part, maintains, supports, or subscribes to insurance rat- ing, inspection and audit bureaus, associations, engineering services, testing and inspection stations and laboratories, arson investigators, loss-adjustment bureaus, and patrol or salvage corps cooperating with municipal fire departments, all of which come within the pur- view of the Code. The operation of the business of fire and casualty insurance and its allied activities are rigidly controlled by the laws of the several States which are not rescinded or set aside by the National Industrial Recovery Act. Nothing herein shall obligate the companies mem- bers of the above-named organizations to any action, agreement, or understanding prohibited by the laws of any of the States. • Article II — Labor Provisions Section 1. (a) Employees shall have the right to organize and bargain collectively through representatives of their own choosing, and shall be free from the interference, restraint, or coercion of employers of labor, or their agents, in the designation of such repre- sentatives, or in self -organization, or in other concerted activities for 9677 — 33 (1) the purpose of collective bargaining, or other mutual aid or protection. (b) No employees and no one seeking emplo^'ment shall be re- quired as a condition of employment to join any company union or to refrain from joining, organizing, or assisting a labor organiza- tion of his own choosing ; and (c) Employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, ap- proved or prescribed by the President. Sec. 2. Child labor. — After August 31, 1933, no person under six- teen years of age shall be employed, except that persons between fourteen and sixteen j^ears of age maj^ be employed for not to exceed three hours a clay and those hours between 7 a.m. to 7 p.m. in such work as will not interfere with hours of da}^ school, provided, how- ever, that where a State law prescribes a higher minimum age no persons shall be emploj^^ed in such State below the age specified in such law. Article III — Hours or Emplotment Section 1. Not to work any employees engaged in the business of insurance, except outside representatives consisting of salesmen, solicitors, agents, field representatives, claims men, inspectors, serv- ice engineers, adjusters, appraisers, collectors, pay-roll auditors, raters, and emploj-ees handling mortgages and real estate for more than 40 hours in any one week. Sec. 2. The maximum hours fixed in the foregoing paragraph (a) shall not apply to employees in a managerial or executive capacity and to their technical assistants who now receive more than $35.00 per week; nor to guards and watchmen employed to safeguard securities; nor for an aggregate period not exceeding eight weeks in any one year to employees on emergencj^ work incident to the preparation of annual statements or special data required by the respective states in their supervision of the insurance business; nor to extra work in offices on account of an unusual number of loss claims; nor to special work where restrictions in hours of highly technical workers would unavoidably hamper operations. Article IV — Wages Employees engaged in the business of insurance shall be paid not — 1. (a) Less than $15 a week in any city of over 500,000 popula- tion or in the immediate trade area of such city ; (b) Less than $14.50 a week in any city between 250,000 and 500,000 population or in the immediate trade area of such city ; (c) L^ss than $14 a week in any city between 2,500 and 250,000 population or in the immediate trade area of such city; (d) In towns of less than 2,500 population all wages shall be in- creased by not less than 20 percent, provided that this shall not require wages in excess of $12 a week. 2. (a) Messengers may be paid not less than 75 percent of the minimum wages above specified. (b) Junior file clerks for a period of six months after employment may be paid not less than 75 percent of the minimum wages above specified. Employees referred to in Sections 2 (a) and 2 (b) shall not exceed 10 percent of the total number of employees. Article V — General Population for the purpose of this agreement shall be determined by reference to the 1930 Federal Census. * The provisions of this Code may, upon petition of this Association, with the approval of the President, be modified as changes in cir- cumstances or experience may indicate. This Code shall become effective when approved. Federation of Mutual Fire Insurance Companies, National Association of Automotive Mutual Insurance Companies, National Association of Mutual Cas- ualty Companies, By A V. Gruhn, By E. L. Poor, General Manager^ Aniencan Mutual Alliance. o i UNIVERSITY OF FLORIDA 3 1262 08582 8217