August 4, 1917

COAL SUPPLY IN THE MARITIME PROVINCES.

COAL, TRANSPORTS FOR HALIFAX AND ST. JOHN.


On the Orders of the Day:


LIB

William Pugsley

Liberal

Hon. WILLIAM PUGSLEY (St. John):

Can the Minister of Trade and Commerce give the House any definite information in regard to the statement made in the press of St. John that the Government, through the Minister of Marine and Fisheries, had made arrangements for securing steamers for the purpose of transporting coal from the United States to the port of St. John, and whether the vessels will be at the disposal of the local authorities, or will be run by the Government themselves?

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   COAL, TRANSPORTS FOR HALIFAX AND ST. JOHN.
Permalink
CON

George Green Foster

Conservative (1867-1942)

Sir GEORGE FOSTER:

I can add this to the information I gave my hon. friend the other day. The Government has intervened in the matter to the extent of arranging for the necessary transport for supplying hard coal to the cities of Halifax and St. John and the districts supplied therefrom. The difficulty at present appears to be the finding of suitable accommodation for these vessels, which are of large size, and have to be unloaded quickly to avoid unnecessary expense. This matter is being looked into by the authorities of Halifax and St. John, and it is hoped that they will be able to arrange for the docking and unloading of these vessels. If so, they will be at their disposal at reasonable rates for carrying the coal that is required to supply these two cities and the surrounding districts.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   COAL, TRANSPORTS FOR HALIFAX AND ST. JOHN.
Permalink

INSURANCE ACT AMENDMENT.


House again in committee on Bill No. 53, respecting insurance.-Mr. Steele in the Chair. On section 59-Investment of company's funds:


LIB

William Pugsley

Liberal

Mr. PUGSLEY:

The only change in the securities, I understand, is what is shown in italics on the preceding page.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

That is correct.

On section 60-Deposits outside Canada:

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
LIB

Charles Marcil

Liberal

Mr. MARCIL:

May I ask the minister if this Bill applies to the so-called friendly or mutual benefit associations?

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

There is a later section covering them.

On section 63-Investment by companies other than life companies:

' Sir WILFRID LAURIER: What'is the

change?

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

Hitherto this provision only applied to life insurance, now it applies to all insurance.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
LIB

William Pugsley

Liberal

Mr. PUGSLEY:

Might I ask why the last three lines of subsection 3 have been struck out? They provide that an amount at least equal to two-thirds of the total liabilities of a company in Canada shall consist of investments in or loans upon Canadian securities. I think it is very desirable that insurance companies, which derive their assets from the masses, should make their investments largely in Canadian securities, instead of in foreign securities, and I think there should be some good reason to show for striking out this provision.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

That point was carefully considered, and it was feared that the retention of the provision might lead to retaliatory legislation on the part of some of the States in which Canadian companies are doing business. I think it is a fact that most Canadian companies doing business almost solely in Canada invest their funds in Canadian securities, but there are Canadian companies doing a large business in many States of the Union, and it was thought inexpedient, for the reason I have mentioned, to retain that provision. I admit it might seem upon its face as if what my hon. friend says is reasonable.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
LIB

William Pugsley

Liberal

Mr. PUGSLEY:

I do not see how it would lead to retaliation, because this section only applies to Canadian companies.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

But they might be doing business in the United States also.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
LIB

William Pugsley

Liberal

Mr. PUGSLEY:

The section does not apply to foreign companies doing business in Canada, therefore, the retention of this provision should not lead to retaliation. I do not see how the fact that Parliament requires a Canadian company to make an investment in Canadian securities proportionate to its liabilities in Canada would cause any retaliation against Canadian companies in respect of business they might be doing in the United States. If our legislation affected foreign companies in Canada, the case might be different, but we are only dealing with Canadian companies. I think there is every reason in favour of retaining this provision.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

I confess it looks like a reasonable provision, but the arguments put forward in the Banking and Commerce Committee were very strong, and were considered very carefully, and it was thought the retention of the provision might lead to retaliation, which would result to the detriment of Canadian fire insurance companies doing business outside of Canada. My hon. friend asks how it would invite retaliation.

Canadian companies may lodge Canadian securities dn the United States with the superintendents of insurance in the states in which they are doing business. It was contended that a state legislature may say: As your legislation requires you to invest an amount equal to two-thirds of your liabilities in Canadian securities, we shall require you to invest a certain amount in our securities. What about our insurance companies? They might resent legislation requiring them to make investments in foreign securities equal to two-thirds of their foreign liabilities."

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
LIB

William Pugsley

Liberal

Mr. PUGSLEY:

It says "liabilities in Canada."

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink
CON

William Thomas White (Minister of Finance and Receiver General)

Conservative (1867-1942)

Sir THOMAS WHITE:

I follow my hon. friend perfectly, and yet one meets this contention of those who are practically engaged in the business and who appear to have a well-founded apprehension that retaliation might result. It appears to be the case that legislation affecting insurance companies is pretty carefully followed by the different administrations, and retaliation is likely to occur if there appears to be any discrimination against the securities of the foreign countries in which our companies are doing business.

Topic:   COAL SUPPLY IN THE MARITIME PROVINCES.
Subtopic:   INSURANCE ACT AMENDMENT.
Sub-subtopic:   CONTINUED CONSIDERATION OF THE BILL IN COMMITTEE.
Permalink

August 4, 1917