I would like to ask the minister whether _ there is any provision in this Bill permitting companies to charge a war rate against members of [DOT] the active militia in the event of their being called out on active service, and if so, whether there is a fixed rate in excess of the premium charged?
I asked the question because during the South African war I knew the case of a man who held a $3,000 insurance policy in the North American Insurance Company for 13 years, and he was charged $75 per thousand war rate in excess of the premium, which was far more than new insurance with the war rate included could have been had for. There should be some restriction in this Act so as to prevent excessive charges of that kind.
I recognize that the life of a soldier is a more hazardous risk, but at the same time I think the company should be prevented from charging an excessive war rate. I will cite an instance.
I know a man who had an insurance policy
for $3,000 in the North American Life Insurance Company for thirteen years, and on the eve of going to South Africa he was charged a war rate of $75 a thousand, or $225 in all. This was far more than treble his premium, and it was practically prohibitive. He had to throw aside his policy, and thirteen years older than when he entered the other company he got a policy for $5,000 from the Sun Life, war risk included, for less than the $225 war rate alone that the North American Life wanted to charge him. iSuch a thing as that should not be allowed.