Annals, Anecdotes and Legends: A Chronicle of Life AssuranceFrancis, John, of the Bank of England
History
Annals, Anecdotes and Legends: A Chronicle of Life Assurance
Francis, John, of the Bank of England
Life insurance
The more they were attacked, however, the more they advertised. All
the London and provincial papers were employed to spread their terms,
and 2000_l._ were placed in the hands of their law agent to ruin, if
possible, Mr. Peter Mackenzie. Undauntedly, however, did he continue
week after week to attack them; and it is impossible not to admire
the mingled gallantry and audacity with which they defended outpost
and citadel. Though they lost one action they had brought against Mr.
Mackenzie, they commenced another, declaring that their terms were fair
and liberal, that the public could insure with them at favourable rates
to themselves and reasonable profit to the company, “and, above all,
that Mr. Mackenzie was false, calumnious, and slanderous.”
The position in which they were placed was curious enough. It was
plain that a most disgraceful fraud was in existence; but while no act
of insolvency was committed, the law could not interfere. There was,
indeed, no way of stopping them; and it was evident that they would
only cease business when the public ceased to pay its money. While
they discharged the annuities as they became due, and paid the life or
fire policies which fell in, they were utterly uncontrollable, save by
the moral power of the press. This power, so far as Mr. Mackenzie was
concerned, was most unsparingly used; but he availed himself of another
weapon. The name of Peter Mackenzie is rarely mentioned in England in
connection with this company, that of Sir Peter Laurie and the West
Middlesex being always associated; and this is owing to the fact that,
not content with the powerful articles in his paper, he sent a letter,
with the report of the trial, to Sir Peter, to inform him that “the
company called the West Middlesex was a company of swindlers,” begging
him to use his influence as chief magistrate of the city of London, to
stop this crying iniquity. Sir Peter went to the Bank of England, and
inquired if they knew anything of the company. “Yes,” was the reply,
“they are the greatest swindlers that ever existed in London.” “On
this hint he spake;” and from his seat at the Mansion House the “first
Scotch Lord Mayor” let all England know that the Independent and West
Middlesex Insurance Company was a sham, and that Sir Peter was going to
put it down. The declarations he openly made, and the information he
procured, produced an enormous number of letters from the victims. The
company became a theme of public conversation--the assurance offices
rejoiced at the discovery of their rival’s infamy--and those who were
insured were rudely startled from their dream of security.
Public-domain text, read in full here on John Shaqi.
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