CO129-414 - Governor Sir May - 1914 [10-11] — Page 482

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Commercial Appreciation.

479

Nọ small number of active English Fire and Sea Insurance Companies in China have for years entrusted their agencies to German firms domiciled here. The tendency now is to withdraw these agencies and to transfer them to English firms so that business may be carried on by their own English representatives.

That this tendency may be accelerated by the German order prohibiting money payments to England is not unlikely. There is generally towards the end of the year a large balance with the Insurance Companies. When the handling of this money is in German hands the question of its remittance to England in present circum- stances is doubtful. One cannot naturally decide if these consider-

ations on the forthcoming withdrawals have become decisive, but it

is advisable to make suitable arrangements.

However that may be, in any case many of the German firms

are now without their former Insurance agencies, and whether they

get them back at the end of the war must be left undecided. The case

of the German Insurance Companies, which have not up to date been

active in China, and are often unsuccessful in finding representat-

ives, because these were already occupied should now seize the opportunity to secure unoccupied positions. Little can be done by inquiries here through letters, for postal communication is prevent- ed, and further, such agencies are generally taken up in communicat-

ion with the Home establishments.

The best meme to quickly reach the goal is to refer to the Home establishments of the German China firms. I send 20 copies of a list of these with the description of the Parent Houses.

The publication of this notice by the "News for Trade and Industry and Husbandry" is net advisable, as the note on the Prohibit- ion of Payments would give the English press an argument for the withdrawal of agencies. A private confidential communication to the more important Chambers of Commerce is the most suitable method of informing the Insurance circles.