State v. Schramm, No. 20022.

• Court: Missouri Supreme Court
• Writing for the Court: Blair
• Citation: 271 Mo. 223,196 S.W. 21
• Decision Date: 01 June 1917
• Docket Number: No. 20022.
• Parties: STATE ex rel. AMERICAN AUTOMOBILE INS. CO. v. SCHRAMM et al.

196 S.W. 21 271 Mo. 223 STATE ex rel. AMERICAN AUTOMOBILE INS. CO.
v.
SCHRAMM et al. No. 20022. Supreme Court of Missouri. In Banc. June 1, 1917.

Certiorari by the State of Missouri, on the relation of the American Automobile Insurance Company, a corporation, against Frank W. Schramm, as president of the Board of Assessors of the City of St. Louis, and Edmond Koeln, as Collector of the City of St. Louis, to quash the record of assessment of relator's property by the board of equalization of the city of St. Louis. Record quashed.

Bryan & Williams and Alroy S. Phillips, all of St. Louis, for relator. Charles H. Daues and Truman P. Young, both of St. Louis, for respondents.

BLAIR, J.

Relator is a corporation, organized under the insurance laws of this state and engaged in writing insurance on automobiles. This is a proceeding by writ of certiorari to quash the record of the assessment of certain of relator's property by the board of equalization of the city of St. Louis. In making its return to the assessor, relator listed securities aggregating $376,085.87. It reported its reinsurance reserve as $337,773.38 and unpaid losses aggregating $70,000. The total of the reserve and unpaid losses therefore exceeded the assets listed in the sum of $31,687.21. The board of equalization, after notice, added $200,000 in United States bonds and $18,000 in stock of the Pennsylvania Railroad Company to the gross assets, deducted from this total the reserve and losses mentioned, and assessed relator with the difference, $186,311.69.

Relator contends the effect of this is to tax the United States bonds and the railroad stock, and that this is unlawful. Respondents concede the bonds cannot be taxed, but insist they are not subjected to taxation by the assessment made, and that there is no legal obstacle in the way of taxing the stock.

Section 11357, R. S. 1909, has been amended (Laws 1911, p. 417), and insurance companies organized under the laws of this state are now assessable and taxable as such companies in their corporate names. Under section 7098, R. S. 1909:

"Every such company * * * shall make returns, * * * first, of all the real estate held or controlled by it; second, of the net value of all its other assets or values in excess of the legally required reserve necessary to reinsure its outstanding risks and of any unpaid policy claims, which net values shall be assessed and taxed as the property of individuals. * * *"

By section 7013, R. S. 1909, such companies must report to the superintendent of insurance, among other things:

"The liabilities of the company, as follows: First, the amount due or to become due to banks or other creditors; second, losses" of all kinds; and, "fifth, premium...