Hi
Before you start the rebuild on your engine, you should have a shop manual. If you don't have one for your 1931 Chevrolet, Gregs Online has them for $10.00. Here is the link
http://www.gregsonline.com/eshop/Shop_Manuals/31PSM.htm to see it. Here is a link
http://chevy.oldcarmanualproject.com/shop/1934/index.htm to the 1934 shop manual which in the located in the Old Online Chevy Manuals link
http://chevy.oldcarmanualproject.com/ which is also loaded full of other information like service letters and parts catalogs. The engine section of the 1934 manaul shows exactly how the main bearings are line bored and set up.
Replacement babbitted main bearings shells come in .060 inch undersize semi finish. These are installed in the engine with shim packs consisting of 4 ea .002 inch shims under each side of the main bearing cap which are then bolted to the engine block at the appropriate bolt torque. Depending upon the undersize the main bearing journals need to be ground on the crank shaft ie. .010, .020, .030 inches, determines the undersize the main bearings shells or inserts need to be line bored. The clearance is what Junkyard Dog suggested at .001 inch running clearance. I would suggest using plastic gauge to check the journal clearance on the rod and main bearing when installing them or setting up the engine as this is a more accurate method but to an experienced mechanic the old way would still suffice as it is done by feel. You will end up taking the engine block and crank shaft to a machine shop to have this done. You may be able to reuse your original main bearings and connecting rods if they are not excessive worn. The main thing to look for on the main and rod journals is spalling, roughness, taper and out of round. Most engines of this age need to have the crankshaft reground as years ago the maintenance of these engines was not to good.
From my experience the connecting rods for the 194 engine can not be cut for an insert bearing. The local machine shop that I use does any engine in anything including high performance. He has done a few 194 Chevrolet engines in the past. I had him check on the possiblility of refitting the 194 engine connecting rods with inserts but he could not find a proper available sized bearing insert to install after the old connecting rod would be machined out to accept an insert bearing. To have these bearing shells specially made would be cost prohibitive.
Hope this answers your questions.
If you need parts for the rebuild on your engine, please visit our website
www.marxparts.com or e-mail me at bob@marxparts.com as we have some or most parts in stock for these engines.
Bob