The Sun.
London, England, 1855-06-09 00:00:00

THE TIMES LIFE ASSURANCE AND
GUARANTEE COMPANY.-

The annual general meeting of the proprietors of this
company was held on Thursday, June 7, 1855 ; at the
offices, 32, Ludgate Hill, Alexander Webber, Esq.,
having been moved into the chair.
The advertisement and circular convening the meeting
having been read by the manager, Henry Brinsley
Sherrdan, Esq., the report of the directors for the year
was then read, of which the following is an abstract :
" During the year ending the Ist inst., the company re-
ceived 2,226 proposals for the insurance of 583,465?., and
calculatedtoproduce an annual income of 10,7721. 15s. 10d.,
and completed and issued 1,612 policies, covering 393,5151.,
and yielding in premiums 7,0121. Bs. 10d. per annum.
Of the proposals the directors rejected- 424, for the in-
surance of 141,9551., with an annual amount of pre-
miums to the extent of 2,9581. is. 2d. Of those which
they accepted, 111 were yet unpaid for. These insured
25,1451., at an income of 468/. 4s. sd. ; and 79 for
the insurance of 22,8501., with a premium income of
333/. lls. 5 d., were still under consideration. The
directors drew attention to the large amount of busi-
ness declined for two reasons—the one that, notwithstand-
ing the care displayed in the selection of risks, the losses
during the year, from claims in both departments, had
been unusually large ; and the other, that the amount
of business declined could not have been obtained, and
all the forms and enquiries connected therewith com-
pleted, without absorbing a large proportion of the
expenditure for the year, inasmuch as, had it been
accepted, it would have increased the new business
by nearly one-half the present amount. Fifty per
cent. of the claims made during the year had arisen
in the guarantee department, and could be traced to
causes which might now cease to affect that department ;
and the directors, therefore, anticipated that the corn -
pony would be more fortunate in the year ensuing. The
losses during the year had been—in the life department,
4,590/. ; and, in the guarantee, 4,1291.25, 6d. The direc-
tors also drew attention to the circumstance which was
probably peculiar to the business of a company which
united life and guarantee assurance, viz., that the policies
which had lapsed up to the Ist of June, 1855, represented
in annual premiums the sum of 7,5961 Os. 5d., a sum
amounting to more than two-thirds of the paid-up ca-
pital of the company. They confidently anticipated that
inasmuch as these lapsed policies were principally incident
to the guarantee business, in consequence of the changes
and vicissitudes which characterised commercial situations,
they would eventually constitute a large and legitimate
source of profit. By the directors' last report, it appeared
that the total amount of business done by the company up
to that date, without deducting lapsed policies, had been
as follows, viz. : _ _

No. Annual Income.

Numbs of policies issued by the
company up to 30th June, 1851 5,301 £23,086 2 0
Add to that the business of the
present year 1,612

No. 6,913 £30,098 10 10
It will thus be seen that in six years the company had
issued 6,913 policies, yielding an annual income of 30,0981.
10s. 10d., but from which must now be deducted the ascer-
tained lapsed policies which would give the present an-
nual income `z2,5021. 10s. sd. From a valuation of the
business of the company for the last five years, there ap-
peared a balance in its favour to the amount of 37,4671.
16s. sd. Of this sum 33,0:411. 7s. 4d. had been set aside as
a reserve fund for future profit and expenses. The sum
remaining, viz., 4,4331. 9s. id., was the amount that
might be 'distributed amongst the policy and shareholders.
The above valuation had been made upon data taken
from the books of the company, by Jenkin Jones,
Esq., F.1.A., the actuary to the Rock, the National
Mercantile, and other assurance offices. The directors did
not propose to distribute the whole of this sum of 4,4331.
93. ld., but recommended that a bonus of one per cent.
per annum be declared upon all life policies entitled to a
division of profits ; and further recommended that a bonus
of 2s. 6d. per share be declared upon the 'capital stock of
the company. Although the directors considered that they
might fairly recommend a larger bonus, still it had been
thought the m:st prudent course to divide but a compara-
tively small sum this year, in order that the probabilities
might be in favour of future bonuses being progressively
larger in amount. At this Bathe time they begged to inform
the shareholders that the amount of profits thus divided
was fully equal to the average of the first bonuses, and,
consequently, equal in amount to these declarations of
profits made by offices at their first division that had since
bee mile the most prosperous institutions of the day. In
the guarantee department, as no profit had been made,
there would, of course, be none to divide amongst
the holders of guarantee policies. The bonus upon the
life policies the directors recommended should at this
declaration, be added to the policies, the shareholders
at the same time giving no pledge that the present
mode of division should be a precedent for the next,
or any future division of profits ; and that the bonus
upon the shares should be taken as so much paid-
up capital. In recommending the above course to be taken,
they felt it their duty to remark that, in the opinion of the
consulting actuary, these benusesmight be paid in cash with
the greatest safety should the shareholders demand it ;
although the directors were unanimously of opinion that
the mode before suggested would be felt by all persons to be
the most prudent and expedi mt. In congratulating the
shareholders upon the result of the first five years of the
company's operations, they ventured to express a hope that
the same prosperity might attend the next quinquennial
phase of the company's history, and would assure the share-
holders that the expenditure should be carefully watched,
and a reduction made wherever it could be safely effected.
The directors, in conclusion, recommended that interest at
the rate of Si. per cent. per annum, clear of income tax, be
paid upon the capital of the company for the past year,
and begged, as an illustration of their duties, to draw at •
tention to the fact. that, although :the business completed
during the past year4arnorinted to the sum of 393,5151., and
produced an annual income of 7,0121. Bs. 10d., yet the busi-
ness offered to the company, and passing through the hands
of the directors, amumtou to the largo sum of 5-3,4651.,
.11,1 would have produced an annual income of 10,7721. ss.
10d."

The report was received with prolonged applause.
The CILIIRMAN then rase for the purpose of moving
the following resolution —" That the report now read,
embracing as it does the last six years, and balance
sheets for the last six years therein referred to, be ap-
proved and adopted." He said : Gentlernen,—lt is
almost unnecessary for me to remark that the year we
have just passed through has been one of singular diffi-
culty, not only in the commercial world, but to the pub-
lic generally, in consequence of the war—which, however
just and glorious it may be, has undoubtedly been the
means of creating a great deal of pecuniary embarrass.
meat throughout the country ; and most persons, in the
mercantile world especially, and all those with fixed in-
comes, must have felt that to be obliged to go to war in
a commercial country :ike ours is a disaster of the
greatest possible magnitude. Having made these few
preliminary remarks, I fnay, I think, safely congratu-
late the shareholders on the business we have trans-
acted during the last twelve months. I think, in-
deed, it is a great thing for me to be enabled to say
that we have in the short space of one year amassed an
income of 7,000/, It may he observed, in the next
place, that we have declined more than the ordinary
number of policies ; and I wish to call your particular
attention to this fact as indicating that the company are
transacting business on the best possible principle. With
regard to this large number—amounting to about one-
fifth of the aggregate amount of policies offered
us respecting se much business, we have thought it
safer to reject what might appear to be good rather than
run any injudicious risks. With regard to losses, I may
say there is scarcely an insurance office which has not
found it necessary to offer some apologetic explanations
upon the number of claims falling in upon then. It is
very natural in a period of commercial stagnation that
life assurance generally should have been affected by it ;
and it is a well known fact that they have all suffered to
a greater or less extent. In some cases, indeed, where
their losses have been calculated at 30,000/, on the year
—andtheseb as you are, no doubt, all aware, can
matters,ecalcuiata to a nicety—they have amounted to
usually
as much as 50 per cent. more. Our losses have been
heavier than we expected, but you will find that they
are below the average. I cannot leave this part of the
subject without, in justice to our medical officers, stating
the singular fact that of the number of losses which have
fallen in one half have consisted of re-assurances from
other offices. Another remarkable circumstance also
occurs to me on this point which I may as well mention ;
and it is that the losses on the guarantee department
have been very large—in fact they have amounted to very
nearly as much as those in the life department. The air
if I may be allowed the expression—would appear in
this country, from various circumstances which it would
be tedious to detail, to have become impregnated with
dishonesty, and to have produced the result I have pointed
out. This must be the case when persons do not know
how long they may retain the situations they hold.
Commercial affairs are not so prosperous as they were,
and when a man who has large sums of money con-
stantly passing through his hands, finds that he cannot
reckon upon his present position for any certain length of
time the temptation too often unfortunately becomes too
great for his resistance. With regard to the guarantee
business, I have repeatedly confessed my opinion that it
is a good business if conducted upon a principle which
would give us something like proper data to guide us.
Up to the present time I maintain our data have been
found to be good. We have data from our own books
which tell us distinctly that the rates are low.
I find in the report an extraordinary statement, to the
effect that the lapsed policies alone amount to 7,5961.
This is a startling fact if we were not to analyse it ; and
when we do we find that the greater portion of these
lapsed policies arise in the guarantee department. It
will also be observed that during the six years of our
existence, in respect of which it should be stated I have
just been speaking when I referred to the lapsed policies
—during these six years very nearly 7,000 policies
have been issued, which would have produced ,
an
annual income of 30,0001. and upwards, but owing
to these lapsed policies our income has been reduced to,
say, 23,0001. However, it strikes me, on looking
through our report from beginning to end, that there is
much upon which we may congratulate ourselves. I do
not know that I need detain you much longer with any
observations of mine, except to call your attention to
the highly satisfactory statements contained in the lat-
ter portion of the report before you. Although we have
been a little unfortunate in an amount of claims in the
Guarantee and Life departments, these appear to have
been principally made within the past year. During the
preceding five years of our existence we were singularly
fortunate in not having anything like the average num-
ber of claims upon us ; and we have it now stated upon
the authority of Mr. Jenkin Jones, a gentleman of un-
deniable talent and ability, and who is employed by a
number of other offices besides ourselves, that there is a
balance of more than 37,0001. in favour of the company.
The Directors feel that it is necessary for thorn to he
very careful of this large snip, and they have, therefore,
proposed that somewhat more than 33,0001. of it should
be set aside as a reserve fund, the remainder being ap-
propriated to bonuses for distribution amongst the
policy and shareholders. It is not, however, intended
to adjudge this remainder amongst all policy holders,
because that would be very unfair, as it would
be giving a five years bonu's to those who had
only held policies for three. Turning from
the subject on which I have hitherto been dwelling, and
irrespective of personal considerations; we are met here

on this occasion to promote the interests of the institu-
tion, and all institutions generally of a similar character.
With regard to life assurance generally, we all know it
is not a very difficult matter to induce a man to insure
his life if he has a proper feeling and proper affection for
his kindred and family; but it is too frequently neces-
sary that he should be spoken to on the subject to make
him adopt such a course. I would urgently recommend
you, therefore, to make life assurance and its principles
known throughout the circle of your respective acquaint;
ante. I don't mean with a view in particular to extending
the business of this office, though, of course, we all
have its interest mainly at heart—l mean that you
should endeavour to "learn the luxury of doing good,"
and of promoting the welfare of your fellow-creatures
by making known as freely as your opportunities permit
the inestimable blessing of life assurance. I hope if
these suggestions are attended to, to have the pleasure
of meeting you on future occasions with more smiling
faces, and that future reports will be more gratifying
still than the one now before us.

Mr. C. H. CoOKE, in seconding the motion,
said, that after the very able remarks of the
chairman he had scarcely anything to say. He
must, however, observe that it was very gratify-
ing to find that, whilst other institutions had compa-
ratively retrograded, instead of advanced, during the past
year, the Times Office continued to progress ; and this
he thought was attributable in a great measure to the
zeal, ability, and energy displayed by the management.
The motion was then put and agreed to unanimously.
Mr. WHITE said he had much pleasure in moving
"That the following gentlemen, who retire from the
direction, in accordance with the terms of the deed of
settlement, being eligible for re-election, be re-elected
accordingly, viz. :—James Wyld, Esq., Geo. Cooper,
Esq., and the Rev. John Wood."
Mr. COMPTON seconded the motion, which was carried
by acclamation.
Mr. F. SQUIRE then moved the re-election of the fol-
lowing gentlemen, who retire from the audit, viz. :
H. B. Rye, Esq., and Thos. Charles Blundell, Esq.
Mr. NICHOLAS most cordially seconded the resolu-
tion, which was approved.
Mr. H. B. RYE next said he had great pleasure in
moving "that interest, at the rate of 5 per cent. per
annum, free of income tax, he paid upon the paid-up
capital of the company ;" observing, at the same time,
that he felt assured, with the indefatigable zeal, energy,
and ability of their worthy and able manager, Mr.
-Sheridan, in connection with the directors, that they
should still continue to progress, and that with the li-
berality of the company but a very few years would
elapse before the Times Life Assurance Company would
stand second to none.

Mr. IL. T. DEERE seconded the motion, which was
forthwith agreed to.
Mr. S. G. GRADY, in moving " a remuneration to the
directors fur the past year," observed that he could not
submitthat resolution forthe approval of the shareholders
without expressing his own opinion, in which they
would no doubt concur, that this sum was but a very
inadequate remuneration to those gentlemen who had
devoted so much of their valuable time and energies to
the advancement of the institution during the past year.
However, the directors had not asked for more,
and the highest compliment they as shareholders could
pay to those gentlemen was to comply with this modest
request in a ready and cordial manner. It was to him,
as it must be to all of them, a source of great pleasure
and gratification to observe the prosperous position of
the institution at that time, and he thought it was but
due to the directors, in voting that sum to their use, to
express to them their sincere gratitude for their able and
efficient management of its affairs, and for their exer,
tions in &inducting it to its present flourishing condition.
Mr. CHANDLER, in seconding the motion, said he had
jotted down several questions he intended to have put
to the directors, but the observations of the chairman,
and the balance•sheet and able report, had removed the
necessity of his doing so, and had not only satisfied
him as to the manner in which the society had been con-
ducted, but had also proved to him that it was in a pros-
perous state. He was besides fully satisfied that they
could not expect gentlemen to devote so much. of their
time and attention to the institution without some recog-
nition of those services, and he therefore most cordially
approved of the voting of the suns of money mentioned
in the resolution, and he only regretted it was not a
larger one. He trusted that the institution, under such
direction, would continue to prosper.
The motion was then put to the meeting by its pro-
poser (Mr. Grady), and was approved of amidst applause.

The Rev. J. GEORGE next move,', "That a &inns be
declared out of the profits of the first five years at the
rate of one per cent. per annum upon all policies effected
prior to the 30th Juue, 1852, and that the same be added
to the policies; and that a bonus, out of the same fund,
of 2s. 6d. per sharosbe declared and paid upon the capital
stock of the company, and that the same be taken as so
much paid-up capital." He did not, he observed, pre-
tend to commercial talent, or the talent of calculation
and the like, but he delighted to observe the principles
at work in the management of institutions of that cha-
racter. One`great principle which he remarked in
their own association, and one without which he
presumed all other efforts would fail in effecting
any degree of prosperity —be meant prudence in
steering a middle course between two extremes.
It might occur to many then present that the two

extremes in their cane, would be either to declare no
bonus at all in this comparatively early period of their
existence, or, on the other hand, 'to declare a very large
one, without at all suggesting the way in which it should
be most advantageously disposed of. Now, the direc-
tors appeared to have bit upon the happy medium, and
having declared a bonus, had determined to apply it to

the encouragement equaby of the policy holders and the
investors ; and by affording them an opportunity of par-
ticipating in the profits connected with the institution,
thus inducing them to adhere to it, and to consolidate
the interests of the society. He thought there had been
much wisdom and forethought in the adoption of such a
course, and he therefore most cordially moved the
resolution entrusted to him.
Mr. J. C. SPENCE seconded the resolution ; taking
occasion to observe that he quite agreed with the prin-
ciple of prudence and expediency which the directors
bad adopted in applyipg the money they proposed, to.
inducing the policy holders to feel additional interest in
the welfare of the association, and to • lend their energies
to the promotion of its further success.
The resolution was then adopted nem. con. -
Mr. DEERE then moved "that the valuation of the
business and division of profits, if any, of the society be
made quinquennially instead of triennially."
The resolution having been seconded by Captain E.
G. L. PERROTT, who simply remarked that the proposed
change, by giving them fully five years, would enable
them to estimate to greater advantage the profits of the
society, was at once approved of.
M. F. MALCOLM said he had been connected with
the institution since its commencement, and had since had
frequent opportunities of observing the ability and inde-
fatigable industry with which the directors had devoted
themselves to the interests of the society. They had
done their part well and ably. The last year as they
were all aware had been, commercially speaking, a most
disastrous one, and had most injuriously affected Joint-
Stock Companies generally ; but so far-as their institu-
tion was concerned, they were deeply indebted to the
discretion of the directors for averting those consequences
which might otherwise have visited them also. Person-
ally he was deeply grateful to them, and had the great-
est pleasure, therefore, in moving "that the best thanks
of the shareholders be tenaered to the directoN for their
past services."
Mr. COOKE had much 'pleasure in seconding the pro-
position, as he thought that the past management of the
association reflected the highest credit upon the directors.
The motion having been carried by acclamation,
The CHAIRMAN rase and said that he had hoped one
of his brother directors would have relieved him of the
duty of returning thanks in their collective behalf for
the handsome manner in which the vote of thanks to
them had just been awarded. He did not wish to tres-
pass upon their time, which he feared he had already,
done too long, but he begged on the part 'of his epl-
leagues and himself to thank them most sincerely for the
kind expressions with which their services had been re-
cognised.
Mr. C. LATHA.M, in moving a vote of thanks to the
auditors for their past services, said that it must be ob-
vious to all that, so far as the shareholders were con-
cerned, the auditors stood between the management and
them, and the skill and fidelity of the auditors were of the
utmost consequence to the institution. Now, the audi-
tors of that society were not only skilful, but were ex-
ceedingly careful and scrupulous in the execution of their
duty, and on that account they deserved their thanks.
Mr. J. SHERIDAN seconded the vote of thanks, ob-

serving that he had much pleasure in endorsing all that
had been said relative to the practical ability and expe-
rience of their auditors. He had no doubt of the trou-
ble which they had bestowed in the preparation of this
year's balance-sheet ; it was a difficult thing at the best
of times, but they had had, as it were, six years' work to
perform, as they had abundant proof by the report.
With regard to the association itself, he might say that
wherever he had been throughout the country be had

found the sinews of the society stretched by its agents in
all directions ; and, he was peculiarly pleased such was
the case, for whilst the directors were providing for the
interests of the shareholde'rs at home, the agents were
extending them to the utmost abroad.
The motion was cordially adopted, and
Mr. RYE briefly acknowledged the compliment on
behalf of the auditors.

The CHAIRMAN nest observed that he thought be need

scarcely apologise for again troubling the meeting with
any remarks, when he said that he was about to submit
to them a motion which was of such a nature that he
felt they would unanimously agree to its adoption, and
to, the sentiment it contained. It was to the following
effect :—"That the best thanks of the shareholders be
tendered to H. B. Sheridan, Esq., and the other officers
of the company, for their services." It would be a
satisfaction to the shareholders to know that he felt
perfectly convinced that any remarks he should feel it
his duty to make, in offering that resolution to their
notice, would be willingly endorsed by all his colleagues
in the direction of the company. It was well
known ( to all then present that Mr. Sheridan
had been connected with the company from its earliest
institution, and from that time up to the present mo-
ment that gentleman's best exertions—indeed it -might
be said the morning of his life—had been devoted to its
service. lie (the Chairman) had had frequent opportu-
nities of seeing how attentive he had] been to the in-
terests of the company ; and so far as the guarantee
department was concerned none but those "behind the
scenes" could form any conception of the amount of anx-
iety which was constantly resting upon the mind of a ma-
nager of a guarantee society; and the amount of talent
and tact requisite to control its business showed the ne-
cessity as well as the importance of possessing a manager
of Mr. Sheridan'scapacity. He had always shown himself
to be perfectly conversant with every detail of assurance
business—so much so that he was regarded as an autho-
rity in the insurance world, lie had studied the