The Sun.
London, England, 1863-03-23 00:00:00

Economic Life Assurance Society.

The annual general court of policy holders was held on
Saturday, at the society's offices, 6, Bridge-street, Black-
friars; Mr. R. Biddulph in the chair.
The SECRETARY (Mr. A. Macdonald) having read the
advertisement convening the meeting, the following state-
ment of account was presented :
" General Account for the Year 1862—Received : Assu-
rance Premiums (less -commission), £192,410 193 9d ; inte-
rest on investments (less income tax), £83,669 17s 11d—total,
£276,080 17s Bd. Paid—Assurance claims, £131,986; an-
nuity claims, £1,433; purchase of policies, £4,971 3s 6d ;
reassurance premiums, £268 16s 5d ; office expenses, £7,552

16s 3d ; medical fees, £3uB 2s ; general law charges, £330
6s 7d ; balance carried to investments, £126,230 12s 11d—
total, £276,080 17s Bd.

"Assurance Fund—Dr.: To balance let January, 1862,
consisting of funded property, £663,621 158 8d ; loans on
policies, £78,328 3s ; mortgages, £1,194,185 9s Id ; life in-
terests, £57,734 17s 9d ; reversions, £27,994 8s 9d ; cash on
hand, £8,627 Ils 8d; total balance Jan. 1, 1862, £2,630,492
5s Ild ; balance from general account, £126,230 12s 11d--
total, £2,156,722 18s 10d. Cr. : By terminable annuities,
&c., £795 9s ; by balance, Dec. 3 I, 1862, consisting of funded
property, £618,931 17s 2d; loans on policies, £82,324 3s;
mortgages, £1,351,980 lOs 7d ; life interests, £57,734 17s 9d;
reversions, £28,006; cash on hand and on deposit, £16,950
Is 4cl; balance Dec. 31, 1862, £2,155,927 Os 10d—total,
£2,156,722 18s 10J."

The CHAIRMAN announced that since the last meeting,
Mr. Downes, who had most ably filled the office of actuary
to the society for 30 years, had found himself compelled, by
the infirmities of an advanced period of life, to resign, and
that Mr. Olinthus Gregory Downes, his son, had been
elected in his stead. The board had marked their high ap-
preciation of Mr. Downes', sen., very valuable services by
granting him a retiring pension of ;€750 a-year for life.
The following is the resolution of the board, and Mr.
Downes's reply :

" The board of directors of the Economic Life Assurance
Society cannot allow Mr. Downes, their actuary, to retire
from an office he has held so long and so worthily without
recording their sense of his services, and their regret at the
severance of the ties which have so long united him with the
board. The directors regret that increasing years should
render such a step necessary ; and they feel that in their in-
tention to promote his son to fill the vacant office of actuary,
they have done the best for the interests of the society,
and, at the same time, that they have gratified the wishes of
the father. The board of directors, however, cannot allow
the long services of Mr. Downes to pass without expressing
their opinion of the z?.alons ability which he has invariably
shown in his intercourse with the public and with the board
during the 30 years he has been connected with the Econo-
mic Life Assurance Society. The board of directors are fully
aware how much of an assurance office is dependent for its
success upon the accuracy and skill of its actuary ; it roust
not be forgotten that when Mr. Downes first joined the ECJ•
Comic, the office had done little to establish the high cha-
racter upon which it stands, and it is the confident opinion of
the directors that the accuracy of Mr. Dowaes's calculation,
tested as they have been by the highly satisfactory result of
succeeding quinquennial valuations. has mainly tended to
place the office in the position it naw holds in the estimation
of the public."
"Gentlemen,—ln taking my leave on Friday last I was
too much embarrassed to express in suitable terms the sense
of gratitude I felt for the kind sentiments conveyed to me
by the chairman on behalf of the board and of myself. I ern
happy to find during my official career I have won your re-
spect and esteem, and that at the close I carry with me the
goodwill and regard of every member of the board, towards
whom, on my part, I entertain corresponding feelings. The
allowance you have been pleased to award me for my
"long and faithful services," and for which I beg to thank
you, will enable ma to spend the remainder of my days in
comfort. In regard to this act of kindness on your part, as
a recognition of the constant and honest devotion of my
humble talents through the best portion of my long lite to
the service of your society, to which exertions I feel sure
that, as you have kindly stated, a very considerable portion
of its success is attributable—it is most gratifying to my
feelings to learn that yon consider my son, Olinthus Gre•
gory, fit, and worthy to succeed me in the office of actuary to
the society; a position which his talents, and scientific attain-
ments eminently qualify him to occupy. I know no one
so competent and worthy to discharge the duties of so im-
portant a post in a seciety which ranks among the first of
life assurance associations. Upon quitting the service of the
society, I would wish to express warmly my thanks to the
official staff for their cordial and efficient co-operation with
me in the conduct of its affairs. Although no longer art
officer of the Economic Life Assurance Society, I shall
always feel the deepest interest in its success ; and should,
as I do not contemplate, eny occasion arise when my ser-
vices may be considered of value, it will afford me great
gratification to render them.—l have, &c ,
" JAMES JOHN DOWNES."

Mr. harp thought it would be gratifying to the proprie-
tors to have an opportunity to add their acknowledgments
of Mr. Downes' long and able services, and he moved a re-
solution to that effect, which, having been seconded, was
carried by acclamation.
Mr. DOWNES, sen., briefly returned thanks for the com-
pliment.
The CHAlRMAN—Gentlemen, the directors have great
pleasure in laying before you so satisfactory an account of
our proceedings. During the year 1862, we rec ived 574
proposals for new policies, of which 67 were declined, and
34 were not oompleted atter being accepted, leaving the
number of new policies issued 483, which is a larger num
ber than in the preceding year, when we issued 443 new
policies. The amount of premiums received upon the new
policies, 13,041, is also larger, and consequently also
the amount of the insurances £395,000. Of these 483 new
policies, there are 19 for £5,000 each, 5 of from £4,060
to £5,000, 4 of from £3,000 to £4,000, 28 of from
£2,000 to £3,000, 84 of from £l,OOO to £2,000, 149 of from
£SC.O to £l,OOO, and 194 of from £lOO to £5OO. You will
observe that there is a large proportion of £6,000 policies
amongst these, and I may add that these are generally the
most profitable, as insuring a higher class of lives. Ow
premium income now amounts to £204,250 a year, and our
income from investments to £89,617, making a total of
£293,867. In the course of the past year 161 policies, in-
suring 132 lives, have become claims. These policies in-
sured together £133,971; and 131 of them, insuring
£94,703, carried with them bonus additions, amoun'ing
together to £20,871. The others carried no bonuses.
In addition to that we have purchased 42 policies dur-
ing the year; 64 have lapsed, and seven have fallen in
by the expiration of time, so that we have lost 274 policies
against 483 new policies issued, being a gain of 209. The
policies which we have lost include three of £5,000 ; one
between £4,000 and £5,000 ; three between £3,000 and
£4,000 ; six between £2,000 and £3,000 ; 23 between £l,OOO
and £2,000; 45 of from £5OO to £1,000; and 80 of from
£lOO to a5OO. Amongst the lives upon which these claims
have arisen eight were between 80 and 90 years, 42 be-
tween 70 and 80, and 43 between 60 and 70. I stated last
year that the average ago at death, according to the actual
experience of our office then, was 681 years; now, I am
happy to say, it has increased to nearly 61 years, such in-
crease being of course a great advantage to us. As I have
stated, the policies that have become claims during the year
amount to £143,971; whereas, according to our tables, we
might have expected claims to the amount of £167,724, and
I am happy to say that for several years past we have been
able to report that the claims have been considerably less
than the tables led us to calculate upon, (Hear.) At the
same time it must be borne in mind that all the policies
will in the course of time become claims, though every year
the parties whose lives are assured under them live the
greater the profit to the office and the greater the profit
likewise to the policy haters in the bonuses added to their
policies. On previous occasions I have called attention to
the facilities we offer fcr effecting loans upon the deposit
of policies, and perhaps my observations have tended to
make people come to us to borrow money in that way; for
I find that in the past year we have lent £16,460 upon the
security of policies effected in our office, while, upon the
other hand, £12,000 of previous loans has been repaid,
making a difference of £4,000. I ought to mention another
circumstance as showing the favourable character of the
year we have passed through. We have seldom had so
small a number of policies not completed after the /Ives

have been accepted as in the last year. The average is
46 a year, hitt last year they were only 31, while • iu
1860 they were 60. The number of policies which have
been allowed to lapse is also below the average of forma
years. The position in which we now stand is this :--The
number of policies in fetes at the end of the yeas was
8,826, assuting £7;018,681, and carrying bonuses to tha
amount of 4"462,023, the total liabilities being £7,580,704, to
meet which we have an annual income, as I have stated, of
£293,867, and an accumulated capital of £2,155,927, This
capital is a positive accumulation, for we have no share
capital, and represents the amount that has been saved
during the 39 years we have been in existence. (Hear, bear.)
Besides which it will be remembered that several years ago
wo not only paid off the loan capital, but gave a bonus to
the shareholders on quitting the society. I cannot conclude
without referring to the position we stand in as regards last
year's proceedings. During that year we increased our
liabilities by £192,358, while our assets were increased by
£125,433, .being more than 60 per cent. of the liabilities.
(Hear, hear.) I will now move that the statements and re-
port which have been placed in your bawls be rcuived,
adopted, and entered upon the minutes.

Mr. ROETH (deputy chairman) seconded tb.o motion.
A PROPRIETOR suggested that as the accounts shon•cd
net earnings to the ex'Gnt of £130,000 a -car, while only
£20,000 was appropriated:as bonuses, and seeing also that
against the £7,000,000 of liabilities they had a reserve fund
of more than £2,000,000, something more might be added
in the way of bonus upon expiring policies.

The CHAIRMAN replied that this was not a bonus yens,
but at the end of the quinquennial period everything in re-
gard to the assets and liabilities would ba taken into Co
sideration, and the bonus be declared accordingly,:

The PROPRIETOR remarked that it was clear the old
tables Were not is accordance with present experience of
the average duration of life, so that they had every reason
to look forward to improved receipts, and consequently a
higher rate of bonus.

The CHAIRMAN—When the time comes for declaring the
bonus the policy holders will have the benefit of any such
improvement.

Mr, DoWDEN considered the proportion of proposals de-
clined—averaging as it did 10 per cent.—was very high,
aid suggested that the medical examination was too strict,
particularly as regarded cases in which a near rolativa of the
applicant had died of consumption. He congratulated the
members of the society on the great increase in the number
of policies issued during the past three years, as compared
with the previous throe years.

The CHAIRMAN thought Mr. Dowden's remarks tended
to show that the directors were properly careful in the selec-
tion of the lives they insured. (Hear, hear.) They had no
wish to turn away business, but where there was a taint
upon the life, or the medical (Beer suspected there was,
they were right in refusing to insure it. Many proposals
were made to them upon lives which it would be most im-
prudent to accept. Consumption where it existed generallly
ran in the family, and the medical officer was quite right in
reporting against proposals from members of such families.
In reply to other questions the CHAIRMAN added, the
apportionment of the bonus depended upon the profits and
position of the society, and also upon the time when the
policy was likely to fall in as a liability. The increasein the
number of policies issued in 1860 as compared with 1861 was
accounted for by the fact that 1860 was the year immedi-
ately succeeding the bonus year, when it was always ft and
that the number of new proposals made was greatly in ex-
cess of o:dinary years.
The resolution was then put and carried.

One hundred and sixty pounds were voted as remunera-
tion to the auditors for the past year, and Messrs. Stilwell,
Howell, Taylor, and Roberts were re-elected to that office.
The meeting then resolved itself into an extraordinary
general court, to consider a proposed amendment of the
article 82 of the deed of settlement, with the view of em-
powering the directors to grant assurances to the extent of
ZlO,OOO.

The CHAIRMAN, in moving a resolution for carrying out
the proposed alteration, explained that at present by the
article referred to the directors were not allowed to issue
any policy exceeding £5,000 in the whole upon any one life,
and the consequence was that they occasionally lost profit-
able business. Owing to the amalgamation of lifooffiees and
other circumstances, there were not the same facilities for
insuring large sums as formerly. They frequently re-
ceived proposals for policies exceeding £5,000, which they
were unable to accept because of the limit imposed by
the deed of settlement, and the board considered it would
be desirable if that restriction were removed. At the
same time they did not ask for unlimited power as to
the amount for which they might issue policies, but
that the limit should be increased to £lO,OOO, so as
to bring them more upon the footing of other life offiCON
The Scottish Widows' granted policies to any amount ; the
Exchange, to £15,000; the London Corporation, to £15,0,20;*
the Law, to £lO,OOO ; the Rock, to £lO,OOO ; the Equitable.
to £10,000; the Legal and General, to £10,000; the Impe-
rial, to £10,000; the Eagle, to £10,000; the Pelican, to
£10,000; the Clerical and Medical, to £10,000; and the
Guardian, to £lO,OOO. Generally speaking those large
assurances were upon the best class of lives—I-eerie of
rank-and -station, whose habits mad tuodo of living 'were
pretty well known or easily ascertained, and who wished to
insure for family purposes. Seeing that if there was a profit
upon a £lOO policy there muF.t be ono hundred times that
pr,fit upon a £10,600 policy, he thought the proprietors
would hardly hesitate In giving to the board the power they
asked.
The motion having been seconded,

A PROPRIETOR asked how many £5,000 policies fi 11
last year, and what had been the general ruttits of these
high insurances?

The CHAIRMAN—We got rid of three, and issued 11
fresh ones. Since 1846 we have had 200 £5,000 policies,
that is £1,0‘)0,000 in 17 years, and we have paid during the
same period 52 £5,000 policies, or in round numbers one-
fourth. I may add that since we have sent the notice out
of the intention to propose the alteration several policy-
holders have intimated that if it is carried they will double
their insurances.

Mr. G. BOWLEY considered the advantages of the pro.
position self-evident, and that however right it might have
been in the earlier period of the society's existence to im-
pose the £5,000 limit, it was altogether inapplicable to
existing circumstances.

Mr. DOWDEN doubted the-wisdom of making any change,
and asked for information as to the proportionate profits de-
lived from the £5,000 policies which had fallen in.
Mr. SpicEß thought the fact that of 200 such policies 52
had become claims in 17 years, was all the information on
that point that could be required.
The CHAIRMA.N said he ought to have explained that al-
though they had taken two hun irsd £5,000 insurances
during the 17 years, and had lost 52, many of the 52 were
insurances of an earlier date. (Hear, hear.)
In reply to a suggestion from Mr. DOWDEN as to the
facilities afforded for re-assuring in other offices when they
were applied to for policies beyond the limit,
The CHAIRMAN explained that in some cases parties came
to them with proposals for large insurances that must be
accepted or rejected before there was time to go round to
the other offices to ascertain whether they would re-insure'
and these, as the deed of settlement now stood, were ne-
cessarily lost.
The resolution was then put and carried with one dis-
sentient.

Mr• BOWLEY moved a vote of thanks to the chairman
which was carried by acclamation; and in acknowledging it
The CHAIRMAN stated that the resolution for altering the
deed would require confirmation, for which purpose another
meeting would be bald that day week, and he requested the
attendance of proprietors to form a quorum, in the absence
of which the confirmation could not take place.

A new tenor, M. Villaret, is about to be Lied af
the Grand Opera of Paris.

TIM CITY CF LONDON is almost wholly deserted
at night; the railwey companies and the omnibuses
every evening disperse the vast crowd to suburban houses,
and return it in the morning. This attraction and repul-
sion from the central heart is going on year by year with
redoubled force, and the end of it will be that railways, in-
stead of condensing and compressing human beings toge-
ther by reason of the room 'they take up, will spread the
population over an area twentyfold the size they at pre-
sent occupy. The time will come, no doubt, when London
proper will consist of a series of vast suburbs connected by
railroads with a central business district.
AIR. KINGLAKE'S INTRODUCTION TO LORD
RAGLAN.—I must tell you a little anecdote of Lord
Raglan and a certain author who is well known in the lite-
rary world. This morning, when Lord Raglan was wait-
ing, surrounded by his staff, for the troops to get into their
places, a gentleman joined us on a handsome little gray
pony. This pony began neighing and screaming in the
most wonderful manner, and so continuously that one could
hardly hear what was said. At last it attracted Lord Rag-
lan's attention, and he said, "I never heard a pony make
such a row; does any one know who the gentleman is ?"
Some one of the staff said, " I think he is one of the news-
paper reporters, my Lord ; shall I tell him to go away
Lord Raglan laughed, and said, " If you do he will show
you up, you may depend upon it." It so happened that I
had made this gentleman's acquaintance on the beach, a
few days before. So I told Lord Raglan that it was Mr.
Kinglake, the author of " Eothen." " Oh I" said ray Lord,
"a most charming man I" and was going to speak to him,
when. Marshal St. Arnaud came up; so for the time he
could not do so. About 11 o'clock, as we were nearing the
Russian position—indeed, when within sight of them—Lord
Raglan and his staff were riding in advance; presently a
pony dashed past us at a furious pace, and who should it
be but Mr. Kinglake I On he went right through our
skirmishers, with his horse's head between his legs ; but,
fortunately for his rider, the saddle got forward, and after
a time went over the horse's ears; of course the author of
"Eothen" went with the saddle. It was rather an absurd
thing just before the battle; we all laughed except Lord
Raglan, who rode up to him and inquired most kindly after
him ; offered him, I think, one of his own ponies to ride,
and told his orderly to put the saddle to rights. Mr. Ring-
lake was all thanks. That night, after the battle, Lord
Raglan met him wandering about, hot knowing where to
go, so he staked him to dinner. Of course he came, and de-
lighted every one present with his charming manner and
oonvorsatioui—Lesfer of 4 Ste Officer,