The Sun.
London, England, 1851-05-15 00:00:00

THURSDAY EVENING,

f tf

This debt had been diminished from year to year,
until it now stood at 1,500/. only.—(Hear.) Next
year the per-centage, which the directors were bound
to take off the profits, and which had been applied to
its reduction, would ,now go to the formation of
a guarantee fund, which he might with safety
say, would at least increase in the same ratio
in the same number of years as this debt
had been diminished.—(Hear, hear.) The next
point to which he would direct their attention
bore upon the increasing income of the society. In
the early infancy of a society great efforts and great
expense are needed to push the business and increase
the income. The society had to sustain these ex-
penses at a time when the income was small in compari-
son, but now these first steps were made the society
was in the position of having increased its income and
diminished its working charges in a double ratio. In
future none of these charges would be incurred, as
the end had been attained. They had planted
three most important and profitable centres
of management; the income had been raised from
39,7471. in:1846, to what it now stood, 70,0001., at the
moment he was addressing them.—(Hear, hear.)
He would illustrate this from a paper he held in his
hand, which set forth the annual per-tentage of working
charges to income, and in comparing the year 1848,
when the income was 45,1031, to the year 1850,
the per-tentage of charges had diminished one•half.

—(Hear, hear.) This was really all he had
to say. The position of the society required
no advocacy, nor would he condescend to do so.
Another thing he might he allowed to mention which
bore on the same subject the establishment
of the Equitable Fire Insurance would con-
tribute not only to increase their business,
but also to diminish their expenses.
In the accounts of last year the item in assets of
shares repurchased bad:now entirely disappeared. All
these' shares had been now sold, and a premium
tzoAaN thequestion
said,
society.
that
although by the deed theobtained for them. He would now conclude by
moving that .the report of the directors be adopted
and printed; and circulated amongst the proprietors.
The motion was then put and carried unanimously.
The . CHAIRMAN. next proposed the re-election of
the retiring directors, John Elliotson, M.D., F.R.S.,
Edmond S. • Symes, Esq., Clement Tabor, Esq,
and Joseph Thompson, Esq., and also the election
of the following proprietors :—Hugh Croft, Esq.,
William Kennaway, Esq., Sir Arnold J. Knight,
Samuel Walker, Esq., and George Fuller, Esq.,
as directors of the society. The object of the elec-
tion of these last-namedl9na l
influence,
gentlemen was to
rteondhearvae
directors present at different centres of operation
rom a Shareholder,
I
greatwh
Tonh ew.an serviceocgullderin .exercise t
directors were allowed 1,5001. for their expenses,
they had seldom drawn more than 1,2001. or 1,4001.,
and that included his own salary as Chairman.
The new directors would only be allowed the usual
fee of one guinea whenever they might be pre-
sent at the board; and as for their travelling expenses,
the society would not pay those except they had
been specially summoned to town on business of
the society. No doubt, however, the number of
policies which they would be the means of effecting
would compensate ten times over for any increase in
expenses which their fees would create.—(Hear, hear.)
He had also to propose the re-election of Professor
Wheatsone, F.R.S., as auditor of the society; and
also of Professor John Radford Young as an addi-
tional auditor.

In answer to a question from a Shareholder,
The CHAIRMAN said that Mr., Young was a man of
great mathematical reputation, and also acquainted
with business matters.

Mr. lIERAPATH also bore testimony to the reputa-
tion and ability of Professor Young.
A SHAREHOLDER inquired what was the price at
which the shares were now selling ?
The CHAIRMAN said that the last quotation which
be bad heard was at 15s. premium.—(Hear.)

The motion for the election of the directors and
auditors was then put and carried.

Sir A. HILLARY, Bart., proposed a vote of thanks
to the Chairman and directors. He had only lately
been connected with the society, but, from what he
bad seen, he was sure their affairs could not be in
better hands.—(Hear.)
Mr. JAMMIESON seconded the motion. He thought
such a vote was especially due, after such a harmo-
nious meeting as they hadhad—harmony, too, which
was not produced by mere apathy and
ri4ult of satisfaction alone,
in-
difference, as the nutneinus meeting then present
asked around, and every
wash the
adbeen
sshinoeweecidn,
ebautitnna
question had seemed to add to the pleasure with
which everything that hid fallen from the chairman
had been received.

The CHAIRMAN returned thanks on behalf of him-
self and brother directo-rt and this terminating the
proceedings, the meetitit separated.

:RofCtlheALLegLallFanEd
LEGAL AanLnuaAl DigeDner
af.:,."lViineetiMn
ASSUR EttliCE SOCIETY.
Commercial Life Assurance Society was held yes-
terday, at the offices, •ru Cheapside ; Mr. Alderman
Lawrence in the chair,
The advertisement eonvening the meeting having
been read by the actuary (Mr. T. W. Farnell), the
minutes of the previous meeting were read
firmed.
The CHAIRMAN then proceeded to address the meet-
ing to the following , elfect,—Gentlemen, you have
heard the minutes of the last meeting read, and now
we have to give an account of ourselves, or rather of
the society for the past year. Most of you who are
present to-day will remember that, five years ago, the
society was established amidst great competition, and
it rt quired considerable attention and management in
order to bring it to
confidence
a form and consistency as
to give hope and jeenfidence to the policy -holders. olders.
The directors used itfieir best endeavours to do so, and
now, at the enkloif five years, the business of the
society had so far ,eatended that they were enabled
to say that it waseuo longer an infant, but capable of
runnitig alone.---(Hear, hear.) During the first
) ear I find that 17t3 policies only were issued, for a
sums amounting to 75,000/., yielding premiums to the
extent of 1,952/, Vs. 11d. In the following year
152 policies werayided for 65,0001., the premiums
amounting to 1,6311. 45. 5 andin 1848 no less than
164 policies were taken out fur 59,0001., the pre-
mium being 1,4931. In 1849 the policies issued were
233, ler a sum amounting to 89,8341, yield-
ing 2,756/. in premiums ; while last year
the policies numbered 279 for 104,3601.,
and yielded premiums to the extent of 3,5661.
12i. 7d. showing that the increase in one year,
namely, from 1849 to 1850, was from 2,7561. to 3,5561.
In 1849 we found our income amounted in premiums
to 5.9331. 6s. ed., which, added to the interest received
on leans, amounted to the sum of 7,087/., while in last
year We'find the premiums were increased from
5,933/. to 8,8461., which, added to the interest received
to the end of the year on loans, make a sum of 10,0531.
(Hear.) The actual receipts up to that time amounted
to 9,4251. odd, because the accounts being made
up to a particular day, we could Dot place sums
in anticipation of their being forthcoming before the
present time. Since, however, that period addi-
tional sums have been received, which may be fairly
taken in with the rest for the purposes of
,discussien,
std. to show the position of the societv.—(Hear, hear.)
The sums out on loan amount to 20,0001, yielding
interest to the extent of 1,0001. a year net ; thus half
that sum is only shown in the account, because as
yet only a few hundreds of it have been received ; but,
at all events,,to show the position of the society we may
state that our income for the last year was some-
where about 10,0001., while if we are allowed
to bring in aid the experience of the last five months,
we may calculate the income of the society after the
rate of 11,0001. a year.—(Heart hear.) That fact I
hope will. convince the gentlemen present that the
progress of the society, though gradual, has been
highly satisfactory.—(Hear, hear.) According to
the deed of settlement this is the period when, to use
a common phrase, we are required to take stock.—
(A laugh.) Well that has been done by persons
skilled in matters of the sort, and the conclusion to
which they have come, is that we are in a condition to
declare a bonus to the policy-holders of four-fifths of
what is , considered the actual profits of the society,
while, in accordance with the provisions of the deed of
settlement, I believe the remaining fifth will go to the
shareholders. It is true we have been placed in that po-
sition by the free use of the money of the shareholders,
who for three years never received a shilling of
in-
terest for their money.—(Hear, hear.) And why ?
Simply because they thought at first that the society
was only an experiment, and as the shareholders
were liable for any loss that might be sustained in its
early Career, it would have looked like paying in-
terest out of capital hat Lit been paid in the onset.—
(Hear, bear.) It was determined, therefore, that
there should be no hemp, given to the shareholders
until'the division of profits at the end of the fifth
year, to be apportioned in the ratio, as I have already
mak/n.3, of four-fifths thaw policy-hQldan, and

,

MAY

one-fifth to the shareholders, the amount apportioned
to the policy-holders being about 35 per cent. upon
their premiums, which, I believe will bear comparison
with the history of any other life assurance company,
andwill most certainly give the public confidence in
the stability of the society.—(Cheers) Having
stated thus mmcb, I will ask permission briefly to
add, that in the great competition which is now tak-
ing place, it has become a fashion amongst the old
companies, which I hope we shall not be induced to
follow, to disparage, and, if possible to keep down,
new undertakings of this sort, by insinuating that
the moderation of their capital indicates insecurity.
—(Hear.) Now, for my part, I am one of those
who think a capital can become too unwieldy to be
profitable, and I look upon a society with a moderate
capital as far more sound than one with an enormous
capital which they know not what to do with, or how
to dispose of with advantage.—(Hear, hear.) During
the fire years that this society has been in existence
the claims made upon it arising from deaths have
been eleven cases, amounting to the sum of 5,2981.,
but the greater portion of that sum had been met by
lapsed policies, amounting to 4,1951., so that in point
of fact, we have only paid 1,1001. for claims
of that nature.—(Hear, hear) That will prove to
the meeting that our mode of transacting busineilms is
highly satisfactory.—(dear, bear.) Another feature
connected with the society, which I consider highly
advantageous to the proprietors, is the average age of
its policy-holders. In the older offices many of their
policy-holders having insured in early life, the
averages of age have turned much against the societies;
but I find the average age of lives insured in this
society is thirty-five only.—(Hear) Now, I believe
that is held to be a healthy state of things, but not
only does the average age not exceed thirty-five years,
but the average amount of the policies amounts to
3891.—(Hear, hear.) That is exactly the position,
then, in which we stand, and I trust, as regards the
general receipts— in the sums paid to persons deceased
—as regards the average age of those who are in-
sured, or as regards the average amounts of the
policies issued, it will be allowed that we stand in
an excellent situation.—(Hear.) The directors, who
have paid much attention to the subject, think we
do, and having said that, it only remains for me to
call upon those gentlemen present to aid our manage-
ment, first, by recommending their friends to bring
their pclicies to our office, and, secondly, by their
votes to-day showing that they approve of the course
which the directors have taken.—(Hear, hear.) I
will not detain you longer, but simply request the
Secretary to read the annual report.—(Hear.)
The Secretary then read the report as follows :
"In again meeting the proprietors and policy holders
the diretora have the pleasure of stating that the com-
pany's business during the last year has been highly
satisfactory; it exhibits a steady increase on the business
of the preceding year, and notwithstanding the vast com-
petition with which the company has had to contend,
and the great care taken in the selection of good lives
only, a considerable amount of new business has been
effected ;—the progress plainly evidences the growing
confidence of the public in the stability of the institu-
tion. The number of policies issued in 1849 was 235,
creating assurances to the amount of 89,8341. 7s. 6d., on
which the premiums received amounted to 2,7561. 7s. 2d.
During the past year 337 proposals have been submitted
to your directors, of which 279 have resulted in policies,
assuring 104 360/. 125., on which the premiums are
3,5661. 12s. 7d. The loans granted during the past year
have amounted to 11,8881, 10s. on real and personal
security, the cases on real security being 9, and amount-
ing to 9.288/. los.; and on personal security 19, and
amounting to 2.600/.; this branch of the society's busi-
ness has progressed very favourably. The number of
new agents appointed during the past year is 113,
making the total number of agents 560. Much valuable
business has been secured by Ibis means. During the
four months of the present year the income of the society
has been at the rate of upwards of 11,000/. a year. The
new features introduced during the last year by the ac-
tuary, and the modification of the tables of premiums,
have attracted considerable attention, and contributed
materially to advance the interests of the society."
The CHAIRMAN moved that the report be adopted
and entered upon the minutes.
Mr. Cox seconded the motion.

Mr. PINCKARD, actuary of the Clerical and Medical
Life Office, highly approved of the proceedings of the
director., and was convinced that if they persevered
in their present system prosperity would attend their
efforts. He did not regret that they had encountered
difficulties in the outset, because it would render them
more cautious in future.
The resolution was then put and carried unani-
mously.
Oa the motion of Mr. HAstaisori, seconded by Mr.
Alderman Firms, Messrs. Elliot, Ellis, and Glad-
stone, who retired by rotation, were reelected direc-
tors ; after which Mr. William Bagahaw and Mr.
Hildyard were appointed auditors.
A resolution was then passed, authorising the
board to pay the shareholders 4 per cent. interest
upon the paid-up capital, and afterwards it was agreed
that in future the remuneration of the directors
should be increased from 400 to 500 guineas per
annum.