The Middlebury register. [volume] (Middlebury, Vt.) 1850-1882, 1870-03-08
Bristol, VI. March 9TH, 1870.

EDITOR kEGIsTEK -
There is great interest at the
present time upon the subject of Life In
surance. AS its benefits become better
known its popularity increases. Many
of our citizens are daily investing and
doing so largely. Different companies
upon various plans are being represented,
and the question arises, what style of in
surancc or in what company can we in
sure, all considered, to the best interest
of ourselves and our families. A ques-
ton Of vital Importance to those contem-
plating life insurance.
| beg liberty, through the columns of
the Register, to throw little light upon
the subject as, after investigating, it looks
to me.
In the list of companies represented in
our vicinity different classes and grades
from the leading life insurance company
of the world, the Mutual Life of N. Y,
with her four million of assets and econ
omy of saving in time of plenty for time
of want, down through the various grades
till we come to what seems to me the in
surance rubber, but totally sprung into
existence in the principle spend as you
go' or the dollar and ten cent companies.
OF the first the Mutual Life and compa-
MES similar, if not equal, little need be
said.
The history of the Mutual Life proves
to you that insurance with her, virtually
costs nothing, reckoning money worth e
per cent. interest, as she has been able to
return all premiums paid on market pri-
ces with 6 per cent. compound interest.
The Mutual Life is the only company
so far that has been able to show such re-
suits.
These new companies are new to us all
| wish to be generous, still feel bound to
notice the basis or ground work upon
which they are founded. First we see an
error in the calculation Of the probable
losses from year to year as they found
their estimation upon the experience OF
such companies as the Mutual Life, N.
York Life, Conn. Mutual, &c. No lon
ger ago than 1859, the total number Of
policies in force in the Mutual Life were
only 1,S32, company then sixteen years
standing, while Dec. 81, 1868, we find
she has increased that number to 60, S72,
say nothing of the losses from year to
year-this leaves great majority of the
members insured, but lately insured. In
the year of 1868, while she added a.
$50 new policies, her losses by death in
number were only $40, mostly old
members, hence you see with ratio Of
increase of new members to loss by death
of 80, that In adding 80 new members in
the place of one DEATH this is not n fair
comparison as these new companies only
propose to add one to take the place Of
one in case of death. Hence you see they
are not given fair estimate of the prob
able expense Of your future insurance
They give you about the present expense
Second, what is the probability of these
classes being kept full, and hence should
you live number of years, as we are il
hopes Of, your own loss if paid at all, be
: ing paid in full amount. | think tn,
chances very slim for the following rea.
son: When member unites with :
class he remains with that class unit
death, no matter how old or infrm he be
comes. When the class is first made up
they entcr,we may say,upon equal footing
all being sound, in good health, and near
ly the same age. Each one then feel
that he is only taking nearly equal chan
ces with those insured with him. Blu
how think you it will be when majorit,
of that class have become old and infrm
or contracted diseases of which they wcr,
free in the st rrting-many Of them on
!, foot in tine grave-think you then the.
will find plenty of young and healthy mel
and women in prospect of long life, to fiji
up the vacant ranks, then numerous, anC
take chances of paying equal with thos
who are the same as already dead ?-l
i not, how will it be THE result is plai
to be seen. Men and women looking 70
! that kind of insurance would desire ne,
classes, and if they could not enter such
, would not insure to carry the risks @
those hundred fold their own. TIL
, young may die, the old must. The
, spend as they 90, have not an accumula
, ting capital increasing as the risks il
. creased. Easy to be seen then is til
fact, that unless they can dupe men an
:, women in later years to take these Ill
equal chances and keep the classes ful
these classes must go down then VIII
will pay the last losses?
Ere that time the bubble will hav
e burst.
y Those understanding the problem {
r insurance, and having investigated tn
/, matter, already detect the leak. | eel
e tainly cannot predict success for tbs
style Of life insurance. leave the sui
h ject for your thought and consideration.
H. ID Rnprprc ~ Mutr,l 10