The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1871-06-24

"It would not be difficult to show this capital,
instead of being a. protection, is In reality, IN
many cases, a very serious burden. II any
one will take the trouble Of calculating, ne
will find that after q very short time, as COM
pared with the expected duration OF an assur,
aace office, the accumulated dividends paia
out OF the premiums 10 the shareholders Will
have abstracted1a greater sum than the capital
itself, which they profess to provide 1or: Inc
security Of the assured"
When it can ''be proved that it is more ben
ehcial for the assured to take a part, rather
thar tie whole, of the surplus" we may yield
to the advocates of mixed companies, but not
I'LL then.
The assuring public are becoming better IN
formed on the sources of security and the cost
of assurance, and truth will triumph in the
end.
money, which has curtailed the business OF
life assurance quite as. much as that OF any
other business. The decline in the prices OF
take the policies applied for, and caused DINERS
to defer applying until another crop Is gain
cred.
Notwithstanding these difficulties aud 9th
ers which could be named, the company has
been successful. 1t has liquldated lib inde5t-
edness, paid its losses promptly when due,
paid all the expenses of organizing and con-
Quoting q new business through its first year.
Has reserved ten per cent. Of It's gross income
to provide for any fluctuations in the market
value Of its assets, and has a reserve at market
Value-to safely reinsure all its outstanding
risks.
Contrasted with the early business Of its
great prototype, the Mutual Life Of New York,
Ia company which has had no agency in this
section since the 'late unplessantness," " our
company exhibits a larger amount OF pre-
miums and interest received in the first year,
and q smaller amount at risk than that COM
pany had In its first two years.
MUTUAL LIFE NEW YORK, l23 MONTHS.
At Risk. Pr. Reed. Int. Total;
$780, is . s37,2s3 30 $3.50 10 s37,s5s Os
PoL1cY-HoLDERs, IL MONTHS.
s fl n,s4i s5s,oss s. ss1s At $50, so4 10
The excess in our premium receipts over
theirs may be accounted for by the larger
premiums paid to US on endowment policies,
and on policies paid for by limited annual and
single premiums, modes adopted since the
early days OF the Mutual Life. That company
was organized In April. 1912. Its first money,
was sl0S so, the premium paid ON q policy OF
$4,000. Its assets on the LIST of January last
reached the enormous sum Of So, 500 200. It
had at risk January l, 1900 on original policies,
$2l6, 93l, 0S2, and dividend additions $l9,32s,-
6SS. We may not hope to grow as this COM
pany has done, but so far we exceed its early
efforts.
The success that has attended the purely
mutual companies Of this country, and also
that of their great prototype the Equitable
Society OF London, should convince all DIS
Interested parties that the mutual principle,
honestly and economically administered, is the
true principle of life assurance.
The Equitable Society OF. London was esta-
blished in 1762, and until then the practice OF
life assurance, says an English writer. was
left to bllndfold progression; that chance
been fixed and certain" That company has
been la successful operation for 100 years.. 1t
has distributed large amounts OF surplus, ana
has now assets amounting to s25, 900, 00G. lis
history has been said to be ''the history OF life
assurance In England and 1t may be said Of
the mutual companies Of this country that
their history Is the history Of life assurance In
America.
ToNT1NE DEPARTMENT.
This department. has not received. a. much
attention as the life department, owing In
part 10 the unavoidable delay in preparing the
papers.
first of the present year. Since then a lew
policies have been issued on the twenty-year
plan.
In conclusion, allow me to say through you
10 the policy. holders that we are using our best
efforts TO build up a home company that will
be O credit to the South and a benefit to the
present and succeeding generations-directly,
by dispensing benefits to them or to their tam
lilies. and Indirectly by aiding TO retain and &C
cumulate capital at home, whose reflex infu:
ence in aid OF the enterprises and industries OF
the South will be felt In proportion TO the sup
port the company may receive; and 10 view Of
these facts, each policy-holder should interest
himself, for himself and Tor the community. to
bring In new members.
II each policy,holder will only add one new
member during the current year the number
will have been doubled at their meeting In
March next, aud the assets Of the company
trebled, the ratio Of expenses diminished, and
the surplus Observation-Disclosures which
should influence all to help forward SO deslra-
BILE an object. Respectfully submitted,
(Signed) WIN. McBuRNEY,
President.
Charleston, S. O., March l, 1871.
Entrnct from The Minutes NJ the Board.