New-York tribune., 1871-10-21

follows:
On and rl,nd s.,IssuO, l The yho. =: pss;S., 70,
en- nsrSros re- fps FJ per cent prVums received
5 s,s ' III hs s ito. 70 ' ono ana S P n 5as' s S
SSsESS s . 90, OF 3 | ss e C SSi s
d., med To % pnsS to S sd T sa; ire companies RAPIDLY
gas SS ed a. wS % s aa To p $ iS
.Srso. fund.- q .&oa to that jcgn,tod
@ sii s. @ %s 20 .SaS Sa1 e.. 3 & % i
snS 5 . T.. AND vii s cOaI y pocy wise
AMI b9.ess rue for ISs conpanls. to ss 1rhr
s' eDeOunt., the term hat sooner later win come Z te
sTnnstOOS Of fTs insurance companies BY Supervisory O
th. Ss eSaPanss b rsNSe to keep book 81 "a % @
re.Dsurnnee reserve known
No member manifesting desire to discuss this part
Of the report Mr. Harvey offered resolution Of the
effect the above extract. The Chairman, Mr. Miller
said he hoped the members would discuss the report
freely 1t was Of chief importance AS to that part Of
the report just read he favorable to It, He had met
with companies IN the course OF his investigations where
he Thought the existence of such regulation had proved
beneficial He had known companies in this state VINO
kept books, and where 1t almost impossible In
en to this sS9 R9Sy &C
CURED to keep books BY which iu few hours at tho fur;
thest person could understand what their unexpre
risk was He favored all the recommendations. and
hoped they would pass with unanimty The resolution
then, without further debate carried unanimously
The Secretary then read the recommendations OF the
Committee in regard to life insurance, which have al
mend that the Convention approve the American expo
rcnCe table Of ality, and II per cent interest per
in each Of the States as the basis for calculating net
premiums and net values OF life insurance policies.
and It Was seconded By Mr. Clarke S Massschuses
that the actuares rate Of mortality and interest at ous
rate Of interest recommended by the Committee on Yau
atoms ETC., for determining the reserves OF lie co"
panies. Tie resolution was finally adopted.
THE RESPONSIBILITIES OF LIRB INSURANCE COMPANIES
fhnn AL
dressed the Convention the subject Of life insurance
aud the rates Of interest to be charged He sad There
s certainly large aud respectable portion OF the life
insurance world that prefers per cent to n per cent
rate There in this country about 100000 policies OF
life insurance in full The comranes have contracted to
and Onebalf billions of dollars, TO provide for the pay
sPt Of to "ne e Snsn 1T o ao%s
probably one OF the most, not Cue most I'M
RS'3 s%sre or a1f to qS0 Lave them
whether these companies will be able 10 meet those con
when they shall mature. That depends, as every
knows, upon two uAings-the date at which tie
paper viii mature and the to which these So0OO0OO 900
Ge viii nature there little doubt and very little
difference. 1t makes very itto difference whether yon
H other We'll wei graduated table As respects the use 70
which money can be put between this this hour our
dysE,Gs Of OpaGn Your Committee in Their
pD o per cent tna NcW respects
ths matter there are two opposite views. i g CON
right prescribe Of interest by which all parties
all Kind OF oompanies shall be governed. 1t Is an
that they shall at this that per cent under
take that not one in hundred OF policy-holder5
probably single member Of this Convention not di
Iecy Interested in life insurance. has ever asked himself
WI Thal rS OI OF %nt II o. e gan GoeS e
the Cha ter OF All insurance cOnpany the granting OF
Of 6l STATE to sec that that Franchise is So enjoyed aud
exercised as shall conduce to the public safety and the
Gentlemen for what are you Insurance superintend-
ens Is t not to sce TO 1t that the company not only
lives to it assumptions but lives up to that contract
which it has soemnly made with the people to whom it
owes its franchise
Now, ;regard to rate OF interest. The theory Of
IT, you all know, that every dollar OF net
premium received is invested at the instant 1t is re-
rate Of interest annually Compounded. Any delay,
therefore between the receipt aud investment of pre-
the Mutual Life Of this city which above all other com
almost entirely in solid cash invest
them their show that
of real productive assets their income from inter
Sow @ tfsI this f We S Want 1 have this
the r E q the G OF TeaneG deHS Upon tho
productive assets OF any company IN any single fails
etST fatal to so0 tho H0 u%ens @ Of its contracts unless
indeed, wo are PREPARED TO take Axe into o,,sH. &C,
with which this matter has nothing to do Now from the
report of the Commissioner Of Massaohusetts OF 1870
find table Of comparative ratios. tnd there that the
ratio life insurance doing
increased from 13 cent In 1858
1919 in 1902 find that instead OF os OF their
the companies have been spending 1915 per CENT ana
assets they are resGr,ng only 81 IL The tendency has
been steadily downward. There is no danger, In my
Judgment, in having too much money There Is no dan
ger the direction Of security Place your rate Of In
terest at Ow.water mark where the poorest company
most Unfortunate year at least have margin on the
side security the rate VI interest you have fixed
THE INTRINSIC VALUE OF MONEY.
Mr.. Paine arose to speak word for the n per cent
and the American table. He referred to the English
practice Of per cent which he didn't think we were
bound by, because the price of money is much less
there than here For the next years per-
haps-money here will bear higher price than In En-
gland But the relations of the tw countries become
more and more intimate, it must affect the none
man becomes better acquainted with the Ameri-
can, be will have more confidence, and his money
Therefore, he came TO the conclusion taking all these
things into consideration that six cent is safe and
Cey % "a this 70 De GreS e as ngc Ha @
money is almost substantial thing all through the
not the intrinsic value Of i worth 90 per
cent but the lack Of confidence in the whole world
IN all the West There great lack Of confidence in
70 S S were eee seee1aSg tine @
ffEeEy60Gy te that they ran great & s9 In sending
trnsc value s 1t las been often stated during the last
few years that the Government rates were good meas
that :o sss %
able price for our money because Government had
nIsd that Even Legislatures have adopted the idea
now instead OF $40 cent being the intrinsic value
Of money, 1t just what money worth. Govern
nent paid 10 because there loan placed the
market at time when the security Was Of the very
worst hnd and when there was great doubt as to its
payment would divide that7 $40 something like this
Intrinsic value OF money III premium Of insurance
the risk, per cent That e not all Government came
into the market competing with all other money
premium ottnsurance the bonus for inducement
Mr.. Harvey Of Illinois here proposed the following:
oped That whenever sha appear that sssets
Of Life Company reserve A csusd
standard
tsting ays