The Portland daily press., 1872-04-12
MERCHANTS
Life Insurance Co.

have prepared, and now offer to
the public, a new method of insur-
ance, which limits the amount OF
the payments to a small and GER
tain sum, and provides a hand
some annuity for the relief and
support of old age, combining, al
a low rate of premium, the bene-
fits Of the Savings Bank and
the high-priced Endowment and
Whole Life policies.
The plan is simple, easily UNDER
stood, and the advantages it offers
appear at once. Fifteen annual
payments are required ON this
plan to purchase a paid-up life
policy. Each yearly payment is
less than the preceding one, the de-
crease being at the rate of four per
cent. compound interest. As an
example,: at the age of rs the
first payment ON a policy for
$4,000 would be $3s3; the second,
S35S 10; the third, $343 20; the
fourth, $32S 30; the fifth, 1913 40,
the sixth, $29S 40; each subsequent
payment decreasing i'm the same
ratio until the fifteenth year, when
the last payment would be but
$164 10, sum much below the or
dtnary whOle-life rates. The total
Of the payments made amount to
S4,O2S 30, and at the end of the fif.
teenth year the insured would re-
ceive a paid-np policy for SIC, 900.
On the ordinary plan, to secure a
Paid-up policy for $4,000 by fiC-
teen annual payments, a person
Is years of age would pay to the
Company i'm the aggregate $4,s5I-
a saving at once i'm favor Of the
new method of $S22 10.
The new plan has, however, 9TH
er and greater advantages. At the
close Of the sixteenth policy year,
and every year thereafter during
life, the Company will pay to the
POllcy-hOlder such an annuity as
the entire surplus accumulated at
compound interest will warrant.
Conservative estimates i'm regard
to future rates of interest, mOrtaIi-
ty, Iapses, and expenses, show that
this annuity Will average about
five per cent. ON the aggregate
amount Of the fifteen premiums
paid by the insured to the Conn
pany.
Thus i'm the case above mention.
ed, estimating the annuity at five
per cent only, a person Is years OF
age, having i'm fifteen years paid to
the Company the sum of $4,O23 80,
would receive at the end of the six
teenth year, and at the end of every
year thereafter during life, a sum
i'm cash amounting to $2Ol As. The
POIicy-hOlder's right to this annuu-
ity the Company will purchase at
any time after the full fifteen pay
mentS have been made.
Should the insured through mis-
fortune be compelled to stop pay
ment before the fifteenth year, a
policy will be given, after
three annual payments have been
made, for as many fifteenths of the
sum insured as yearly payments
nave been made, an arrangement
perfectly equitable and just. On
such paid-up policies, however.
'ne annuity payment commences
at me end Of the sixteenth wear
after the first payment made tn tho
company, and will be based upon
the amount paid for such policies.
The above is believed to be the most favorable
plan to the insured ever Introduction in the
OF death within the fteen-year period the percent
age of profit must be entirely satisfactory while in
case of long life, the annuity will repay every
dollar of premiums paid by the insured to the Com
pany, and prove in every way equal to an invest
ment in Savings Bank, for the protection and sup
port of old age while the amount of the policy paid
at death may relieve destitute family, or add to
comforts already possessed
The Company is also prepared to issue policies
upon