The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1872-05-15
Universal Life. Insurance Company

OuASoASd o1Io.. AAouI duCo OuWpduy
A new cause of complaint against life
insurance is beginning to find voice in
ne EXPRESSIONS On uis. abstraction heart
m every side with regard to diminished
Iividends. These complaints are Ger.
ainly not unfounded or unreasonable
Many of the companies which whilon
an thriving business, rs regards the
:ssue OF policies, on the strength O
promised dividends from thirty to fifty
per cent, are now compelled to confess
heir utter inability to declare any div
iden1s ut all: while even the oldest anC
wealthiest mutual companies have beer
obliged to resort to new methods of di
viding surplus, as cloak to cover uE
their deficiency of means to make gooe
their previous promises. 40
What "dividelids' have been grow
ing small by degrees and disagreeab )
less of late years, is, we believe, suffi
ciently notorious to leave little room
for question. The helpless holders O
policies in these companies have already
learned the lesson OF, their. disappoint
ment; and taking counsel Of their fears
are In maze Of wonder and alarm as
they compare the present with the'past
and begin to realize the wreck of theil
hopes as to the future. The best evi.
dence of this is to be found in the enor.
nous and unprecedented number o
"lapses" shown in the report of the
companies for the past year (lS11,) and
in the increased amount of new business
transacted.
A very notable exception to this gen.
cral rule is to be found in the statement
of the Universal Life Insurance compa'
ny, published on the last page OF the
cover of our present number. 1t is Ger
tainly just cause for congratulation or
the part of the management, that while
with The great majorities of companies
the business of 1871 has fallen short O
that of 1870, that of the Universal has
increased nearly fifty per cent; nay
more-its actual increase has been great
er than that Of any other company in
the country. This, however, is not the
only point Of interest shown by the
statement in question. The company
in its stability has more than Kept pace
with its increase of business, one-thlrd
of its assets Icing a surplus over the
requirements for solvency under the
rigid exaction of four and one-half pei
cent. valuation, as demanded by the
laws of New York. Since it's organiza-
tion this company has issued nearly
fifteen thousand policies at rates vary
ing from twenty to thirty per cent.
lower than the mutual companies; has
paid nearly seven hundred. thousand
dollars to the representatives of deceas'
ed policyholders, and yet stands to-day
as regards all the elements OF strength
and solvency in far better condition
than very mally mutual companies OF
its own or g greater aye, which have re-
ceived one-third more in premiums on
o.. similar amount Of. business. Can
there be better certificate than this OF
the excellence of its plans, or the spirit
and integrity Of its management?
Surely it is natural that in the present
temper of the public mind regarding
the diminishing dividends" by mutual
companies, and the consequent alstrust
in the decreasing business OF those com
panies, that agents Of ability and sound
besiness views should be attracted To-
wards company which presents such
solid claims in its plans and manage
ment for public recognition and sup
port. And s2ch, We are gratified to
learn, is the case, and which We VEN
ture TO predict will he abundantly yer-
flied at the close of the present year by
q satisfactory increase in new business
over that Of 1871; a gratifying earnest OF
this result being already obtained. in
the fact, that the business transacted
during the first three months Of the
present year is more than double that
for. the corresponding period OF last
year.
The recent action of the company in
to the policyhoIders a share i'll
the profits of the business, is just what
might be expected flom the character of
the management, and entirely dissi-
ua:es the only argument ever urged Of
any weight, against the stock plan,
that life insurance, being EN-.
tireIy unselfish in its nature andotJects,
and the offspring of benevolence and
duty, was not fit subject for monetary
speculation, and therefore should be
to the public without any pro-
fit to those engaged in the conduct OF
the business beyond fair living salary.
dissenting entirely from this
view of.the question ourselves, we are
fully aware that it is pretty generally
accepted as correct by the majority Of
insurers, and the manner of the unlver-
sal certainly show stheir wisdom III
meeting the question in the only way
in which prejudice is ever successful
ly met-succumbing to it.
In the method of division adopted by
the company greet fairness and liberal
ity are shown toward the insured. Each
policyholder is treated Us Il quasi stock
holder to the amount of one annual
premium on his policy, and OH this
amount he will receive Of each profit
dividend declared, the same share that
u stakeholder would receive on all equal
of capital stock. These divi-
dends, in view of greatly reduced pre-
miums charged, must necessarily be
small; but their chief value, in our
opinion, lies in the fact that no profit
can be received by the stockholders
which is not participated in by the pol
thus necessitating on the
part of the management the greatest
possible care and economy in the con-
duct of the business. In conclusions,
we will add that we know Of no COM
Daily IIlaG OllSlS ulolC oIuiNSlANS AStt
lures both to the agent and the intend
ing insurer than that under review.
Its unleniable solvency, the rapidly in
creasing popularity of it's plans, its low
rates of premium with participation in
profits, and though last, not least, the
waneing favor with which the so-called
mutual" system is regarded by the
public. all combine to convince us that
there is no other company which pre-
sents so many elements Of success in
the hands of Intelligent and energetic
Agents as the Universal. TO all such
that apply to the managers, we can in
sue courteous liberal treatment.
JOHN G.. CHILES,
General Agent.
r. MILL WAY, S. C.--tf '...f. .
TTNA ArroIrNTAp puEN0MA AT A