The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1874-05-13
LIFE INSURANCE-A GREAT DRAIN
UPON OUR RESOURCES.
Reply to Mr.. Branch's Article.

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Editor Press and Banner:
SIR: Your correspondent Mr.. w. T.
Branch last week published all article
in reply to previous article of mlne'
and Us far rs / can see has failed to re-
fute single proposition advanced III
that article. Some Of his remarks how
ever In my opinion need cxplana'
ton as they are apt to be misunder'
stood. He begins with:
:In reply would say the writer has
failed to prove what he asserts, and
has proven the contrary if you take
his own figures. "S!X hundred thou,
sand dollars paid in life insurance
companies by citizens of ALbcvillc
County, and sixty or seventy thou,
sand paid back by the companies. y
What does this prove? That there
has been over ten per cent. realized
on the investment rs public one
while rs an individual benefit | can
and am ready to prove, by actual fig
ures from my books, that from five to
seven hundred per cent. upon the
amount paid in by individuals whose
policies have matured 10y their
dcaLh) has been returned to the ben
c6ciarics."
And then asks: "W}lat more can q com
munity want" Ten per cent. he think ks
q reasonable rate of interest, and so no
!, if it is ten per cent. per anuunl, but
ten per cert. in seven or eight years as
in this case, seems to me to be rather
small ,,Tofits-ab0ut one-and-a-half per
cent. per annum.
He afterwards denies that there has
beenover three hundred thousand dol
lars paid out for insurance, and asserts
THAT one.third Of that amount has been
returned to the insured. But he takes
care not to give any exact figures. l
presume his books ought to show exactly
what hc as agent Of the company, has
sent out of Abbevilie County, as well as
the exact amount that he has returned
to policy-holders within any given time.
If has distributed such large profits to
our people why not give the figures?
am perfectly willing to admitany facts
which Mr.. Branch may give from his
books, but vague and Indefinite remarks
do not answer, when the exact figures
can be so easily given.
In 1870, two hundred and forty-siX OF
our citiZens held policies in Mr..
Branch's company, amounting in the
aggregate to the sum of S73l, 600. We
think it fair to estimate that the average
cost of this insurance would be S3S per
thousand dollars-or $27,77S O year.
Estimate this for seven years, and we
have the sum of $194 ,446 paid to one
comprny. Give Mr. Branch the most
liberal estimate and grant that he has
issued one-third as many policies rs all
the other companies and agents COM
bincd, and we will have a grand total OF
S:5Ss3, 1888 ,S32 SS332 paid out; to say nothing of in
terest, which, if added to the principal,
would swell this sum to near million
of dollars-a much larger sum than we
ut first estimated. Of this number OF
policy-holders doubtless many have for
ieited their policies to the companies
and Others have been induced to take
their places, and SO you see by this
method the constant drain upon our re-
sources is kept up, and the surplus casi,
of our citizens sent 'whcre the wood
bine twincth."
Let us figure little. Estimating that
SPLITS was paid to the Piedmont and
Arlington on their PIG risks in Able
vile County in 1870, and giving Mr..
Branch credit for one-third. of the whole
business done in the County, we would
have total business of SS3,33334, paid
out annually as premiums for the past
seven years. Let us add this up
lst year, cash for policies, es,:..........SS3,S ,S334
Interest year at 10 per cent. 1888