New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-08-26

not have taken part in this investigator "nu
given it some scmblance of authority. AS IL
is. there is no reason to hope for anything
from tho majority but q commonplace ana
conventional report, full of suppressions ana
plat.udes which will leave the Indian question
lust where they found it. The plain state
ments of Prof. Marsh and the vigorous argu-
ments of Mr.. Welsh will remain unanswered,
and Mr.. Delano will still carry his tainted
reputation into the Cabinet meetings, as long
"a the President is Indifferent and his col
leagues arc too polite to protest.
AN EXPERIMENT Nv LIFE INSCRAFCE.
The cost of obtaining customers in starting
a new mercantile enterprise is always serious
consideration. The young concern may have
money, facilities, and ability sufficient in all
respects for conducting the business proposed !;
but without customers it is like locomotive,
properly constructed, with steam up. but no
tracks to run upon. In Older countries the
"good will" or the establishment Of channels
of trade, possessed in families for half CEN
tury or more, becomes the most valuable part
of the business. The rapid changes of fortune
in the United States modify this condition of
things here, and render it. more practi"able for
BEGINNERS To make Il new start III lie, coinpct-
ing with those who have already fixed nam"
and position. But to accomplish success, II is
absolutely necessary for the new concern to
give wide publicity to its undertaking.
We are reminded of these somewhat obvious
facts by the programme OF "A recently started
life insurance company which proposes To dis
pensc with the costly services OF canyassing
agents. This will be novelty on our side OF
the Atlantic where one of the grayest oeca-
sons of sOcitIrhc has been the extravagant
commissions paid by young companies to their
canvassers. Hand in hand with this abuse
there has been usually careless selection OF
insured lives. These causes, rather than loose
investment OF funds, have brought down into
the dust of anal SamatiOn or bankruptcy sew
eral of the minor concerns. The success OF
certain English companies that have never en-
ploycd canvasScrs gives hope to the new
enterprise here. But it must be admitted
that the conditions abroad are very different
Much of the life insurance OF Great Britain
flows from the disposal of inherited property,
and in making marriage settlements a lie
policy is frequent element The Application
in these cases comes to the companies from
the legal advisers of the family. 1t may here
be mentioned, however. that in the exposure
of the affairs of bankrupt English companies
it has been shown that heavy commissions on
rolices were paid to this class OF lawyers. AS
to the large proportion of British companies
that do employ canyassers it cannot he said
that they set an example of economy in man
agemcnt to our older companies, in whose
practice commissions to agents are reduced to
Il minimum.
There is another feature III the programme
of The new company to which the public may
be expected to pay some attention. What IL
called q saviDSsbank account" Is to be
opened with each policy, and what the COM
pany can b. calculation afford to pay back on
the surrender Of the policy is 10 be contin-
uously placed to the credit OF this account
This is to enable the insured either TO apply
the accumulation to the renewal OF policy,
or to surrender the policy itself at any time
for n cash value. 1t is believed that this sys-
TEN will prove an Offset to the deep dls'atlS-
faction which now prevails among the people
who have taken insurance in years gone
by, and now either cease to need it or
are scarcely able to pay for it. They
generally consider what the companies offer
them for % surrender too small proportion
of the value of their policies. The leading
objection that companies raise to the often
urged project of naming surrender value
from the start of policy through its whole
existence. is that it would offer an inducement
TO the insured to rclinquish the policy that
this would he more of a temptation 10 the
sound and healthy than to the feeble and dis
eased, and thus eventually most of the good
risks would be withdrawn from the books,
while all the inferior ones would remain.
Here then is question which cannot be solved
by mathematics in advance Of experiment. "A
wide spread interest may perhaps be taken IN
au cpdeayor to put lapsed and surrendered
polices on an equitable and satisfactory basis,
since many people believe that in these mat
tiers they have not met fair dealing.
Ii is beyond our province to forecast the
future of the now undertaking; whatever the
result, il will not affect the principles involved
in the proposed plan. Their merits or dement's
will become more than ever the subjects of
divided opinion. At least the company may
steer clear of the two Quicksands of exirava-
gance i'm agents commissions and dissatlstac-
ton among policy holders. If q marked suc-
cess is attained, it will hasten the day of
improvement in life insurance in respect 10
cheaper and better ways OF conducting the
business. If failure enslies it will long post
pone an experiment which perhaps some OF the
older. stronger companies might have at
tempted to greater advantage.
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We do not remember exactly how old the youth
~.