, 1879-01-27
LITE.TNSUfsANC11.

10 fhs Editor % 1ht TFtbunfs
CHICAGO. Jan. 25.-1n their letter of tic 10Th
Of November, 1878, which Inns been published as
an advertisement In ncarly every newspaper In
tho United states the three chief officers Ut the
largest life company IN tho world state:
"In View Of the possible depreciation below
the vital STANDARD, by rcason Of the unusual
number Of retiring mcmbera during tle last
three years, it was incumbent on the manage
mcnt to check this decrease by such Incans As
would be efficient to tic end sought mil least
burdeusonie to the existing policg.hof1ers Of
the Company"
OF cat,dor and accuracy the managers Of this
Company appear to be quite destitute, but of
evasion and concealment they hare al unllmEt-
ed supply.
Prior TO 1875 their reports to poliey-holdcrs
contained statisltcs showing the percentage Of
tic amount Of actual death losses to tho amount
expected by the mortality tables, as follows:
Per cent.
1s31 Tx,snty;noh ,.t.sy, t,aal seportm b P III
HIT. ThIsty+hrst report, q. 32.......... ....4
1874. Thirty second report, .. u. ...........72
Showing great Raius from vitality.
Since 1874 this important information has
been carefully omitted from ait reports. pre-
s.l,1lab1Y because tho percentage Of act'lal
losses to expected lossos increased to roint
HutEW #UAIN HtNhE I'LL HAAtAo comparison VIZ"
previous years, Of With the ratios Ut other cotT-
panics Posslbly because sorno inqutstt.ve In-
suranco Commissioner ma1c calculations nnl
found tho Company'a figures Incorrect. Ger
tatnly tho suppression of tllis information was
| not prompted by psafsewosthy natives.
| But the principal eausD Of Impaired vitality
has never bcen acknowledged 0r even alluded to
| by tho oIlircrs.
mes is ti.ut insurance should bu written only
upon the ltyeA Of pcrsous in good health.
For oycr thirty ycurs tilc officers Of the Mutual
Life hare appropriated all tie dividends to The
purchase Of additional lnsurnnces upon the lives
| 1T lts members without AnY medical canfui,ia.
/ ton, excupt tlIut Inauc at the Issue Ut tilG
original policy, ull1 without knowing whether
The subiects u this insurance. we're, when the
| additional insurAnccs were grantcu, In good
health or at the point Of scath. ..-.
The most superficial consideration Ia enough
| to CONVINCE anY peraull Of nrjlnary intelligence
that Of II, ,00o 4tyea VI WHICH might lAYe bun
sound avc, ten, twenty, UNI thirty years ago, q
| largo proportion would become In these pcrt0ds
more Or lcss Impaired sud uniusuraba In any
respectable cutnpany,
pauy In violation of tliis fundamental principle
may l,n Judged OF by tho fact tlsat In tbs last
seven ycars aaono 1t exceeded thu euorinous
| sum OF Afty m!llions Of lollars.
As to ho,v much Ut this $5D, ,0o0, ,0o0 has since
been surrendered, tho reports are bllcnt, md nu
one outside the aetiyc Fnapgcrs u the Company
ran know. ....-
While thc Mutuat's lead In ttis mons.roua
nlado In lie busincss} was rcatllly folluwed by
tnost OF the Now York companies, It was neye!
adopted BY tlis nld eo.npaEies Of New England
und New Jersey; Ectlcn the latter arc nut unH
found engaged In irnnttc tTor;a to lring III
sncw blood " TO restosu an ''isnpaErcd vitai
The damaging effects OF this talsa step nee,
essartly increase with The aSe OF tho cots.pa1,,
II nISnS,