The Portland daily press., 1881-05-04
The Pennsylvania Insurance Swim

Lie pennsylvania insurance SWIM
dies.
Life Insurance was long ago defined as
win the pot. They play the game different
ly in Pennsylvania. There the insured are
used as "chips," and the people playing
them win considerable sums from the bank
ers. Brief mention of the insurance frauds
in that State have been sent over the wires.
The Philadelphia Press furnishes long and
circumstantial account of the triciery which
has been practiced in Pennsylvania-trick-
cry so cleverly done as to escape the proven
bal astuteness of Philadelphia lawyers, but
not the newly revealed though perhaps long
existing astuteness of Philadelphia report
ers. 1t appears that some life-insurance
agents in Pennsylvania have for some time
been engaged in taking out policies on the
fast twaning lives of the extremely aged and
the incurably sick, paying small sums of
money to those whose names they used and
reaping rapid and great profit from the
speedily secured harvest. When the insured
one did not die up to his agreement the out
ragged and short-suffering agents have some
times killed him. The Press tells us that
the investigation, but just begun, has
already brought to light cases like that of a
doctor insurlng patient under his charge,
and an undertaken a man whom he has been
called to measure for his coffin. A son in
one instance insures his dead father, and
SIX instances have been brought to light
where the insured have been murdered by
those holding assignments Of their policies.
Some OF these offenders have been brought
to justice, but. the Press says, ''the 60
called insurance. companies are not interest
ed in prosecuting them though called to pay
the policies which have been dyed deep
with fraud and crime. The Managers have
no funds at their disposal until death or
murder of an insured person makes an as
sessment necessary, and in the twenty five or
fifty per cent. of the policy retained by them
as charges, consist their profits. The policy
holders who pay the assessment arc of
course. the losers, but as they one and all
are expecting to profit in turn by much the
same methods, they pay assessments for a
while and in due time the Company breaks
up, though the gamblers in human life un-
successful in one company are usually quite
ready TO try their luck in another.'
None of the stock companies Of Pennsyl-
vania or any other part of the Union are
implicated in this bad business. 1t is de-
vice of swindling concerns that describe
themselves as organizations for cooperative
insurance. The scheme is plausible and ap-
peals strongly to many people. Whoever
desires is permitted to take a risk on his dy-
ing neighbor, and when the death occurs the
amount of the insurance is assessed Oh his
fellows in the company, and he divides the
sum paid in with the manager of the CON-
pany. The temptation to realize on deaths
oVercomes men of easy virtue, and dshon-
est persons hasten to secure policies on
those who are within the shadow of the
tomb. The law which permits a policy to
be paid to one who has no legitimate insura-
BILE interest in the deceased has made this
horrible gambling in human life possible. 1!
puts premium on murder and makes it for
the apparent temporal interest of the insur.
er to accomplish the death of the insured.
This sort of company of course soon comes
to an end. Those who honestly engage in
it speedily withdraw. Those who 60 into it
from vicious motives find, for the most part
that they are measuring wits with scoundrel.
shar per than themselves. So the scheme
soon collapses. But irreparable harm has
already been done, and, up to the present
day, the chief swindlers have been left free
to carry on their operations, when driven
from their green pastures, in other fields.
When one company disbanded they formed
another, and pursued their wicked course.
They have now reached the end of their
rope. The newspapers have done away
with them. The Pennsylvania "co-operative
insurance agent" must follow the Philadel
phia quack doctor--to the penitentiary. Lit
tie sympathy need be wasted OH the victim.
for the most part willing and expectant of
sharing in the profits of chicanery and crime
but great approval should be given to
those whohav exposed the infamous scheme
and who are seeking to bring its contrivers
to punishment.