The Indianapolis sentinel. [volume] (Indianapolis, Ind.) 1880-1904, 1885-05-21

icies?
EXAMINATIONS IN THE EQUITABLE AND CON.
NICTIcUT MUTUAL COMPARED.
As q proof that the amount of policie,
terminated is larger in the Connecticut Com
paDy, ard is not feature of the business
ocular to the Equitable. the following fig
pres have been com piled from the New YORK
Official Insurance Reports, showing the rs-
tn OF examinations to policies Issued since
ISL by the Equitable and Connecticut Mu-
tual. These Examinations include policies
terminated by death, maturity, expiry,
change, surrender and lapse-in fact are the
ioial Examinations with the exception of
lot taken policies. which are inclnded
neither in policies issued nor Terminated,
for the reason that such policies were never
really in force. The percentage of the E1ui.
table is about onehaf that OF the Con-
neclicut Mutual.
Ratio of Termiuations
Name OF Company. loIssue for IA years.
Equitable 67so per cent
ICnIeuCut Mutuhl..... ll.yo per cant
It will be seen that any plan waich legiti-
mately serves 70 reduce the proportion OF
termination is beI e6cent aud humane
plan.
REWARD FOR PERSISTENCE.
The Tontine dividend system of life as
suTsDoe me- re than any other system watch
bss been devised. rewards those who continue
icies In II cir cash settlements have proved
more pre- fable to those assured than any
O her system now prscticed No one ques-
Il. Is the enormous profits TO families of those
who die carly.
] apir aside the re finement of calculation
gwen 10 us by the Actuaries which we are
net 6iSpcsed TO dispute, there is another view
in which it seems preposterous TO Gay d'vi-
demos to those who have paid In Gully a few
premiums on their life assurance policies,
AID then reai;zs the entire sum assured FOR,
at q rrofit to them, perhaps, of three or four
thout and per cent. The Tontine plan re-
wards those who keep their contracts rather
than Il csc who break them and puts the
profit Of the business where it belongs.
DIMINISHED DEATH RATE AMONG ToNrIEE POL.
IcYHoLDERs MAKES THE PROFITS LARGER.
One of the chief ,eesons why the Tontine
policies of the Equitable yield large profits
10 those who complete their Tontne periods,
is the smaller death rate experienced among
tie holders of these policies than among
those insured on the ordinary plan. Tois is
eJplsired by the at that these w take
Tcntine policies ere generally persons of in.
dependent means, who exercise 8 wise fore
thought as regards the future. and who are,
tt erefore, as q natural consequences. a better
class of lives than these who take the ordin.
airy form, under which is merely sought pro.
lection in case of death. Not only is this
Iolicy, but the holder also looks forward to
respipg benefit from it himself during his
own life; hence there Is natural selection
as gards the rata OF mortality in favor of
these who are assured on the Tontine plan
fer more subtle in its nature than the great
est care of the medical examiner. As de-
moIsiration of this fact q statement Is given
below of the ratio of death claims paid to
to;sl premiums received, during the ten
years from 1875 to 1884, inclusive-frst, of
the TontiDe pt licies of the Eauitable sec.
ou6ly OF the four largest companies in the
United States which do not issue TontIne
policies (ircludiDg the Connecticut Mutuai);
and thirdly, OF the Connecticut Mutual
tni en- alone:
RATIO.
Equitsbles To ntine 1928
Connecticut as 5l
These figure speak for themselves.
In the face of the fact that the death claims
paid by the Connecticut Mutual are twice as
large in proportion to their premium re-
csipts, as under the Tontine policies OF the
Equitable no wonder that the Connecticut
President, even while abusing the system of
ToBtine assurance, can not hslp ackno wledg-
ing the realization OF large profits nnder this
plan.
EXPERIENCE OF PoLIcYHoLDER IN THE EQUI-
TABLEAND CONNECTICUT MUTUAL
AS an illustration OF the superior advan-
taRe OF tt e Equitable, the actual results are
here submitted on two policies issued at the
same age and for the same amount, one in
the Connecticut Mutual and the other in the
Equitable.
CdRnecticut Mutual
Premiums paid on al ordinary life policy
of $4,000 Issued at age of forty-one, by the
Connection Mutual.
Portion of premiums paid in cash, notes
were gwen for the balance OF the premiums
which will be deducted from the policy at
1o,f