The morning call., 1891-02-17
INSUR ANCE.

pay for it? 1t makes his policy no more
secure; it does not otherwise lessen its
cost 81.
And to whom does the management of
mutual company owe duty that should
control all its methods, if not 10 those who
already and solely compose Tits present
p0licy-holders?
We have been and still are held up to dis
credit by the Racers, because at one time we
allowed our business to shrink III volume
rather than incur such an increase IN eS-
pense and use such adventurous methods as
alone would then have allowed it to grow;
ana because, since it began again TO grow
without increase of cost or change OIL
methou, we have cared more 60 keep down
us cost than for rapid growth. What is
rapid growth worth to mutual company of
$4,000 policy-holders for $153, coo that
Lhey should pay an extra and heavy cost
for il?
We are giving insurance to our present
members at the lowest cost attainable to-day
lower on the average and as to the
whole body than any other company; we
are taxing on new business on terms which
make 1t protitable TO present DO licy-hodcrs;
we are taking it on faster than the old is 60
ing of; humanity speaking, the perpetuity of
| the company at its present rate of prosper
Gus Increase Is secure. We count all that the
| only true and enduring success in manage
| ment and review of our yearly operations
| SHOWS II to be one OF no mean proportions.
EFFECT OF AGENTS.
BY far the largest item of the expense ac-
| count, the thing in it which costs the policy
| holder most, is the CONDENSATION to agents,
| who are engaged in the business as a means
OF livellhr Cd, and to whom, therefore, every
increase in commissions by rival company
is powerful incentive to change their con-
necti0n ana source of d Scontent II they do
not so change. The company which pays
Inc highest commission Will draw to 1t at
last all the agents who care only for the
commission and nothing for what becomes
OIL their customer afterward. 1t Will get
most oil the new men entering upon agency
work and who have not yet learned that the
higher their own pay the less the dividends
To their policy-holders and the less perma-
nently desirable the company.
We have seen our rivals advancing COM
missions and allowances of every Sort from
| two to three times mere than we could pay
without cutting our dividends, and deYising
plans for postpOning all dividends from ten
to twenty years, and speculative system of
forfeitureS TO cover up expenses and supply
profits and so taking away many agents and
keeping away many more that would have
come to us.
We have not an efficient agent who has
not been tempted to leave us for higher pay,
and who has not staid with US at sacrifice
for the time being. They have preferred to
remain because they have shared in our
conviction that this should be policy hold
ers' company, and have not been willing for a
price to offer the public that which they could
not themselves believe in at cost which
they knew could not he justified. Again
the temptation of speculalions, rebates, and
every extravaganza of competition they
have made hard, slow fight. 1t is now a
winning fight, and they deserve the respect
of our membership ana its cordial co-opera-
ton IN the greater opportunity which lies
before them.
We desire to extend to all who need them
the same benefits upon the same terms
which, through forty-fve years, have made
this company a conspicuous exponent of the
singular value TO American homes of pure
life insurance. Our ability to serve was
never so great, our ground never before SO
certain. We ask every member to use ac-
lively his influence with those whose fam-
lies need protection, to the end that we may
widen our usefulness, not only without in
crease of cost IN so doing, but in way
which shall tend to benefit present policy
holders as well as newcomers.