The sun., 1892-02-14
ASSESSMENT ENDOWMENT INSURANCE
New York warmed Not 20 Fsi1sw tAe ir'
retrievable BIunSer or Massachusetts

New York warned Not 70 rsilsw che Irs
retrievabie BIunSer OF Msssschusetss.
Albany. Feb. 13-superintendant OF Insur-
anoe Fierce has boen making an Investigation
Of the assessment endowment societies whicn
are beginning to flourish in New York. These
societies we're prohibited under the old insur-
ance law. but IN amendment to the law IN
1880. under which various benevolent anu
cooperative organizations worked was taken
advantage Of by the assessment and endow-
mont societies. and they have been Mt WORK in
this State for sometime. Several prosecutions
have been begun against agents OF these
societies. but only ono indictment has beon
found. That is in Franklin county. and tho
case will be tried soon. 1t will be a test case
as to whether the assessment and endowment
societies can work in this state.
The difference between m assessment and
endowment society and the old style insur-
ance society is that the old insurance society
had to lay UP n certain reserve. while the as
sessment and endowment society does not 1t
is supposed to meet its losses by payment OF
assessments from its mombers and not out OF
O reserve. which is supposed to be In its Nom.
bers' pockets instead Of in its treasury. The
result has been that whom the losses have be-
como too heavy the members keep tho reserve
in their pockets and It never gets into the
treasury. Tho societies which promise to pay
certain sum ut the end Of one. three. five. or
seven years on payment Of u weekly sum.
whore they do not keep the reserve required
by law. come under the Head OF assessment
and endowment societies. Secretary Pierce
wrote to the Superintendent Of Insurance OF
Massachusetts,. where these societies have
sSs from I'm qspy anu
1NsuRAScz DEPARTMENT. BosroS. Feb i. 1897.
H2n Jaw.s pteree q In;.ranes lba.y
has come from sSs sndow
hs t .ss sss Ia
sSpe 81 e % e ss y
ehHi,s.s M s should os such Sa,ns.s
sis.ss ssSs inso y: h.as: y sss:!ss4 anass 4:
5. .aa:@ spd to sss s
S
han.
any 3. '1r'i noisass s Also
asssss
IN .hs ease Of ihs Royal AZ .heh va .hs ssliisss
ssys Rs E.
% q a
Tor this tran ssct,on. '.' ,.'-'
There strange atmosphere At corruption sur.
Its maturing period was sold out by lis ocers
ON
suffolk ceansy % So..n NOR. N. and.s
Indictment BY the Grand Jury and the whole proceed
rngeous fraud and rascaiy OF corporations
II Is doubtful II the embers in food standing the
time the went into the hands Of receiver will
sSsy R'F cent upon the amount Of money
r xsipsr 9G PssD: n ;na
could I'll AFFORD the sacrice are to-day the dupes and
.rs.dy ssfs say that r1oS
sunk and utterly already not to speak Of tho other
from 81 yet .vs but sure 70 IN meet tho
r.. Ssx yss Win
y a % % Ss oss e. s.
swipds , bSs under thssss.ute apparently Legal
in the early stages by hands Of the law
put does not save ths great mas: Of the public from
sspslsnes of three years. Il ss... 70
chusetts r this matter up an entirely new
question II could not receive dozen votes in The en-
GEORGE g. MKRRIlI, Insurance CommisIioner
So far the law Of this State has shut out these
societies. except where they are purely mutual
benent orders. where tho members Of the
various labor organizations get together and |
pay these benefits by assessments from time
e time. In the provision made BY tho |
" , .he FaEms
ti61 whether the boeigttes should be permitted |
70 do business here. The Superintendent OF
insurance ts opposed to it and has declined to
grant licenses to any OF the societiee, The
Legislature has not yet acted.