Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-01-06
A MUTUAL MUDDLE.

New York Trouble That Interests Many
PittsburSers-Bad Times for Certain In
surance Concerns-A Court Decision
That Interests Great Many.
The times seem to be inimical to the
mutual life insurance companies. Not
many days ago, announcement was made of
the winding up of local company on ac-
count of its inability to keepup membership
The latest trouble is in the Life Union of
New York. There is a split in it, and
Ra lph Marden, Secretary, who is at war
with the Exc cutive Committee, has issued
circulars to members stating that since
January, 1888, the membership has de-
clined from 2,943 to 2, ,125; that the insur-
ance in force has decreased from SS, 80, 900
10 50. 100000; that the Union has
lost this wear 1876 members and S444. 500
insurance; but 10 paying members have
been added since August l, and there is not
single working agent in the field. The
income for expenses this year has not been
sufficient to run the company, and
in consequence of the mortuary fund
having been drawn upon it is g, 1000 short.
In consequence Of these and several other
things stated the Secretary opines that if
there isn't anything rotten in the State of
Denmark the situation is nevertheless not
so comfortable as it might be.
There are quite a number of people in
this vicinity who have been paving assess
ments to the Life Union for several years,
and they are beginning to make inquiry,
and some of them think the life of the Life
Union is wearing to q close A few
days ago was the date fixed by the
bolting Secretary for a meeting to overhaul
the affairs of the institution. The Secretary,
Executive Committee and a third party
which sides with neither have
been contributing largely for some
the Postofice Department and some Job
printing establishments, by sending thou
sands of proxies addressed to members ask
ing them to vote to sustain the respective
factions. The third party while protesting
to side with neither of the others expresses
concern lest the So, 900 reserve fund be
frittered away, and, take it all in, all mem
bers hereabouts begin to think that the paw
ment OF any more assessments would
probably be merely throwing good money
after bad, SO that the last response is likely
TO net less cash than any of the pre-
ceding. They also refuse to fill out
proxies for any party, as at this
distance from the seat of war they say they
cannot act irtelligibly What some
seem to think certain is that they have
lost from 500 to s150 apiece
during the last five years, and that a MEM
bership that has dwindled 80 to so per cent
in that time is not likely long to Weld
death assessments, to say nothing of in
creasing the reserve fund.
Since the ruling of our court last fall
thrt the representatives of an insured person
can collect, whether dues had been kept up
TO the time of death or not, provided the last
payment fell within six years, unless there
was an explicit contract between the policy
holder and the company that the insurance
would forfeit in case of non-pay
ment, there has been considerable
of futter in some cooperative
mutual benefit life insurance companies.
The rule with many of these organizations
has been that policies were forfeited within |
very briet time of delinquency. The |
numerous wrecks of life insurance COM |
panies strewn along the shore of the last |
30 years strengthen the adage, ex nihillo
nihil fit.
Some years ago mutual company in
Mercer county settled with some of its
policy holders in a way they did not relish,
and now it is reported that a movement is
on foot to attempt to bring the officials of
the company to book.