The Indianapolis journal., 1892-02-16

FINANCIAL OPERATIONS.
INTEREST.
The interest received in 1891 was s2.SS3.-
7so71. Interest collections have been very
close aud are in o very satisfactory condi-
tlou. On mortgage loans aggregating &c.
4l7.S72.s7, there was past-due and unpaid
interest on Jan. !. 1892. only S4l,972.95. or
one-ninth of per cent.
RENTS
In 1891 were s334, ,61356. q decrease from the
former year of S2,s6l.4s, on q decreased
holding of real estate of nearly f5O0.Oc0
Our rent account does not include any con-
structive receipts or payments for the CON-
pany's use of its home Office building.
THE PROFIT AND LOSS
Balance for 1891 was the result of the fol-
lowing transactions: A gain from real
estate sales of sI35. .74s. .46. and from sundry
items s5,573.67. u total of s14l, 1923. 49, on the
other hand. loss on certain real-estate
sales of s4.OS57s. and a shrinkage of
premium on bonds sold or matured and
paid at less than cost, s55.9T7.l7; n total of
sc0.012e5; balance in company's favor. $751;
3l0.1S
The balance in 1880 was very much larger.
owing to the more active realestate mar
ket of that year.
REAL ESTATE.
DurIng 1891 the company has closed out
for S597. &C., .35 parcels Of real estate which
cost it "A j5.992.G7.
Since 1879 1t has sold property taken
under foreclosure &C n cost of 1888 $500.
for s.. 204; gain of 81 .409, ,o25.l4, and
gain over the Commissioners valuation in
that year ofs2, ,7S6, 1858.
Our present holding of real estate taken
under foreclosure is &c. .Ss5, ,2s4.70. We be-
lieye that as whole it will at least real
ize its cost to the company.
BONDS.
The company has had paid or has sold
during rhe year. bonds costing it s749. .566.25;
1t has bought bonds costing 1t s1,0l5.OOO.
1t holds bonds costing s11. .49O. sos. 50. and
worth Jan. /. 1892. by o conservative valua-
tion. 81. .79l .O20.SI
Special attention is asked to the items of
these bonds In the detailed statement.
LOANS on REAL ESTATE.
During the year loans have been paid off
to the amount of $3.50. .92s.3 3s and new
loans have been made to the amount of &c.
$50 .372s7. We believe them to be
thoroughly secured. and have already
noted the close payment of interest on
them.
INSURANCE OPERATIONS IN 1891.
MORTALITY.
The death losses in 1891 cost the company
less than 60 per cent. of the tabular or ex-
pected cost, making o saving. as already
stated. of some $3.50. .0C0. a very favorable
experience. showing the far-reaching effect
of careful selection of business. both as to
individual risks and as to localities and
climates Is well.
The death losses of the Connecticut Mu-
tual have been adversely criticised by the
tontine companies. and some of the younger
non-tontine companies. as larger than their
own In proportion TO amount at risk,
or to some other assumed measure. These
criticisms proceed upon so false basis.
ana 30 Ignore fundamental facts well
known to the companies. but not known to
the public, that n word of explanation may
be useful
The chance of death increases with age.
As given body of men grow older. the
faster they will die. and the greater will be
the amount of their death lossee. That is
what every life insurance company expert
enees what IL expects. what its premiums
and reserves provide for. 1t expects that
the men whogo in at twenty, and thirty.
and forty. etc. will. some of them. live
to be sixty, eighty and ninety. and that
al those ages the death rate will be
much greater than when the men were
younger. and not only that. but they also
expect that as the company gains age. If il
Keeps Its business on its books. it will
have an increasing body of men growing al
ways Older, aud having. therefore. higher
average death rate and larger amount of
death losses This is precisely what they
have provided against. and they have fore
cast the actual figures of the loss they may
expect. The question with any company
H. therefore. not what its losses are. but
how they compare I'm amount and In ratio
with the losses which II expected on tho
business when it was written. A young
company may have . small apparent