The morning news. [volume] (Savannah, Ga.) 1887-1900, 1895-02-19

AAANlM the amount anticipated bE our
premiums and reserves rs 10 give Us
net saving OF about &85.059.
REVEALS.
good feature Of the years business
was the revival of q considerable number
OF pohcies which lapSei ln the pressure
of the panic of 1883. IL is far the cheapest
way IN which persons 81 no stlu need IN
sufance and are stll iuSurable rishs can
resume carrying policies. our agents are
instructed TO give particular attention 10
such cases.
DIVIDENDS.
The dividends paid TO policy holders In
1879 were larger than those paid IN lest3-
The cost Of their insurance was therefore
/ less. A like increase viii be made in the
dividends on policies renewing IN 1870
SURPLUS.
Notwithstanding the large dividends
paid in 1898, the surplus held increased
from s3,Ai6u-L6l January J, 1888, 70 $3.50
2l2B January /, 1885. Saiu of SIS lo+.Sl-
But S262.6lSs) of this was due to the in
crease in the market values Of stocks
and bonds over those of the previous
year leaving a gain 10 surplus oL slbo'o-u
from the actual operations OF the year
out of this surplus must ultimately
+ come the difference between the par ana
market values of our bonds IL they are
held 70 maturity. For the rest IL pro
/ tects the assets ana the business against
unforeseen loss and disaster, and aids ma
/ terially ia earning current dividends and
/ keeping them steady while each maturing
policy as IL retiFes from the company re-
/ celves its apportiOned share. OIL,
3 our surplus would be over SLVu-VuV
( larger than we count it if we tested our
/ own strength by the legal standard used
( by the state departments ana by other
companies. Computed by them our sur
plus would be about 5000 600.
NEW BUSINESS.
We have steadily adhered to our time
I hOnored principle Of seeking only such
! good, safe business in the healthy parts
4 of our own country only, as could be had
| without increasing our expenses and so
/ increasing the cost of insurance. 30
Nnnna In NHn
! companies labOring under certain ne
/ cessities of their own creation on the
imperative need of great volume OF
! new business every year, ana they 50
! violently criucise those who do not tol-
/ low their lead that not q few MANAGERS
/ regard themselves justified in meeting
hard times with great expenditure
rather than allow a falling Off in amount
/ at risk. An appearance OF enterprise is
/ TO be maintained at whatever cost TO
/ their policy holders. DiVidens must not
! stand in the way.
The Connecticut Mutual is so large and
! its business so stable that il does not
I need TO make size or growth q matter
[ of other than secondary Importance. Its
/ first aim is to make its policies secure
! its second to make them cost as little
4 as possible through economy ana pru-
/ dence; and then, from such business as
| low rate of expense VIII secure with
| out making us cut policy holders ulV-
/ idends. it takes on growth I'm easy times
| and in hard times it takes II or not, as
/ may happen Cost to the present mem
! Fers is So vital a matter in life Insurance
/ that, in our view, ii that element pe
/ properly taken care Of the matter of
growth is not a thing to be anxious
about. 1t viii take care Of itself in the
/ sense that il needs no sacrince OF eN-
/ listing interests.
OUR EXPENSE ACCOUNT
in 1894 was only 9.9t per cent. Of the in
| come. a ratio materially less than that or
any competitor and much less than hair
/ that of the most pushing companies
! The cost of our insurance is correspond
| ingly less than in those companies. The
| cost of our insurance is anu Tor a louS
| time has been decreasing each year; the
cost of theirs is and for a long time has
| been increasing.
COMPETITION.
The Tontine schemes of one sort or an
! other in use by so many companies re-
quire extraordinary profits to make the
| extraordinary dividends promised in but
postponed to the future. These profits
4 are to come from fOrfettures, and great
many are needed, for large amounts, for
the success OF the plan. A great new
business TO furnish great forfeitlres to
the pool seems to be the central idea ana
aim of the scheme. 1t is the one end to
which every nerve is strained. The new
business must be kept ahead of the for
FIXTURES, This makes competition eS-
ceedlngly sharp.
For example, one New York company
wrote in 1894 the enormous amount of
$780, 10000 and over in new business. But
/ ii also had lapsed and surrendered, be-
| sides its death losses and endOwments of
Sl56000,000; over 20 per cent. of what it
had in force at the beginning of the year.
Several other companies are striving to
4 Guido If possible or at least equal this one.
Its expense account is % per cent. of its
| income and has been as high as that for
many years It's rivals are not behind in
lberality of plan or expenditure. 1t is
useless to look for honest, legitimate COM
petitiOn-an examination of real merit-un-
| der such conditions. The business is solic-
tied upon cuuningly devised plans, upon
deceptive estimates Of profitable invest
ment' which have never been fulfilled,
and is usually secured by a heavy rebate
on the premium. Whoever pays one of
these companies any large part of his first
years premium is probably being dis
criminated against by the agent.
Under these conditions the Connecticut
Mutual still offers plain life isurance,
as protection TO the family. and tries to
make IL attractive simply by making it
perfect TO that end and by keeping its
cost down to the lowest possible point. It
tries to realize the ideal results of le-
; giumate business, and it seeks to attract
to its membership only those who want
only such results and do not want a
speculation on their famly's protection.
And it does not try TO make one man think
: he is getting his insurance cheaper than
any other man, or at the expense of any
one else, or at less than its true cost.
"INVESTMENT' INSURANCE"
: But plain life insurance has to contest
the field with so-called Investment in
, ! surance." As if anything like invest
ment' could come out of companies that
take from fifteen to twenty Five cents
Linz