The daily morning journal and courier., 1895-02-15
RENTALS.

l l 900.
 RENTALS.
 A good feature of the years business was the revival of a considerable mum Der of policies which lapsed in the pres sure of the panic of 1893. It is far | the cheapest way in which persons who | still need insurance and are still insur- able risks can resume carrying policies Our agents are instructed to give par ticular attention to such cases.
 DIVIDENDS.
 The dividends paid to policy holders in 1894 were larger than those paid in 1893. The cost of their insurance was therefore less. A like increase will be made in the dividends on policies re- newing in 1895.
 SURPLUS.
 Notwithstanding the large dividends paid in 1884, the surplus held increased from SC, AS, ,O27.S7 January 1, 1894, to $6, S76,2 ,2127S January l. 1895; d gain of $42S,- 184.91. But $262,61S.S0 of this was due to the increase in the market values of stocks and bonds over those of the pre- vious year, leaving a gain to surplus of $166 6566.11 from the actual operations of the year.
 Out of this surplus must ultimately come the difference between the par and market values of our bonds if they are held to maturity. For the rest, it protects the assets and the business against unforeseen loss and disaster, and aids materially in earning current dividends and keeping them steady while each maturing policy as it retires from the company receives its appor- tfoned share.
 Our surplus would be over $1,000, 900 larger than we count it if we tested our own strength by the legal standard, used by the state departments and by other companies. Computed by them our surplus would be about $S000, ,000.
 NEW BUSINESS.
 We have steadily adhered to our time-honored principle of seeking only such good, safe business, in the healthy parts of our own country only, as could be had without increasing our ex- penses and so increasing the cost of in surance So great stress has been laid by certain companies laboring under certain necessities of their own crea- ton, OF the imperative need of a great | volume of new business every year and | they so violently criticse those who do | not follow their lead, that not few | regard themselves justified | in meeting hard times with great ex- l penditure 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. | Dividends must not stand in the way.
 THE CONNECTICUT MUTUAL is so | large and it's business so stable that it | does not need to make size or growth a matter of other than, secondary impor- tance. It's first aim is to make it's poli- cies secure; it's second, to make them cost as little as possible through econo- my and prudence; and then, from such business as a low rate of expense will l secure without making us cut policy holders dividends, it takes on growth | in easy times and in hard times it takes It or not as may happen. Cost to the present members is so vital matter in fife insurance that in our view, if that clement be properly taken care of the matter of growth is not a thing to be anxious about. It will take care of it. self in the sense that it needs no sacri- ice of existing interests.
 OUR EXPENSE ACCOUNT n 1894 was only 9.94 per cent. of the in come; a ratio materially less than that if any competitor and much less than lalf that of the most pushing compa- lies.
 The cost of our insurance is corres- less than in those companies. 7he cost of our insurance is and for a ong time has been decreasing each | ear; the cost of theirs is and for long lme has been increasing. 43E
 COMPETITION
 The Tontine schemes of one sort or Ez mother in use by so many companies equire extraordinary profits to make { he extraordinary dividends promised I I but postponed to the future, These $ rof1ts are to come from forfeitures, i nd great many are needed, for large s mounts, for the success of the plan. c great new business to furnish great 1rfeitures to the pool, seems to be the i entral idea and aim of the scheme. 1t 0 the one end to which every nerve is c trained. The new business must be r ept ahead of the forfeitures. This r lakes competition exceedingly sharp. t For example, one New York company d rote in 1894 the enormous amount of i, '0O, 00O 900 and over in new business. h ut it also had lapsed and surrendered, a esides its death losses and endowments , about S1O,00O,OO0, the great sum of l, yer $156 100000; oyer twenty per cent. h