The San Francisco call., 1896-07-28
Grand Recorder Hirshberg of
the A. O. U. w. Talks of
Classified Assessments.
NEW ROADS TO PERPETUITY.
What the Chosen Friends, the Knights
of Honor and the Royal Arcanum
Have Already Done.


ganizations are being met with the start
ling question, Can they exist much longer
under the present system?
More than a quarter OF century ago,
when such organizations sprang into ex-
istence, it was the idea of the founders
that by the payment of certain amount
of money in monthly installments, ''the
level rate" as it was called, sufficient
could be raised to warrant the individual
association in paying stated amount to
the widow, orphans or near relatives OF a
deceased member. 1t was the impression
that as death carried away members the
vacancies would be filled by new members
and that the number of assessments would
vary but little each year. The expectation
was not realized as to the replenishment
by new members, and a result was that
there came an increase in the number of
assessments, and finally rule was adopted
that only certain amount could be col
lected yearly, and that should be used for
the payment of death claims. When,
however, there was an excess of deaths in
the jurisdiction and there was not money
enough collected by the limited assess-
ments to meet all the claims, the deficit
was made up from the general body of the
order by general per capita tax, and in
that way all the obligations were met.
This, however, has been found not to be
as successful as was anticipated, and now
the various organizations, as their mem
bers are advancing in age, are considering
the best plans to retain and increase MEM
bershlp, and at the same time make the
assessments equitable and not onerous.
One of the great questions that occupied
the attention OF the fraternal congress re-
eIN,fl f.alA hat 1f 1o1 "a
assessments, and the almost unanimous
opinion was that such a plan would be
the only means of keeping up the life OF
each organization.
The first organization to make radical
change was the Order of Chosen Friends.
which adopted what is now known as "the
Morse plan" devised by Supreme Coun-
cilor Morse of New York City. When this
was put into operation in the latter part
OF last year many of the members who had
been in the association for MANY years,
indignant that assessments should be in
creased on account of age. dropped their
membership, and found themselves with
out protection, as they were too old to
join other organizations or were unable to
pass an examination before a medical
examiner. Many of these are now seek
ing to be reinstated- This order has
membership of more than 10000. and since
its foundation in 1879 has disbursed more
LnAH DeneQclarleS.
The Royal Arcanum at the last Supreme
Council session discussed the matter OF
change of assessments aud referred the
matter to com mmittee to present plan at
the next session. This has mem bership
of 10000 and has paid in benefits nearly
$33, 100000. The knights of Honor with a
membership of over 121 000 and which has
disbnrsed more than S52,000,000 since its
organization in 1873, has within q few
weeks changed its manner of assessments
and is now working under q graded plan.
and now the Ancient Order of United
Workmen, one of the oldest and largest
numerically in the United States, has
fallen into line and has at the recently
held session in Buffalo, N Y, changed the
method of assessment and adopted new
plan which will shortly be put into opera
ton. This order was founded in 1883 has
a membership of 345, 900. and il has dis
bursed in death benefits $50, coo, 00o.
David s. Hirshberg, grand recorder, who
was delegate from this State to the Su-
preme Lodge. in discussing the new plan,
said: This legislation in regard to assess
menis is the most important ever had in
the order. The table OF rates has already
been published in the fraternal columns
OF The CALL. The rates are not as some
people believe, graded. In the plan
adopted by the a. O. q. w. the advance is
made every five years up to the age of 55.
W men Tie lDCIedSG Ce2SGS ana the rate re-
mains the same after that.
''All Grand Lodge separate Jurisdictions
that have received relief under the law for
the years 1894 and 1895 and shall receive
relief under that law for 1896. whose maxi
mum is now twenty-four or over, shall
now adopt this plan as condition prece-
dent to relief after the year 1896
IAN application of the classified rates as
adopted for the jurisdiction of California,
if the same had been IN operation for the
year 1895, would have prod uced S547.-
73S 06, or $17, ,738 06 more than the liabil-
ity incurred for 265 death losses for that
year. The jurisdiction would have been
in position to discharge its own obliga-
tions and would not have been an appli-
cant for relief. Members under 81 wears
would have paid an excess over their liza
bility of SIS. .916 40, whereas those of 55 ana
over would not have discharged their obli-
cations by $71, ,1S0 80, which would have
been paid. however. by the excess paw
ments made by those 81 years old and un-
der and would still have left an excess of
$17, ,738 06.
"The maximum number of assessments
under the classified rate will be twelve;
that is to say one assessment per month,
provided the death losses of the jurisdic-
ton necessitate that number of assess
ments. II by introduction of new members
in the lower ages and generally increased
mem bership the obligations of the iuris-
diction can be discharged with less num-
Der of assessments than twelve the officers
will not be required to levy assessments
beyond the number required to meet the
obligations. Should there be a deficiency
after the levy of the twelve assessments
such deficiency will be met under an appli-
cation of the relief law as at present exist
ing.
at is to be noticed that under the clas-
sitied rate sufficient money is provided to
discharge the obligations for each group
of ages, and those below the meridian of
age contribute an amount in advance of
their mortuary cost TO equalize the cost of
those above the meridian To prevent
excessive cost to the mem bers in the older
ages who have been in mem bership for
many years, and as a proper exemplifica-
tion Of the fraternal element of the insti-
tuition. these and the younger ages supply
the deficiency, and If any remaining de-
ficiency exists. which is unlikely, it is
provided for through the application of
the relief law.
IAN application to all the Jurisdictions
rAsA u