Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1897-02-21
Annual statement of
the Northwestern Mutunl Lffe-fn-
surance Compnny

auru0ce tOmpuny.
We call attention to the thirty-ninth
annual statement OF the Northwestern
Mutual Life-Insurance Company. which
appears in another column, showing as
sets OF nearly ninety-three millions and
a surplus OF nearly twenty millions-or,
about siN Of assets to each 500 OF Ia
bilities. the largest surplus in proportion
to liabilities Of any OF the great COM
panies of this country. The increase IN
surplus during 1896 was 100000.
The force of the foregoing will be bet
ter appreciated when IL Is remembered
that the Northwestern has confined its
operations strictly to the healthfui por-
lions of the United States. Ten years
ago II was the seventh American COM
pany In size; now IL Is exceeded by only
three companies, and their operations
extend practically 70 all parts OF the
civilized world. Expansion, per sc. how
ever. has never been consideration with
the Northwestern. Its aim has been TO
secure only such a volume Of business
and upon such plans and methods az
would conserve the best interests OF It's
members. The measure Of success to be
attained by a life-insurance company de-
ponds mainly upon the economy with
which its affairs are administered. the
quality of its membership, the solidity
OF its investments, and the rate OF IN
terest realized thereon. A company may
be ever so successfully managed IN one
or more OF these essential clements, put
II It is deficient in any, the gains on the
one hand will be offset to the extent OK
the losses on the other. Substantial evil
dence of the success a company has at
tanned may be found in the record OF its
dividends to individual policy-holders.
The record OF the Northwestern Is UNI
equalled; it has for years invited COM
parison Of its dividends with those OF
any other company on similar policies.
In 1886 the ratio of expense OF man.
agement to income in the Northwestern
was 1885, in 1896 it was only lS.4o, de-
cline OF S.45 In ten years.
In 1856 the ratio of death losses In
Cured to the mean amount OF insurance
I'm force In the Northwestern was or,
or, $500 per 81, eco: in 1896 II was 0.SS, or,
$3.50 per $1,000 an increase of only 60
cents per 1000 Notwithstanding the ten
years greater age OF the company.
In 1886. the rate OF interest earned by
the Northwestern on its total assets at
the beginning OF the year was 6.l6, In
1896 it was $50; decline OF only little
more than a half OF 1 per cent. during
a period when the rate Of interest on
hlgh grade securities, Such as Sbd az
terize the assets of the Northwestern,
was materially reduced in all parts Of the
country.
1t is generally conceded by hnanciers
that no more stable securities are to be
found than first mortgages on improved
real estate, at a conservative valuation.
IN localities where values are well es-
tablished. The assets OF the Northwest
ern are invested only I'm such securities
and i'm United States, State, county, ana
municipal bonds. and in loans TO policy
holders on the security of their policies.
Neither the charter OF the company nor
the laws Of the State authorize the COM
pany to invest its funds in stocks of any
description.
The Northwestern has been represented
in this city for nearly twenty years by
John b. Cary & Son, who are general
agents for Virginia and North Carolina.