The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-02-27

has created. BY every obligation which can
appeal TO u%nselish affection honor, and
conscience, he is bound to protect his family
against the heiplessness and dependence
which he has imposed upon them, and to
belongs to him because he has made it. And
this he does, ordinarily, by his own produce
tive labor. While he lives he works and
earns. and his earning supplies the family's
need and is their protection in their help
lessness and dependence.
But his life is not certain for an hour
His family are under the constant risk of
losing it and all it does for them, and of
being left stin helpless, still dependent,
with the protection gone. 1t is this con-
is this unprotected helpless dependence to
which he has exposed them; it is against
this which he is therefore bound to protect
them. He is bound 10 provide at once and
to have always ready a sufficient substitute
for his earnings after he is gone.
There is but one possible way to do all
this. Thrift and saving alone cannot do it.
If he lives long enough and saves, he may
after many years have enough for the pur-
pose. But that is as uncertain as his liv-
ing to earn the daily bread. The family's
risk is now. every day. The effect of saw
ing and laying aside in ordinary ways is
far off in the uncertain future. The family
needs instant and constant and full pro-
lection against an instant and constant risk.
They can have 1t In but just one way; the
man must take of his savings a sufficient
amount and use 1T as q life insurance pre-
MUM. His small annual saving so used will
provide instantly and constantly the pro-
lection they need and which he can furnish
in no other way. Therefore is he bound TO
use life insurance for their protection. That
is the purpose of it; that is the one thing it
can do that nothing else can. There Is his
only true motive in it; an obligation which
has no alternative except the denial of duty
to those he has made helpless.
To the perfect accomplishment OF this
simple, single purpose and result should
every incident of the business be adjusted.
It's every dealing with the husband and
father should be informed and inspired by
the high motive which moves him to invoke
its Indispensable aid for the instant and eff
fective protection of those whom he must
but cannot otherwise protect.
If it is his clear duty to use life insurance,
then it is the clear duty of those who adj
minister it to make that use as effective as
possible to its true end: to give him its sim
cerest, simplest, best help, at its least pos
sible cost, and with an eye single to the
family's most complete protection.
The Purpose and Value of Mutually.
Because life insurance is the one and only
way in which men of moderate or small
means can at once provide the necessary
family protection. and because it is at the
cheapest q matter Of cost and a pure ex-
pense to him who provides it, in order to
largely available as possible, to ali who need
1t, 1t is sought to give Il to each policy
holder at it's bare, actual cost.
The cost Of life insurance is due to two
things: The death losses and the expenses.
In calculating the premiums to be charged
both these things are assumed, as they cam
not be exactly foreknown. If the losses are
less than was assumed q part of that ele-
ment OF the premium Is saved. If the ex-
penseS are less than was assumed, a part of
that element of the premium is saved. If
/ more INTEREST is pQFnnn m fha rncortro fhoa
was assumed, just so much more OF the pre-
MUM Is saved.
IL now these three items Of saving are
returned to the policy-holders in the pro-
portion that each mans payments have
| helped produce them. then each man will
have his insurance at it's exact cost to the
company, no matter what. the nominal pre-
MUM on his policy may be; He gets the
for. ~ -""' az II IL
True Mutually.
The Connecticut Mutual aims to make
this principle effective in its widest SCOPE
and TO its highest degree. Not only has It
no stockholders to absorb these yearly saw
ings as their profit, but 1t has no Tontine.
Investment, or other special classes of pol
icy-holders, with postponed or deferred divi-
dend periods, each man hoping to make a
speculation out of the accumulated savings
.NAN. - AhoN i0NO " ltdNG UcIllllu lHem DY
death or lapse during the period. Its yearly
savings, whether from q low death rate, a
nlgh rate OF interest, or a low rate of ex-
pense, go directly. back to its policy-hold-
ers In the proportion in which each mans
payments have exceeded the cost Of his
FISK, III yearly dividends. So that year by
year each man gets his insurance at its
actual cost to the company and at the low
est cost which, by careful selection of risks,
good investment and economy in expenses.
the management is able to secure. No poI-
ioy-nolder gets the savings made on another
because of the death Of the insured. His
savings are paid with the policy. In case
or lapse his contributions to the reserve are
not put into the deferred dividend specula-
tlon, but are used as a single premium to
give paid up insurance for as large an
amount as possible in place of the policy
which has elapsed.
We give to each his W o~verpayments
and to no one what Of right, and equity,
ana true mutually, belongs to another.
True Cheap Insurance.
Obviously, that company which has the
lowest death rate, which earns the highest
interest, and pays out least for expenses,
will give insurance at the least cost to its
policy-holders, as a whole. 1t will effect
the largest savings. If it returns those saw
ings in strict conformity with the principles
or mutual1ty 1T will also give the cheapest
Individual insurance on the average. We
say on the average" because Some CON
panles which make dividends so discrimi-
nate against certain classes of pOlicy-hold-
ers and in favor Of others, that while in the
aggregate and on the average their divi-
dends are very small, in certain cases they
may be large; a poor sort Of mu, quality.
Cost I'm the Connecticut Mutual.
The Connecticut Mutual exercises great
care in all that affects its death rate; IT
confines it's business to the healthy portions
of our own country. No desire for size has
led 1t to acquire business in varied climates,
under conditions of widely differing effect
upon life and health, and beyond effective
control. It's medical service is organized
with great care, and the result of It's Sc
lection of risks is shown in the very low
mortality and the great saving already re-
ferred to.
It's interest rate is as high as is consist
ent with safety, and has so far been a
source OF large saving. With its 3 per cent.
assumption its experience is likely to re-
main relatively good.
Its rate of expense is and always has been
less on the average than that Of any other
company. The expense rate of its greatest
competitors ranges from 70 to 100 per cent.
and over, above that Of the Connecticut
Mutual. It's savings from that source are
unequaled by any and approached by very
High Dividends-LOw Cost.
AS a consequence Of all this ong-cont.nued
care and economy, the aggregate savings
Of the Connecticut Mutual have been greater
than those of any other company. Its an
nual returns or dividends of these savings
to it's members have been larger than in any