Evening journal., 1900-01-03
LIVE INSURANCE RISKS.


the market comes so high. compare
lively. as life insurance. Take, for in
stance, such companies as the New
York Life. one that is at the very top.
What an immense fund it has accumu-
lated The only and the inevitable de-
duction is Mat Il sells assurance to its
policy holders at an unnecessary profit.
Remember itsAhistory under Beersl
What scandal'its extravaganza was
even getting it into the courtsl Tn,
directors paid Beers for years twice tn,
salary Of a president Of the Unite,
States il we remember the facts wher
the extravaganza of that management
aroused so much indignation that Beeri
had to retire did the directors retir
him? Not Seriously They retained
him as advisory counsel or as con.
sulting expert or in some such sine
cure. at salary Of $4,000 a year.
was it not2 We do not remember that
the directors have been changed
either?
When money is paid by life insur-
ance companies like that, are not tho
companies charging too much for in
surance2 New York Life has one of tho
finest and most costly Broadway corne
buildings in New York, and not long ag,
practically destroyed magnifcen
building that looked sufficient, just tc
change it to the present An immense
sum was spent on that building. Policy
holders furnished the money. II tho
policies were not sold too high tina
surplus would not have been on hand
II the price charged for insurance wal
not too high, insurance presidents ant
other officers. including consulting ex
perts and advisers and clorks salarieC
away up in the thousands year, woul,
not be paid so enormously. All O.
these eNtravagances are at the expens,
OF the insured Every old line life in
surance company maintains these ex
travagances.
Life insurance Is an uncertain in
vestment because Of the endangerin,
extravaganza OF management
Life insurance is an uncertain IN
yestment because Of the unwise invest
ment Of reserve funds in speculativ.
stocks Almost all. If not an. Of tn
old line companies have immense sum
invested IN such stocks The shrink
age In these stocks held by the insur
ance companies was far and away ~
in the millions during the Decembe
break on Wall street Tho losses thu
suffered by the injured insurance com
panies viii not appear in their reports
Tho stocks however deprecated. vii
be "bookkeeped" as Of the investmen
or at PAR value
Life insurance Is an uncertain in
vestment for the reason that no othe
debts or obligations appear to be PAL
with 50 much reluctance as is life in
surance.
When a small policy becomes a claii
the company pays promptly, and Z
promptly furnishes the newspaper
with the fact as a news item. whe
a large policy becomes a claim Il b.
comes almost impossible TO convin,
the company that the deceased IS NJ
shamming. No proof Of death appeal
to be t. them above suspicion. The
scores Of alleged reasons are adyane,
why the company should not pay Il
policy. The companies are frequent
charged with procuring false testimol
to enable them TO evade payment
policies Even but yesterday the pre-
dispatches from California reported
cass---No lfsohn. insured for $4,000
the New York Life The compan,
local agent identified the deceased
the insured. But the policy being 81
900 the company was properly We
cautious. A man who alleges himsl
to be the reDuted deceased has be
produced BY the company. The a
patches Indicate that the compan,
witness has left California without i
dergoing scrutiny satisfactory to thS
who believe wolfsohn dead. There
so much doubt about the identity
the company's Wolfsohn that the
torney for the heirs said: He is
fraud. he is made up 70 resent
wolfsohn. but he is not rear I y
spend $500 Of my cwn money If ne
Ia a. ferret ant this mystery