The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-03-04
H1NsDALE DRFrNDs MUTUAL.
He Says That the Litigation Is Not
For Failure to Pay Claims.

! Col. John w. dinsdale. local attorney
for the Mutual Reserve Fund Life AS
ISOLATION, said yesterday, that he thought
the article in the News and Observer
did that company an injustice Col.
Hinsdale said,
the oonipany Is NOT q wild cat com
pany, but company, which, upon con
sentative principles, is honestly man
aged. and which for the last fifteen years
has afforded ins.lraaice at less than one
hall the cost In cid line companies, and
that in thar time It has paid out 10 It's
members Insurance. amounting TO thirty
five millions of dollars which it had been
aEorsing to IT'S members at actual cost.
The article quotes from Commissioner
Young tn the effect, that from one,half
10 three fourrhs of all the law suits In
the State to VIII ah Insurance. compa mics
are parties, are brought by p,licy holders
against this company for one reason or
another and the inference is plainly
presented that the company does not pay
the death losses in this State.
The truth is that all of the suits which
are now pending in North Carolina
against the company have been instituted
upon the alleged ille9ahty OF the in
crease OF assessments, which were ren-
dered necessary by the fact that the
older members were not paying IN the
actual cost Of their insurance. The as
sociation is thoroughly solvent and pays
it's death losses. Louis r. Payn, insur-
ance commissioner of New York, in his
report, dated May 81, 1893, says:
The result Of the examination shows
that the Association is solvent and pays
III full every death claim that is a prop r
charge upon the nportuary funds contri-
butad by the members, and that in every
case OF settlement or compromise the
character OF the claim has been such az
70 make 1t the duty Of the rnanage,nert
to protect the. members against an M
just demand"
Two of its officers were lately
discharged for ,infaithflLnesa or
some other good ground, and they are
raking their revenge by preferr.ng
charges against II.
ut is mistake that $500, OO0, 900
OF its business has lapsed in the past
four years. The amount Of insurance
now in force in round figures Is $780,
OQO. COO 1t has never exceeded $685.,
026.O61.
THE application to the attorney gen
eral for leave to bring action to GUST
the present mana gement. is signed by
seven alleged policy holders, OF whom
two are discharged employees. one the
son of a discharged cm1Aoye, and one
other a former agent of the association
whose contract had been cancelled and
who has since made number Of such
APPLICATIONS to the present and former
Attorney General, oil Of which have
been denied The other three hold poll
cics for insignificant amounts.
The stockholders Of the company at
recent meeting adopted the following
resolution commending President Burn
ham: N
Resolved, That the members Of the
Mutual Reserve Fund Life Association
in annual meeting, do hereby express
their entire corifde1lce in the ability, In
tegrity and devotion to the best inter
csts Of the association Of Frederick A..
Bunnhaun. president; George ID. 81
bridge. vice president, and all their assn-
ciate officers aud directors, end that the
members heartily approve Of their ad-
nlnisttation Of the affairs Of the ASST
cation"