The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1900-02-17


loss. This leaves QUA accounts undis
turbed while it relieves our surplus o
what might otherwise in view of tn
commissioners estimate be regarded a
possible padding with uncertain values
So long as II is deemed eXpedient to car
ry this item of provisional liability, the
balance of 1t, deducting any losses made
on sales, will be shown each year.
The Amount OIL Surplus.
The surplus, December 81, 1899, was
S720S, S41.5 50 by our own standard Of sol
vency, which is much higher than the
legal standard, the latter being based or
the assumption of earning 4 per cent
annual interest. On all business writ
ten since April l, 1882 we calculate our
liability on the assumption Of earning
only per cent. interest. This makes
our reserve liability higher aud our sur
plus lower by 2,104,7 03 than they would
be were that business based on the legal
4 per cent. standard, in which case the
surplus would stand at $9,313,0 SO.
Tor greater future safety, the company
| voluntarily carries a reserve $2,1O4,705
greater than that required OH business
based on the legal standard
Real Estate Sales.
During 1899 we sold for $64o.640.2S,
foreclosed properties that had cost
$751; 949.40. On some Of the pieces there
was loss Of 2,239.95; on the rest there
was a gain Of s1Ol, 93OSS. leaving net
gain of SIS, 69093. 1t was throughout
! dull year for real estate,
To December 81, 1899, the net gains on
real estate sales from year to year ag-
| gregated $1,S03,13544.
Property Purchased
The present home office Of the COM
pany was built thirty years ago, with
little anticipation in plan and accom-
mediation for the great increase in the
work of coming years, in which we
have long been put to great inconven-
fence and disadvantage. An opportuni-
ty offered to buy an adjoining piece of
land we'll suited to connect with the
present building. We shall probably
improve it during the year by plain
but substantial and thoroughly modern
office building, giving US needed space
and convenience, and to tenants attrac-
tive business quarters.
The Signs Of the Times.
1t is with no little satisfaction that we
note in come of our competitors the
dawn of a long-deferred recognition of
the vital Importance Of some of those
things which The Connecticut Mutual
has all along insisted were essential to
safety essential to the just interpreta-
ton and administration of the mutual
principle, and essential to the best and
permanent welfare of those beneficial
ries for whom alone life insurance is de-
signed, and for whom it should have a
single eye.
Others Adopting the Connecticut Mutu
ais Interest Assumption.
/, The judgment which led us eighteen
years ago to anticipate the great fall in
interest rates and to provide against it's
effect by then assuming a 8 per cent.
rate was decried as counsel of timid-
ity and weakness. That assumption
has given us incompatible strength,
with great advantage to the business
based on the per cent. rate, and with /
out cost to the older per cent bust |
ness; and the relations between the |
two have been self-adjusting. The day |
foreseen having come, most Of the COM
panies are forced to change their as
and some Of the largest find |
with vast amount of bust
ness on the per cent. basis, about |
which there is an appearance of ankle |
ty, for the per cent reserves on it are
being reinforced by heavy appropria-
tons thereto by SURPRISES accumulated !
rom, and supposed to be held for flu
ture division among the various Tontine
Or Investment schemes.
Y count.
One of the strangest developments in
life insurance in the last twenty-five
,ears has been the increase in it's ex-
Dense account While that Of every
,ther enterprise and industry has been
;tudiously watched and pruned at every
possible point. and it's reduction has
,een a prime and permanent aim of
not only as means of
,reater profit to the business, but as a
ecessity in meeting competition by
,reater cheapness, the expense account ,
n life insurance has gone the other (
way. The competition has not been by {
yay of lessening cost secured by pru- i
enee and economy. Those companies {
ave secured and are securing the most 1
Insurance cost their policy-holders most, t
nd are making it cost most to-day. +
he attractions they advertise to the I h
eneral public are not those methods Of ]
lose, economical management which | v
reduce the best results to the family | [
t the least cost to the premium payer Il
ne most real protection for the least | b
their enormous increase of | a
le amount at risk. And to secure this i
lcrease the attraction they offer to the Il
is not the simplest and most
ompletc protection possible for his 7
lmly at the smallestNco cost to himself =,
hich can be achieved by prudent man Il
but some scheme by which If Il
J leaves all the margins on premiums u
i'd interest and reserves in the control
the company for fifteen or twenty II
ears and subject to forfeiture If he
es or lapses within the period, he is
limited to specula ton in what others
ay forfeit meantime should he live
I'd pay through.
How Volume is Secured.
Ii is the estimates and illustration OF a
esc spcculations on which their bust
.ss has teen secured. II Is by hiring
MS of thousands of agents at enormous
admissions and bonuses and allow
ices to press upon men these specula-
II. a