Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1900-01-24

insurance companies have been organ
lied by farmers, for mutual protection,
and neither is it surprising that they
have,in a majority of cases, proven sue
cessfui. With the expense of rent,
fuel, lights, officers salaries and agents
eliminated, and the risk
from loss reduced to the lowest point
by detached farm buildings, with no
cause of incendiarism, to prevent OF
conceal impending bankruptcy, and the
vigilent eye of the owner on duty con
the safest and best insurance
for farmer is in mutual company
whose members are farmers and owners
of the property insured. When farmers
mutuals were first organized, it was
said of them, that farmers did not
know enough to carry on an insurance
buslr ess, and they would soon go down.
Later on they were found to be very
successful, and some of the most sue
cessful companies in eXistance today,
have been organized and managed by
farmers. The mutuals have come to
stay, and they can be made the cheap
est companies if they are properly
conducted. The best will be the cheap
est, and only the best is good when we
are considering insurance. Farmers
want insurance that insures. The
farmer should buy his insurance the
same as he buys everything else, where
he can get the best article for the least
money. Some OF the best farmers will
peek into the room where the meeting
is being held, feeling that they would
like to enter the room it had only
left their pocket book at home. They
know the men who are organizing it,
and know them to be all good men, but
feel that they are the dupes of some
sharper who has turned up in the
county and taught some strange doc
trine. These took hold of it later on.
and afterwards became the most en-
thusiastic workers in its behalf.
The reason that cooperative mutuals
are less expensive, is that on an average
they return sixty. seven per cent of all
monies collected, while stock com
panies return only about thirty per
cent. 1t only takes thirty. Three
per cent 10 pay expenses in CO.
operative mutual, whileit takes sixty
three per cent in a stock company
to pay expenses and dividends, 1t
has been an enigma to me why a
man does not apply the same business
sagaeity to insurance as he does to
everything else, and buy where he can
| get the best article for the least money.
No one who has given mutual insurance
an impartial trial, is willing to give it
up for something not SO good. Every
sensible man is willing to give it up
for something better, but, SO far We
1 tny IN, fpnc
any better. do not know ofan assess
ment ever being collected by law suit.
In order to promote the organization,
we must get men that will work at a
sacrifice sometimes in canvassing, to
and be repaid for their lost time.
To show what we as mutuals have to
contend with. | will give you a sam
pie The agent of an old line company,
went to a neighbor of ours to take his
application, as his expiration occurred
in the near future. The neighbors told
him he was going in the u. G. f. NJ.
Association. Theag5nt elaborated the
danger of extraordinary assessment S
that would be enough to break him up.
Their man said it made no difference, ne
promised the trustees, and he would
not break his word The agent offered
to insure him for $40 what heEcharged
him $50 for five years before, then offer
ed for $50, and finally for $50 The
man ordered him out Of the house with
the assertion, "you have robbed me OF
thirty dollars the last five years and
would do it again if you could, for il
you can insure me now for five years
you could have done it then. Oul
r trustees went to widow lady The
old line agent had charged her 25 PEI
cent for five years ona greater valuation
than her property was worth. A neigh
, Dor gentleman paid only N per cen
= for five years on q valuation.
Our ID. G. f. M. L. Association wa
organized and commenced bushes
Il June 18th, 1891. In 1894 with small
amount in force we had losses that mad
o it cost us $500 per thousand for on
years insurance. We that were pre-
noting it, supposed the association
q would wind up. One of the larges
farmers paid $34.00 assessments O.
e $6S0000 insurance. Quite numbe
paid SIS to Ss25 assessment. They sal
e we have to pay this years losses, if ar
u other year comes like this, we will pa
and cancel. Next years loss was $10C
Il only. NO assessment This is tn
first year we are free of 1894 cost, in tn
IS five years estimate. This year our q,
II pense reckoning for five years past
1929 on $1,000. We collect $500 fe
on applications. Two trustees take th
applications, they receive $500. Polio
s. fee $50 Contingent fee $50. I'll
E policy fee pays the secretary for hi
81 services