Evening star., 1901-02-09
INSURANCE ON THE KING.
Interesting Calculations Now Being
Made by Briiish ImIcrM riters.

ny NhucE"
From the New York Evening Post.
Now that the policies on the late queen
are in process of settlement. insurance on
the life of King Edward VII is the most in
teresting risk that British underwriters are
asked to assume. While the king is near
ing the age-limit for insurance, being now
in his sixtieth year, the proposition is I'M
like ordinary applications being governed
by altogether different rules. A physical
examination being out of the question, the
companies must rely such statements
concerning the kings health as the court
physicians are willing to make. and base
their calculations accordingly. While it is
certain the king will take the best possible
care Of himself, living. perhaps, for many
years beyond the ordinary life expectancy,
the risk will bring hazardous rates be-
cause of the speculative features involved.
Insurance on the king will not be taken
out, American fashion, for the benefit OF
his relatives, but by persons who would
suffer pecuniary and business loss by rea-
son of his death. Theatrical managers and
others interested in ventures which would
be wrecked by another period of mourning
have a legitimate insuraDle interest which
will probably be protected by the companies
at cost Of something like D per cent or
the amount insured. That would yield con-
siderable revenue, and since such policies
run scarcely more than a year the imme-
date risk would not be great. With mer-
chants the situation is much the same, the
possibility of commercial disaster Offering
the incentive in most instances
Then, too, the stock market demand rep
resents every variety of risk, such as in
surance against loss from collapse of some
| important deal which could never be put
| through during the period of uncertainty
| following a kings death. Besides these are
| the purely speculative risks covered by in
surance at Loyds, London, where under
writers are found willing to take almost any
! sort of chance if the premium offered is
sufficiently large. Then the question be-
comes little less than gambling, with the
| liability not always clearly defined.
While the companies have been sometimes
| governed by motives OF patriotism in writ
| Ing this class ofsfTsurance, the heavy loss
entailed by the 4dueens death may force
[ strict adherence ITO accepted standards as
| the only safe basis forfeontnuing such bus
| mess. Rates are pretty sure to be ad-
! vanced as result ofthe queens death, al
| though the companieshave probably cleared
| handsome profit considering the aggre-
| gate of premiums paid during all the years
| her life has been insured.
! This may operate tOtmodify hasty action
| In the matter although with $50O0,00O or
| so to pay out on single loss, future appli-
| cations for court patronage insurance"
| VIII probably bel scrutinized with unusual
| care The business has never appealed to
| american companies ilwho still adhere to
! the physical examina tjon as the real test
| for accepting life risks, and In instances
| where such protection has been applied for
| the requests have been turned down or pro-
| hfbitive rates quoted.