The midland journal. (Rising Sun, Md.) 1885-1947, 1901-01-25
LIVES REcKoNED IN CASH.
rnlveston,s Deans to the Life 1nsufs
aimee Companies Count Almost
"a Nothinw.


The Galveston disaster. which cost
about 5000 lives and millions in prop
erty damage. will have practically no
effect on the business of life Insurance
companies. The Johnstown food
hadn't any, though the companies
paid several hundred claims as re-
suit Of the wiping out of the town
and the lives Of many of its citizens.
Even the Spanish-American war had
little effect. This is due to the great
law of average. In the war Of death
on life Galveston and Johnstown are
mere flea bites. says the New York
Sun.
None Of the companies know the
exact amount OF its loss from the
Galveston food yet. but that doesn't
matter, The claims will come in at
intervals, perhaps. for years, as this
mans and that mans relatives. fall
ing to hear from him. discover that
he Is dead and that he had an in
surance policy, and forthwith demand
q settlement with the insurance COM
pany. The cost to the companies Of
loss Of life at Galveston can be APP
proximately gauged, however, and the
estimate will err rather against the
companies than in their favor.
There is held throughout the United
States about 81, GOT. 100000 in in
surance. of which about $1,000. 900 900
is industrial insurance. that is. in
surance issued among the industrial
classes in policies Of small amounts,
the premiums on which are collected
weekly or monthly. In the $4,000, 600
Of population this country contains,
about 100000 are rated as insuras
Bile and of the other 10000, 900 about
Is per cent. perhaps are actually in-
sured. The deaths at Galveston num-
bered roughly 5000 in population Of
10000, Reckoning one person in seven
as insurable and rs per cent. of these
as insured. there win be about IT'S
policies to be paid BY the insurance
companies on Galveston victims. The
average amount of an insurance pol
icy in city like Galveston IS reck-
oned at about So 600. the total loss to
the life insurance companies will be
something under $35o,00o, a large sum
of itself. but small one when COM,
pared with the millions handled by
the companies.
1t may be much less, because, Us an
insurance man pointed out. persons
whose lives are insured for large
amounts usually live in houses which
are comparatively unlikely to tumble
down upon them even in such a gale
as Galveston experienced. and con-
sequently most of the policies falling
due would be industrial policies for
small amounts.
In the sum Of life and death a great
fire, a food, town wiped out, city
devastated, war even any of these
is drop in the bucket in life in
surance. The great law Of average
covers all. So many men killed by
bullets, so many the less die Of dis
ease. So far-reaching is the rulesfhat
one at least of the big companies,
whose business stretches out across
half of the civilized world. did not
| increase its rates on the policies Of
| men who enlisted in the Spanish
American war.
Disease in its many forms is the one
foe of the life insurance companies.
Consumption alone accounts for one.
fourth of the deaths on which poll
cies are paid and nine diseases are
held responsible Tor nearly 60 per cent.
of the total deaths on the companies
books; so that the fire and food, the
wiping out of populous city like
Buffalo or Syracuse. counts with the
men who reckon human lives In dol
lars and cents as of much smaller im-
portance than new disease or few
per cent. increase in the mortality due
to tuberculosis, pneumonia or typhoid
or a small increase in the suicide
rate.