The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-11-26

SenleQ. Inc lnQuSlr1dl pOllCy mas
many Of the features of the regular
policy in that the contract is pro-
gressive one, growing in value from
year to year after being In force for
a certain time, giving dividends after
a certain period Of years, and after
being in force for a certain time haV-
ing a surrender value in paid-up In
surance, or extended insurance. This
insurance is necessarily more expen-
sive per hundred dollars than the or
binary policy, owing to the greater ex-
pense In collecting and other detail:
But it has proven both a popular and
satisfactory insurance to large
class of Minneapolis citizens. 1t is
said that since the establishment of in
dustrial insurance In the United States.
twenty-eight years ago. the number OF
pauper burials annually has decreased
over cne-third. 1t is taken out large
ly for the defense of the family from
the expense of fatal illness and death.
The companies writing industrial
insurance issue also a policy of a
similar order, known as the child s
endowment policy. This is issued IN
amounts usually from 500 to $500.
These policies are designed to mature
at ages Is or. 20, thus bringing the
fund into the hands of the parents at
the time it will be most needed In the
education of the child. A large VOL
ume Of this insurance Is now written
ir the city of Minneapolis by one or
two old line companies. Child insur-
ance was undertaken in this city
within the past quarter-century by a
local association that failed to make
good It's contracts and finally went out
Of commission dozen years ago. This
failure had for a long time deter
rent effect on the progress Of child In
surance by old line companies, and 1t
has left it's traces to this day In the
minds of many people who otherwise
would be patrons of old line insurance
for their children. Still such 1nsur-
ance has proven a success when writ
ten on the old line plan.
Life insurance has come to be a very
active and practical factor In the bust
ness of this city, as well as Of the
country at large. The business man
now wholly unprotected by life 1nsur-
ance is the exception to the rule. Few
men doing business in a large way
and asking large credit will fail to
protect themselves with life insurance.
Twenty-Five years ago very few men
in this city carried as high as $25, 600
of life insurance. To-day the list OF
Minneapolis men carrying 100000 and
upwards is a long one. me case OF
the late Frank H. Peavey Is the most
notable one in this city and one OF
|
ing all his business life Mr.. Peavey
was a strong advocate Of life insur-
ance as security for a mans business.
About one year before his urAt1neAy
death he took out a policy FOR $1,000
900 on his own life In addition to the
line he already carried. This 1nsur-
ance, had he lived to a ripe old age,
would doubtless have been made by
him a most profitable investment. 1t
certainly added strength to his credit,
and to a man of Mr.. Peavey's great
business ability, added credit was add
ed capital. AS it TRANSFERRED. the In
surance became within a year an add
led cash asset of $1,000,000 to his es-
tate, and saved his business from the
severest brunt of the shock caused by
his death.
Insurance by business men for the
benefit of their business Is effected IN
many ways. The value OF a man 10
his business is an item that In past
years has not been adequately reck-
oned with. It is often the case that a
business very fourishing and thought
worthy Of large credit would be quite
worthless apart from the man who
conducts and inspires it. Such a bust
ness can we'll afford to carry insurance
on the life of the man upon Who1'
Its success depends. On this prlncl-
ple, partners are insured in favor OF
the firm; leading men In corporate
companies are insured in favor of the
company, the firm or company IN
either case paying the premium. This
not only secures the business against
loss by reason Of the mans death; II
defends the family Of the deceased
against possible claims against tne
be paid out Of the mans private
estate. ;,
One Of the most noteworthy meth
|ods of applying life insurance to the
Strengthening of business credlt IS tna'
adopted by a corporation recently
formed. In this corporation are three
principal active men. Upon the cap.
amount of $4,000 were issued as
working fund. TO secure the matur'
Iity of these bonds in the time speci'
fed. each of the three principals was
insured for $4,000, the policy in eacf
case being twenty-year endowment
policy The premiums to care to-
these policies are paid each year II
lieu Of sinking fund to mature tn
bonds. At the end Of the tWent,
wears the insurance itself natures thu
bonds, while in case of the prior dealt
of any one of the principals, one-thlrt
Of the bonds will be Immediately tax
en- up or provided for.
The conserving OF habits OF econom,
-particularly among younger men
in this city during the past twenty
FIVE years, due to the work of life in
surance agents, Is a municipal asse
that cannot be reckoned alone in dol
lars and cents. It has promoted
moro substantial fiber in our citizen
ship oy fostering an interest In prop
crty as against the temporary phys1
cal enjoyment of spending money. Lii
insurance has offered a practical, con
sentative, safe and ever-ready oppor
tunity fer investment of money tina
otherwise would in large part b
"blown' to the winds. Any youn
man by Investing in life insurance tn
money represented by the cost of thre
cheap cigars a day can in twenty year
make himself fortune larger tina
that of the average citizen of Amer
lea, or, dying within that time, leav
an estate larger than the average es
tate bequeathed by Americans. TIL
habit Of saving thus fostered by tn
insurance companies has also save
many a young man from that rockies
speculation that is akin to gambling
Nor is it too much to say that form
ing as it often does the first serior
attempt at saving property, life insu!
ance has made substantial, sober cit
GERS out of what might have becon
a drifting, shifting, purposeless ell
ment in the community
Life insurance has not become
| this country so general and fixed