Waterbury evening Democrat., 1903-08-31
UNITED WoRKMEN.
Much Opposition to the Proposed New
Assessment Rates.

Workmen Of this state met at New
Haven Saturday afternoon 10 consider
the proposed new rates Of assessment.
There were over loo representatives
OF the several lodges present Ihe
meeting was the result Of a prelpIa-
mary meeting held In New Haven on
August Il, at which time a committee
On information was appointed, 70 Ee
port at Saturdays meeting. John y.
Howard of New Haven was app Vnteq
chairman Of a permanent organization
and Frank P. Tyler Of New Haven
was made secretary and treasurer.
Hugh GLIB of New Haven, chairman
of the committee on Information ap
pointed at the previous meeting, pre-
scented the report Of the committee as
follows:
New Haven, Con, Aug 90 1908.
Brother Chairman and Brothers:
Your committee on information beg
leave to report that they have attended
to the duty assigned and that briefly
stated we find that the proposed
changes as promulgated by the SUI
preme lodge increases the amount to De
forwarded by this Grand lodge to the
guarantee fund of the Supreme lodge
aibout three times at ages under 90
years. For ages over % the Increase
is estimated to he about fifteen times.
The increase In the amount Of each
assessment Is nominal and compare
lively small for all ages under 90, out
the increase after 55 years is reached
Is 1873 per cent more than the pres
ent rate of 1872 per 81 900. That this
Increase adds to the burden of the old
member there Is no denial.
Z The present amount sent to the
guarantee fund is about $500 from
each assessment. Taking the ages as
classified by the Supreme lodge, Janu-
ary /, 1903. the amount to be sent for
ages under 55 years to the guarantee
fund, new rate would be $6,554.25 each
assessment AS your committee un'
derstand the matter the members over
b5 years OF age do not contribute to
the guarantee fund, but they do nave
to divide a portion OF the $40 which
they pay for $1,000 insurance with the
surplus fund, the exact amount we
have been unable TO ascertain, but 1t
has been stated by the officials OF the
order as probably about 81 for each
member, each assessment.
The grand officers estimate 1,SOO
members now 30 years Of age and 81
for each member would be $1,000; this
amount added to the graduate fund
and provided the new plan Was In
force entire, would make remittance
to the Supreme lodge Of $18, 1925 each
assessment. The Grand lodge will re-
ceiye out of this amount from the Su-
preme lodge the deficiencies, according
to a table furnished by themselves, on
account of the deaths that occur
among the members over 55 years of
age. The amount that would have
been received for the five members, on
the present August assessment, who
were over SO years of age, would be
$2,070, and we would have paid to the
Supreme lodge $13, 1926.
Suppose the amount we would re-
ceive in the future increases 60 per
cent, we have in round numbers S1O,-
900 that Is paid out of each assessment
by the Grand lodge, the question at
once arises is: When twelve assess
ments does not pay the claims and this
immense gum of $4,000 per annum,
what assurance have we that the SUI
preme lodge Will be in position to
pay the amount promised us as guar
antee against being called upon to pay
an excess of twelve assessments per
year2 On the other hand, If we keep
the $4,000 per year and invest 1t at
d per cent compound interest we shall
have at the end of ten years the enor-
NOUS sum of 81, 49S,320, and can pay
our own bills.
For Connecticut year 1902, the aver
age death rate was 7.S0 per 1000 mem
bers, or $3.50 per 81 900 insurance in
force. The Supreme lodge report gives
the average age OF Connecttcut at bhe
end of 1902 as 43 years and the aver
age amount of insurance In force ST.
939.91. At age 43, $4,000 certificate
the member will pay during the tWen-
ty-six years OF his expectancy ST.
1926, or an average Of $42.4O per
year. The latter amount, $424O IN
vested and compounded annually at
per cent for twenty-Six years will
amount to $1,053.95, which Is more
han the average amount at risk. When
the lapse element is taken into consld-
Grafton it will be found that each
member has cared for his own lnslr-
ance and more.
So much for the present members.
Provided that we by adding new mem
bers and old ones dying keep the aver
age age at 43 for the twenty-six y
for one year is according to actuaries'
table $2164. The cost in Connecticut
a o. U. W., 1902, was, for $1,000 In
Burance, $17.72, or a total of $2O5,OOO,
Twelve assessments at the present rate
would have realized $345, 900, or $14O,-
600 more money than needed to pay
claims.
We have to our credit the difference
between the actual cost In 1902, $17.72,
and the average payment made by the
member, $40, which amount ts $24-SS,
to take care of the increasing death
rate. and this amount reaches the total
of $40, 900 in one year. This will take
rare of the old man we hear so much
about.
In the opinion Of your committee the
safe way to do is to call twelve assess
ments each year, pay all death claims
as they occur and invest the balance
each year to guard against the time
when twelve assessments do not pay
the claims If this is done, and done
T1rornptlv at the present rates, the old