The Glenwood post., 1905-11-25
ARBELL TALKS
EQUITABLE VICE PRESIDENT IN
sURES AT REDUCED RATES.
ADVOCATE OF PUBLICITY
Equitable Does Not Allow Rebates
Does Not Regard Commission on
His Own Payments as Rebate
Wants Dishonest Officers Punished.

His Own Payments as Rebate
Wants Dishonest officers Punished.
New York.-After being on the wit
ness stand of the Armstrong legisla-
tive committee for three days, Gage E.
Tarbell, secon dvice president of the
Equitable Life Assurance Company,
| finished his testimony Wednesday.
The fact was brought out that Mr.
| Tarbell, second vice president of the
own life and on members of his fam
lily and had received the agents COM
mission on the premiums, as well as
renewal commissions. He said that
| since he became an officer he had
taken out 100000 on his own life in
the Equitable. Beside his policy in the
Equitable, he had taken $4,000 insur-
ance in lne New York Life, the ar
rangement being made with George w.
Perkins, and on this, too, he received
the premiums.
He also had s25,O00 policy in the
Aetna and $4,000 in the Travellers
on all of which he collected the com
missions. He said he carried 100000
on his own life and 100000 on mem
bers of his family.
Mr.. Tarbell submitted a list of sug-
| gestions for the remedy of existing
abuses in the management of insur-
ance companies and for Legislation de-
signed to give the state proper control
over the companies and 10 insure the
confidence of the policyhoders. Prom
| inent among these suggestions was alb
solute publicity.
While admitting that wrong had
been done by life insurance officials,
Mr.. Tarbell said he had no apologies
to make for any of them and that he
hoped they would be punished.
Mr.. Tarbell was emphatic in de-
nouncing the system of rebating by
agents, and stated that any agent of
the Equitable who gave rebates to get
business was dismissed.
| When he told of getting the commits
sions, Assemblyman Cox asked if that
was not rebating and Mr.. Tarbell said
1t was not; that he thought he was en-
titled to it.
Later, when Mr.. Hughes took up this
same subject with the witness, the lat
| ter justified the taking of the commits
sions as being similar to the case of a
merchant who purchased goods of a
fellow merchant in the same line, per.
haps to fill an order, and got those
| eco'' a. 'oSt' vi vi u u Wv Soiohai
| treating another and charging less
than the regular fees. Mr.. Tarbell fur
ther said if he had done wrong he was
sorry, but that he had acted in good
faith.
Mr.. Tarbell said the system of load
ing" premiums was originated to in.
sure the ability of companies to meet
| any contingency of claim or expense
He said that premiums are placed
higher than is necessary for safety
and the excess loading" is returned
to policy holders in dividends.
OF $S0,0O0,000 surplus of the Equit,
able society at the end of 1894, Mr.
larbell said about S70,000,000 is set
aside for deferred dividends, but the
company does not recognize any right
of the policy holders in the 10000 900
until the policy has matured or reached
the point at which it has earned its
dividends. This $70,O00,000 could be
used to defray any contingency that
may arise.
Mr.. Tarbell said that an extra com
mission of one per cent. was allowed
general agents on business written be
tween July Is and December 81, 1905
This was done, witness said, to enable
the agents to make a compensation on
which they could live, because of the
difficulty of getting people to insure
Witness said he thought 1t had al
| ways been the general practice for of.
hcers of the insurance companies to
draw commissions on their own poll
cies. either in their own company or
in others. He declared that it was not
rebatinS. He thought he was entitled
to the commission.