The Elbert County tribune., 1905-11-30
TARBELL TALKS
EQUITABLE VICE PREsIpENT IN
suREs At REDUCED RATEs.
ADVOCATE OF PUBLICITY
Equitable Does Not Allow Rebstes-
Does Not Regard Commission on
His Own Payments az Hebate-
Wants Dishonest ofsscers Punished.

His Own Payments az . Rebate
Wants Dishonest ofscers Punished.
New York.--Aftcr 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 me New York Life. the ar
rangement being made with George W.
Perkins. and on this, too. lie received
the premiums.
He also had a $4,000 policy in the
Aetna and $4,000 in the Travellers.
on all OF which he collected the com
missions. He said he carried $500 900
on his own life and 100000 on mem
bers of his family.
Mr.. Tarbell submitted 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 to insure the
confidence of the policyholders. Prom
inent among these suggestions was abb
solute publicity.
While admitting that wrong had
been done by life insurance officials.
Mr.. Tarbell said he had no apologies
I'm mil fnr nv Af nd hat ha
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 IL that
was not rebating, and Mr.. Tarbell said
1t was not; that he thought he was en-
titled to 1t.
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
goods at cost, or of professional man
treating another and charging less
than the regular fees. Mr. Tarbell fur
| ther said II 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 $S0.000,000 surplus OF the Equit-
able society at the end of 1894. Mr..
'iarbell said about $70.000.000 is set
aside for deferred dividends, but the
company does not recognize any right
of the policy holders In the $4,000 900
until the policy has matured or reached
| the point at which 1t has earned its
dividends. This $70,000,000 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 compensation on
which they could live. because OF the
| difficulty of getting people to insure.
Witness said he thought It had al
ways been the general practice for Of
| ficers of the insurance companies to
draw commissions on their own poll
cies, either in their own company or
in others. He declared that II was not
rebating. He thought he was entitled
| to the commission.