Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1905-04-17
OLD LINE INSURANCE POCKETS
GROW FAT.
Preliminary Publication Showing Bus
mess During the Year 19O4-Fra-
ternites Coming to Realization
That Rates Must Be Adequate and
Based on Mortality Tables.
Madison, April Is.

MadlSOn April 10.
Insurance Commissioner Zeno NJ.
Host has published ting preliminary re-
port showing business transacted in
Wisconsin during 1904 by the life,
casualty, surety, assessment, accident
companies and fraternal beneficiary
societies; also showing the condition
of these companies on January 1, last.
The report shows that there are 81
old line life companies transacting
business in this state, of which 20
have capital stock amounting in the
aggregate to $11,243, 500. The in
come of the q life companies
amounted to 1886, 100000 and the dis
hursements to $346, 904 900; the total
admitted assets amounted to $780,
045,826.07 on January 1, 1905, and the
liabilities, except capital stock and
surplus, amounted to 1,968,911 991.49
leaving a surplus of 1927, $40, 334.58,
contended during the past two years
should be returned to the policyhold-
ers, as it consists of their overpay-
mentS
Paid Back Third Of Premiums.
These 81 old line life companies had
249,37S policies in force IN Wisconsin
on january 1, 1904, and they issued in
the state during the year 1926. The
number of policies terminated BY
lapse or death during the year was
44,S36, leaving on January 1, 1905
| 272,228 policies in force in Wisconsin
amounting to $233, 1895, 632. These
companies collected in premiums in
this state $7,622,692.2S and paid as
claims in the state $2,495, 323.88.
The gain and loss exhibit, which is
only found in the reports of the Min
nesota and wisconsin insurance de
partments, shows that the expense
loading of the 81 old line companies
during the year 1904 was $115,789,
28211, while the actual expenses OF
these companies during 1904 were
$122 1904, 1865 Therefore, these 81
companies used for expenses $7,115,
214n more than they were entitled to
use in accordance with the loading
the expense element of the premium
paid by the policyholders. This ex-
hibit also shows that the companies
expected to pay 500, ,524.43 for
death losses, in accordance with the
calculations of their actuaries, but the
actual amount paid as death losses
was $92, 094, 794.88. Therefore, it
will be seen that they made a gain in
death losses last year of $780,
1885, as their total losses were that
much less than they expected to be
compelled to pay. The gain and loss
exhibit also shows that the actual in
terest earning of these companies
amounted to $96,487 ,620.89, while the
required interest earning according to
the calculations of their actuaries,
amounted to $70,9S1, 002.16, leaving a
gain in interest earnings Of $25, 1906
618.73.
Old Lines Grow Rich.
The gain and loss exhibit also shows
that the reserves released by surren-
der and lapse during the year amount
ed to $51, TAI, 449.S5, while the actual
amount surrendered or allowed on
lapsed and loan values amounted to
$37, 1852, 1899, leaving a gain on re-
serve surrendered of $13,994,717.26,
which amount would have been re-
turned to the polfcyholders under
Commissioner Hosts contention for
annual accounting for distribution OF
surplus, instead Of being confiscated
by the companies. Hence, it will be
seen that the 81 old line companies
transacting business in Wisconsin
during 1904 made a net surplus gain
q fo11