Las Vegas daily optic. [volume] (Las Vegas, N.M.) 1880-1908, 1906-03-08
Sweeping Reforms Made =.
O9TFEsditabIe 'nsvfanfe
Paul MsAon1 KoW wt3s Rscsn cAanSe 6easft pe'kt- nslesa--
GU 81 MMien N Expense civilian {. Curtis Told tms
--~~--Awuaru6v ttsvs o~a u Crest NSues

)QeW ot Crest Votoe
aqpf h }i@ii
,ritory as-.a norton ri. our Assela- ~. a,
sort OF deposit against the reserve on
insurance. and the buildings we're re-
garded a. SUCH" !
Are you encouraging foreign bust
meas or cutting Il OFF,
I'VE are encouraging business
everywhere that II 10 profitable, Our
foreign business, however. TO = larga
degree has not been profitable as re
business at home. The same amount
Of energy, money and attention psid
10 domestic business yields better re-
turns, and Il viii be our policy TO
cease writing business anywhere that
W. find II without profit. have Or
dered the agencies closed IN Russh,
Australia, Norway and Sweden. Prior
10 my coming here We ceased wri''
ing busipass In Austria, Hungary, Ger
many and Switzerland. because We
could mot operate under the laws
prevalent IN those countries, and 10
france We are now waiting TO SCI
whether the government win make
retroactive certain laws just passed
lthere. II II doss our disposition - 10
! withdraw from France. The present
Flaw requires us 10 invest In France
4 certain portion Of Y reserves"
What has been the general result
Of the Investigations Of the life 10
surance busineas?'
IT has been beneficial. both TO thu
companies and to the public. People
have learned more about life insur
ancs during the last year than the,
ever aid before In ten years. and tn
nanagers u the companies have beef
taught that they are trustees, an
that the trust they have II = yer!
aacred, one and must be respected
The agitation will result In very grea
benefits to al American p0licyhClder
This society alone has undergone fou
separate Investigations since Januar
\, 1906. and the extraordinary lega
and other expenses entailed thereb
are amply compensated for by the or
forced rcstitutions and checked 9,
travagances. and by the final confif
ence that the p0licyholders now hay
Id the security Of their policies. Thes
Investigations have beer. d~estructiy
Ok some individual regulations, bu
they have emphasized more than eve
before the validity Of. life insurance
sMr. Hyde III entirely separate
from this institution. He Is nothin
but a memory--a "Reminiscences. 'Th
stock which he sold 10 Mr.. Ryan wa
Immediately put In trust with ea
|, President Grover Cleveland. Justic
Morgan j. 0'Bryen and George Wes'
, inghouse dis trustees, and they non
, mate the directors Of the society. VI
der their direction v out Of ever
thirteen directors are chosen from th
poiicyholders, thereby giving the 20
\ i~cyholders twenty-eight out OF lift.
two directors, being a majority /
] flour Mr.. Cleveland Is the chairma
. of thA trustees, but his connectio
|, with the society has been purely ~
|, yisory.
The financial position Of the q
ciety III ~ sound IN the Bank OF En-
Hand. Over and above all liabilities
! has a surplus reserve amounting I
, nearly 10000. 900.
Considerable apprehension exist
| a. 10 the meaning Of the term 'su
plus. IA large proportion OF the y
ciety.s policies are issued on the d
ferred dividend plan, under whic
/. profits are not realised until the e,
piration OF = specified period-gel
orally ten. fifteen or twenty veal
from the date Of issue. When this p
] ROD arrives the policies which RENAL
In force are entitled to an equitabl
share 81 the surplus Accumulated du
Sing the term Of their life. The 2
/, feet, however, q the deferred DIV
dend plan IL that onlya proportion I
the annual profits 10 immediteN 81
I trihntea. namely. on annual dividen
! and mAtured dividend policies 4
I the present time approximately seve'
eighths Of the surplus Of the s0ciet
IL hello an : reserve fund accumula
ing for division among existing q
ferred dividend, pplicies n their ma
8 urity. and the remaining one-eighth
!. q free surplus reserve available 4