The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-04-15
Wise Investments Have
Resulted in ACCumu-
latiOn Of Surplus.
COMMITTEE FEAR
NO INVESTIGATION
An Inquiry Into the Management
Of the Society is Proposed
BY some-Suit is Also
Observation-Disclosures
view With Judge
w. J. Lcake.

w. j. tLcdke.
The rumor that an investigation "ouio
be asked for and a suit brought against
lie Mutual Assurance Society Of Sir-5
ginu has created widespread interest
Tor the society Is known to be IN e&
ccllcnt condition. It's officers are men OF
tie highest integrity and ability and the
oniy charge that can be brought Is tliat
they haze been 80 successful ~ me
management uf the socicty's affairs that
IN tic opinion OF some too great sur
plus has been accumulated
Judge l.cakc, Il member Of the stand
ing Committee OF the society. ~ IN IN
tcryjnw printed below explains fully the
reasons for the large surplus, ana now
II was accumulated not by large
quotas" from policyholdcrs, but from
judicious Investment.
The society at this time has the loi-
lowing Standing Committee:
Colonel William II. Palmer chairman !.
Mir. ". r. Gray. Mr.. Joseph Bryan, Mr.
Isaac y. Cardoza. Mr.. Edgar ID. Taylor,
Air. 3. n Valentine. Judge W. j. Lealte
and Colonel Waiter II Taylor.
rhc chairman receives $500 year
and the other members receiHc s3oo e acI.
Salaries of Officers.
There is a principal agent whose salary
is si.OyD, a secretary whose salary Is s.
90 and two clerks whose salaries are
$500. each.
Chairman committee -...S sup'VV
Seven members committees. $50 ~
Principal agent .............-....5...sa Nvy.W
Secretary -. 49, ~
III Two clerks .. !. e
r.a,a, .s11 $40. NJ
sS This $1lsJO Is the entire saiars ascol y
IN Judge Le,Ikc was, asked last night:
"Do YOU know Of amy plans on 1901
TO- Investigate the affairs OF the Mutual
Assurance Society," .
8"I..did not until late to-niSat wren
nv attention was called to an article IN IN
rvonInr8 paper . suggesting &thut such a
thing would be done; though had Hcard
that n meeting had been called by some
dissatisfied policy-hoders, TO be held at
Murphy's Hotel on Monday mornlliT.
III ~ do not know of anything there isNto
Investigate and 1t Is an unHsuitIi " !! w w
10 hear Of IL complaint that IN insurance
company has been so successful ns 20 pro-
vide a large surplus as protection 70
It's poicy-holdcrs against fu'''Ee lossts. =
How Surplus Was Accumulated.
How has the Mutual been anlc 10 accu-
mulate the surplus complain 81 Of.
f"This surplus has been accumulated
from two causes: First. The society once
did business both in the count; os well as
in cities In Virginia, having un
20 1895 two branches, the country branches
and the city or town branch.
The country branches proved TO be
disastrous and were about 50 years ago
abolished Since that time the Society
business has been confined enllrely 70
cities aud towns. and as indicated by Ns
title ,"rhe Mutual Assurance society.
against fire on buildings OF the State Of
Virginia.
First to buildings. taking no insurance
whate on stocks of goods or personal
property OF any kind S
Thus 1t will be seen that It's risks In
The last few years have been OF the very
highest character and what Is known
in the insurance world as PREF rreu
risks.
II las so happened that for quite u
number Of years past the cities ana
towns in the State Of Virginia, In which
the Society has done business. have beea
free from anything like conflagrations.
and Will. good fire departments ana
o i,,n1sr.t improvements for subduing fires,
tho fire losses have been most abnor-
mally low. Second: Notwithstanding the
fact that the quotas OF premium are so
very small only 10 cents on the 500, or
one dollar per thousand on the amount
insured there has been surplus OF re-
CENTS over disbursements and by tho
prudent managementSor some may say,
accidental good MnnaGement, OF those n
charge Of tie affairs OF the Society this
surplus has been 80 we'll Invested ms 10
have produced quite marvellous results,
Colnpany's Investment.
For instance, the socIety's surplus, to
A. large extent was invested as follows'
4. In Virginia State bonds, purchased
at sixty and sold mt nearly par
e. In Richmond, Fredericksburg anu
Potomac securities, purchased around
par and now worth three for one,
g. In Atlantic Coast Line securities
which have much moro than doubled IN
value
4, Tn many other securities. IN which,
willie not so great profits have been re-
allied, good results have arisen.
1t will therefore appear to any one
who will think for q moment that the
society's surplus has not been wruns
from its noicy-holders, but has been
mado by It's Investments. and the pub
lie may either attribute this to good
management or to chance, as It sees ut.
''What have you to say regarding the
proposed effort to make the society TO-
lmhurse its policy-holders for the amounts
paid in?"
ut seems to me that this is an absurd
Idea This surplus has been accumulated
by the two fortptous circumstances |
have lust mentioned. The fact that VIC
have heen exempt to such II marvellous
degree from losses In the last few years
is no guarantee against CONGREGATIONS
III the future. The amount that We
carry at risk is, as well as ] can recall
At, slG,O0o,000 and this is extremely cons
centlatcd, att cast one-hr!f being In
the city of Richmond, and should there
be anything like q cOnfagratlon IN any
one OF tic cities in which the society