The daily morning journal and courier., 1906-04-12

This communication is offered for tht
 sole purpose of submitting indisputablt
 proof that it is not, and that it is ir
 fact the most unwise and wastefu
 form of policy that any man ever SC. lects.
 Now for the proof of this assertion.
 The most popular form of the Limi- ted Payment Life Policy is, and ever has been. the Twenty Payment Life Policy. But what is a Twenty Pay ment Life Policy? Essentially it is an absurdly long term endowment policy, nothing more, and nothing less. What is Twenty Year Endowment Policy? It is policy on which the last cent of insurance, or indemnity vanishes, and the Legal Reserve exactly equals the face of the policy itself at the end of twenty years. What is Twenty Pay ment Life Policy? It is a policy on which the last cent of real insurance. or indemnity vanishes, and the Legal Re- serve exactly equals the face of the policy itself when the insured is 9S years of age. There is not one iota of difference between 1t and the Twenty Year Endowment Foley therefore save in the number of years It covers At the age of 45, one covers twenty years, and natures at age 65; the other is- sued at age 45 covers fifty years, and natures at age 95. This is absolutely all the difference. The question then is simply this, Is it wise for man of 45 years of age to take Fifty Year En- dowment? Is 1t wise for Q young man of 20 to take a ,Seventy-five year en- dowment? or for man of 30 to take a Sixtyfve year endowment? Wise or foolish, that is precisely what they are all doing when they are taking a Whole Life Policy, or a Twenty Payment Life Policy
 The Twenty Year Endowment Policy may be either a very wise, or a very unwise policy; that depends wholly on the age of the man who selects it. For a man 45 years of age, 1t is an ideal policy, for it is coterminous with his expectation of life, hence it covers about all there Is in the average human life at that age which is worth eovesng with Insurance, and natures without waste For a young man 20 years of age, on the other hand, the Twenty Year Endowment Policy would be q very unwise policy, for it does not cov- CT one-half of his life expectation or the average life of men of his age. Nevertheless, 1t would be a much bet- ter Policy even for him than the 1wen-, ty Payment Life, for that covers about 98 years more of time than there is any need of covering at all in his case. The simple, undeniable fact in the case Isl this: The last mill of real insurance, or indemnity provided for in the Twenty Payment Life Policy disappears per manently when the insured attains the age of from 65 to 70. After that the in- sured is simply wasting his Reserve (which is always in the safe-keeplng of the company solely for the benefit Of the agents, and the insurance officials. Having said this, let me now prove It.
 One of many Insurance companies charges man 35 years of age, Twenty Annual Premiums of $3S.34 each for a Twenty Payment Life Policy of $l,0O0.- %. In twenty years, if he lives, he will pay $766,SO less some dividends. At that date the Legal Reserve on his pol icy in that particular company will amount to just s609.92 and he himself will be 55 years of age. Ten years later he will be 65, and the Reserve" on his policy will be just $723.24 a gain of $1l3.S2 in, ten years. It will take 1t just 80 years longer to become $1O0O the face of the policy. although even s723.24
 (Continled on Fifth Page)