New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-03-16
PLEADS FOR THE AGENTS.
c. ". Johnson Gives More Reasons
against Limiting Expense.
[Ry Telegram to Tho rr,buns. !


Albany. March 1.-THE life underwriters as
socations of the state of New-York, through
their spokesman. c. w. johnson, of New-York
presented a brief which contained arguments
additional to those given at the first hearing
that the committee should not cut commissions
by limiting the expense of new business Mr.
Johnson has been busy at Albany since the hear
ing began, week ago. and there are many
indications that he has made an impression on
the committee which will lead to more liberal
terms for the agents. The brief submitted to-
day urges in part:
That the figures used in making UP the exhibit in
the report of the committee upon which the pro
posed standard of expense is based do not in fact
panies named That this is obvious s from o5 5h an com
animation of the disbursements stated in the sworn
reports OF those companies TO the Insurance De-
partments Tor the year IN question That the COM
penses, covering all expenditures attributable to
tho procuraton or new assurances incurred in
undoubtedly verify our claim that the exhibit re-
ferred to is based on incorrect figures That taxing
into account the actual expenses incurred a. }S ls
new business account and the commissions paid or
contracted 10 be paid its agents the business of
that year the Northwestern's new business outlay
ceeded the STANDARD proposed as to an be e ennLP
Section SS by at least one-third. That the NORTH
standard. would have to reduce BY one-thIrd its
p 6GSeI6 % agency expenses that to enforce
snip ana injury 70 even the very best companies;
size, past record and general standing with ~
public taIl these things affecting dinferentiv IN
different companies, their ability to aftracf ,eTr
busness), comply with a standard so severe % 10
embarraSs those which had been most economicai
In certain directions in the past would be uninSt
and would not give TO the smaller or younger com,
panies, not so well known by the nubfr 81 LII
chance to build themselves up FN0''0' INC same
Section 20 requires thar all agency exnensas sbau
come OUT cI an expense fund determined Nv H.
loading on the first years premiums and fba - Ihe
ed value on an assumed mortality saving FOR AZ
years. To reduce this figures on the hipbns1
life rate now charged in the United States tba
expense IuLo per thousand of Insurance. ar oHe
s1 I'M my NuShS that age averagel woud be
az 80, Ou llE lowest rate now charged nv ON,
regular SS9Guhpany, the expense fund psr tbGusara
az ass tHlI y -ve would be less than SIG but 80
o. llts una petoFe paying any comDansat lion -
eltIel tHe soHcltor the general -yent Yr,,,Se
sutLls tI many expenses of operating tho ifrs G
SUI siSe BUSINESS such as medical fees Insnactnr
LaiHtJiiahIe 81 nome ana branch offices Min 81
du yyt titsIHe iGeltses and taxes. f'''4''"s'
~ naNe maze extended inquiry from, ac,,,.s,.
lu CCItp3ny oIncerS as what rs
asett liist expect TO receive il this secIy ele
auopteu me hgures vary from an oTtIyoiII+ were
staud bas nat,a ny an actuary who we undar ~
r. -, -. had any practical exnsrannu0
per cent :" " minimum Of 90
III IN IesuihGny given before your comr,,t+o. =,
s3H, an Insurance man OF long exnarisrSse IIst
49, Muse company has been mora SIT;
~ go o'iie IN the world IN the develoy1Ses
aststSS Vtsah<ation and the resIits OF
II was stated that the aver o. t lIeu
ot ~ Insurance agents did not excesd tSnn SoIle
A'- W. uILuer present conditions So'V per
- ~S-S ssAsd What We should par~onaux, -