Los Angeles herald., 1907-11-17
WAGE FARMERS ARE GIVEN INSURANCE

BOSTON, Nov. 2-With the design of
by many of it's advocates to be the most
important single measure passed by the
legislature of any state this year becomes
effective today. BY the enactment of the
measure which has been taken advan-
tage of by many savings banks, the
Massachusetts, legislature has accom-
plished novel thing, at least SO far as
the western world is concerned, in per-
mitting the establishment of a new type
of life insurance.
On and after today the wage Garner
of the Bay state who wants protection
for his family through one of the policies
of the type known as Industrial that
is, whose premiums are payable at fire.
uuent intervals-will be able to exercise
a choice. Henceforth there will be COM
petition between two different life in
surance systems. The workingman may,
on the one hand, yield to the blandish-
ments of an agent to take out policy
in one Of the insurance companies which
do an industrial business and which Will
keep a collector perpetually on his heels,
to gather the premiums as they fall due.
He may, on the other hand, go to saw
ings and insurance bank--a new title In
Massachusetts, as it is in the entire
country-and arrange to take out life in
surance not exceeding $500, with the un-
Outstanding that he is voluntarily to pay
his premiums once a month without tho
urging of a collector. He may also BUY
there an annuity of value not to ex-
ceed 500. If he has an account at the
savings department of the bank he may
arrange to have his premiums paid from
that automatically, as they fall due.
One of the greatest advantages claimed
for the new system of savings insurance
is. of course, it's cheapness The ex-
nense of sandbagging people into insur-
ing their lives and of collecting the pre-
nniums by house to house canvass
c-uses this form of protection to the
wage Garner to cost from two to eight
times as much as his wealthier neighbor
has to nav for ordinary life insurance.
There is. assuredly familiar argument
10 the effect that the average individual
will not buy a life insurance policy UNI
less he is talked into 1t by an agent.
some people, however, believe that a
large proportion of American laboring
men are Industrious. thrifty and far
seeing enough to do the thing they ought
without being eternally nagged about 1t.
II is generally admitted that Massa-
chusetts is a particularly good state to
,.trv OUT this scheme of savings insur-
ance since there are few, if any, states
which place as many safeguards about
| co Wings banks. The savings bank Is par
ticularly adapted to handling life insur-
ence-since insurance is only a special
| Ted form OF savings. The first savings
hank in the United States was opened
| in The city of Boston ninety years ago.
| Massachusetts, has long had the best
savings communities in proportion to pop.
,1Iatlon of any of the states OF the Union.
The total of deposits to the credit OF
wage earners in this state is nearly equal
to the interest bearing debt of the Unite
| states. and exceeds the total assessed
valuation of Maryland, Kentucky or
! Connecticut. This is probably due to the
! fact that the Legislators of Massachusetts