The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-10-03
NEWS OF THE INSURANCE WORLD

ing the interest at 80 per cont for the
december 81. 1909. When the interest
ratio fails 1t requires more principal 10
earn out the maturity of q. policy. Con-
seauently. premiums arc higher when the
basis is per cent. lower AT 81 per cent
sun lower at per cent, and lowest at
AZ per cent, whicl, twenty five years ago
was The basis of all the contracts. In
number OF western states, where the
interest rate on good mortgage securi-
lies Is very high; a per cent basis can
Dc maintained il the companies invest
tercst,
CD The difference TO policyholder
between n stock and mutual company
Is that in stock company writing what
arc known as participating policies.
the company guarantees in advance The
amount of the annual dividends and al
lows them TO apply on the premium. The
mutual company. on the other hand.
gives the Dolicyholder the benefit of all
i,s savings In dividends. returDable AT
the end OF the year. OF at the end of the
premium paying period As TO which Is
the better, no one, can say. Doubtless
the agent of a stock company would tell
you his was best. and the representa-
tive of mutual company would tell yon
the same Both are undeniably good. as
Misleading Headlines.
The United States Review, an insurance
journal published In Philadelphia, Pa.
in its issue for September % contained
AN article the body OF which referred TO
Spokane Wash. but Tie headlines in.
Lake City. Tho caption read: Not En-
thusisstic Over Salt Lake, Its Fire Pro-
lection Facilities Are Poor"
Acting Commissioner Done has written
the publication calling attention TO the
error and asking for Il correction. In his
letter Mr.. Done takes occasion 10 say a
few good words for Salt Lake city and
its excellent fire department and water
system.
Affected by New Law.
The tabula ton of the financial reports
OF the HE insurance companies. incor-
porated under the laws OF New York af
fccted bv the requirement of the new
Armstrong law. providing that all stock
must be disposed Gf within five years
shows that up TO The first OF this year ar
companies had disposed OF less than "a
per cent OF their total stock holdings.
These were sold. however. AT very large
profit amounting to S9.S75.925. The COM
panicS have been forced TO sell stocks
which have given them. an average rate
OF 5.S per cent. and under the law viii
be- required TO invest the money in bonds
and mortgages which have heretofore
averaged them but 40 per cent income
and as The market is not propltious Tor
the profitable sale of stock holdings still
on hand. amounting to oyer 500 600 900. il
is presumed that an extension of time Will
be asked from the legislature 10 avoid
sacrificing them.
Insurance Notes.
Former President John w. Wilmington
of the National Association OF Life In
derwriters. stopped Off in Salt Lake on
Monday. September &c. on his way TO his
home in Los Angeles. While here ne was
the guest OF the Utah association az
luncheon given at the Commercial club,
Unusual interest attaches to the annual
meeting OF the national convention OF In
surance commissioners now being held III
Mobile. Ala. There are five days ses-
sion in all, the first two consisting OF adj
dresses. reading OF papers and reports
Of committees. The third. fourth and
fifth davs' sessions will be executive. at
which the tentative fratcrnal bill VIII bc
considered
The METROPOLITAN Life OF New York
has conceived unique idea OF advertis-
ing what il is doing in its present war
on tuberculosis. At about 100 state fairs
il has arranged exhibition booths where
an accurate presentation OF thc particular
activities mentioned is gwen.
A work of great value and Interest 10
insurance on lives and tho disabhties
and accidents incident thereto has JUST
been issued by the Charities Publlcatlon
committee Of New York for the Russell
Sage foundation.
II is reported in the cast that chain
OF mutual fire companies which are said
to have been writing extensively III
Utah and elsewhere certain special haZ-
ards and single source sprinElered rSNS
have become overloaded and arc asking
reinsurance. The biz eastern nptualS
have declined TO assist and the business
is being offered TO stock companies.