Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1910-08-17
.FRATERNAL FUNDS
SHOW GREAT GAINS
Insurance Societies Statistics
Committee Reports AS
founding Figures
PLEADS FOR ADEQUATE RATES
Move on Foot to Merge Two Big
Organizations $4,000
600 Represented
PLEADS FOR ADEQUATE RATES

DETROIT, Aug. 16.-A plan is on
foot among the delegates to the Ma
tional Fraternal congress, in session
here. to merge with the Associated
Fraternities of America, which will
meet in Atlantic City August %. The
two bodies represent total insurance
estimated at $40, 1000, 000 The main diff
ference between them is the matter Of
rates. the adequate rate" and the
current cost rate"
President Thomas H. Cannon of Chi
cago says that there is really but lit
tie difference between the two bodies
and that if an agreement could be
reached on the rate question the merg-
er might result.
The statistics reported to the con-
gress at the opening today by Chair
man D. P. Markey of the committee on
statistics show an amazing growth of
the benefit funds of the forty-three
societies now in the congress. During
the last decade, as a result of the re-
adjustment of rates in accord with
the stand the congress has maintained
in favor of rates adequate TO payment
in full of the insurance certificates is
sued, the benefit funds of forty three
societies with a membership of 2,547, 900
have reached a total of S60,295,7 us. In
1892 with forty-seven societies in the
congress and with a benefit member
ship of 2,493,S54, the benefit funds only
totaled S9,165,057.
In other words, Chairman Marley
declared, while the present member
ship is larger and the protection less
by more than $1,000,000,000, the funds in
the treasury to safeguard this is six
and a half times as great as 1t was
ten years ago. This clearly indicates
the growing tendency on the part of
these associations 70 get right finan-
cially, in other words, to make their
contributions approximate the equiva-
lent of their promised benefits.
COMPETITION GREAT
1--WE appreciate the difficulties that
confront the members of many of our
societies in the way of meeting COM
petition by reason of unequal and I'M
reasonable propositions offered by COM
petitors or rival societies, and this is
especially true of those associations
that have endeavored to place their
membership upon an adequate and
equitable basis of contribution. They
have not only to contend with the
commercial companies on the one
hand, with their offers of extended
and paid-up insurance, dividends and
endowments, but on the other hand,
with the fraternal beneficiary societies
which offer what purports to be the
small monthly contribution.
These societies cannot remain half
right and half wrong on the rate ques-
tion-and solve this problem. If part
of them are to be permitted to con-
tinue on a wholly inadequate, inequit-
able and unjust basis as regards their
own members and the public, while
the other half attempts to work out an
equitable, reasonable and adequate adj
justment of contributions to benefits
promised there can be no peace, there
can be no observance of ethics, there
can be no such harmonious co-opera-
ton as should exist between the vari-
Gus associations enlisted in this great
work.
Your committee wishes to empha-
size, first, the necessity as we'll as the
justice of adequate rates. There can
be no safety without them, but impor-
tant as they are, there is another mat
ter of equal Importance. Adequate
rates are necessary, but they alone will
not save or perpetuate any society;
they are only one Of the necessary ele-
ments. Coordinate with them in i'm
portance is that of cooperation among
the membership; without this your So
cieties must fail. You cannot COM
mercialize them successfully"