Daily capital journal. (Salem, Oregon) 1903-1919, 1910-08-19

That foreign lie lDBuIduC6 SOhi-
panies draw greater profits from the
state Of oregon than any other class
of business, and invest less of their
capital or utilize less Of It towards
contributing to the states welfare
or industrial prosperity is evidenced
by the fact that during the 1i-year
period. 1899 to 1909 inclusive 30
life insurance companies collected
approximately s17OOO,0OO from POI
icy holders in the state while the
total combined capital which all of
them invested in Oregon securities
was less than one-third of the i'm
mense amount which they collected
from the policy holders.
During the last year Of that per-
iod-1909-th same 35 companies
collected $6,52O,S69.S2 in premiums
on insurance in the state. They re-
turned premiums amounting to
S962,4O4.13, and paid in claims and
losses $2,O23,354.54, leaving them
a net profit from their business dur
ing that year of s3.085,241.29 ex-
elusive of the expense incurred IA
securing the business which was a
very small item compared to the i'm
mense revenue realized. This shows
even much greater ratio of profit
over the investments for the last
year than during the 11-year period.
Investments Small.
But small percentage of the 80
life insurance companies have in
vested in mortgage loans or invest
ments of any kind in the state, and
when compared with those made in
the states of Washington, California
oklahoma, Texas, Kansas and Colo
rado, It shows that oregon, though
she contributes an immense amount
of wealth to swell the fortunes Of
the companies, secures less of their
patronage than any of the men.
toned states.
Quoting from the report of the In
surance commissioner of the state,
1t shows that the gross premium col
lected by the 35 life insurance com
panies for a period of / years end
ing December 81, 1908, to be tota'
of S16,933,525.96. The losses and
claims paid by them during the
same period are shown to totaI
S3.955,47S.49; the premiums re
turned to be $1,542,9O6. On tho
other hand the combined invest
ments of all the companies in secur
tiles are shown to be $3,16O,143 II
mortgage loans; s75,3O13 80 in mum
icipal bonds and $666,32475 il
railroad bonds. The loans to polic'
holders during 1908 amounted t.
S1,454,929.3O.
Profits Are Immense.
After deduetlng $5,49S,384,76
the losses paid and premiums re
turned, from the gross amount o
$16,938,525.96 the amount Of pre-
miums collected the net premium
of the company for the II years ar
shown to amount to $11,435,
141.2O. Deducting from th
amount S5,S56.69S,35 the combined
amount of capital invested by tn
companies in Oregon securities
there is balance OF $6,07S, ,442, s.
left which represents the net profit
OF the companies, In addition Il
tht- a. a.. 80 ho a0ueid orad that IN
$5,356.69S.S5, the amount investe'
in securities, are secure against los
and yield annual interest and div
dends, and therefore should b
classed as profits OF the business.
Investments Scattered.
AS twelve Of the S5 companie
were admitted into the state for th
transaction of business within th
last four or Ave years, and seven be
gan business during the year 1905
It becomes apparent that the grea
earnings made during The l1-yea
period are to be divided between
very few of the companies and tho
the investments are scattered.
AS a matter of fact two of tn
companies embraced in this list oal
ry the total of S75,3O1.80, inyeste
in municipal bonds; the SS,160,l 3
IN mortgage loans are carried b
soyen companies, and the $6G6
324.75 invested in railroad bond
exclusively Northern Pacific term
nal and Oregon Electric bonds, an
carried by nine life Insurance con
panies This shows at glance th'
the investments are scattered an