Albuquerque evening herald. [volume] (Albuquerque, New Mexico) 1911-1914, 1912-06-26
S2,64O,OOO PAID
IN INSURANCE IN
THE YEAR 1871
Claims and Benefits TOtalling
Huge Sum Disbursed by
Companies in United States
and Canada.

Companies in United States
and Canada.
Life insurance organizations of the
United States and Canada distributed
fbs2.640.OO0 IN 1911, according To
computations by The Insurance
Press. The payments IN the two
countries 20 bfneficiarlea for death
claims. mntured endOWments and
other benefits under the policies OF
level-premlum companies ana the
certificates 81 various life Insurance
organizations -assessment and Tire
like amounted to St0t. i4O. goo. The
estimated total of the amounts paid
by regular companies 10 dividends 10
policyholders, for SURRENDER values.
20 annuliants. and on claims IN for
eiRn countries was ff01.6Oo,OOO
Summation Of iife Insurance nay.
ncnta uf all Rinds "a 1911
Claims paid IN the United
States and Canada. .st0t,i40,0 600
Payments for dividend
and for surrender vaiues
To annuitants and for
cign poiicyhOidera (es-
timated. ....s......,..4l 900
---
Grand total. 600
M Benefits fncrenscd
All benefits under poiiCies-death
claims, endowments. diydends-in
the transactions of regular life In
surance companies Increased IN
1911. The amount oil insurance
written and revived by the regular
companies alone. was nearly $4,000
100000, or about $500. oo0 600 more
than In 1910.
Something ~ an index To the gen
eral business conditions Of the eoun-
tty Is the amount Of life Insurance
that is surrendered or allowed to
lapse. The disbursements In laIi 81
the companies that report 10 the New
York insurance department for
lapsed surrendered ana purchased
poiicies reached S75,7iO,OJO. an In
crease of f2,S53. 0OO over 1910. This
compares wlth a decrea7e OF $751;
900 In 1910, an increase OF s3.O59. 900
In 1903 and an increase Of st4.643.-
600 In 1908, More persons found Il
necessary to let go oS their life In
sarance policies In 1871 than in 1910.
although, financial pressure or the
other causes that compel the surren-
4 der Of life Insurance were not 80 in
tense nor so generally operative IN
1911 as in 1910.
Heavy Increase IN Dividends.
Last year was remarkable for large
distributions 20 poiicyhoders In the
form Of dividends. The New York
reports show that the avn OF $780,
O95,O0O Was distributed IN dividends
agninst s72,ST5, 900 In 1910, an in
crease of S7,22O,60O. Millions OF dol
lars Of dividends were applied for the
purchase Of annuities and paid-up
additions 20 INSURANCE carried. In
two years more than $4,000, 600
has been disbarsed IN dividends 70
poiicyholders by the life insurance
companies whose annual statements
arc filed with the New York insur-
ance department.
That the dividend payments to
p0licyholders exceeded by several
millions the amount OF the disburse-
menis for lapsed surrendered and
purchased policies is notable and q
wholesome feature OF last years ope-
rations Of life insurance companies.
IN addition TO the more than ESQ.,
600 900 paid In DIVIDENDS In 1911. the
large sum Of ss4.Sg50OO was set
aside 60 cover dividends declared or
.apOIiioned for paymen, In 1912.
On the ledgers o., the companies
the further sum OF s222. 600. 000 was
credited 20 pOlicyholders, on De-
cembes 81, 1911. for dividends ealcu-
lated or Professionally ascertainc6 uu-
, der deferred dividend policies.
The records OF 1871 show large
increase IN the amount paid in death
claims. hut only a small increase In
the total payments under endowment
lpollcies.
Policy Leans SHOW Smaller Volume.
Borrowing on life Insurance oe-
lcurred IN smaller volume In 1911
than In 1910 on a larger amount Of
insurance IN force the loans on pull-
icieh Increased only st0,949, 600
against an increasc IN 1910 OF ff4.-
100000. The use OF insurance poll
cies az collateral for loans negotiated
with insurance companies was great
cst in 1907, Ia which a single year
the policy loan account Increased
ls7l.bSTO00. Loan liens at the close
lof 1914 amounted 60 t4St.346. zoe.
TINS mems tnnt settlements uhuef
life Insurance contracts have been
anticipated IN this vast sum- and to
the extent that the Insurance con-
tracts call for payments upoL the
death Of the Insured. the loans Sc
lcured hy borrows must be paid by
widows and orphans. The moral Is
plain--do not borrow on your life In
laurance policies n you can help a.
OF the ttS2. $4,000 of policy loans
Outstanding on be emher 81, 1914.
tz75, G2e, 600 was incurred In the six
year period lg07-i9ti. both incius-
i've. &206, 7l6,00e was insured prior
"a 1906.
warning FROM Insurance Depart
mcnts.
While the formation ~ new life In
sprance companies viii take place
whenever and wherever opportunity
or demand for such enterprises seemf