Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1912-11-27

has had a rate question for many
years. Head Consul Northcott at the
head camp at Madison, Wis, in 1895.
directed attention TO the inadequacy
of the society's rates, viewed with re-
spect 20 the increase of mortality
certain 70 be experienced in the fu-
ture, and suggested that 20 per cent OF
each assessment be set aside as an
emergency fund. An increase Of 40
per cent In the existing rates was
ct the same time recommended. In
1887 an emergency fund was propos-
ed 20 the membership and voted down.
~ Ks1sas City in 1899 a resolution
eonteTlplEt.r< tho creation OF an emer.
tency fund, the scaling OF benefits in
the cases OF members dying within
five years after joining. and an ad-
vance In rates, was defeated. In De-
cember, 1900, the proposition TO es-
tablish a reserve OF emergency fund
was again defeated by the member.
ship. At. ST. Paul in 1901, the head
camp appointed a committee OF five
to prepare a plan TO meet existing con-
Sslsns and report TO the head camp In
1903. This committee prepared rates
and plans based upon the National
Fraternal congress table OF mortality
and an interest assumption of per
cent. The plans provided that on Jan.
], 1904, all members should be re-rat-
I'd at their then attained ages. The
council and submitted TO the member
ship through regular and special head
camp lecturers, the official paper, a
special publication called the Lectur-
e., and much special literature How
ever. the opposition that developed
was sufficient TO defeat the plans at
the head camp at indianapolis in 1903.
Instead that camp adopted a resolu-
ton increasing rates % to rs per cent
(These Indianapolis rates were the
rates changed by the Chicago head
camp in January, 1922
MORTALITY HISTORY.
To the Milwaukee head camp in
1905 Head Clerk Halves submitted the
complete mortality history of the so
clety and valuation OF all insurance
IN force az OF date Dec 81. 1904. The
committee on head officers reports
concluded its comment on this show
ing with the statement:
There is in our history no warrant
for the indulgence Of the hope that
We may with propriety postpone in
definitely a further and more scien-
tfiC adjustment OF rates"
The head clerk by request submit
ted to the October, 1907. session of the
executive council a special report on
the mortality experience OF the soci.
ETY. with several plans for rate read
justment. lie submitted a similar re
port 10 the Peoria head camp in June
1908, with a valuation as Of date Dec
81, 1907. showing deficiencies under
the indianapolis rates and plans. This
camp, defeated a resolution in favor
Of lg"ying one assessment year for
an emergency fund. However. a reso
luton was adopted authorizing ar
emergency session OF the head camp
whenever the executive council might
deem the same advisable The insur
ance commissioners OF Nebraska ant
South Dakota examined the society Il
August. 1908. and reported:
It does not require any logarithm.
or actuarial formulas 10 predict thu
future OF the Modern Woodmen o
America, from its past experience. pro
vided heroic and wise effort is no
made TO put II on wiser basis thai
that upon which II at present stands
FAR FAMED .'VOLUME THREE"
In June, 1911, Head Clerk Have
submitted to the Buffalo head camp a
section Of his report what has com
to be known in fraternal and insul
ance circles throughout the Unite
States as Volume III. The Mortalit
History OF the Modern Wcodmen {
America. This includes valuatio
Of the soCiety's business as of dat
Dec. 81. 1910. This history disclot
ed the mortality experienced by III
society in 2S years at each membe
ship age; the income from the men
bers and the losses in dollars at eac
membership age; the mortality an
insurance losses at each membership
age the society should anticipate Il
the future; the rates required TO b
collected in the future from the men
bers az each age TO satisfy the insu
ance losses that would be imposed /
members dying at the correspondent
ages.
The valuation was based upon ii
mortality table constructed from Il
experience OF the Modern Woodme
society extending over rs years.
disclosed that on Dec. 81, 1910, wit
S1.7S6.09S.00O insurance in force. al
collecting l. assessments a year
Indianapolis rates, the members wei
paying for only $50 per cent OF IN
total or $9S7,S4S 600. In other word
there was no provision at the o
rates for the payment OF S79s25O,O
Of the insurance in force. Only IS
cut Of each $1,000 insurance in for
was covered by the old rates, wht
made no provision for meeting 81
cut OF each $1,000 insurance outstan
ing.
This valuation further disclos
that present value OF future paymen
promised. assuming IL assessments