The Bridgeport evening farmer., 1912-07-26
WISCONSIN IS TO SELL
 LIFE INSURANCE SOON
Policies Will Range From $500 to $3,0OO With Premiums a Little Less Than Private Rates-Old
 Companies Driven Out.

An announcement of much interest
 in insurance circles here and else-
 where is that the state of Wisconsin E is soon to embark in the business of
 selling life insurance. Some time ago
 the state passed such radical insur-
 ance laws that all except one or two of the leading companies of the coun'
 try were practically driven from the
 state. While many declare that. the
 proposed move is distinctly sociaHstlc
 the promoters of the new insurance
 idea declare that it is not but is to
 meet the evils of corporate insurance companies.
 Under the recent Wisconsin laws twenty-four companies ceased to do kbusineSs in the state. Says Insurance
 Commissioner H. l.. Ekern of Wlscon- Sin:
 .'The law provides for life insurance and annuities on basis that IS ap- solutely safe, It uses the same as-
 sumptions for death claims and for interest earnings as the safest Amefl- can old line insurance companies. Rates Not Much Lower. F The rate or premiums, the commis- sioner said, would probably not be ftnuch lower than those of private in- surance companies, but the security would doubtless be considered bet ter. The liability of the state, how ever, is not to be beyond the amount l of moneY4contained in the insurance 1 fund. This fund. of course, will De derived from premiums, interest, earn l ings and similar sources.
 | At the outset four different kinds I of policies will be issued. They will l be whole or ordinary life twenty pay ment endowment, ten payment en- 1 dowment, and term to age ot DO 1 will be offered. The annuities will begin when the heneficiaries reach the I age of 65 years. No annuity can eX- ceed $500 a year. The law provides that policies shall l De issued to persons between the age l is to be grante q in sums of $500 or
 multiples thereof, but. no person Will be permitted to carry more than S3,- 900. The premiums for life insurance are to be based on the American ex- perience table of mortality, with addi- 1 tions for extra hazards, interest at
 per cent. and additions for expenses and contingencies amounting to S2 year per $1, ,000 of insurance and one-s sixth of the value of the insurance distributed equally through the pre- nl1um payments.
 Many inquiries regarding the cost of the insurance and time when the
 system will be put in operation have been received by the insurance com
 missioner, but no applications will be accepted until the system IS put in force. Commissioner Ekern believes that the number of persons who will take out state insurance will run into the thousands. A circular contain ing full information on the system
 will be mailed to inqnirers soon after l August 1.
 Apprications can De transmitted to Commissioner Ekern or through clerks and treasurers in towns. vil- Iages, cities and counties of the state. state factory inspectors or state banks. l These persons are to receive 20. cents flor each application. They. also are 1 authorized to collect premiums and
 to retain 1 per cent. thereof for their 1 services.
 | Examination.
 Each applicant must be examined l by a physician under the direction of l the state board of health. The ap- 1 plication must be accompanied by a | premium for at least three months, l and by a medical examination. fee O. I$2. The state insurance commission. CT and the state board of health are ! to pass on all applications for insur- | ance, and their decisions are to be final. If the application is rejected l the deposit is returned, less the medi- cal examination fee and fees paid for making out the application and re-
 nitting the premium.
 I The life fund will operate with ] reserve on the same plan as the pres ent old line life insurance companies. Loans may be made on a policy to an
 amount. which together with interest at per cent. per annum shall not ex- ceed the reserve On the non-pay-
 ment of a premium the sum is to be charged as loan against the policy
 as long as the reserve is Sufficient. The whole or any part of a joan may be paid by the insured or other in- terested person at any time. The policy may be surrendered for cash
 on any anniversary after six months notice in writing.
 Il Commissioner Ekern said that he I expected the state insurance system
 would prove highly successful, and
 would not only not injure the busi :.
 ness of private insurance companies,
 but would stimulate it because of a
 better understanding of the science of
 insurance among the people generally.